Pakistan has been able to maintain its export advantages to European markets through the Generalised Scheme of Preferences Plus (GSP+), despite ongoing concerns regarding human rights, labor issues, governance problems, and environmental transgressions. These violations have raised doubts about Islamabad’s international standing, as reported by Greek City Times.
Since January 2014, Pakistan has held GSP+ status, enabling it to export goods to the European Union with reduced or zero tariffs. This arrangement has significantly bolstered Pakistan’s exports, particularly in textiles and apparel, with the EU being its primary export market. However, Pakistan’s failure to fully adhere to GSP+ requirements, characterized by weak governance, human rights issues, and labor exploitation, has drawn criticism.
The article emphasizes the necessity for Pakistan to implement substantial reforms in human rights, governance, labor standards, and democratic practices to sustain its preferential trade benefits. The European Union’s recent approval of an updated GSP+ regulation on April 28 has heightened concerns over Pakistan’s compliance record, with the number of mandatory international conventions set to increase by 2027.
Under the revised GSP+ regime, Pakistan will face more stringent scrutiny, with a focus on areas such as child rights, civil society involvement, labor inspections, climate commitments, democratic governance, and safeguarding vulnerable groups. Failure to meet these revised standards could jeopardize Pakistan’s future trade concessions and competitiveness in the European market, signaling the EU’s growing unease with countries exhibiting poor compliance.
