Trading Corporation of Pakistan (TCP) was established in 1967 as a premier international trading house fully owned by the Government of Pakistan. The Corporation has gone through substantial change in its role from Barter to Commodity Exchange Arrangement and to cash trade, in line with free market approach adopts by the Government of Pakistan.
It has remained engaged mainly in commodity-trade with a modest beginning worth Rs 1 15.763 million in 1967-68, which in 2009-10 has increased to Rs 45,161,248 mi11ion. TCWs current role of import of essential commodities is meant for improving domestic supplies to ensure availability of commodities to consumers at affordable prices and for market intervention to protect the interest of growers.
2. TCP, being government organisation, follows Public Procurement Rules, 2004 to ensure transparency in all its procurements. Corporation's operations are geared to decartelize activities like stevedoring, transportation, clearing and survey used by it Transparency International Pakistan has appreciated the measures taken by the TCP recently to make its operations further methodical and transparent. TCP's corporate strategy reflects its commitment to sustainable business practices balanced by the demanding responsibilities assigned from time to time.
3. Fiscal year 2009-10 remained a challenging year in the global economy as the international commodity market witnessed serious volatility in prices. The international market not only witnessed widespread economic recession but also experienced distressed supply line and fluctuations in foreign exchange rates.
4. The current year also remained fairly challenging for the TCP in relation to the targets assigned to it and their timely delivery. During this year, TCP was directed by the government to import 1.2 million metric tons sugar in order to overcome the shortfall in domestic production. The exercise entailed considerable difficulties in terms of placing the orders in time while complying with the requirements of Public Procurement Rules 2004, arranging their funding and timely arrival o. the commodity in the country. It is gratifying to note that so far more than one million metric tons of sugar has arrived in the country. Most of which has already been marketed through government's marketing mechanism that included Utility Stores Corporation, CSD and provincial governments. This has considerably helped to contain the rising prices of sugar in the domestic market and to ensure its wide spread availability in the country.
5. Agriculture being the mainstay of Pakistan's economy, the use of fertilisers by the farmers is of considerable importance in terms of meeting the targets of domestic agriculture yields. Due to shortage of locally produced Urea which was further constrained by the limited gas supply, the total national requirement for 2010 was determined to be short of 800,000 metric tons. TCP was assigned by the government to import 800,000 metric tons of Urea within the year. The target was met by the TCP, which ensured the timely availability of this basic material to the agriculture sector.
6. The operations carried out by the Corporation for import of sugar and urea in the country during the current year indicate the importance of the role of TCP in the domestic economy. The two operations also reflect the effectiveness of government's intervention in the market mechanism in the general interest of the consumers as well as the farmers.
7. While undertaking its operations, TCP has also been playing a significant role for making Gwadar Port functional by importing urea at that port arid thus contributing to the economic development of the people of Balochistan. The handling of 800,000 metric tons of urea imported at Gwadar Port has helped to create jobs and economic activity in the area.
8. TCP, rich with its experience in international trade, will continue to play its significant role to intervene in the market whenever it is directed by the government to such an effect, in the public interest. Like several other public sector organizations, TCP continues to further modernise and develop its functional paradigm to ensure that its operations remain meet, transparent and accountable.