INTRODUCTION:

The association of Southeast Asian Nations is a political &

economic Organizations.
Ten countries located in Southeast Asia which was formed on
8 August 1967.
The members countries are :
Indonesia, Malaysia, Philippines, Singapore , Thailand,
Brunei, Cambodia, loast, Myanmar and Vietnam.
Advantages Of ASEAN
1. Free Trade Area :-
. By an Agreement ASEAN countries have a free Trade Area (AFTA).
. ASEAN countries encourages a higher market competition which allows the
countries Developed.
2. Comprehensive Investment :-
. The ASEAN comprehensive Investment area (ACIA) will encourage the free
flow of
investment with in ASEAN.
3. Trade in Services:-
ASEAN framework Agreement Services (AFAS). Provides broad
guidelines for intra-regional Services. Liberalization in Several Sector including
air transport business
Services, maritime transport, telecommunications and tourism.
4.Bussiness Of Tourism :-
Business of tourism in Thai will grow Thailand will be the main hub for
travelling though other Country.
5. Economic Growth:-
More opportunity for each country because of the bigger size of market
and free flow of Labor and Capital.

6. Product Price will Decrease :-

Because of the free flow in Labor and resources and terminate tariff
cheaper resources in opportunity to production base entrepreneur will
have more choice to move their production base to meet country where
Labor cost is Cheaper.

7. Trade in Services :-
AFTA helps ASEAN countries products accustom a regional market,
Consumer will benefit from cheaper prices of goods given lower tariff on
a host of raw materials used by the region producers.
Disadvantages :-
1. Negative Impact :
The reduced tariffs have negatively impacted on Thailands Agriculture
sector due to a greater number of agriculture goods .
2. Not protect to Small Enterprises :
ASEAN Economic Community has faced criticism for not protecting small
and medium enterprises such as Myanmar.
3. Public Health :
OPEN AEC it will be easier for people and labor to flow in & out then the
disease will easier spread out in to each country.
4. Labor with Low English :-
Labor with English skill will be more difficult to seek for a job. English is
main language in ASEAN.
 Why ASEAN is Better Than
SARC
ASEAN Adopted soft rules, worked out without formal Agreement
.

SAARC does not control outside intervention such as us and

china.

ASEAN members believe that all members Nations Equal &

should work towards collective economic progress.

ASEAN primarily an economic block while SARC is more political

outfit.
REASONS OF PAKISTAN INTERESTED TO JOIN ASEAN

The economic growth of ASEAN countries offers a conducive

environment to Pakistan for gaining maximum benefits
forinvestment, economic cooperation and private public
partnership.

Trade Development Authority of Pakistan (TDAP)(2013) said
regional agreements are used for not only promoting trade and
investment, but also strengthening domestic policy reform.

TDAP (2013) Pakistan is important for Asean as much as Asean is

important for Pakistan when it comes to economic cooperation.