January 7, 2003	Tuesday	Ziqa’ad 3, 1423

KARACHI, Jan 6: Pakistan’s exports in December exceeded 900 million dollars bringing total export earnings to 5.2 billion dollars in last six months which is exactly 50 per cent of the targeted exports of 10.4 billion dollars fixed for entire 2002-03 fiscal year.

A detailed item wise break down of December exports is awaited. However, officials are confident that all core and developmental items are showing significant growth in exports. Exports have maintained a healthy growth every month in last six month and except for September, the proportionate target has been exceeded in every month during last five months.

Planners projected 877 million dollars export earnings for single month of December. Initial reports suggest that actual realisation is more than 900 million dollars during December.

Except for September, when export earnings fell slightly short of targeted amount of 876 million dollars, export earnings in all other five months remain well ahead of projection.

The proposed target for July 2002 was 756 million dollars against which actual exports were 817 million dollars which is 108 per cent in excess. In August exports exceeded 900 million dollars as against a target of 853 million dollars. Exports remained somewhat dismal in September but gained momentum in October when they were 891 million dollars as against 843 million dollars and were 850 million dollars in November against a target of 842 million dollars.

In coming months the officials have fixed an export target of 811 million dollars for January, 833 million dollars for February, 830 million dollars for March, 872 million dollars for April, 927 million dollars for May and 1.08 billion dollars for June.

In final counts the export of cotton and textile products is expected to generate 6.76 billion dollars in entire 02-03. Officials say that initial report suggests that export of cotton and textiles have realised more than 3.3 billion dollars and if everything goes normal there is no reason why Pakistan should not earn about 7 billion dollars from this sector only.

Other items of core categories are rice, leather, sport goods, carpets, surgical instruments, petroleum products, molasses, meat and meat products are expected to realise 2.23 billion dollars. The five months export performance of these items were not very impressive as total earnings remained less than one billion dollars.

Officials are taking extra interest in motivating the exporters to build up export of these items through aggressive marketing techniques and efforts are reported to be going on.

Nine items placed in developmental category are expected to generate foreign exchange of 764 million dollars. In last five months more than 45 per cent target is reported to have been achieved and planners are confident of exceeding this projections in next six months.

Then there are miscellaneous items like cement, oil seeds, handicrafts guar and guar gum which are slow moving but are showing a steady growth.

Textile remain the focus of attention and businessmen and planners are confident that if situation remains normal Pakistan’s export during 02-03 could end up with 11 billion dollars figure by end June next.

Our Reporter adds from Islamabad: The trade deficit of Pakistan jumped to $590 million in the first half against $417.57 million during the first half of 2001-02.

According to the aggregate foreign trade figures released by the Federal Bureau of Statistics here Monday, nearly $73 million rise in trade deficit was due mainly to 18.71 per cent spurt in imports during the period under review. These amounted to approximately $5.79 billion.

The steep rise in imports nullified the impressive surge in exports, according to FBS figures.

The worsening imbalance is further accentuated when considered from the point of view of burden of balance of payments. During July-December, 2002, the trade deficit was equivalent to 11.36 per cent of export earnings, up 2 per cent from the corresponding period of previous year.