Pakistan has recently given mfn staus to india....
anyone from economics please comment on mfn status as to what are its advantages and disadvantages for pakistan?
answer should be given in points...thanks.

MFN STATUS TO INDIA.


ADVANTAGES.
1.illegal trade will stop
2.political differences will get positive direction
3.cheap indian product will not flood pakistani market. eg same threat was when MFN was given to TAIWAN and HONG KONG
4.SAARC will improve
5.kashmir issue wll take negociation rout
6. GDP will increase 2%
7.proximity will reduce transport cost
8. roads and infrastructure will improve
9.cheap products
10.SAFTA will be revived
11.pakistni market will get acess to EU markets
12. cement and FFCfatories will get trade liberation.
13. negative goods will be faired.
14.certain textile goods and few agri goods have zero duty access
15.legislation will improve economy

MFN STATUS

DISADVANTAGES.
1. threat that cheap indian products will flood our market
2.option on kashmir seems to be narrowed
3.anti pakistan attitude from Hindus
4.trade will be affected by political decisions
5.india strong industry will turn pakistan to dump ground
6. religious prejudice by hindus
7. imports will be more than exports
8. trade will lead to cultural diffusion
9. non tarrif barriers (NTBs)....... protectionist attitude
10. security will always on hit-list
11. major pakistan exports are agri products, it does not look tru MFN rather it looks agri import-policy

MFN-STATUS TO INDIA
. it is corner stone of trade law of WTO
. it includes low tarrif, high import quota
. with india debate started in 1996 when benazir govet showed intentions but tarrif quotas, and kashmir issue were hurdles...............................

magar afsos css-2012 m ic topic pe kuch ni pcha gya. boht time ho gya papers ko mj se kuch points miss be ho gae hoon gy. i am sure. especially statistics

from my point of view this decision was taken on political bases.

I feel it best for pakistan. further you can see advantages and disadvantages..................................... ..........................

See this thread,

http://www.cssforum.com.pk/general/d...tus-india.html

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The status will definitely facilitate trade between the countries in question.

However, one important thing which needs deliberation is "Are we interested only in trade and commerce?
Is there anything else between both the countries that needs settlement for long term security of Pakistan's national interests?

Find the answer.

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