ISLAMABAD, Nov 02 (INP-WealthPK): Pakistan’s exports to African countries surged by 20.10% during the first quarter (July-September) of the current fiscal year, reports WealthPK.
Exports to African countries rose to $369.21 million during the first quarter (Q1) of 2022-23 from $307.42 million in the same period of last fiscal year, the Ministry of Commerce data says.
Kenya remained the largest exports destination in the African continent during Q1 with exports’ volume of $60.44 million, registering 34% growth against the same months of 2021 when exports’ volume was recorded $45.12 million.
Exports to South Africa recorded $54.738 million during the period under review compared to $46.03 million in the corresponding quarter of the last year, with an increase of 18.90%.
With the exports’ volume of $33.56 million, Egypt registered as the third largest market for Pakistan in Africa during August. Exports to Tanzania grew to $21.12 million during July-September this year from $11.48 million in the same months of last year.
Exports to African countries also grew by 22.32% in September 2022 compared to the same month of the last year. Exports to African countries were recorded $128.69 million in September this year against $105.2 million in the corresponding month of 2021.
According to the Ministry of Commerce, Pakistan’s top export destinations in Africa include Kenya, South Africa, Madagascar, Tanzania, Egypt and Nigeria.
It also showed that Pakistan’s exports to most of its top destinations in the African Continent are increasing over the time, which indicates that Africa’s top economies are becoming attractive for Pakistani exports.
According to the Ministry of Commerce, Pakistan’s top exports to African countries are 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 the African region. Kenya is the largest source of tea import for Pakistan in terms of quantity as well as value. According to the United Nations COMTRADE database on international trade, Pakistan imported tea worth over $480 million from Kenya in 2021.
According to a study of Trade Development Authority of Pakistan (TDAP), Africa is rich in natural and mineral resources and is called world’s storehouse of strategic raw materials.
Lack of information, mutual understanding, business interactions, connectivity and people-to-people contact between Pakistan and African countries are the ground of low economic relations and trade.
According to the TDAP, Africa is an untapped market for Pakistani 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 trade volume between Pakistan and Africa is low. If Pakistan focuses on brand development and pursues market-friendly policies, the bilateral trade has the potential to increase.
The Ministry of Commerce under its “Look Africa” initiative organized a business conference in Nigeria last year for Pakistani industrialists and importers so that they can explore the African market and assess the business environment.
