KARACHI: Pakistan’s exports remained stagnant at $24 billion owing to rapidly changing global dynamics and advanced methods of doing business, particularly the technological advancements and innovations, a Karachi Chamber of Commerce and Industry (KCCI) official said in a statement on Thursday. The export-oriented industries were finding it difficult to compete with their competitors, KCCI President Agha Shahab Ahmed Khan said.
“The policymakers will have to create an enabling environment and take steps to upgrade the industry, particularly the five export-oriented industries; textiles, leather, carpet, sports and surgical goods so that our industries could catch up with the pace, otherwise we will be left behind and the exports would continue to remain stagnant in the days to come,” he added.
Khan said that Pakistan exported goods worth $24.21 billion in FY19, compared with $24.82 billion in FY18, showing a decline of 2.45 percent, or $0.61 billion, while in the first quarter of fiscal year 2020, the exports were recorded at $6.03 billion, compared with $5.89 billion in 1QFY19, depicting a slight increase of 2.37 percent, meaning that the overall exports at the end of FY2020 were also expected to remain at around $24 billion.
“It has been a serious setback that we stay confined to focusing on a few huge markets only, while many other small, but very promising and lucrative markets, have never been taken into consideration, which is the basic reason why our exports remain stagnant; and, hence, it is high time to focus on the geographical diversification.”
“It is really heartening to see that the government has also realised the same and has prioritised the huge African market, which we highly appreciate, but at the same time, they (the government) must also pay attention to small markets, as well,” he said.
Identifying some of the reasons behind stagnant exports, the FPCCI president said the manufacturing sector was the worst performing sector today because gas, a key input, was hardly available nowadays, and was being supplied at exorbitant rates.