Shaista Alam (Nottingham)

Title:  The Effect of Preferential Trade Agreements on Pakistan’s Export Performance

Abstract:  The main objective of the study is to investigate the effect of free trade agreements on export performance (value and number of exporters to destinations) of Pakistan during the period 2003 to 2010. The analysis covers the South Asian Free Trade Area (SAFTA) and five bilateral PTAs with China, Sri Lanka, Malaysia, Iran and Mauritius, including external and internal factors influencing export performance. Data from the World Bank Exporter Dynamics Database are analysed using fixed effect panel data techniques. The PTAs with China and Iran appear to improve export performance; SAFTA and bilateral PTA with Malaysia and Sri Lanka are insignificant. The PTA with Mauritius is associated with a decline in exports (perhaps reflecting decline demand for textile imports during the period).