KARACHI: Pakistan’s foreign exchange reserves are falling at an alarming rate of $200-250 million per week for the last six weeks, while the country’s overall share of the global export market has declined, PPI learnt on Friday.
The government has however claimed to enhance annual exports to $35 billion by 30 June 2018 which seems to be over overstated. On the contrary of the projected export figure of $35 billion, the total exports recorded in the financial year 2016-17 were $20.448 billion with the decline of 15.75 per cent as compared to $23.667 billion recorded in 2014-15.
“Exports have shown a declining trend since the high figure of $25 billion recorded in 2011-12, which happened due to worst management at Trade Development Authority of Pakistan in last three years,” alleged Businessmen Panel (BMP) leaders Ahmad Jawad and Mian Usman Zulfiqar.
The Strategic Trade Policy Framework (STPF) 2015-2018 has badly failed to meet the target of exports growth while Ministry of Commerce is all set to formulate the next STPF 2018-23, they informed.
Jawad said: “Keeping in view the decline in exports during the past few years and failure of proposed measures in the STPF 2015-18, I think the commerce ministry will avoid making highly exaggerated projections while focusing on measures for constructive and broad-based engagements between the public and private sectors.”
He advised the ministry to revive the Pakistan Horticulture Development & Export Company so that non-traditional products may contribute to the national kitty. In this global trade, one should not stick with the textile sector only, he pointed out.
Usman said they also needed to introduce modern trade facilitation measures and a flexible exchange rate mechanism in the country besides reducing the cost of doing business and ensuring supportive tax base. “Despite recent investments in the energy sector, the cost of energy is still higher, he added.