Value addition key to China exports

Naphtha plant faces Chinese financing delays as FPCCI pushes for capital infusion

KARACHI:

Pakistan cannot transform its export mix to China without targeted investment in value-added production, Federation of Pakistan Chambers of Commerce and Industry (FPCCI) Senior Vice President Saquib Fayyaz Magoon has said during a meeting with Consul General Shahzad Ahmed in Shanghai, according to a statement issued on Monday.

Both sides agreed that agriculture and food sectors hold immense potential, with investment needed in processing, packaging and quality control. Magoon stressed that shifting from raw products to value-added goods requires capital infusion in cold chains, certification labs and branding.

Improved packaging and quality standards were identified as urgent priorities to make Pakistani goods competitive in China. Promoting IT exports and software development joint ventures depends on sustained investment in digital infrastructure and technology parks.

Another key issue was the Naphtha Cracker Plant project, for which a memorandum of understanding was signed last year. The project faces delays due to financing hurdles on the Chinese side. Both parties emphasised the urgency of resolving these bottlenecks.

The consul general assured full support in helping Pakistani businesses attract Chinese investment for value-added ventures. Magoon reiterated that investment in value addition is the only path to transforming the export mix to China.