Qureshi Warns Pakistan's GSP+ Trade Access at Risk Without Reforms

Former foreign minister Shah Mahmood Qureshi has urged the federal government to move quickly on European Union concerns linked to Pakistan’s GSP+ trade status, warning that the country’s privileged export access could face serious pressure without visible reform progress. The appeal, reported from Lahore on Monday, comes as Pakistan prepares for a tougher review environment under the EU’s next trade framework.

Qureshi, who is currently confined at Lahore’s Kot Lakhpat jail, conveyed his position through a letter shared with the media by his counsel Rana Mudassar Umer. In the letter, he argued that Pakistan must address the Monitoring Mission’s concerns over implementation gaps related to 27 international conventions covering rights, labour standards, governance and related commitments.

The issue is economically significant because the European Union remains one of Pakistan’s most important export destinations. According to Qureshi’s letter, Pakistan exported goods worth 8.7 billion euros to EU countries in 2025, while around seven billion euros of those exports were supported through the GSP+ facility, making the arrangement a major pillar for export earnings.

Qureshi said the government should treat the matter as urgent, noting that the current GSP+ cycle is due to expire in 2027. He warned that Pakistan would have to satisfy stricter requirements under the EU’s upcoming GSP regulations if it wants to remain eligible for preferential market access in the next phase.

The former foreign minister also referred to the European Union’s recent diplomatic engagement with Pakistan, saying EU High Representative Kaja Kallas had reiterated the concerns raised by the Monitoring Mission during her meeting with Pakistan’s foreign minister on June 1. He said Brussels was seeking measurable progress on human rights, labour protections and governance reforms rather than general assurances.

Qureshi framed the warning through his own experience in foreign policy, recalling that securing the facility had required extensive diplomatic effort. He cited past lobbying in Brussels and said senior Pakistani diplomats, exporters and political figures had worked to persuade European policymakers to grant Pakistan the preferential arrangement.

The GSP+ scheme has long been viewed as a critical trade advantage for Pakistan’s textile and manufacturing sectors because it gives eligible developing countries reduced or zero-duty access to European markets in exchange for compliance with international conventions. For Pakistan, whose exports remain heavily dependent on textiles, any disruption to this access could directly affect factories, jobs and foreign exchange inflows.

The timing of the warning is important as Pakistan faces persistent pressure to expand exports, stabilise external accounts and reduce reliance on borrowing. A loss or weakening of GSP+ benefits would come at a difficult moment for businesses already dealing with energy costs, taxation pressures and competition from regional exporters.

The government’s next steps will likely be watched closely by exporters, rights groups and European officials. If Islamabad can show verifiable progress before the next review cycle, it may strengthen its case for continued access; if not, Pakistan could enter the 2027 transition period with one of its most valuable trade concessions under renewed risk.