Explainer: EU GSP + Status and Pakistan

The European Union’s (EU) has recently adopted a resolution which calls on the European Commission and the European External Action Service (EEAS) to “immediately review Pakistan’s eligibility for the GPS+ status in light of an alarming increase in use of blasphemy law. The Generalized Scheme of Preferences (GSP plus) status is designed to be an

The European Union’s (EU) has recently adopted a resolution which calls on the European Commission and the European External Action Service (EEAS) to “immediately review Pakistan’s eligibility for the GPS+ status in light of an alarming increase in use of blasphemy law. The Generalized Scheme of Preferences (GSP plus) status is designed to be an economic reward and an incentive for developing countries like Pakistan. It allows countries to import to EU States but provides them an exemption, such has having zero duties on two thirds of all product categories. This in turn provides developing nations with the opportunity to create jobs based on international values and to combat poverty within its national territory.

Pakistan and the EU’s trade relationship is governed by the Cooperation Agreement 2004 and Pakistan benefits majority from this trade partnership as EU is one of its biggest trading partners. In 2014, Pakistan was officially granted GSP+ status by the Union, albeit with certain commitments. Since then, Pakistan has been eligible to export close to seventy-eight percent of its products, almost twenty per cent of its global export, free of duty into the EU’s twenty-eight member states. The same year, the country reported an increase of $1.08 billion in its exports between the months of January and October, due to it enjoying zero percent preferential tariff rates on more than 6,200 EU tariff lines. This provided the country with the competitive edge it needed against other countries selling within the Union’s markets.

Moreover, in 2018, exports worth 5.885 billion euros were given tariff concessions with a total of 65 percent increase in exports in 2019, from 4.538 billion euros to 7.492 billion. The industries which availed a benefit from the status were the textile and garment industries, making Pakistan the third largest textiles and clothing exporting country in all of Asia.

Pakistan at the time of being granted the GSP+ status was asked to undertake the commitment to include the rectification of twenty-seven international conventions and their maintenance; the acceptance of the reporting requirements imposed by each convention without reservation and the regular monitoring and review of relevant monitoring bodies; and the participation and cooperation with the European Commission’s monitoring procedures. The status also placed pressure on Pakistan in continuing to improve its human rights, having to comply with seven human rights international conventions with the conditions to accept without reservation, maintain and rectify and, implement the steps required to ensure effective implementation of the conventions.

While the EU parliament’s resolution is not in binding in nature, the resolution was adopted by a large majority, which indicates a consensus on the issue. The resolution alleged that Pakistan’s blasphemy laws are often either misused or due to weak evidentiary requirement disproportionately and systematically target minorities in Pakistan. The case that bought this resolution forward was the story of Christian couple named Shagufta Kausar and Shafqat Emmanuel who are both facing blasphemy charges in Pakistan. The EU in its resolution also referred to an alarming increase in violence against civil society and human rights activist online and offline.

The European Parliament’s resolution further noted that it is “deeply concerned by the anti-French sentiment in Pakistan, which has led French nationals and companies to have to leave the country temporarily.” Although, the resolution seems to fail in appreciating the prevalent Islamophobic attitude of the French government, due to which human rights in France are also being violated, specifically the right to freedom of thought, belief and religion given under Article 9 of the European Convention on Human Rights.

Pakistan’s Foreign Office has expressed disappointment over this resolution. It stated that the European Parliament is ill-informed about the context of blasphemy laws and the associated religious sensitivities in Pakistan, while rejecting criticism of the judicial system and domestic laws an unwarranted and regrettable. Human Rights Minister Shireen Mazari has expressed that that “there has been more movement now on our HR Int Convention commitments than in previous governments” and expresses the solution as being dialogue and negotiations, not “extreme public positioning.”

Furthermore, the Foreign Office has also expressed that Pakistan has played an active role in promoting freedom of religion, tolerance, and inter-faith harmony. It further defended the nation by stating that Pakistan is proud of its minorities, who enjoy equal rights and complete protection of fundamental freedoms enshrined in the Constitution, with judicial and administrative mechanisms and remedies in place to guard against any human rights violations. If Pakistan loses its GSP status, it will greatly impact and affect not only Pakistan’s textile sector but our banking and transportation sector too. It will be hugely detrimental for Pakistan’s economy.

Recently, Prime Minister Imran Khan chaired a meeting of senior ministers of the cabinet on the 3rd of May in which he has stressed that the government will not compromise on the blasphemy laws which pertain to the honor of the Holy Prophet (PBUH). In this meeting it was agreed that the GSP+ status of Pakistan is not concerned with the country’s blasphemy laws but also, it was unanimously agreed that the protection of minorities within the country will be ensured. Pakistan’s official GSP status will be up for review in 2022.