Pakistan’s exports to Africa increase 16% in August

October 05, 2022

Raza Khan

The exports of various goods from Pakistan to African countries surged by 16.57% during the second month of the current financial year, WealthPK reports.

According to the data of the Ministry of Commerce, exports to African countries rose to $128.21 million during August of the current year from $109.98 million in the same month of last year.

South Africa remained the top destination of Pakistan’s exports in the African Continent during August, with a volume of $19.39 million, registering a growth of 51.13% against the same month of 2021.

The volume of exports to Kenya from Pakistan reached $18.4 million during August as compared to $ 16.04 million in the same month of last year, showing an increase of 14.71%. With an import volume of $ 9.31 million, Egypt remained the third-largest market for Pakistan in Africa during August.

Exports to African countries in August also grew by 14.1% compared to $112.36 million in July.

According to the Ministry of Commerce, the top destinations of Pakistan’s exports in Africa include Kenya, South Africa, Madagascar, Tanzania, Egypt and Nigeria.

The data shows that Pakistan’s exports to most of the top destinations in the African Continent have been increasing with the passing of time.

The items exported from Pakistan to African countries include cereals, cotton, wadding, made-up textile, sugar, confectionery, man-made staple, salt, sulphur, beverages, spirits and vinegar, pharmaceutical products, optical photographic, plastics paper and paperboard, machinery, miscellaneous chemical and toys.

Pakistan imports tea, coffee, crude oil, iron, steel, inorganic chemicals, cotton and textile products from Africa. Kenya is the largest exporter of tea to Pakistan. According to the United Nations Comtrade database on international trade, Pakistan imported tea worth more than $480 million from Kenya in 2021.

According to a study of the Trade Development Authority of Pakistan (TDAP), Africa is rich in natural and mineral resources and is called the world’s storehouse of strategic raw materials.

Lack of information, mutual understanding, business interactions, and connectivity as well as low level of people-to-people contact are main hurdles to trade between Pakistan and African countries.

According to TDAP, Africa is an untapped market for Pakistan’s exports. Products such as tractors, transmission apparatus, surgical instruments and non-basmati rice hold immense export potential. Pakistani products are in huge demand in Africa. Africa should be Pakistan’s primary focus for export market diversification.

The current volume of trade between Pakistan and Africa is low. However, if Pakistan focuses on brand development and pursues market-friendly policies, bilateral trade can be increased manifold.

The Ministry of Commerce under its ‘Look Africa’ initiative organised a business conference in Nigeria last year for Pakistani industrialists and importers so that they could explore the African market and assess the business environment, according to the information gathered by WealthPK.

Credit : Independent News Pakistan-WealthPk