🇵🇰 Pakistani Export News

[ghazi]

Exports to Middle East jump 29pc in July-November​

Mubarak Zeb Khan
December 27, 2023

ISLAMABAD: Exports to the Middle East bounced back with a growth of 28.98 per cent to $1.257 billion in the first five months of the current fiscal year against $974.50m from a year ago.

A surge in demand for Pakistani products was observed from countries like the United Arab Emirates, Saudi Arabia and Kuwait, according to data compiled by the State Bank of Pakistan.

However, the exports to Qatar decreased during the period under review.

The government has recently signed a free trade agreement with the Gulf Cooperation Council (GCC) countries which will further facilitate Pakistan’s exports to the region.

In FY23, Pakistan’s exports to the Middle East shrank 12.62pc to $2.332bn from $2.669bn in the preceding year. Pakistan witnessed a 7.24pc decline in imports totalling $17.488bn in FY23, down from $18.853bn in the previous year.

Exports to Saudi Arabia saw an increase of 50pc in July-November of FY24 to $275.65m from $183.73m over the corresponding months of last year. Saudi Arabia is Pakistan’s second biggest market in the region in terms of value after the UAE. In FY23, the exports jumped 13.1pc to $503.40m from $420.40m in the preceding fiscal year.

Exports to Saudi Arabia have stagnated around $500m in the last decade due to no expansion in market access as compared to the UAE. Top exports to Saudi Arabia include rice (semi- or wholly milled), bovine carcasses and half carcasses, tents, textile materials, etc.

Pakistan exports to UAE rose sharply by 33pc to $817.978m in 5MFY24 from $614.864m over the corresponding months of last year. The exports to UAE bounced back during the current fiscal year.

However, it suffered a decline of 20.23pc to $1.474bn in FY23 from $1.848bn over the corresponding months FY22.

Out of seven UAE states, the bulk of export was destined for Dubai amounting to $655.90m during July-Nov FY24 against $557.77m in the corresponding month last year, showing an increase of 17.59pc.

Pakistan’s top export products to UAE include rice, bovine carcasses and half carcasses, men’s/boys’ cotton ensembles, guavas, mangoes, etc. Similarly, Pakistan’s top sectoral exports to the UAE include cereals, articles of apparel and clothing, meat and edible offal etc.

Pakistan exports to Kuwait increased by 7.4pc to $51.81m during July-Nov FY24 from $48.24m over the corresponding months of last year. Pakistan’s exports to Qatar declined 15.84pc to $96.66m in July-Nov FY24 from $83.44m during FY23. Pakistan exports to Bahrain also declined by 6.35pc to $29.04m in 5MFY24 from $31.01m over the corresponding last year.

Exports to Middle East jump 29pc in July-November

Surge in demand for Pakistani products observed from UAE, Saudi Arabia and Kuwait.

www.dawn.com

 

[ghazi]

Record rice leads exports​

BR Research
January 25, 2024

December 2023 goods’ exports surged to $2.8 billion – breaking the string of low export earnings – recording the highest in 18 months. This ranks third on the list of highest-ever monthly export earnings. More than the value, it is the composition of exports that makes for an interesting reading.

Barring the peak-Covid month of April 2020, where industrial activity was almost at a standstill – December 2023 is the first time in at least 15 years that textile’s share in exports has dipped below 50 percent. For context, textile’ share in total goods’ exports since 2011 has been an average 60 percent. Of course, one month is not a trend, but looking at 1HFY24 numbers, a trend does seem to be appearing – where textile share at 55 percent is the lowest in 10 years.


This marks a very rare occasion in Pakistan’s trade history when overall exports show positive growth despite decline in textile earnings. Textile exports dipped 5 percent year-on-year – with major categories from knitwear to readymade garments posting a decline, that is largely driven by a sharp reduction in unit values. Export quantities, on the other hand, have registered modest growth year-on-year, but multiyear low unit values have dragged overall exports down for the key textile categories.

The biggest dip in unit values is seen in knitwear segment – with a decline of 38 percent year-on-year during 1HFY24, followed by readymade garments, where average unit value of export has dipped to $3.1 per piece – down 15 percent year-on-year. The ratio of readymade to knitwear unit export price has gone down by a third from a 10-year average of 3x to 12-month moving average of 2x – indicating Pakistan’s value-added exports may well be fetching lower-end segments than earlier.

On the other end of the spectrum, food group is singlehandedly keeping exports alive – having registered a remarkable 50 percent year-on-year growth during 1HFY24. At 30 percent share in total exports in December 2023, this is the highest monthly contribution by the group ever, barring April 2020. The march is led by rice exports – which went up 48 percent year-on-year in quantity terms at 2.5 million tons, the highest–ever half-yearly number. Rice export unit value also jumped 19 percent to $637/ton – taking the 1HFY24 exports to $1.6 billion – up 77 percent year-on-year.


Overall exports were higher by $0.7 billion during 1HFY24 in absolute terms – whereas rice alone added $0.7 billion to the export tally in the period, more than making up for the $0.4 billion loss in textile export earnings. Pakistan’s goods’ exports are well on way to cross $30 billion in FY24 – only for the second time in history. Much will depend on how the upcoming government deals with energy price and currency.

 

[ghazi]

Fruit exports soar by 9.31%, hitting $171 mln in 1st half​

The Frontier Post

ISLAMABAD: Pakistan’s fruit exports surged by 9.31 percent in the initial half of the ongoing fiscal year compared to the same period last year, Pakistan Bureau of Statistics (PBS) reported.

According to PBS data, fruit exports reached to $171.280 million from July to December (2023-24), showcasing a notable increase from the exports of $156.692 million recorded during the corresponding period in the previous fiscal year (2022-23).

On year-on-year basis, the good exports however declined by 5.10 percent in December 2023 when compared to the exports of the commodity during December 2022. The fruit exports in December 2023 were recorded at $43.210 million against the exports of $45.532 million in December 2022. On month-on-month basis, the fruit exports surged by 125.71 percent in December 2023 when compared to the exports of $19.144 million in November 2023.

The overall food group exports from Pakistan increased by 49.84 percent during the first six months of the current fiscal year as compared to the corresponding period of last year.

Food exports during July-December (2023-24) were recorded at $3,481,200 million as compared to the exports of $2,323,275 million in July-December (2022-23), a surge of 49.84 percent, according to the latest PBS data. In terms of quantity, the gold imports declined by 80 percent when compared to the imports of 60 kilograms during November 2023.

It is pertinent to mention here that the country’s overall merchandize trade deficit contracted by 34.29 percent during the first half of the current fiscal year compared to the corresponding period of last year.

The Trade deficit from July-December (2023-24) was recorded at $11.148 billion as against the deficit of $16.965 billion in July–December (2022-23), showing negative growth of 34.29 per cent.

During the period under review, the exports increased by 5.17 percent to $14.981 billion compared to the exports of $14.244 billion during the corresponding period of last year, according to the latest PBS data. On the other hand, the imports narrowed by 16.28 per cent and were recorded at $26.129 billion compared to $31.209 billion last year. (APP)

 

[ghazi]

Pakistan IT exports increased by 32% in 60 days​

By Fatima Javed | Gwadar Pro
Feb 14, 2024

ISLAMABAD, Feb 14 (Gwadar Pro)–According to the Ministry of IT and Telecom, the overall IT exports in Pakistan have increased by a record 32 percent in the last 60 days due to timely decisions of the Special Investment Facilitation Council (SIFC) on the recommendations of the Ministry of IT.

“For the first time in history, Pakistan’s monthly IT exports crossed $300 Million in Dec’23. At this rate, we will exceed USD 4 billion (from USD 2.6 billion last year),” says the Ministry.

To appreciate the role of companies playing a significant part in IT and IT-enabled services exports yesterday, the Caretaker Federal Minister for IT and Telecommunication Dr. Umar Saif also distributed PKR 825 million as a cash prize.

He said that the IT industry, which plays a pivotal role in the country’s economy, deserves maximum incentives, facilities, and rewards. These companies are strengthening the country’s economy by earning huge foreign exchange in return for the services of digital talent of Pakistani talent worldwide.

“If the performance of the IT sector continues like this, it is hoped that the target of USD 10 billion for IT exports will be achieved soon”, he added.
The primary beneficiaries of Pakistan’s IT exports include the USA, the UK, the UAE, and Singapore. Pakistani experts recognize that Pakistan’s surge in IT exports owes credit to China also as the collaboration between the two countries has significantly impacted Pakistan’s digital landscape.

China has played a significant role in shaping Pakistan’s IT industry through various collaborations and investments. Chinese companies have made substantial investments in Pakistan’s IT sector. Notably, Alibaba, a Chinese tech giant, acquired Daraz and Easypaisa, two successful Pakistani startups. This acquisition demonstrates China’s interest in Pakistan’s digital market and its growth potential.

Experts believe that collaborating with foreign countries, including China, has allowed Pakistan’s IT industry to import knowledge and upgrade its technology. China’s expertise in areas such as telecommunications, hardware, and software development has positively impacted Pakistan’s capabilities.

Moreover, Special Economic Zones (SEZs) in Pakistan also provide a business-friendly environment where taxes and duties are exempted for production units. These zones encourage foreign investment, including Chinese companies, to set up manufacturing and IT facilities in Pakistan.

 

[ghazi]

Pakistan maintains positive trajectory in exports​

The Nation
Feb 15, 2024

In a promising economic development, Pakistan's exports witnessed a substantial surge in December 2023, according to provisional figures released by the Pakistan Bureau of Statistics (PBS). The data indicates a noteworthy increase, marking a positive trajectory for the country's trade performance.

The provisional statistics reveal that exports from Pakistan in December 2023 amounted to Rs799.58 billion, showing a robust growth of 8.86% compared to November 2023, where the figure stood at Rs734.54 billion. Furthermore, the December 2023 exports recorded an impressive 54.59% surge when compared to the same month in the previous year, which saw exports totalling Rs517.24 billion.

In terms of US dollar, the export figure for December 2023 reached $2.822 billion (provisional), indicating an increase of 9.68% compared to November 2023, when exports were at $2.573 billion.

The growth is even more substantial when compared to December 2022, witnessing a remarkable 22.64% increase from $2.301 billion.The export performance for the first half of the fiscal year 2023-24 (July-December) also reflects a positive trend. Exports during this period totalled Rs4,300,752 million (provisional), showcasing a significant surge of 35.33% compared to the corresponding period the previous year, where the exports amounted to Rs3,177,893 million.

Similarly, in terms of US dollar, the exports from July to December 2023 reached $14.991 billion (provisional), marking a 5.24% increase from the same period the previous fiscal year when exports stood at $14.244 billion.

Shahid Javed, a senior economist at the State Bank of Pakistan, told WealthPK that the positive momentum in exports was expected to contribute significantly to Pakistan's economic growth and stability. “The surge in Pakistan's exports, as evidenced by the impressive growth figures in December 2023, reflects a robust and resilient economy.”

He said healthy increases in both local currency and US dollar terms signified a positive trend, indicating a strengthened position in the global market. “The diversified range of main export commodities, led by items like rice, knitwear and readymade garments, underscores the country's competitiveness in various sectors.”

“The noteworthy growth in the first half of the current fiscal year is a testament to the effectiveness of the economic policies and trade strategies. As we navigate a complex global economic landscape, sustaining this upward trajectory will require continuous efforts to enhance competitiveness, explore new markets, and invest in technological advancements,” stressed Javed.

 

[Malang]

Our textile industry thrived during the pandemic when the demand for face masks rose. We should focus on small items like Face masks, napkins, tissues, glass cleaning fabrics and take this market to Southeast Asia. Japan, South Korea and China used facemasks on the roads to avoid pollution before the pandemic. So these products will always remain in demand in Southeast Asia.

The only way to increase the export for Pakistan is by looking into new markets. We only have Europe and the Middle East as the trading partners but we need to explore new markets in Africa, Central and Southeast Asia.

 

[ghazi]

Pakistan’s textile exports up 20% YoY in February, clock in at $1.41bn​

BR Web Desk
March 4, 2024

Exports of Pakistan’s textile sector showed notable growth in February, clocking in at $1.41 billion compared to $1.18 billion recorded in the same month of the previous year, a year-on-year increase of nearly 20%, showed provisional data released by the All Pakistan Textile Mills Association (APTMA) on Monday.

This is the third consecutive month when textile exports have posted a year-on-year increase.

However, the country’s textile exports in the first eight months of the fiscal year 2023-2024 were down by 1% or $0.07 billion to $11.15 billion.

Meanwhile, on a monthly basis, exports declined over 3% as compared to $1.46 billion in January.

Textile exports are crucial for the South Asian economy, which faces a shortage of foreign exchange, and has to rely on debt-creating dollar inflow to shore up reserves, as they make up for the bulk of the its exports.

 

[ghazi]

2024-04-27
[H2]Jul-Mar period: Rice exports hit historic high of $3bn[/H2]

KARACHI: The country's rice exports, breaking all previous records, have earned all-time high of $3 billion

 

[Ghazi52]

Rice exports grow 98.5pc in 2 months​

The APP
Sep 29, 2024

Rice exports from the country during the first two months of the current financial year increased by 98.58 per cent as compared to the exports of the corresponding period of the last year. During the period from July-August, 2024, over 340,703 metric tons of rice valued at $464.667 million was exported as compared to the exports of 340,703 metric tons worth $233.992 million in the same period of last year.

The exports of basmati rice grew by 103.63 per cent as 187,016 metric tons of basmati rice worth $192.610 million was exported as against the exports of 79,180 metric tons valued at $94.590 million in the same period of the last year. During the period under review, the country earned $272.057 million by exporting about 430,045 metric tons of rice of other verities, which was recorded at $135.402 million in the first two months of the last year.

Meanwhile, the food group imports into the country experienced a significant decline of 18.15% during the first two months of the current financial year as compared to the imports of the corresponding period of the last year.

From July to August 2024, Pakistan imported various food commodities valued at $1.066 billion, down from $1.303 billion during the same of last year, whereas the food group exports from the country during the period under review grew by 42.39 per cent as compared to the exports of the corresponding period of the last year.

During the period from July-August, 2024, food commodities valued at $1.011 billion were exported as against the export of $710.651 million in the same period of the last year, according to the data of the Pakistan Bureau of Statistics.

 

[Ghazi52]

Pakistan, Russia ink barter deal to boost agri trade​

Reuters
October 2, 2024

MOSCOW: Two agriculture companies from Russia and Pakistan have signed barter deals to trade chickpeas and lentils from Russia in exchange for rice, mandarins and potatoes, Russia’s TASS news agency reported on Tuesday.

Grappling with payment issues due to Western sanctions over Russia’s invasion of Ukraine in February 2022, Moscow is pursuing barter deals that strip away the need for payment exchange, reduce the visibility Western countries have over its trade flows, and limit currency risk.

Russian firm Astarta-Agrotrading agreed to supply 20,000 tonnes of chickpeas in exchange for 20,000 tonnes of rice from Pakistan’s Meskay & Femtee Trading Company, TASS reported.

Under another contract, Astarta agreed to supply 15,000 tonnes of chickpeas and 10,000 tonnes of lentils for 15,000 tonnes of mandarins and 10,000 tonnes of potatoes.

The two companies did not immediately respond to requests for comment.

“Russia and Pakistan are experiencing specific difficulties in carrying out mutual payments,” TASS quoted a Pakistani official as saying on the sidelines of a Pakistan-Russia trade forum in Moscow. “Therefore, the two companies decided to launch a barter trade mechanism.”

Payment issues are a particular issue for Russia with China, as bilateral trade soars. Sources told Reuters in August that the first agriculture barter deals between Russia and China would come this autumn. Russia’s economy ministry published a document in February advising Russian companies on how to conduct barter transactions and pointing out pitfalls to avoid.

A source in payment markets told Reuters that barter deals with China were now taking place, but at the level of individual companies.

Published in Dawn, October 2nd, 2024

 

[Ghazi52]

Pakistan mulls lifting ban on livestock export​

Kalbe Ali
October 6, 2024

With livestock population steadily increasing, Pakistan has been receiving supply orders, especially for sheep and goats, from different countries.—Dawn/file
https://whatsapp.com/channel/0029VaMc238IiRov8okfYy3n
ISLAMABAD: Pakistan is likely to lift the ban on the commercial export of sheep and goats imposed more than a decade back, mainly responding to the demand from Gulf countries.

The Ministry of National Food Security and Research (MNFSR) has finalised the summary in this regard and sought permission from the federal cabinet to undo the decision taken in 2009.

The Executive Committee of the Special Investment Facilitation Council (SIFC) has considered the matter and agreed to lift the ban on live animal export. According to the summary, several domestic investors have already started small- to medium-scale feedlot fattening farms, which are expected to create a surplus of goats and sheep in the coming years.

“The MNFS&R has also approached various countries for investment in feedlot fattening farms of small and large ruminants, and serious interest has been shown by Saudi Arabia, Kuwait and the UAE,” it added.

SIFC has already given its consent amid high demand from Gulf countries

The summary highlighted that the agriculture sector contributes around 24 per cent to gross domestic product. The livestock sector accounts for 60.84pc of the agricultural value added and 14.5pc GDP during 2023-24.

The summary said that animal husbandry remains an important economic activity for rural dwellers, with over 8 million families engaged in livestock production and deriving around 35-40pc of their income from the sector.

In 2023-24, Pakistan’s diversified inventory of food-producing animals stood at 224.7 million heads, including 57.5m cattle, 46.3m buffaloes, 32.7m sheep, 87.00m goats and 1.2m camels and produced a total quantity of around 70m tonnes of milk and 3.447m tonnes of meat including 2.630m tonnes of beef and 0.917m tonnes of mutton besides 2.363m tonnes of poultry meat.

Previously, the export of live animals was permitted with the approval of the Economic Coordination Committee of the Cabinet (ECC) in 2009. However, smuggling through the porous border, mainly with Afghanistan, led to its local shortage, and the government observed that it was creating domestic price instability.

The summary added that to ensure price stability in the domestic market and considering the demand and supply chain, a ban was imposed on the commercial export of live animals with the approval of ECC in July 2013. The complete ban on commercial export of live animals remained enforced.

The summary also noted that with effective anti-smuggling measures and border fencing, the demand and supply situation has improved, resulting in the stability of the price of mutton.

Published in Dawn, October 6th, 2024

 

[Ghazi52]

KARACHI: Despite surging domestic prices, the country exported record 100,194 tonnes of meat and meat preparations in FY23 exceeding the previous peak of 95,648 tonnes recorded in FY21.

As per data issued by the Pakistan Bureau of Statistics (PBS), the country earned foreign exchange of $427 million in FY23 versus $331m in FY21. The exporters fetched an average per tonne price (APT) of $4,258 as compared to $3,467 in FY21.

The exports rose 30pc in quantity and 25pc in value when compared with 76,868 tonnes ($341m) in FY22 at an APT of $4,436.

Meat dealers continued to blame higher exports as one of the main reasons for pushing up domestic prices.

As per data from the Sensitive Price Index (SPI), beef with bone (average quality) price is now tagged at Rs600-1,050 per kg against Rs400-700 per kg during June 2021.

The national average price of mutton (average quality) swelled to Rs1,400-2,000 per kg from Rs810-1,350 in June 2021.

In the last 12 years, meat-related exports remained in the range of 56,000-85,000 tonnes.

“Linking increase in local meat prices to exports is a misconception created by the market retailers as 100,000 tonnes of exports is just a consumption of 10 days in Pakistan,” CEO PK Livestock, Saqib Butt told Dawn on Saturday.

The meat exports have reached a saturation point rather than showing any significant jump in the last two years, he said, adding that they can rise manifold if we target Iran and Afghanistan through legal channels.

He said new markets like Egypt have emerged in the last one to two months while exporters are also exploring Jordan and Malaysia.

Mr Butt said Pakistani exporters struggling to compete with African countries as they offer competitive prices for shipments to the Middle East.

He said countries like Somalia, Ethiopia, Tanzania and Kenya have set up slaughterhouses in the Middle East where Pakistan exports 98pc of meat and meat preparations out of its total shipments. These countries are giving quite a tough time to local exporters.

In case exporters could not tap new markets like Iran, Afghanistan, Malaysia, Egypt and Jordan then exports are unlikely to record any major boost in FY24, he feared.

He said high food inflation has hit the buying power of people and meat consumption is going down. “I observed that the number of animals slaughtered this year during Eidul Azha is lower than last year due to squeezing purchasing power of people,” he added.

Contrary to this, the Economic Survey FY23 says that cattle, buffalo and goat production soared to 55.5 million, 45m and 84.7m during FY23 from 51.5m, 42.4m and 80.3m in FY21. Beef and mutton production rose to 2,544,000 tonnes and 799,000 tonnes in FY23 from 2,380,000 and 765,000 tonnes in FY21.

 

[Ghazi52]

Pakistan earns $4bn in rice exports in 2024, sets target of $5bn for next year​

The Nation
Oct 14, 2024

The Special Investment Facilitation Council (SIFC) has played a pivotal role in helping Pakistan achieve a historic milestone, with rice exports generating $4 billion in revenue.

According to SIFC official Shahjehan Malik, the target for rice exports in the next fiscal year has been set at $5 billion. Malik emphasized that a comprehensive strategy will be developed, focusing on modern seed research and the promotion of standardized agricultural practices to boost exports further.

Pakistan’s Basmati rice, renowned for its high quality, has been instrumental in fostering global partnerships. During the 2024 fiscal year, the country exported over 6 million tons of various rice varieties.

In addition to rice, Pakistan's overall goods exports saw a significant boost, increasing by 10.54% to $30.64 billion compared to the previous year. While exports surged, imports slightly declined by 0.84%, dropping from $55.19 billion to $54.73 billion, signaling positive economic growth.

One of the standout achievements was the 20% rise in meat and meat product exports, reaching a record high of $512 million. The SIFC and the Ministry of Commerce were instrumental in opening new markets for meat exports in countries such as Jordan, Uzbekistan, Lebanon, and Egypt.