KARACHI: Economic & financial analyst, Ateeq-Ur-Rehman said that Pakistan is an agricultural country but we have almost 6 to 7 billion U.S. dollars additional burden on Pakistani economy due to import of agricultural produce like cotton, wheat, sugar, tomato, potatoes, etc. which can be evaded through better supply of seeds, new water resources and mechanism.
The main reason for Pakistan's GDP loss of $50.5 billion is due to uneven and continued trade deficit and balance of payment crisis. Our GDP fell from 5.8 percent to minus 0.04 percent and the trade deficit increased by 2.02 percent despite a growth in exports.
This needs to be overcome only by increasing the exports and controlling the imports. He said we are so fortunate that Covid-19's world over destruction and China - USA tussle on trade benefited Pakistani exports to grow. Present export potential is $26 billion whereas it has to be $32 billion.
Further it is inevitable and anticipated that we must focus on a capacity to increase the exports up to $40 billion in this fiscal year. The problem is that we are delivering less than the potential and requirement due to massive cost of production being the main reason of the huge cost of electricity and gas, may be PM's Energy Package will help a little diminishing the said crisis.
Ateeq added that in order to bring back economy on its feet there is a dire need of increasing manufacturing activity and enhancing our value added industry with export oriented manufacturing activities like motorcycle manufacturing and export, also cement and Iron and Steel.
Copyright Business Recorder, 2020
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