Pakistan proposes Free Trade Agreement with UK as trade talks expand

Pakistan has proposed moving towards a Free Trade Agreement with the United Kingdom, describing it as the next step in expanding bilateral trade ties. The proposal was discussed during a meeting between Federal Minister for Commerce Jam Kamal Khan and Edward Llewellyn, Director General Political of the United Kingdom, alongside Jane Marriott. 

Both sides reviewed trade relations, regional developments and global energy conditions.

Officials said the ongoing Pakistan–UK Trade Dialogue was assessed, with progress noted on cooperation in healthcare and life sciences. The two sides agreed to expand engagement through working groups in sectors including IT, agriculture, professional services, education and skills.

Pakistan’s side said efforts are underway to improve the trade environment through tariff reforms and regulatory changes aimed at attracting foreign investment. It emphasised policy consistency and gradual reforms to support investor confidence.

The proposal to move towards an FTA was presented as a long-term objective, building on the current dialogue framework. Officials said the existing engagement could provide the foundation for deeper economic cooperation.

The UK side raised concerns regarding proposed changes to Pakistan’s intellectual property framework and stressed the need for policy certainty and transparency to support investor confidence.

Both sides also discussed geographical indication and trademark registration issues related to Pakistani basmati rice and agreed to continue engagement on the matter.

On global developments, discussions covered risks to trade flows linked to tensions in the Strait of Hormuz, including rising shipping costs. Pakistan highlighted the impact of higher maritime charges on exports and called for balanced risk assessments.

The meeting concluded with both sides agreeing to continue dialogue and coordination to advance trade cooperation and address shared challenges.