A meeting of the federal cabinet chaired by Prime Minister (PM) Imran Khan has rejected the Economic Coordination Committee (ECC) approval to import cotton yarn and white sugar from India, reports quoted sources as saying.
A day earlier, the ECC had approved two summaries of the commerce and textile ministry to lift ban on import of cotton and white sugar from India.
According to reports, there were 21 items on the agenda of the ECC meeting to be chaired by newly appointed Finance Minister Hammad Azhar. Commerce and Textile divisions had submitted five crucial summaries for approval besides others.
At the agenda no. 16, the Textile Division summary sought permission from the ECC to lift ban on import of cotton and cotton yarn from India in a bid to bridge raw material shortfall for the value-added textile sector.
In addition to this, another summary of the commerce ministry at agenda no. 20 also sought permission to allow import of white sugar from India through the Trading Corporation of Pakistan and commercial importers.
The resumption of import of these goods was expected to lead to partial revival of trade relations. On Aug 9, 2019 Pakistan downgraded trade relations with India in reaction to the latter’s decision to revoke Article 370 of its Constitution that granted occupied Kashmir a special status.
In May 2020, Pakistan lifted the ban on import of medicines and raw material from India to ensure there is no shortage of essential drugs amid the COVID-19 pandemic. This was the first step of reversing of complete suspension of trade with India.
However, Indian premier’s letter to Prime Minister (PM) Imran Khan on Pakistan Day was the first step in the right direction amid reports of UAE Royals brokering peace.
On Tuesday, PM Imran replied to Modi’s letter, saying Pakistan also desired peaceful relations with India.
“The people of Pakistan also desire peaceful, cooperative relations with all neighbours, including India,” he said in his reply.
“I thank you for your letter conveying greetings on Pakistan Day.”
