EU Ambassador Briefs Pakistan Textile Council Leadership on GSP+ Process; PTC Commits to Sustained Engagement with Government

The European Union Ambassador to Pakistan, H.E. Raimundas Karoblis, met with the leadership of the Pakistan Textile Council (PTC) in Karachi on October 21, 2026, to discuss Pakistan’s position under the EU’s Generalised Scheme of Preferences Plus (GSP+), preparations for the next phase of the arrangement and the importance of textile and apparel exports to bilateral trade.

The meeting focused on the EU’s expectations for continued preferential market access, the implementation of Pakistan’s existing international commitments and the potential implications of emerging European trade regulations. PTC reaffirmed its commitment to working with the government and the EU to support the GSP+ process and protect the competitiveness of Pakistan’s export sector.

The PTC delegation was led by Chairman Fawad Anwar and included Vice Chairman Anees Khawaja, Gul Ahmed CEO Zaki Bashir, Alkaram Towels CEO Kashif Chawla, Naveena Group CEO Asif Riaz and representatives of other textile and apparel businesses. The EU Ambassador was accompanied by officials from the EU Delegation to Pakistan.

EU Highlights Key Requirements for Pakistan’s GSP+ Status

During the meeting, Karoblis highlighted the importance of the EU market for Pakistan’s exports, noting that textiles and clothing account for approximately 70% to 76% of Pakistan’s exports to the European Union, according to the EU’s GSP+ assessment.

The current GSP+ arrangement has been in place for more than a decade, providing preferential access that is particularly important for Pakistan’s textile and apparel exporters.

Referring to the EU’s assessment of Pakistan covering 2023–2025, published on July 16, 2026, the ambassador emphasised that progress on human rights and the rule of law would be essential to securing benefits under the new GSP+ scheme.

He clarified that the European Union was not introducing new standards. Rather, Pakistan is expected to demonstrate effective implementation of commitments it has already undertaken under relevant United Nations conventions.

EU Calls for Measurable Reforms and Effective Implementation

Karoblis said the European Commission would undertake enhanced engagement with the Government of Pakistan as the next phase of the GSP+ process advances.

The immediate priority would be to demonstrate short-term improvements in areas of major concern, followed by a credible action plan containing specific measures, implementation timelines and measurable performance indicators.

The new framework places greater emphasis on the practical implementation of commitments rather than simply ratifying conventions or adopting legislation.

The ambassador acknowledged the Pakistani government’s stated willingness to cooperate at the highest level. He also stressed that sustained coordination would be required across ministries and at the working level to translate commitments into measurable outcomes.

PTC Highlights the Economic Importance of GSP+

PTC Chairman Fawad Anwar said the council’s member companies were predominantly value-added exporters with significant exposure to the European Union market.

He stressed that the continuation of GSP+ was critical not only for Pakistan’s textile and apparel exports but also for employment, tax contributions and the wider network of businesses and livelihoods connected to the sector.

Anwar also warned that the EU-India Free Trade Agreement could create additional competitive pressure for Pakistani exporters, even if Pakistan retains its GSP+ status.

The agreement’s potential implications for relative market access and export competitiveness make it important for Pakistan to assess how changes in trade arrangements could affect its position in the European market.

Textile Leaders Call for Sector-Specific Assessment

PTC Vice Chairman Anees Khawaja noted that the EU assessment recognised progress across four clusters covering human rights, labour, the environment and governance.

He invited the EU ambassador to visit Multan to observe how GSP+ has contributed to livelihoods and economic opportunities in smaller Pakistani cities.

Gul Ahmed CEO Zaki Bashir urged that conditions within Pakistan’s textile and apparel export sector be assessed separately from broader national-level findings. He argued that the concerns highlighted in the assessment were national findings rather than sector-specific evaluations.

PTC leadership welcomed the government’s stated commitment to the GSP+ process and its readiness to engage with the European Union at the highest level. The council also identified a time-bound implementation plan as an immediate priority and offered the textile and apparel industry’s support.

PTC Shares Industry Practices and Raises Regulatory Concerns

During the discussions, PTC members presented examples of practices already being implemented in export-oriented manufacturing facilities. These included certified industrial facilities, female workforce participation exceeding 70% at certain sites and established worker committees.

PTC CEO Muhammad Hasan Shafqaat highlighted the need for greater clarity and proportionate implementation of emerging EU regulatory requirements, particularly the Digital Product Passport and supply chain due diligence obligations.

He noted that these requirements could extend transparency and traceability obligations across entire supply chains, potentially reaching back to the farm level.

For Pakistan’s textile sector, the expanding scope of supply chain requirements makes regulatory clarity and industry preparedness increasingly important to maintaining access to European buyers.

PTC Outlines Four Commitments to Support the GSP+ Process

Following the meeting, PTC reaffirmed its commitment to sustained policy engagement, technical assistance and coordination with the government and the European Union. The council outlined four areas of action.

1. Engagement with the Federal Government

PTC will raise the meeting’s outcomes and industry recommendations with the Prime Minister’s Office, the Ministry of Foreign Affairs and the Ministry of Commerce.

The engagement will aim to ensure that the textile and apparel sector’s concerns and recommendations are considered in the government’s approach to the GSP+ process.

2. Support for Government Coordination

The council will support government coordination, including through a dedicated senior focal point for the GSP+ process.

PTC has offered industry expertise, technical assistance and engagement with relevant consultants to support coordination and implementation.

3. Industry Input to the GSP+ Reapplication Committee

PTC Chairman Fawad Anwar, who is a member of the government-constituted committee reviewing the GSP+ reapplication process, will contribute the textile and apparel industry’s perspectives and recommendations to its deliberations.

The council’s participation is intended to ensure that the sector’s export exposure, employment contribution and operational requirements are considered during policy discussions.

4. Assessment of the EU-India Free Trade Agreement

At the request of the Ministry of Foreign Affairs, PTC is preparing an assessment of the potential economic impact of the EU-India Free Trade Agreement on Pakistan’s exports.

The findings will be shared with the Ministry of Foreign Affairs, the Prime Minister’s Office and the EU Delegation to Pakistan to inform policy deliberations and engagement.

PTC Reaffirms Commitment to Protect Export Competitiveness

PTC leadership thanked Karoblis and the EU Delegation for the visit, discussions and briefing on the GSP+ process.

The council reiterated its commitment to continued engagement with the European Union and the Government of Pakistan to support timely implementation of necessary measures, safeguard preferential market access and protect the competitiveness of Pakistan’s textile and apparel exports.

As the next phase of the GSP+ arrangement approaches, effective implementation of existing commitments, coordinated government action and industry participation will remain central to Pakistan’s efforts to sustain its trade relationship with the European Union.

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