Pakistan’s exports to China up by 64% during Jan-March period

China-Pakistan Free Trade Agreement Phase-II (CPFTA-II) effective since Jan.1, last year is now showing results. Pakistan’s exports to China shot up by 64 per cent during January-March 2021, Commercial Consular, Pakistan Embassy, Beijing, Badar Uz Zaman said.

He made these remarks while participating in a recently held a brainstorming session online with representatives of Pakistani trading community to discuss how to secure a due share in the over $2 trillion import market of China. The conference had particular significance in the backdrop of the updated China-Pakistan FTA.

They stressed the need to robust efforts to take full benefits of the concessions granted by the Iron Brother to Pakistani traders under the CPFTA-II. However, the government officials told the traders that value-addition, certification and branding were all a must for penetrating the Chinese market, according to a report published by CEN.

The Chinese authorities also offer generous help by training Pakistani traders and workforce to meet the required standards, they said. They also told the traders to appoint local agents for effective marketing and ensure active presence in trade exhibitions held in China. Pakistani traders asked the officials to organise sector-specific webinars with their Chinese fellows for them. On the occasion, RCCI President Nasir Mirza said that the CPFTA-II had opened up the door for Pakistani traders to the Chinese market. He said that the RCCI members were interested in exports of gems and precious minerals to China.

Bilal Ahmad Butt, Consul General of Pakistan in Hong Kong SAR, China told the traders that Honk Kong was a big consumer market with no local production. He said that traders in Hong Kong were particularly interested in importing gems and minerals from Pakistan. Hong Kong is also a big market for Pakistani fruits and vegetables, he said. They have also offered free training on value addition of gems, minerals and food items to Pakistani investors and workers, he said.

Director of the Pak-HK Trade Forum Javed Iqbal said that Pakistani traders should invest in cold chain for food items, and value addition, packaging and certification for their goods to enter Hong Kong’s market. He said that Hong Kong-based investors were keen to invest in Pakistan in these sectors.

M Irfan, Trade and Investment Officer in Pakistan Consulate General in Guangzhou, said that Chinese language proficiency for effective marketing and branding were must for Pakistani traders to sell their products in China.

He said that Pakistan had only recently established its mission in Guangzhou, but it was actively engaging with the local traders to connect them with Pakistani traders.

Meanwhile the Pakistan’s exports of goods and services to Germany has witnessed an increase of 8.79 per cent during the eight months of financial year (2020-21) as compared to the corresponding period of last year, State Bank of Pakistan (SBP) reported.

The overall exports to Germany were recorded at $989.729 million during July-February (2020-21) against exports of $909.755 million during July-February (2019-20), showing growth of 8.79 per cent, SBP data revealed.

Foreign Minister Shah Mahmood Qureshi says Pakistan wants to have more economic linkages with Germany for enhancement of bilateral trade and investment. He was addressing a joint news conference with his German counterpart Heiko Maas after delegation level talks in Berlin.

Shah Mahmood Qureshi said there are great opportunities for Germany to invest in Pakistan in various areas, including renewable energy, electric vehicles, information technology and tourism. The on year-on-year basis, the exports to Germany during February 2021 also increased by 5.48 per cent, from $110.430 million against the exports of $116.489 million.

On month-on-month basis, the exports to Germany however decreased by 6.39 per cent during February 2021 as compared to the exports of $124.448 million in January 2021, the SBP data revealed.

Overall Pakistan’s exports to all countries witnessed decline of 2.26 per cent in eight months, from $16.438 billion to $16.065 billion, the SBP data revealed.

On the other hand, the imports from Germany into the country during the period under review were recorded at $698.732 million against $658.180 million last year, showing increase of 6.16 per cent in eight months of this year.

Meanwhile, on year-on-year basis, the imports from Germany during February 2021 dipped by 11.04 per cent, from $104.285 million last year to $92.769 million. On month-on-month basis, the import from Germany also decreased by 10.23 per cent during February 2021 when compared to the import of $103.344 million in January 2021, the SBP data revealed.