The volume of trade between Argentina and Pakistan has considerably come down during the last few years, as Pakistan no longer imports soyabean oil/seed from Argentina.
These observations have been made by the Pakistan Embassy in Buenos Aires, in a communication sent to the trade bodies.
Over the years, soyabean oil/seed from Argentina had remained a major item of import for Pakistan, the communication said, adding that this trend changed during the past few years.
In Pakistan Embassy official's discussions with the Argentina officials and businessmen on finding ways and means to improving bilateral trade, it was frequently asked as to why Pakistan did no longer import soyabean oil/seed from the Argentina?
Although the usual reply to such questions had been that Pakistan had diversified its imports of soyabean oil, it remained unsatisfactory, as it was not substantiated by any facts and figures, the communication said.
The Argentine government, of late, launched an aggressive export policy to increase access to foreign markets for its goods.
Argentine's exports also received a significant boost due to nearly 70 percent devaluation of its currency in 2002 (earlier Argentine Peso had a parity ration of 1: 1 with US dollar).
Pakistan embassy believed that due to that huge devaluation of Argentine currency, import of soyabean from Argentine would be quite competitive vis-à-vis import from other countries.
Pakistan's Embassy wished to know as to why Pakistani imports from Argentina had declined in recent years? Whether lowering of imports from Argentina was due to some change of the government policy, or was just determined by the market factors only, said the communication.
The embassy also wished to know if the imports of soyabean oil had been diversified, then to which other countries Pakistan was presently importing the commodity from, and at what rates?
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