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Promoting participation of domestic firms in global value chains
Trade in intermediate good shows increasing contribution in total manufacturing trade since 1995.
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Latest trade data highlights changing composition of imports
Import of capital goods and transport equipment has increased substantially
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Besides infrastructure, Pakistan must also seek capital for export industries
It will generate foreign exchange needed to service growing external debt
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Pakistan has untapped export potential of $13b
Government should help increase raw material supply, diversify industrial goods
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Analysing the composition of CPEC-related imports
Inflow of raw materials witnesses 7% decline, capital goods rise by 30%
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Trade and production linkages – a critical relation for economic growth
New investments must contribute to value addition, improving linkages
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CPEC opens avenues for agri-exports
Non-tariff barriers in importing countries, however, pose a challenge to exports
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Hard Brexit to have significant implications for Pakistan’s exports
Policymakers should seek trade policies that remove any negative impact.
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Policies needed that promote value addition
Pakistan’s trade statistics reveal new trends about exports
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How effective are incentive packages in boosting exports
Relief packages have been announced in the past but have failed to reverse declining exports