"There has been no headway in Safta implementation," said KCCI President Haroon Farooki addressing a press conference jointly organsied by the KCCI and Dhaka Chamber of Commerce and Industry (DCCI) in Dhaka yesterday.

When asked, he however did not elaborate. "It appears that the progress in Safta implementation could not be reached within the deadline."

Farooki, who is leading a 15-member trade delegation, also said there are certain apprehensions and fears about the Bangladesh-Pakistan free trade agreement (FTA). He also did not elaborate.

The delegation has also invited Bangladeshi manufacturers to take part at a trade fair in Karachi in July to explore market opportunities for their products in Pakistan. The exhibition will also help the exhibitors to find out business partners to go for joint venture projects.

KCCI of Pakistan will organise the 3-day exhibition titled "My Karachi" from July 29 to July 31.

Expressing their interest to start joint venture projects here, they said they are looking forward to setting up of joint ventures between the two countries, particularly in the fields of textile, leather, chemicals, fertilizer and engineering goods.

"The main objective of our visit is to enhance and strengthen the trade relations. We want to review the existing trade and economic relations between the two countries and make our contribution to strengthening them through exploration of new opportunities," Farooki said.

Welcoming the delegation, DCCI Senior Vice President Hossain Khaled invited Pakistani textile manufacturers to shift their units to Bangladesh to avert rising cost of production in Pakistan.

Bangladesh suffered a trade deficit of US$75 million with Pakistan in fiscal 2004-05 with Bangladesh's exports totaling $63.12 million and imports amounting to $138.6 million. In 1996-97 the deficit was worth US$ 28.49 million.

Major Bangladesh exports to Pakistan included tea, raw jute, leather, pharmaceuticals, tobacco and cigarettes while its major imports included textiles and textile articles, machinery and mechanical appliances, electrical equipment and accessories and chemical and mineral products.