ISLAMABAD: To increase the volume of bilateral commerce, Pakistan and South Korea are about to sign a historic Economic Partnership Agreement (EPA).
According to a formal announcement made by the trade ministry on Tuesday, trade Minister Jam Kamal has departed for South Korea to sign the EPA with his counterpart in Seoul, ushering in a new era of economic cooperation between the two nations.
The purpose of Mr. Kamal’s three-day tour is to strengthen bilateral economic relationships and promote EPA-related trade and investment prospects.
By taking advantage of Pakistan’s advantageous location and cheaper production costs, the pact also seeks to establish Pakistan as a competitive location for Korean industrial activities.
To discuss the growth of financial cooperation, Mr. Jam will meet with the Korean trade minister, prominent investors, and K-EXIM Bank representatives.
Additionally, he will work with the International Economic Institute to investigate ways to entice Korean businesses to move their operations to Pakistan.
In order to facilitate communication between the trade minister and the Pakistani business community in Korea, the Pakistan Business Association Korea will play a crucial role. To honor their achievements and reinforce community relations, a meeting with Pakistani laborers in Korea will also be conducted.
This high-stakes visit, according to the statement, demonstrates Pakistan’s dedication to developing strong economic ties with Korea and encouraging long-term trade and investment alliances.
Pakistan’s exports to South Korea decreased 11.68 percent to $68.25 million in the first five months of the current fiscal year from $77.28 million during the same time last year. Exports for FY24 decreased 6.34 percent to $184.65 million from $197.15 million the year before.
On the other hand, South Korean imports dropped 2.47 percent to $377.08 million in 5MFY25 from $386.65 million. But imports increased 9.05 percent from $807.71 million in FY23 to $880.86 million in FY24.
A large trade deficit with South Korea is revealed by the trade data.