20000105

Experts to okay

D-8's IMTC

plan in Cairo

meeting

RECORDER REPORT

KARACHI: The establishment of the International Marketing & Trading Company (IMTC) among D-8 group would receive final okay at the 3rd meeting of trade experts of D-8 countries being held in Cairo, Egypt on January 19-20.

A report on the establishment of the IMTC was earlier prepared by an expert of the International Trade Centre (ITC) and distributed among the member states. The Islamic Development Bank (IDB) had offered the financing of the feasibility study and had also proposed modalities and work plan in this connection.

The main objectives of the IMTC are as follows: Expansion of marketing, and trade among D-8 member countries, encouragement and enhancement of trade and economic ties of D-8 member countries with other Islamic countries, and increase facilitation of exports from D-8 countries to the rest of the world.

The scope of its activities would cover marketing, trade and supporting services as well as the expected phasing and introduction of different executives (i.e. Business Plan). Among the options available to establish the IMTC as a holding company are: an arrangement between the private sector in the D-8 countries, and a multilateral agreement amongst D-8 governments.

Although Bangladesh, Pakistan, Turkey, Iran, Indonesia and Egypt have recommended that Cairo, be the venue of the IMTC headquarters, decision on the location of the headquarters would be taken on the basis of the following criteria:

Central geographical position among several continents, favourable investment environment allowing unimpeded access of capitals and profits in and out, economic and political stability, credit worthiness and attractive investment yield, availability of reliable international telecommunication network and other infrastructure, free and stable exchange markets and convertibility of currencies, and developed financial markets.

Other items on the agenda include: presentation of report and recommendations adopted by the D-8 expert group meeting on shipping held in Alexandria, Egypt, on November 15-16, 1999.

The participants will also be invited to study the Iranian proposal presented during the sixth session of the D-8 Commission to establish a confederation of eight D-8 Chambers of Commerce and businessmen associations. The meeting will further have before it the proposal of the Istanbul Chamber of Commerce, concerning the establishment of business services centres that provide support to the small and medium size enterprises (SMEs) at all stages from production to export.

Further the meeting will have before it the draft working paper: "the simplifying and harmonization of banking measures and proposals on financing foreign trade of D-8 countries prepared by the Egyptian banking authorities.

Similarly a paper prepared by Malaysia on trade facilitation measures undertaken within Asean and Apec and simplification of customs procedures and the draft D-8 agreement on simplification of visa procedures for the businessmen of the D-8 countries will also be taken up for discussion.

The initiative taken by the Egyptian government towards establishment of an intra D-8 trade database that would ultimately contribute to the promotion of business and trade exchanges would also come under discussion at the meeting.