RCCI and CCC sign MoU
Following the success of Made in Pakistan exhibition:
Following the launch of Made in Pakistan exhibition in Colombo,
Pakistan’s Rawalpindi Chamber of Commerce and Industry (RCCI) signed a
Memorandum of Understanding (MoU) with the Ceylon Chamber of Commerce
(CCC) of Sri Lanka under the patronage of the High Commission of
Pakistan in Sri Lanka on April, 26.
The MoU aims to encourage mutual understanding and promote business
and friendly relations between the industrial, trade and business
communities of Pakistan and Sri Lanka.
The Rawalpindi Chamber of Commerce and Industry (RCCI) is the premium
business association of Pakistan which was established in 1952. The RCCI
is affiliated with the Federation of Pakistan Chambers of Commerce and
Industry, which itself is the member of the International Chamber of
Commerce and Industry.
The RCCI has more than 4,000 members comprising business
establishments from large manufacturers to home based small businesses.
The chamber has played a vital role in the development of commercial,
industrial and economic activities in the region.
The Ceylon Chamber of Commerce (CCC) was founded on March 25, 1839
under the British Rule. The agriculture based services provided by the
CCC to its members, has gradually elevated to value added services. Over
a period of years, CCC which plays a catalytic role in the development
of the business sector, changed its focus on identifying key issues to
assist in the development of strategic plans to meet new challenges and
opportunities.
Pakistan is the second largest trading partner of Sri Lanka within
the South Asian region. The level of bilateral trade between Pakistan
and Sri Lanka increased as a result of the Free Trade Agreement (FTA).
Trade between the two countries increased from US $ 225 million to
over US $ 390 million during the last four years, with the positive
support gained from the FTA.
Sri Lanka was the first country to sign a Free Trade Agreement (FTA)
with Pakistan. FTA between Pakistan and Sri Lanka is operational since
2005.
Under FTA, Sri Lanka and Pakistan have agreed to offer preferential
market access to each others’ exports by way of granting tariff
concessions. Sri Lanka enjoys duty free market access on 206 products in
the Pakistani market, while Pakistan, gained duty free access on 102
products in the Sri Lankan market. The aim of a free trade agreement is
to reduce barriers, to facilitate exchange so that trade can grow as a
result of specialization, division of labour, and most importantly via
comparative advantage.
The two countries have also signed the Bilateral Investment Treaty in
December 1997, which came into force in January 2000 after ratification.
In addition a memorandum of understanding between Board of Investment
Pakistan and Board of Investment Sri Lanka has also been signed in
February 2007 for strengthening of cooperation in all the sectors of
investment of both countries.
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