Raza Khan

Pakistan’s exports to African countries surged by 11.14% during the first five months (July-November) of the current fiscal year, according to the Ministry of Commerce. Exports to African countries rose to $570.85 million during the first five months of 2022-23 from $513.63 million during the same period of the last fiscal year.

Kenya remained Pakistan’s largest export destination in the African continent during the period under review with an export volume of $105.13 million, registering 52.80% growth against the corresponding period of 2021 when export volume was recorded at $68.80 million. Exports to South Africa were recorded at $90.28 million during July-November FY23 compared to $79.25 million during the corresponding months of last year, with an increase of 14%.

Despite a decline of 21.69% in exports, Egypt was registered as the third largest market for Pakistan in Africa during July-November FY23. Pakistan’s exports to Egypt were recorded at $48 million during the period under review against $61.30 million during the same period of last fiscal year. Exports to Tanzania grew by 67.32% during the first five months of 2022-23 and rose to $32.11 million from $19.19 million during the same months last year.  

In November 2022, Pakistan’s exports to African countries were recorded at $107.1 million without any significant change against $106.62 million during the corresponding months 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 is also indicated that Pakistan’s exports to most of its top export destinations in the African continent are increasing, which shows that Africa’s top economies are becoming attractive for Pakistani exports. According to Pakistan Bureau of Statistics (PBS), the country’s overall exports in November were recorded at $2.391 billion against $2.901 billion during the same month of last year, showing a decline of 17.58%.

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 chemicals 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 the world’s storehouse of strategic raw materials. Lack of information, mutual understandings, business interactions, connectivity and people-to-people contacts between Pakistan and African countries are the ground for low economic relations and trade.

According to TDAP, Africa is an untapped market for Pakistan’s exports. Products such as tractors, transmission apparatus, surgical instruments and non-basmati rice hold immense export potential. Africa should be Pakistan’s primary focus for export market diversification.

Credit : Independent News Pakistan-WealthPk