Razak reviews implementation of trade policy to promote trade diversification

ISLAMABAD: Advisor to the Prime Minister on Commerce and Investment Abdul Razak Dawood Wednesday reviewed the implementation of plans under the trade policy and other initiatives of the ministry to promote geographical and product diversification to enhance the exports of Pakistan.

The meeting was held at the Ministry of Commerce which was attended by senior officers of the ministry, said a press release issued by Ministry of Commerce here on Wednesday.

Talking about the diversification of products, Razak Dawood said that export of Jute from Pakistan was an inspiring success story as the country has tapped into the markets of Egypt, Iraq, Malaysia, Turkey, Italy, Australia and New Zealand.

Razak Dawood underscored that the ministry has a firm belief that reducing duties on raw materials reduces the anti export bias and enhances exports.

He added that the export of Jute products from Pakistan was a good example that the country could still compete, through importation of raw jute, with countries like India and Bangladesh, who produce jute in abundance.

Underlining the principles of diversification, the advisor stated that export of Jute products was a key element in our product diversification policy, by placing emphasis on non-traditional exports.

He said that Pakistan has started exports of Jute products to several countries.

He further noted that geographical diversification policies were also showing signs of success as our Jute products have found new global markets.

It was briefed in the meeting that the duty on import of raw jute was brought down to zero in the fiscal budget 2019-20.

In addition, the removal of Additional Customs Duties in the budget 2020-21 has made our jute industry more cost competitive. As a result, more orders were being received from the international market and we are looking at an unprecedented rise in the growth of the Jute manufacturing industry.

It was shared in the meeting that export sales of Jute products went up by 148% in terms of weight, fetching more than double foreign exchange in 2019-20, as compared to 2018-19.

At the end of the meeting, Razak Dawood appreciated the efforts of the Ministry of Commerce as well as the exporters for the success of the trade policy of the Government.

He noted that albeit the exports are small but important and these numbers would improve in all likelihood, while the Jute manufacturing would continue to create more jobs for thousands of Pakistanis.