FPCCI concerned over slim OIC trade volume

Level of trade among OIC member states is just 9% of total volume

KARACHI: The level of trade among member countries of the Organisation of Islamic Cooperation (OIC) is just 9% of total trade volume of the OIC bloc despite close geographical proximity and religious and cultural ties, said Federation of Pakistan Chambers of Commerce and Industry (FPCCI) President Daroo Khan Achakzai.

Expressing concern over the slim volume of trade within the OIC bloc, Achakzai termed OIC the largest bloc in the world in terms of number of countries, which represented one-fourth of the total land with 23.5% of world population.

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"The share of OIC member states in the global GDP is approximately 8% and they account for nearly 2% of total world trade," he said.

He pointed out that Muslim countries had massive population, countless resources and immense potential to succeed but the real task was to translate that potential into real assets. "If we take the example of Egypt, it imports goods worth $65 billion but Pakistan's contribution in it is a meagre $0.1 billion," said the FPCCI president while talking to The Express Tribune. "There are many commodities which Pakistan can export to Egypt."

He was of the view that Pakistan needed to establish a commercial section, which could conduct market research and would list the products that could be exported to Egypt.

"The promotion of economic linkages within Muslim communities by creating opportunities could help generate a greater flow of capital from within and beyond the Islamic world," he emphasised.

"The direction of trade is influenced by many factors but if business communities and policymakers collaborate in identifying market opportunities and addressing trade barriers, it will possibly create more opportunities for trade among OIC member countries," he said.

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The chamber president stressed the need for promoting integration among Muslim countries in an era of globalisation and termed the absence of unity in the OIC bloc the biggest challenge in the present uncertain political and economic situation in Islamic countries.

Achakzai pointed out that rising consumption of Halal products had created a big market for Muslim countries because of safety, hygiene and quality. "This gives a massive opportunity for Muslim nations to take over this segment.”

Published in The Express Tribune, June 1^st, 2019.

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