Ministry that set up $35b export target says it is no longer possible
Commerce minister says world economic slowdown will prove to be hindrance
Commenting on agriculture products, the minister said that to support farmers, the government had imposed a ban on import besides giving subsidy on the export of wheat and rice. PHOTO: ONLINE
ISLAMABAD:
Commerce Minister Khurram Dastgir is not optimistic that Pakistan would be able to achieve exports of $35 billion by 2018, stressing that the global economic slowdown would prove to be a big hurdle in the government’s ambitious target.
Ironically, his ministry, under the Strategic Trade Policy Framework (STPF) 2015-18, had set the target when it announced the policy a few months ago. Pakistan’s annual exports currently hover around the $25-billion mark.
But as global financial institutions turn down the dial on world economic growth, Dastgir feels that Pakistan too, will suffer in the form of declining exports.
Pakistan's exports unlikely to reach 2018 target
“I don’t think the export target can be achieved under the present economic trends and with the recession prevalent across the world,” said Dastgir while talking to The Express Tribune.
The minister also transferred the responsibility to the private sector, saying that the government had fulfilled its promises to the business community and it was now up to them to take advantage.
“The government has and will take all necessary steps to boost the country’s economy and increase exports. It has fulfilled all the promises made to the business community and it is now up to the entrepreneurs and businessmen to avail the incentives and improve their exports to meet global standards.”
He mentioned that industries were enjoying uninterrupted supply of electricity while 50% of the outstanding amount had been paid back under the head of export refunds. “The remaining arrears would also be released shortly.”
He added that all the SROs pertaining to the incentives under the STPF had already been issued and put on the ministry’s website and the business community could potentially avail the incentives. The minister said awareness would be created so that the traders could easily file their claims to receive the refunds and other incentives.
Mango exports likely to increase to 120,000 tons
He said that besides zero load shedding for the industry, another major demand of the business community had been fulfilled by curtailing electricity tariff from Rs16 per unit to Rs10 per unit. He further said that the export refinance rate was at an all-time low and business community should take advantage of such incentives. “We are optimistic that all these steps will develop confidence among the business community,” he said.
Dastgir noted that it was important for the textile exporters to work on value addition and improve quality along with the quantity of exports.
The minister said that the ministry would soon start a fresh consultation process with the business community.
Commenting on agriculture products, the minister said that to support farmers, the government had imposed a ban on import besides giving subsidy on the export of wheat and rice.
Published in The Express Tribune, July 17th, 2016.
Commerce Minister Khurram Dastgir is not optimistic that Pakistan would be able to achieve exports of $35 billion by 2018, stressing that the global economic slowdown would prove to be a big hurdle in the government’s ambitious target.
Ironically, his ministry, under the Strategic Trade Policy Framework (STPF) 2015-18, had set the target when it announced the policy a few months ago. Pakistan’s annual exports currently hover around the $25-billion mark.
But as global financial institutions turn down the dial on world economic growth, Dastgir feels that Pakistan too, will suffer in the form of declining exports.
Pakistan's exports unlikely to reach 2018 target
“I don’t think the export target can be achieved under the present economic trends and with the recession prevalent across the world,” said Dastgir while talking to The Express Tribune.
The minister also transferred the responsibility to the private sector, saying that the government had fulfilled its promises to the business community and it was now up to them to take advantage.
“The government has and will take all necessary steps to boost the country’s economy and increase exports. It has fulfilled all the promises made to the business community and it is now up to the entrepreneurs and businessmen to avail the incentives and improve their exports to meet global standards.”
He mentioned that industries were enjoying uninterrupted supply of electricity while 50% of the outstanding amount had been paid back under the head of export refunds. “The remaining arrears would also be released shortly.”
He added that all the SROs pertaining to the incentives under the STPF had already been issued and put on the ministry’s website and the business community could potentially avail the incentives. The minister said awareness would be created so that the traders could easily file their claims to receive the refunds and other incentives.
Mango exports likely to increase to 120,000 tons
He said that besides zero load shedding for the industry, another major demand of the business community had been fulfilled by curtailing electricity tariff from Rs16 per unit to Rs10 per unit. He further said that the export refinance rate was at an all-time low and business community should take advantage of such incentives. “We are optimistic that all these steps will develop confidence among the business community,” he said.
Dastgir noted that it was important for the textile exporters to work on value addition and improve quality along with the quantity of exports.
The minister said that the ministry would soon start a fresh consultation process with the business community.
Commenting on agriculture products, the minister said that to support farmers, the government had imposed a ban on import besides giving subsidy on the export of wheat and rice.
Published in The Express Tribune, July 17th, 2016.