ISLAMABAD: The Ministry of Commerce is undertaking consistent efforts to explore new markets for Pakistani products.
In this regard, Free Trade Agreement (FTA) negotiations with Turkey and Thailand are at an advanced stages. Similarly, negotiations with Iran on FTA are being initiated, and joint research study to assess the potentials for a preferential arrangement with Korea is also underway.
“By dint of these efforts, Pakistani exports have recorded some 11.24% increase in the first half of the current fiscal year as compared to the corresponding period of the previous fiscal year,” sources at Commerce Ministry told Customs Today on Monday.
According to sources, Pakistani exports were recorded at $9.895 billion in the first six months of fiscal year 2016-17 whereas these exports registered 11.24% increase as this tuned to $ 11.007 billion in first half of the current fiscal year (July-December 2017-18).
“To promote exports of the value added sectors, sales tax zero-rating regime for five export oriented sectors, i.e., textile, leather, carpets, surgical and sports goods has already been introduced,” the sources added, saying that un order to promote exports to new markets, Trade Development Authority of Pakistan had undertaken various export promotional activities through trade exhibitions and delegations.
“Commerce Division is working on diversifying export markets through an outreach strategy for Africa, Commonwealth of Independent States (CIS) and Latin America,” the sources maintained, saying that Branding Pakistan internationally would be initiated with a well-designed campaign.
The sources said that Commerce Ministry was working on developing a three-stage communication and image building strategy, which would work on Branding Pakistan (Image building), made in Pakistan (trade) and Make in Pakistan (Investment).
“The establishment of EXIM Bank will facilitate export credit and for reducing cost of borrowing for exports sectors on long term basis as well as reduce their risks through export credit guarantees and insurance facilities,” the sources added.
The State Bank of Pakistan has further reduced the discount rate to 5.75%, the source said, adding that the Export Finance Rate was currently at 3%, which was the lowest in a decade.
