Machinery import drops by
Export of textile manufactures fell by 2.90 per cent in July 1999 as
compared to July 1998, while import of machinery dropped by 27.64 per cent.
Statistics Division figures on external trade issued here on Wednesday
show that export of textile manufactures in July 1999 were valued at $393.936 million
against $405.690 million in July last year. Simultaneously, the import of machinery has
decreased to $125.503 million from $173.454 million.
In the comparable months, the export of cotton fabrics fell by 0.46%
from $78.143 million to $77.921 million; ready made garments by 2.60% ($67.045 million) to
$65.304 million; sports goods by 33.33% ($20.149 million to $3.433 million); leather
manufactures by 43% ($28.292 million to $10.083 million); surgical and medical instruments
by 39.26% ($8.395 million to $5.099 million); cutlery by 68.60 per cent ($1.121 million to
0.352 million); leather by 13.65% ($14.355 million to $12.396 million), and raw wool by
82% ($0.422 million to US$ 0.157 million).
The export of rice and fish/fish preparations, however, increased by
31.76% and 10.67% respectively. The rice consignments brought $27.417 million (last year
$20.808 million, while the fish/fish products exports valued at $4.210 million (last year
A good news for exporter this year is that the export of tulle, lace
embroidery increased by 325% ($0.424 million to $1.407 million).
On the imports side, milk and cream import increased by 13.61% ($88.869
to $100.968 million); tea went down by 16.97% ($20.980 million to $17.420 million),
soyabean oil increased by 16.20% ($7.918 million to $12.764 million); palm oil decreased
by 28.95% ($39.292 million to 27.917 million); power generating machines by 48.78%
($17.633 million to $9.032 million); textile machinery by 27.02% ($14.876 million to
10.857 million); road motor vehicles by 44.11% ($ 26.844 million to 15.003 million);
petroleum group (products, crude) increased by 52.82% ($102.406 million to $156.492
million); plastic materials dropped by 25% ($26.776 million to 20.002 million).
Vessels at KPT declines
The number of foreign flag vessels is progressively declining each day
on the Karachi Port which could have a negative impact on the annual revenue of the
Karachi Port Trust.
A glance at all the wharves including Karachi International Container
Terminal and the Bulk Oil Piers (BOPs), will show that only four ships were lying, while
other berths remained vacant on Wednesday.
France for long-term business ties
French Consulate will pursue a French company for manufacturing fibre
glass fishing boats, with a longer useful life and lesser maintenance as compared to the
conventional steel or wooden boats.
This was stated by French Commercial Counsellor Lucien Sergio while
talking to president of Karachi Chamber of Commerce and Industry (KCCI) Javed Muslim here
The Commercial & Economic Counsellor of France Hubert Colaris was
also present on the occasion.
Mr. Colaris said there were numerous opportunities for cooperation
between France and Pakistan including agro-based industry, food stuff and canning,
He said these should be explored for establishing long-term business
relations and setting-up of joint venture projects.
Quality factor erodes apparel exports
Exports of readymade garment and fabrics from Pakistan to USA have
declined sharply because the country is not in a position to compete in respect of cost
and quality with Taiwan, Thailand, China, South Korea and Ukraine, an official source
told. Apart from higher cost and complaints about quality, the delivery period of
Pakistani goods has also been a snag from the buyers' point of view. Pakistani goods take
a lot more time in shipment. The quota premium for different items also makes Pakistani
stuff much less competitive.
A few countries like China, India, Taiwan and South Korea have set up
their warehouse / distribution centres in USA. These houses import goods in bulk and then
supply to the local firms in small quantities. This brings good prices and ensures
confidence of the local buyers about quality.
Trade gap expands by 102pc
In the first month of current financial year, the trade gap has
recorded an expansion of a massive 102% over what was in the same period last year.
According to the figures released on Monday by Statistics Division,
exports in July '99 at $ 595m (last year $592m) were up 0.5% against the earnings in the
same month last year.
On the other hand, imports at $797m (last year $692m) were 15.2% higher
than what was recorded in July last year.
Against June '99, however, the exports were down in July by 20.1% while
imports are less by 15.8%.
In rupee term, the exports at Rs30.68bn (last year Rs27.87bn) were up
this year by 10.1%, while imports at Rs41.146bn (last year Rs32.43bn) were higher by
Export target this year is $ 9bn while import target is $ 9.8bn.
Tea trade between Pakistan and India has been affected due to Kargil
conflict and local traders are reluctant to import tea from India.
Sources in Pakistan Tea Association (PTA) told that local traders feel
that unless Kargil issue is resolved amicably chances to buy Indian tea are bleak in
They said Indian-tea exporters and Tea Board of India (TBI) have been
inviting Pakistani importers and PTA members to visit India to boost trade but local
traders are avoiding them.
Export refinance facility
Exporters availing themselves of the financing facility under.the
Export Finance scheme have been advised that the State Bank has suspended the application
of their instructions dated July 23, 1999, pertaining to exporters availing refinance
under Part-II of the scheme during the financial year 1999-2000.
The direct exporters who were earlier obligated to procure their local
inputs for export production from the indirect exporters against Standard Purchase Orders
(SPO) and payment against Inland Letters of Credit (ILC) or against cheques issued by the
financing banks against the export finance entitlement of the direct exporters, would now
have the option of using the SPO and ILC system or avail the finance themselves, says an
Export Promotion Bureau press release.