Raza Khan

Pakistan’s bilateral trade with Australia grew by 19.27% during the first six months (July-December) of the current fiscal year (2022-23) against the same period of last year, WealthPK reported. Bilateral trade volume rose to $471.36 million during July-December FY23 from $395.19 million during the corresponding months of 2021-22, according to the Ministry of Commerce.

Pakistan’s exports to Australia were recorded at $151.9 million during the period under review compared to $138.70 million during July-December FY22, with an addition of 9.56%. Imports from Australia grew by 24.52% to $319.39 million during the first six months of FY23 from $256.49 million during the same period of last fiscal year.

According to Pakistan Bureau of Statistics (PBS), the country’s total exports were recorded at $14.249 billion during the first half of the current fiscal year, against $15.125 billion during the corresponding months of 2021-22, with a decline of 5.79%. Pakistan’s imports were recorded at $31.245 billion during the period under review against $40.563 billion during the same period of last year, down by 22.97%.

Pakistan’s trade deficit with Australia surged by 42% during July-December FY23 and rose to $167.42 million from $117.79 million during the same period of last year. Exports to Australia registered a slight decline in December and dropped to $24.38 million from $24.80 million during the same month of 2021. Imports from Australia grew significantly by 112.83% during the month under review and rose to $97.37 million from $45.75 million during the corresponding month of the preceding year.

According to an estimate of the Ministry of Commerce, Pakistan has the potential to enhance its exports to Australia up to $500 million within three to five years. Exports of textile, food items, especially rice and leather goods, can be enhanced within a minimum time as these commodities are in high demand in Australia. The total volume of Pakistan’s bilateral trade with Australia during 2021-22 was recorded at $658 million against $635 million during the preceding year (2020-21).

According to the Consulate General and Trade Commission of Pakistan in Sydney, Pakistan’s top 10 export products to Australia include textile made-ups, garments, iron and steel (mainly pipes), cereals (mainly basmati rice), leather goods (mainly gloves), processed food (mainly spices), textile fabrics, surgical instruments, sports goods and miscellaneous agro-food items. The top 10 products constitute 95% of Pakistan’s exports to Australia. At the product group level, textile group constitutes 69% of exports, agro-food group 12.6%, metals group 7.2%, leather group 6.1%, and surgical instruments 3.3%.

The Ministry of Commerce has established a bilateral Joint Trade Committee (JTC) in collaboration with relevant Australian authorities to promote exports. The ministries of commerce, Pakistan’s Consulate General in Sydney and Pakistan Software Export Board have launched a joint program to promote IT services in Australia.

Pakistan’s imports from Australia include pulses, LNG and coal, iron and steel (scrap and flat-rolled), unwrought zinc, wood products (mainly paper, paperboard), fertilisers (DAP), metals, office machinery, dyes and pigments, and chocolates. The major product categories of import include food items 42%, petroleum products (mainly coal and LNG) 24%, metals 19%, agricultural and other chemicals 8%, and machinery 3%.

Credit: Independent News Pakistan-WealthPk