Respective governments of SAARC member countries should be
encouraged to review the country-specific list of products
that have export capacity but less trading volume to devise
strategies for trade promotion and development and to remove
PAGE TOP STORIES
& PAGE SPECIAL REPORTS
GOVT TAKING RIGHT STEPS FOR ECONOMIC
PROGRESS, ENHANCEMENT OF EXPORTS
INTERVIEW WITH MIAN
ZAHID HUSSAIN, FOUNDER PRESIDENT PAKISTAN BUSINESSMEN AND
INTELLECTUALS FORUM (PBIF)
Pakistan’s main exports are:
cotton and knitwear (28 percent of total exports); bed wear,
carpets and rugs (8 percent) and rice (8 percent). Others
include: leather, fish, sports goods and fruits and
Main export partners
are: United States (15 percent of total exports), United Arab
Emirates (10 percent), Afghanistan (9.5 percent), China (9
percent), United Kingdom (3 percent) and Germany (2 percent).
We should strive hard to convince industrial units and
exporters to enhance exports of non-traditional products to
our main export partners and explore new markets in Africa,
Asia and India........
ISSUES OF PREVALENT ISLAMIC BANKING & FINANCIAL SYSTEM
Islamic Banking and
Financial System is developing at the rapid pace and now, it
stands as the considerable parallel system before conventional
financial system. At this point of time, we should analyze the
picture and recall the reason and objective to start Islamic
banking and finance system? Consequently, we come to the point
that the main objective was to implement the shariah-compliant
and interest free financial system that could provide the base
for the suitable implementation of Islamic economic system
that can lead to economic welfare of the society.........
The rapid growth of
slums in major townships of Balochistan including Quetta amply
reveals that there has been a complete ban on housing projects
by the authorities. The unplanned constructions in slum areas
created plethora of problems like environmental mismanagement,
filth and garbage, out-flowing drains, poor sanitation,
congestion, development of unhygienic and hazardous practices
and rise in crime rate. The power theft, contamination of
water, illegal gas, electricity and water connections have
developed as a culture in these slums....
PAKISTAN SHOULD FOCUS ON REGIONAL TRADE
The Trade Development
Authority of Pakistan (TDAP), which has the prime
responsibility to facilitate the export sector has announced
an eye-catching export target of $50 billion within three
years. The 50 billion dollar target cannot be described as
ambitious in view of the enormous export potential of
Pakistan, it is however unfortunate the TDAP earlier called
Export Promotion Bureau has been misused by the corrupt
government functionaries and most of them have also been
exposed in the previous government.
government has taken the private sector into the confidence
and one popular business leader S. M. Muneer has been assigned
the task to look after this important trade authority as its
Chief Executive Officer. S. M. Muneer, who is a seasoned
businessman and knows all in and out of the businesses, is
quite capable to meet the target if he goes in the right
direction as he is a right politician free from any bias or
CHANGING PREFERENCE OF BUYERS DAMAGING LOCAL
Carpet has more than 2,500 years of
ancient history as Iranians were amongst the first carpet
weaver of the age-old civilizations and through centuries of
creativity and initiative building upon the talents of the
past, this industry has achieved a special degree of
excellence since. Though this industry is more technologically
advanced now as new trend and design demands had made it more
attractive and choosy, so the ancient type of making carpet is
loosing its charms after the emerging markets in Europe and in
the US begin working on more advance machines.
To make hand-made carpets its
manufacturing requires simple technology no heavy equipment
and machinery, only wooden looms, yarn, knotting skill and
simple tools are required.
families doing the work inside their homes while female members of
the family also taking part in this economic activity.......
AMPLE PROSPECT FOR
INVESTMENT IN BANKING SECTOR
Although the banking
sector in Pakistan has grown on appreciably sound footings on
the back of the best regulatory guidelines by the State Bank
of Pakistan, however, there still are tremendous opportunities
for growth especially in rustic life of the country. It is
said that 80 percent population is still un-banked in Pakistan
which naturally offers tremendous opportunities for investment
in the banking sector.
President and CEO of
Tameer Microfinance Bank Ltd, Nadeem Husain while sharing his
views on the banking industry in general and microfinance bank
in particular pointed out that Microfinance banking is more
advance in Pakistan than any other country in the region................
THAI SHIPPING LINE RESUMES OPERATION IN IRAN Thai Wan
Hai Company became the first foreign
shipping line that resumed operation in Iran
after its ship berthed in the Southern
Iranian Shaheed Rajayee port this last
This is for the first time that a ship of a
foreign shipping line berths in an Iranian
port after Iran and the Group 5+1 (the US,
Russia, China, France and Britain plus
Germany) reached an interim agreement in
Geneva on November 24.
Thai Wan Hai is among world’s first 20
superior shipping lines. The Thai company’s
ships used to berth at the Iranian ports
before the West imposed its sanctions
IMPORTANT STEPS FOR EXPORT PROMOTION
officers posted in foreign countries play very important role
in promoting exports of Pakistani goods and further need to
have experience and training for the promotion of goods
manufactured in Pakistan especially by the SME sector.
The Union of Small
and Medium Enterprises (UNISAME) has invited the attention of
the government to the appointments of inexperienced officers
as commercial attaches for overseas postings to promote trade
between Pakistan and the foreign countries.
said the appointments must be on the basis of experience and
regretted that appointments to these crucial posts are over
looking seniority and merit and as a result exports suffer........
ALL EFFORTS TO MEET EXPORT TARGET
One of the most
important pre-conditions for economic revival is the
restoration of confidence of the business community and other
stakeholders for the future of the country and to achieve this
important objective, the present government needs to engage
the business community in decision making, ensure steady
supply of energy, provide fiscal incentives to improve
competitiveness, reduce the cost of doing business and accord
high priority to the export sector and small and medium
enterprises in rural areas.
The government must create a secure
environment for investment and economic activities by
minimizing these risks through concerted policies and actions
in consultation with all the stakeholders...........
Although Pakistan trades with a greater
number of countries its exports nevertheless are highly focused in few
countries. About one-half of Pakistan’s exports’ destinations are to six
countries such as, China, Afghanistan, UAE, USA, Germany and UK. Among these
countries, the utmost export earnings come from USA: 15 percent followed by
China: 10 percent making up about one-fourth of the total. China’s share in
total exports has steadily picked up from 4.0 percent during FY2008-09 to 10
percent during FY2013-14. The share of export to Afghanistan in total exports,
however, recorded a fall in present years from 10 percent during FY2011-12 to
8.0 percent during FY2013-14.........
Finance Minister, Senator Ishaq Dar has asked South Asian
Association for Regional Cooperation (SAARC) countries to
provide meaningful market access and level playing field to
Pakistani exporters, because Pakistan is also ready to improve
its trade and investment relations with the regional
countries. He said all the pros and cons of regional trade
would be evaluated to accrue maximum benefits for Pakistani
exporters within the region. He also suggested a roadmap to
the Commerce Ministry for achieving greater cooperation among
the member countries..........
ONE STOP SHOP FORMATION -- A PRECISE MOVE TO
BRING BACK INVESTORS
Textiles sector is
the mainstay of country’s exports as it accounts for more than
half of country’s exports. However, performance of this vital
sector has been affected due to poor cotton crops, delays in
introduction of quality seeds and regulatory approvals for
introduction of BT cotton, widespread energy shortages,
numerous local taxes and levies, high cost of finance and
restricted trade regimes adopted by importing countries.
The country lags
behind in value addition which is a reason behind unemployment
and lower volume of exports. Textile sector needs to be given
a priority as it contributes 8-percent to GDP, 54-percent to
exports, produces 24-percent of industrial value-added
products, employs 40-percent of urban labor and absorbs
40-percent of bank credit.
INDIA IN THE NEWS
NEW DELHI: The
Gujarat model got an endorsement from no less than World Bank president Jim Yong
Kim. "If the ranking of India in (the ease of) doing business report was based
just on Gujarat, it would improve 50 places in the doing business ranking. So,
our hope is that what PM (Narendra) Modi did in Gujarat to improve the business
environment can be scaled up to all over India. And, if that does happen, India
will rise very quickly in ranking of doing business reports," the World Bank
boss said at a press conference.......
IN THE NEWS
are highly concentrated in a few items namely, cotton and cotton manufactures,
leather, rice, chemicals & pharma products and sports goods, research
analyst-PAGE told. These five categories of exports accounted for about 70
percent of total exports during FY14 (Jul-March) with cotton manufactures alone
contributing 52.9 percent, followed by rice (8.7 percent) and leather (4.9
percent). He said that the degree of concentration further increased in favour
of these items during current financial year. Further dis-aggregation reveals
that products exports in a few items are a major cause of instability in export
The launch of mega
projects and renewed investors confidence have boosted real
estate transactions in Dubai to Dh113 billion for the first
half of the year, the Dubai Land Department (DLD) revealed.
Sales accounted for 54 per cent of the total transactions for
January to June period, numbering 22,096 deals worth Dh61.5
billion. The combined number of all transactions for Q1 and Q2
was 30,380, according to DLD’s Real Estate Research and
Studies Department report...
Following to the announcement for
booking of the new Toyota Corolla Altis Grand earlier in July, Indus Motor
Company Limited (IMC) has started delivering the vehicles to its customers,
ahead of the Eid holidays.
The New version of the Toyota’s immensely popular Sedan Corolla was introduced
by IMC on 15th of July with orders being accepted at the nationwide dealership
network. As committed earlier, IMC started delivering the vehicles against
orders from the21st of July..........
IRAN VEHEMENTLY CONDEMNS ISRAEL’S BARBARIC
ACTS ON WORLD AL QUDS DAY
First of all, I would
like to say welcome to all of you and offer my thanks to you
for accepting our invitation. I hope your worship and prayers
in this month of mercy and forgiveness would be answered by
the Almighty Allah.
We are here to honor
the world’s Al-Quds Day, a valuable and historical memorial of
Hazrat Imam Khomeini (RA), the Great Leader of the Islamic
Revolution of Iran.
The Al Quds Day is
the show of unity, solidarity and unanimity of the Islamic
Ummah and all the free peoples of the world in expressing
solidarity and support for the holy objective of freedom
Today, Pakistan faces
an insurgency-like situation in its north-west and south-west.
Pakistan Army is engaged in a military offensive against
Taliban militants in its northwestern tribal belt along
Afghanistan border. On the other hand, the country is going
through worst law and order in the restive Balochistan, which
still remains the biggest challenge for the government. The
least developed province has paid heavy costs in terms of
collateral damage, economic slowdown, social chaos for the
ongoing military operation launched in December 2005............
STOCK MARKET ROUND UP
With earnings season in full swing, the
KSE-100 Index rose to 30,474 points, up 0.83%WoW during this past week. Top
performers for the week included AKBL, ICI, AGTL and HCAR. The losers were KEL,
SSGC, DGKC and PSMC. Among major news flows during the week were: 1) SBP’s
decision to keep the discount rate unchanged 10% and 2) approval of some
infrastructure projects including the 6,600MW Gadani Power Park and 1,320MW Bin
Qasim Power project. Other news impacting market sentiment included 1) sale of
75.86% equity stake of LPCL to BWCL for US$217 million, 2) appointment of
financial advisors for offloading FESCO, PIA, NPGCL and NPCC shares and 3)
increased uncertainty in global markets due to the jet crash
in Ukraine and deteriorating situation in Gaza...........
As On July 25, 2014
TIME TO REAP BENEFITS OF HIGH QUALITY GROWTH OF RICE
The country is a leading growers and
exporter of IRRI (white rice) and Basmati rice. Rice production consists 40
percent of Basmati kind and 60 percent of coarse kinds. This crop grades as
second amongst the staple food grain crop in the country and it is a key source
of foreign exchange earnings. During July-March FY14, rice export earned foreign
exchange of $1.667 billion. During FY14, rice was cultivated on a region of
2,789 thousand hectares, 20.8 percent greater than previous years’ region of
2,309 thousand hectares. The country grows a high quality of rice to complete
the local requirement and also for exports. Presently, this crop description for
2.7 percent of the value added in agriculture sector and 0.6 percent of GDP of
the country. ..........
This is an exciting time for farmers
and ranchers of all types and sizes as agriculture is a bright spot in the
American economy. In 2011, agricultural exports hit a record high and producers
saw their best incomes in nearly 40 years.
America is becoming more and more
dependent upon imports from foreign manufacturers than we are exports from our
country in all fields: in appliances, in clothing, even food. This year America
may become for the first time in its history a net food importer.
U.S. exports to China have more than
quintupled since China entered the WTO and have grown more quickly than imports.
In fact, China is America's fastest-growing export market.
My point is this, the Government made
this decision to ban totally beef exports into Indonesia, even to compliant
abattoirs and this will have enormous consequences for the beef cattle industry
GOVERNMENT, POINT, DECISION
China's idea of fair trade is
government subsidies of its textile and apparel exports to the United States,
currency manipulation, and forgiveness of loans by its government banks.
Diplomacy in a sense is the opposite of
writing. You have to disperse yourself so much: the lady who comes in crying
because she's had a fight with the secretary; exports and imports; students in
trouble; thumbtacks for the embassy.
But the key thing is that Iraq, while
it's got very large oil reserves, has marginalized itself as an oil exporter and
these days its exports are only about one tenth that of neighboring Saudi
INSUFFICIENT FOREIGN EXCHANGE RESERVES
It is beyond any
doubt that Pakistan suffers from the most contentious issue,
highly in adequate foreign exchange reserves. Even record high
remittances, entering an agreement with lender of last resort
-- International Monetary Fund (IMF), extension of US$1.5
billion credit from Saudi Arabia and borrowing at very high
interest rate have failed in building a solid base.
all evils is highly unmanageable trade current account
deficit, mainly because of miniscule foreign direct
investment (FDI), dismal exports and above all ever-rising fuel import
the government ensures uninterrupted supply of
electricity and gas at affordable cost, Pakistani
exporters will not be competitive in the global markets.
Global gestures like granting GSP Plus status by the
European Union may offer opportunities but failure of
the policies to come up with ‘business friendly’
policies is eroding competitiveness of local
manufacturers in the global markets........
CURRENCY CONVERTER (Open Market)
THIS WEEK TOP STORIES
OGRA SEEKS INCREASE IN PETROL,
The government has
offered fresh proposals to Iran for financing and construction
of Pakistani part of the gas pipeline project, while the new
government in India has also shown interest to rejoin the gas
pipeline project, it is leant. It may be recalled that due to
the U.S. pressure, India had withdrawn from the project in
The Iran-Pakistan Gas Pipeline project was signed in 1995
between Pakistan andIran still in the doldrums on the back
of US pressures and sanctions on Iran.
The Pakistan has
presented new proposals to the Iranian Oil Ministry for the
settlement of a dispute over the implementation of
Iran-Pakistan (IP) gas pipeline project.
The proposal was
recently submitted to Oil Minister Bijan Namdar Zanganeh, the
ministry's website reported.......