If in power, BJP will review MFN status to Pak

New Delhi, May 7 (PTI) The Bharatiya Janata Party will
review Most Favoured Nations (MFN) status given to Pakistan in
the absence of reciprocity from the neighbouring country if it
comes to power.

"Pakistan clearly has no intention of extending MFN
treatment to India and so there is a good case for India to
reconsider its position on the MFN treatment to Pakistan,"
former Indian Finance and External Affairs Minister Yashwant
Sinha told PTI in an interview.

Sinha said that even in the worst period of its relations
with Pakistan, India did not withdraw the MFN treatment to the
country, while the neighbour never extended it to India.

In terms of trade agreements, the BJP manifesto says,
"... We will not hesitate to roll back any concessions and
facilities not reciprocated by the counterparts."

Sinha, who is BJP Vice-President, recalled that during
the National Democratic Alliance (NDA) regime, Pakistan had
said that it would automatically extend MFN status to India
after the South Asian Free Trade Area (SAFTA) comes into
force. But SAFTA remains dead despite technically coming into
operation in 2006, he said.

The agreement on SAFTA was reached at the 12th SAARC
summit at Islamabad in 2004. It creates a framework for the
creation of a free trade area covering 1.4 billion people in
India, Pakistan, Nepal, Sri Lanka, Bangladesh, Bhutan and the
Maldives.

The seven foreign ministers of the region had signed a
framework agreement on introducing zero customs duty on the
trade of practically all products in the region by end 2016.
SAFTA came into being on January one, 2006.

Sinha said Pakistan-sponsored terrorist activities in
India are one more factor in reviewing MFN status to the
neighbouring countries.

"We had hoped if you allow our relationship to grow in
other areas then hostility will automatically be over. But
Pakistan is not interested in getting the level of hostility
reduced," he said.

MFN status for a country means it will not be
discriminated against other nations in trade matters,
including tariff rates. PTI TAN
DEP