KARACHI, April 11: Pakistan’s international trade has remained undisturbed from eleven days of Iraq war in March when total trade volume exceeded two billion dollars.
This war has come to a virtual end recently — after 20 days — following the collapse of Saddam rule. Apparently, sea trade routes are expected to witness normal sailing of cargo vessels in the coming days.
Imports during the single month of March went up beyond $1.27 billion and exports were about $938 million. Both the export planners and traders believe that import and export volume during March are the highest for any single month during the current fiscal year.
Pakistan’s international trade did not come under strain from the show of muscle power by the US and its war partner, Britain.
Warships of these two countries roamed around in threatening posture in the immediate neighbourhood of Pakistan in the Arabian sea waters since late December, and their concentration reached peak in March before the outbreak of final offensive against Iraq on March 20. Both the export and import trade remained normal during the last more than three months. It remained virtually undisturbed when the US-led coalition launched an offensive on March 20.
“Dampening effect of this situation may reflect in April trade figures,” chairman of Export Promotion Bureau and minister of state Tariq Ikram told Dawn by telephone on Friday afternoon.
He was obviously referring to the reports of imposition of war risk surcharge by the international shipping lines, and complaints from the business that world buyers were reluctant to place purchase orders with Pakistan.
Businessmen and the officials appear to be confident of one thing now. “The worst is over in Iraq,” a leading textile businessman said on the condition of anonymity. According to his assessment, the US-led coalition will ensure a swift return to normalcy in Iraq and involve “friendly Islamic countries in the rehabilitation and reconstruction work in Iraq”.
Pakistan has made its presence in Iraqi market during the last three years. Pakistan’s wheat, rice, medicines, hospital equipment and construction material are familiar items in Iraqi market. “Political considerations and psychological factor may hinder Pakistani government and businessmen initially from going in a big way to Iraq,” he fears. But he is confident that once that phase is passed “there is going to be a beeline for Baghdad to secure contracts and business orders”. “After all Pakistan is gaining slowly and gradually a business foothold in post-Taliban Afghanistan also,” the businessman argue and assert that in final analysis “business consideration supersedes every other consideration.”
The EPB Chairman is confident of achieving an export target of $1.7 billion to the Middle Eastern countries during the current fiscal year. He said during 2001-02 Pakistan’s total exports to all the Middle Eastern states was $1.5 billion. The Bureau set a target of $1.7 billion exports to these countries. Before the outbreak of war on March 20, Pakistan’s export to the Middle Eastern countries amounted to $1.02 billion.
The 20-day Iraq war might have affected supply of goods from Pakistan to the Middle East. But the EPB chairman is confident that Pakistan is now in a position to export $128 million worth of goods to the Middle East every month for next four months.
