Thai envoy for resolution of issues to enhance trade with Pakistan

KARACHI: Ambassador of Thailand Chakkrid Krachaiwong has said that issues of Letter of Credit (LC) and repatriating foreign currency from Pakistan are challenges not only for Thai businesspeople but also for all other foreign businesses in general but if these issues are resolved, a more business-friendly environment would emerge in Pakistan which would certainly attract a lot of foreign investors here.

“Pakistan and Thailand have been enjoying warm friendly relations since last seven decades and the Thai government is prioritising enhanced economic cooperation with Pakistan which, being my second home, is very close to my heart, hence, I’ll do everything to promote relationship between our two countries who are part of the Asian family,” he said this while speaking at a meeting held at Karachi Chamber of Commerce & Industry (KCCI) during the visit of Thai delegation.

Consul General of Thailand Narut Soontarodom, Deputy Consul General Siriporn Tantipanyathep, President KCCI Iftikhar Ahmed Sheikh, Vice President Tanveer Ahmed Barry, Former President Majyd Aziz, former vice presidents Nasir Mehmood, Younus Soomro, Haris Agar, President Pak-Thai Friendship Association & Business Forum Arif Suleman, KCCI Managing Committee and Thai delegates also attended the meeting.

“Thai government is focusing on reaching Free Trade Agreement (FTA) but as of today, we are waiting for Pakistan to propose date for next round of negotiations,” said Thai ambassador while requesting KCCI to approach the government so that FTA could be finalized which would prove beneficial for both the economies.

The envoy, while terming Karachi as a “vibrant city,” said: “We are very excited to be here as Karachi is known as Pakistan’s economic hub, hence, it was our top priority to visit KCCI as this Chamber has been playing a remarkably active role in Pakistan’s economy so we felt it necessary to share views on challenges in enhancing Thai-Pakistan bilateral trade.”

Highlighting the business opportunities, he identified tourism, automotive parts, food processing, food-related products and also agricultural products as potential sectors in Pakistan.

“To promote tourism, Thailand has already proposed Pakistani side to have more cooperation in terms of sustainable tourism by protecting culture and natural resources which would prove favorable for the tourism business,” he added.

He also mentioned that Thai products being exported to Pakistan were not only beneficial for Thailand but also for Pakistan as Thailand provides good quality raw materials at very competitive price to Pakistan’s manufacturing sector.

“For example, we visited Sialkot and found that the world-famous Pakistani footballs being exported all around the world are made of Thai rubber which clearly represents the synergy between Thailand and Pakistan.”

He said that resumption of Thai Airways operations in Pakistan, which also flies five times a week from Karachi to Bangkok, has proved successful as many Pakistanis were frequently travelling via Thai Airways whereas a large number of Thai tourists have also started visiting Pakistan to explore this beautiful country, its culture and the people.

He informed that Thailand was situated in the center of ASEAN region, hence, a wide range of Thai trade fairs pertaining to gems & jewelry, auto parts & accessories, heating, air-conditioning, ventilation, refrigeration, food and agricultural products etc have been regularly taking place which attract more than 100,000 visitors including potential buyers of the entire ASEAN region.

He also invited KCCI to visit Thailand for participation in these trade fairs which provide perfect opportunity to not only buy Thai products but also showcase Pakistani products which would certainly help in expanding Pakistan’s market share in the ASEAN region.

He also advised Karachi Chamber to get connected with Thai Chamber of Commerce for business matchmaking and exploring trade and investment opportunities in Thailand.

President KCCI Iftikhar Ahmed Sheikh, while warmly welcoming the Thai delegates stated that despite immense trade and economic potential, Pakistan's exports to Thailand were very nominal at $ 164 million in FY23 as compared to $ 146 million of the previous year.

“Consequently, Pakistan’s trade deficit with Thailand is large as imports from Thailand often outweigh its exports, impacting the country’s overall trade balance. Pakistan’s exports to Thailand are primarily limited to a few sectors, which include textiles, minerals & seafood etc hence diversification is needed to enhance volume of trade between the two countries.”

He was of the view that FTA with Thailand was in an advanced stage wherein negotiations must take place at the earliest to finalise this much-awaited FTA which must also be capable of dealing with trade barriers, besides focusing on trade diversification etc. Such efforts could bolster trade, exports and stimulate economic activities between the two countries, he said, adding that this would be a great opportunity not only for reviving local traditional industries but also to boost exports of agricultural products, seafood, and IT services, pharmaceutical and sports goods etc.

Copyright Business Recorder, 2023