'Pakistan goes global' project being launched to improve exports

Commerce Division is launching a multi-million dollar project titled "Pakistan goes global" aimed at improving the enabling environment for exports and increase firms' export capabilities.

Insiders claim that a heavy share of funding, probably from the World Bank, will be spent on staffing, capacity building and such activities which may not achieve the purpose of the project.

For instance component 1 of the project is related to investing in the enabling environment for exports. On this component, $ 122 million is projected to be spent and main investments are proposed on implementation of National Tariff Policy (NTP) capacity building, IT equipment, consulting services, think-tanks and staffing. The main role of this component will be played by the Commerce Division and National Tariff Commission (NTC).

Setting up monitoring and evaluation centres for export support schemes is also one of the tasks of the project and for implementation on automation of G-2-B interaction-BBRI implementation, the key role will be played by the Board of Investment (BoI).

Another aspect of the project is investing in export promotion infrastructure which includes country branding/marketing campaign. Main investments will be in campaign design, advertising services, strategy, modernization of Pakistan's trade diplomacy and one stop-shop for exporters.

Component 2 relates to investing in firms capabilities and for this purpose $ 78 million have been projected to be invested. The main role in implementation on export readiness program will be given to SMEDA. Main investments will be on consultancy services, equipment and light works.

A dedicated task force will be set up to finalize preparation with representation from all agencies to ensure the following is timely prepared: (i) Government's responsibility will be for concept clearance by planning and preparation of PC-1 to be readied to negotiate in February; (ii) preparation of draft of environmental and social commitment plan (with support from WBG), clearance on ENV and social safeguard documents; (iii) firm decision on design and results framework; and (iv) agreement on contours of country branding components.

Programme will focus on boosting the capabilities of firms currently engaged or planning to engage in international trade. 1500 exporting and potential exporting firms would benefit from this program which will be executed in two phases i.e. phase 1 will include assessment of firms and phase 2 will entail support to firms anchored in assessment.

A tentative agreement on institutional capacity building of SMEDA has been prepared for establishment of a network of six Business Development Centres (BDCs) in major cities.