Govt decides to increase exports up to $27 bn

[Kabira]

ISLAMABAD: In a positive development, very important buying mission from China is coming in Pakistan on September 27 and will place orders to import many items from Pakistan.

This will help reduce the trade deficit in bilateral trade with China which stands at over $14 billion, senior top notches of the Commerce Ministry told The News.

There is a realisation, the officials said, in Beijing that Pakistan’s trade deficit with China has increased manifold particularly after the implementation of FTA-1. “Now the authorities in Beijing have decided to dispatch a buying mission to Pakistan which will purchase many items may be worth $300-400 million depending the availability of exports surplus Pakistan entrepreneurs have with them.

The government wants that sending the buying mission by China should be a regular feature other than the formal trade between the two countries. Pakistan’s imports from China currently stands at over $16 billion whereas export to China stand at over $2 billion showing the trade deficit of over $14 billion which is heavily in favour of China.

Meanwhile after announcing Rs44 billion subsidy to export oriented industry particularly for textile industry, the Imran Khan government has decided to jack up the exports of the country to $27 billion from existing $23.4 billion in nine months of the ongoing fiscal 2018-19.

According to top notches in the government, the government has asked the zero rated industry to enhance the exports of the country up to $27 billion by June 2019 arguing what the industry wanted has been provided. “Though the target seems ambitious, but at the same time it is realistic as well.”

“We are sure that the target will be achieved on account of two reasons; one is that global economies have started recovering and their masses are now in spending mode and the second is that Pak rupee has been devalued for 4 times,” the officials said adding: “We are expecting the growth in the exports as the international trends are going in favour.”

The textile sector has been communicated that those business tycoons who goes for value addition and increase their focus on garments will be more beneficiary of the subsidy. In the supply chain, high end business houses will be get more benefits. However, lower end business houses in the supply chain for example those who deal in yarns will also get the benefits of the subsidy but at lower side.

Pakistan is braving right now the overall trade deficit of $37 billion as the imports stand at $60 billion and exports are at $23.4 billion.
https://www.thenews.com.pk/print/371282-govt-decides-to-increase-exports-up-to-27-bn

 

[Indus Pakistan]

However, lower end business houses in the supply chain for example those who deal in yarns will also get the benefits of the subsidy but at lower side.

They should bloody get penalized. After 70 years of protection why have they not moved up the supply chain? Anybody just exporting raw yarn should be penalized. There is no good reason why yarn should be exported from Pakistan to countries like Bangladesh who then add value to and re-export as finished products earning billions.

 

[Imran Khan]

what a shame just 27 billions lollzz tiny taiwan have tens of times more

 

[CHACHA"G"]

They should bloody get penalized. After 70 years of protection why have they not moved up the supply chain? Anybody just exporting raw yarn should be penalized. There is no good reason why yarn should be exported from Pakistan to countries like Bangladesh who then add value to and re-export as finished products earning billions.

Can anyhow , somehow This Govt work on Halla Meat market...……… we can at lease trained 1 million educated youth give them money build infa for farms and proper infa for meat processing...…. That will surly add 1 billion+ $$$

what a shame just 27 billions lollzz tiny taiwan have tens of times more

We can add more ……… if we start making smartphones at home , ac , and other small electronics which we are importing like donkys

 

[313ghazi]

They should bloody get penalized. After 70 years of protection why have they not moved up the supply chain? Anybody just exporting raw yarn should be penalized. There is no good reason why yarn should be exported from Pakistan to countries like Bangladesh who then add value to and re-export as finished products earning billions.

Exactly. These people are too lazy for thier own good. Look at our clothing market, dominated by unstiched loose fabric. Great for the tailors but in reality if the clothes were stitched before being sold in standard sizes the companies make bigger profits.

There seems to be a lack of drive to maximise profit. Reminds me of a conversation I one had with a Saudi about exporting crude oil. I was like why don't you refine it into products and sell those using your own companies directly to consumers or other retailers in other countries? If Shell can have pumps in the UK why not Arab companies? Who supplies to the supermarkets? There are other non oil producing retailers to target.

His answer was they make enough money as it is and its not worth the extra effort.

 

[Indus Pakistan]

Can anyhow , somehow This Govt work on Halla Meat market...……… we can at lease trained 1 million educated youth give them money build infa for farms and proper infa for meat processing...…. That will surly add 1 billion+ $$$

Great idea. The problem is Pakistan needs to grab a niche for itself on the global market. Bangla has grabbed garments, India IT, Turkey construction/consumer electronic etc.

I think food industry could do the trick for Pakistan. The global food industry is huge and Pakistan has huge potential here. We have huge agriculture sector waiting to be tapped. Pakistani food honestly is one of the best in the world. Over the years that is something I have introduced to non Pakistani's and the reaction is overwhemingly positive. The problem is we need to brand it and then set up a chain that offers great product to the end consumer.

The basics are already laid out waiting for them to be consolidated and leveraged. In UK and across the Europe there are many Pakistani owned restaurents or fast food joints. They all need to pull "Indian" out of their posteriors and market the food as "Pakistani". Pakistan government can help by begining the process. Appoint a "food minister" who in tandem with Pakistani embassies abroad work to brand these restaurents as 'Pakistani'. Then even PM mran Khan could join on a global marketing campaign like "eat Pakistan". As he is already recognized figure across the world it would help to build up brand Pakistan.

Then a whole industry could be encouraged to link up with the international Pakistani food restaurents. Vegetables, spices, canned foods, frozen foods etc the list goes on. We could build a global supply chain. I buy a frozen kebabs and can of spinach. The meat is from cow in Punjab farm, it was processed in Faisalabad, packed in Karachi and now is on sale in my supermarket etc. Thus we would connect Pakistani agriculture with global market. By harvesting the ex-pat Pakistani's and building up the Pakistani brand we could even sell as premium products. You see that with Italian food for example.

what a shame just 27 billions lollzz tiny taiwan have tens of times more

Do you know Luxembourg with half a million people - that 4 times smaller in population then Rawalpindi exports nearly as much as Pakistan. Other countries that are tiny that are in same league as Pakistan exports -

Croatia - 2 million
Serbia - 6 million
Tunisia - 6 million

In fact I am pretty sure one small UK city like Newcastle probably exports more then all of Pakistan put together.

 

[war&peace]

They should bloody get penalized. After 70 years of protection why have they not moved up the supply chain? Anybody just exporting raw yarn should be penalized. There is no good reason why yarn should be exported from Pakistan to countries like Bangladesh who then add value to and re-export as finished products earning billions.

10000% agreed. Govt of Pakistan should put a ban on export of raw yarn...The value-addition must be made mandatory and not only on the textiles rather all exports with imposition of duties on raw items and subsidies or reduced duties on value-added items..the more value-addition the more the incentive.

 

[Cybernetics]

I would love to support imported products from Pakistan. Demand for lamb/mutton and beef is growing in China.

I can find Australian and New Zealand lamb but no Pakistani lamb. The only result that came up from searching from lamb is mutton briyani sauce.
https://www.1688.com/chanpin/-.html...keywords=%B0%CD%BB%F9%CB%B9%CC%B9%D1%F2%C8%E2

There are so many ways to cook lamb. From BBQ lamb skewers...

spicy lamb hotpot

Meat usually is thinly sliced for self serve type and sold as a frozen product

Lamb paomo is delicious with pickled garlic and chili sauce.

Even for other categories, there isn't a great variety of goods from Pakistan in China. Pakistan is one of the largest producers of apricots, even bigger than China, about 3 times as much. I can find dried apricots from Turkey and Canada but not from Pakistan. I think there is a big opportunity here.

 

[Yaseen1]

With govt increasing fuel and electricity prices it seems difficult to increase exports of finished goods.only raw material export will increase

 

[Indus Pakistan]

I would love to support imported products from Pakistan. Demand for lamb/mutton and beef is growing in China.

Precisely. Most of Pakistan was either alpine/high altitude desert mountainous, huge semi to arid desert Indus plain. The indus plain had been the crucible of Indus Valley civilization with sites like Harappa or Mohenjo Daro always located within the flood plain of the Indus or it's tributaries. Beyond that lay desert.

Over the centuries this geographic aspect has restricted the Indus basin to unite and consolidate on the basin's record as being in the vanguard of human civilization. Divided by mountain valleys, small river bank settlements [limited to the reach of the traditional gravity irrigation] which supported small kingdoms or tribal society. This is what Alexander the Greek saw when he conquerd this region. Before this as part of the Persian Empire the region is recorded as the 'grainery of the Acheamenid Empire" in imperial Bistun engravings, Iran.

It was the British who with modern engineering increased the reach of the irrigation canals to the vast deserts of the Indus Plains. Today most of the Indus Basin is green supported by one of if not the largest irrigation systems on earth. Most of the Pakistani population is employed on these irrigated farms but agriculture is stagnant. What is produced most of it is wasted because of lack of cold chain logistcs in the country. Agriculture therefore has the greatest potential today waiting to be unlocked.

Above is screenshot of area only 100 miles south of the capital Islamabad. The area on the left or doab [between rivers Indus and Jhelum] is bone dry desert. The area on the right is within British introduced canal irrigation. The change is dramatic. Today most of the Indus Basin is irrigated although regions distal from the Indus river [tributaries] or because of local landforms like hills etc are still beyond the reach of the canals. WE can see the entire system [green strip along the Indus River] below defined by deserts or semi-arid regions on west and east.

The system has seen some changes since the British laid it out in 1900s. Since then is has slowly grown and spread out. If we can call this the hardware we could call the way the irrigated land is used as 'software'. There was some spike in productivity in 1960s post the green revolution but since then it has flatlined. Today there is enormous potential and it could easily supply Chinese market.

I think one of the most exciting aspects of CPEC is the agriculture angle to it. We could see a revolution today if seeds, methods, storeage, cold chain, transportation, processing was developed. I think China is well placed to help out and even bring in inovative technologies like feed tube technology that it has developed in Gobi Desert.

I would even go as far as inviting Chinese agribusinesses to lease out land. This would bring in innovation that might kickstart rest of the moribund agriculture sector in Pakistan to innovate and link up with global markets in particular China. Pakistan has nearly $14 billion trading deficit with China. This could be easily plugged with agriculture exports. Perhaps China could be convinced to give Pakistan preferential agri trade agreement.

 

[AMMT]

Textile industry should be ban for few year until we solve water problem. 2030 time is ticking.

See 1:40 and 5:40

 

[xyxmt]

Arrey kya zaroorat hay export berhaney ki, aaram se bethy reho itna kaam ker ke thuk jao gye, hum expats jo hain aur paisey bhejney ki request ker dena.

 

[Pakistani Aircraft]

A measly $4 billion increase in exports for the current has been set as the target by the PTI Government?

What a disappointment. Shock!

 

[newb3e]

what a shame just 27 billions lollzz tiny taiwan have tens of times more

sir 27 bhi nai hooni hum say

 

[Syed1.]

Arrey kya zaroorat hay export berhaney ki, aaram se bethy reho itna kaam ker ke thuk jao gye, hum expats jo hain aur paisey bhejney ki request ker dena.

220 million Pakistanis sit on their behinds and export measly 20 billion... 4-5 million overseas Pakistanis off which only about 30-50% would send remittances back home can send 20 billion every year.


Mashallah mehnat kash khud mukhtaar quam.