Pakistan should design strategies to reduce reliance on traditional exports: Anjum Nisar

KARACHI: President of the Federation of Pakistan Chambers of Commerce and Industry (FPCCI) Mian Anjum Nisar has highlighted the requirement of export diversification which is concentrated more than 74% on traditional items, textiles, carpet, leather, rice and other materials.

There needs a shift in the composition of exports towards promotion high and medium technology products whose participation in global trade is increasing.

While commenting on the low volume of exports, he stated that one of the reasons is the concentration and dependence of Pakistan’s exports on traditional items and limited markets. 

Pakistan’s export has been sluggish at the US $ 23 billion that might support to defeat deficit and economic growth of Pakistan. He said the products included in Pakistan’s export basket are facing high competition from regional countries due to the low cost of doing business along with huge facilities for exports extended by the competitor’s governments.

He emphasized the authorities to ease the exports of non-traditional stuff, includes pharmaceutical, electronics, and other engineering items. He said Pakistan should learn from the experience of Asian economies like Japan, Taiwan, Hong Kong and Korea as they promoted their exports through the development of Small and Medium industries.

For the enhancement of export, we need to focus on value addition, aggressive marketing, branding, product diversification, research and development and competitiveness, etc.

President FPCCI also emphasized to enhance the yield of agriculture productivity so that the sufficient raw material should be available for the exports of processed food and other agro-based products.

He also emphasized the enhancement of exports through E-Commerce which will enhance competition with reduce transaction costs and will facilitate the large companies and SMEs as well.

President FPCCI urged the government for policy advocacy to remove tariff and non-tariff barriers that Pakistani exports are facing in several markets of the region and beyond. Pakistan should also encourage foreign investment in exports oriented sectors.