Pakistan and Turkey have signed a memorandum of understanding (MoU) on intensifying cooperation in the energy sector. Federal Minister for Energy Omar Ayub Khan and his Turkish Counterpart Fatih Donmez inked the MoU in the presence of Prime Minister Imran Khan and President Erdogan. In energy sector specifically in the area of hydrocarbons, in exploration and \production (E&P) and sharing of best practices in natural gas distribution, transmission, wholesale markets, and in liquefied petroleum gas market, the MoU envisions promotion of bilateral scientific, technological, administrative and commercial cooperation. The MoU was signed by the Turkish Minister of Trade, Ruhsar Peckan, and the Adviser to Prime Minister on Finance and Revenue, Abdul Hafeez Sheikh. This MoU includes the cooperation for establishment of Electronic Data Exchange for and documents regarding international movements of the goods and vehicles between the parties. It also includes assistance to each other in order to improve customs practices between the two countries. Both countries will communicate, share and exchange all available information relating to imports, exports, and transit operations. The two countries will cooperate in combating different smuggling methods and customs offences.
The vital benefits arising from the signed MoU include an institutionalized information exchange mechanism between Pakistan and Turkey. It is expected to bring reduced risk of evasion of duties and taxes, reduced clearance time for import or export cargo through application of risk-assessment techniques on the basis of available information. The MoU would assure assistance by Turkish Customs Agency and would promote bilateral trade, including transit trade, in the region which would lead to safeguard/promotion of economic interests of both Turkey and Pakistan. The signing of this MoU would also Increase confidence of Pakistan’s international trading partners.