Pakistan exporters urge trade arrangements to counter India, Bangladesh

Pakistan’s exporters have urged the government to explore improved bilateral trade arrangements and study markets where regional competitors India and Bangladesh enjoy preferential access, as shifting global trade rules intensify pressure on the country’s export competitiveness.

The development came during a high-level meeting held between Federal Minister for Commerce Jam Kamal Khan and leading exporters, industrialists and representatives of the business community at the Ministry of Commerce, read an official statement on Wednesday.

Federal Minister for Maritime Affairs Muhammad Junaid Anwar Chaudhry joined virtually, while Minister of State for Finance and Revenue Bilal Azhar Kayani, Coordinator to the Prime Minister on Commerce and Industries Rana Ihsaan Afzal Khan, secretaries of concerned ministries and senior officials from relevant departments participated. Most business representatives joined virtually, while others attended in person.

During the meeting, exporters discussed international shipping delays, port facilitation, tax refunds and banking regulations, proposing greater flexibility in payment settlement periods due to disruptions in global logistics.

Participants recommended studying markets where Bangladesh and India enjoy preferential trade advantages and exploring improved bilateral trade arrangements to strengthen Pakistan’s export competitiveness.

Business representatives appreciated the EXIM Bank scheme for exporters, describing it as a positive initiative to improve access to export financing and support businesses seeking to expand internationally.

Industry representatives also highlighted concerns regarding energy costs, the captive power gas levy, provincial infrastructure levies and rising production expenses. Petroleum Division officials provided clarifications on the gas levy mechanism.

Representatives of the meat and livestock sector highlighted challenges relating to foot-and-mouth disease, international sanitary requirements, border restrictions and access to Gulf markets.

Responding, Jam Kamal Khan informed participants that the prime minister was personally taking a keen interest in livestock development, including disease control, investment, improved breeding and value-added exports. The meeting was also informed of plans for a dedicated, private-sector-led livestock board.

Mineral exporters raised concerns regarding restrictions on mining explosives and withholding taxes, while Qaiser Saleem Shabbir, representing the surgical instruments sector, emphasised the need for technological advancement, skilled human resources, industrial investment and modernisation to enhance Pakistan’s export competitiveness.

FBR officials briefed participants on measures to improve tax refund processing and digital invoicing, while exporters highlighted difficulties relating to outstanding refunds, business visas and international compliance requirements.

Concluding the meeting, Jam Kamal said that the Ministry of Commerce would consolidate sector-specific and cross-cutting issues and seek responses from concerned ministries to develop practical recommendations for the prime minister’s consideration.