KARACHI: In a bid to bolster Pakistan's exports to the African region, the United Business Group (UBG) has proposed the establishment of warehouses in African countries, aiming to double Pakistan's export volume in a short span.
According to central spokesperson UBG Gulzar Firoz, Zubair Tufail President UBG said that currently, China and India dominate the African export market with US $90 billion and US $30 billion, respectively, while Pakistan's exports only amount to approximately US $1.50 billion.
Zubair Tufail added that primary reason behind China and India's success lies in their continuous presence and aggressive marketing strategies in the African region.
Commenting on Pakistan's multilateral trade with Africa, which has remained stagnant for several years, Zubair Tufail encourages all trade bodies across Pakistan to set up African Desks at their premises. This move will enable members to explore the untapped potential of the African region and foster joint efforts to enter the African market. Pharmaceutical products, cereals, textiles, machinery, and leather goods are the main exports of China and India to Africa.
He said Pakistan also holds a competitive advantage in these commodities and has the potential to maximize export benefits by tapping into the African markets, thereby minimizing export uncertainty.
To leverage the "Look Africa Campaign" by the government for the promotion of Pakistan's exports, UBG stresses the importance of augmenting this strategy through collaboration with trade bodies.
At present, Pakistan primarily exports cereals, cotton, textile products, sugar, and paper products to Africa while importing tea, coffee, crude oil, iron, steel, inorganic chemicals, and cotton from the African region.
UBG highlights that the entire African continent represents a potential market for Pakistani rice, pharmaceuticals, surgical goods, and light engineering and electronic products, including tractors, agricultural implements, two and three-wheelers, commercial and domestic fans, water pumps, and electrical machinery and equipment. With its rich natural and mineral resources, Africa serves as a storehouse of strategic raw materials.
However, the lack of information, mutual understanding, business interactions, connectivity, and people-to-people contacts between Pakistan and African countries has hindered stronger economic relations.
To address this, Hanif Gohar, Secretary General UBG (Sindh region) suggests that trade bodies in Pakistan should actively establish networking connections with their African counterparts through Pakistan's trade missions in African countries.
Additionally, exploring the possibility of organizing single-country exhibitions and arranging trade delegations' visits to Algeria, Egypt, Ethiopia, Senegal, Sudan, Tanzania, Kenya, Morocco, Nigeria, and South Africa would help uncover hidden potential markets for Pakistan.
By implementing these recommendations and expanding its presence in the African region, Pakistan can unlock new opportunities for trade and foster stronger economic ties, ultimately contributing to the growth of both nations, Hanif Gohar added.
Copyright Business Recorder, 2023
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