ISLAMABAD, Nov 02 (INP WealthPK): Though Pakistan enjoys a trade surplus with Algeria, more steps need to be taken to improve on it further by turning the cordial relations between the two countries into close trade ties.
Talking to WealthPK, Qazafi Rind, Trade and Investment Councillor of Pakistan to Algeria, said that trade potential and opportunities between Pakistan and Algeria were highlighted during a webinar organised by the Trade Development Authority of Pakistan (TDAP). He said the brotherly relationship between Pakistan and Algeria needs to be transformed into economic ties for benefit of the people of both countries.
“Algeria is an untapped market worth $1.2 billion for Pakistani exporters, which needs to be explored to boost bilateral trade,” he stressed.
He added that textile products, ready-made garments, surgical instruments, football, rice, pink salt, rose water, and hair oil are in high demand in Algeria. According to him, Pakistani exporters should explore Algerian markets.
Last year, $5 million worth of rice was exported to Algeria, he said, adding that Algeria is famous for producing dates, so Pakistan could import dates from the country as well as other products, such as double-door refrigerators, and LCD televisions, which are in high demand in Pakistan.
Qazafi Rind said Algeria imported low-tariff food and agricultural products because its government provided subsidies on these items.
He said the tariff for surgical goods ranged from 5% to 6%, for dental products 30%, and for footballs 15% to 16%. According to him, the Algerian government accepted only those products that possessed certification of International Organisation for Standardisation (ISO), and the Algerian people wanted each ingredient listed in Arabic and French.
“Our labour force should be trained in accordance with ISO standards. This will enable us to meet international standards and explore new markets.”
He said currently Pakistan was experiencing trade surplus with Algeria.
Data from the State Bank of Pakistan shows that total bilateral trade volume in FY22 was recorded at $17.605 million. Exports from Pakistan to Algeria stood at $15.049 million while imports from Algeria stood at $2.556 million.
Pakistan exported goods worth $2.963 million to Algeria in the first three months of the ongoing fiscal year compared to imports of just $0.172 million.
Data from the United Nations Comtrade Database shows that major export items from Pakistan included cereals, articles of apparel, knit or crocheted, optical, photo, technical, medical apparatus, cotton, other made textile articles, sets, worn clothing and aluminum.
Pakistan’s major imports from Algeria included miscellaneous manufactured articles, iron and steel, pulp of wood, fibrous cellulosic material, waste, sugar and sugar confectionery.
The government of Pakistan has taken a number of steps to improve bilateral relations by signing a host of agreements with the Algerian government, said Muhammad Tariq, Pakistan’s ambassador to Algeria.
According to Tariq, a joint business agreement is also ready for signature to establish a joint sponsor between the Federation of Pakistan Chamber of Commerce and Industry and the Algerian Chamber of Commerce. “Another MoU between TDAP and its Algerian counterpart, the National Agency for Foreign Trade Promotion, may also further enhance trade,” he added.
He said another MoU was in the pipeline for setting up a joint working group on trade and economic affairs.
