Pakistan-China bilateral trade registered an overall growth of 22% by reaching the mark of US $10.6 billion in 2011. Pakistan-China trade in 2010 was US $8.7 billion. In 2011, Pakistani exports of US $2.12 billion to Chinese market increased by 23%; whereas imports from China saw growth at 22%.
Masood Khan, Pakistan's Ambassador to China, welcomed the steady increase in the volume of bilateral trade, and especially in Pakistani exports, in the past four years. If we have more exportable surplus, the vast Chinese market will be able to absorb our commodities and services. I have no doubt about that, Ambassador Masood Khan said, adding that the appetite for Pakistani products is increasing.
Pakistan and China have resolved to increase their trade to US $15 billion in the next two to three years. We are on track and we may achieve our target sooner than we had planned. But there is no room for complacency. We have to work harder and go beyond the mark of US $15 billion and then double it, the Pakistani Ambassador said.
Pakistan's exports to China in 2008 were US 1.0 billion. By the end of 2011, the exports had more than doubled to US $2.12 billion. Since 2008, Pakistan's export to China has seen an increase of 100%. Pakistan and China have signed Free Trade Agreements on goods, services and investment.
In the past three years, the bilateral Free Trade Commission (FTC) met twice to boost Pakistan-China trade. A business mission accompanied Premier Wen Jiabao in December 2010 to Islamabad which placed orders for Pakistani goods and made announcements for investments in energy, telecommunications and transmission sectors. Last year in May, during Prime Minister Yusuf Raza Gilani's visit to China, Pakistan-China Entrepreneurs Forum was launched on the occasion of the 60th anniversary of the establishment of diplomatic relations between Pakistan and China.
President Asif Ali Zardari attended, as a Chief Guest, the inaugural ceremony of the 1st China-Eurasia Expo 2011 in Urumqi in September last year. Ambassador Masood Khan said that all departments and entities of the Government of Pakistan, including Ministry of Commerce, Trade Development Authority and Federation of Chambers of Commerce and Industries, are making concerted efforts to enhance the volume of Pakistani exports to China and improve their quality.
For us too in the Embassy and in four Consulates, trade has top priority, he said. In 2011, the Embassy held more than 10 trade seminars, including three major Road Shows for the Government of Punjab, Government of Sindh and Private Power and Infrastructure Board (PPIB). The real challenge is to manage value addition of Pakistani goods and invest in skill development. Such measures would result in exponential growth of Pakistani exports in Chinese markets, he said.
The Pakistani Envoy said that China was fully conscious of the trade deficit between Pakistan and China and was working with Pakistani authorities to take measures to increase Pakistani exports to China to bring down the deficit. It is inviting leading Pakistani traders and trading houses to participate in China's international and regional expos and exhibitions.
Last year, Pakistani traders participated in trade fairs in Urumqi, Kashgar, Kunming, Chengdu, Canton, and Xiamen. Pakistani traders have been especially focusing on textiles, leather products, precious stones, and handicrafts. Pakistani trader is now looking eastward towards China with greater interest. This trend is growing, the Ambassador said. For a more rapid development in our trade and exports, we need a broader, bolder and long-term perspective, better quality of goods and services, diversification of export products, and aggressive marketing in China, Ambassador Masood Khan said.