KARACHI, April 12: The government planners are considering to set an export target of 11.5 billion dollars for next fiscal year, which would be a little more than a billion dollars than the 10.4 billion dollars for the current fiscal year.
A more than 20 per cent growth in export earnings during last nine months over exports of same period in 2001-02 has given tremendous confidence to the officials in the commerce ministry. They are now thinking in terms of setting quantum leap jump in export targets for themselves in the coming years.
“We are planning to celebrate the achievement of 10 billion dollars target sometimes in May,” Tariq Ikram, the Chairman Export Promotion Bureau and Minister of State told Dawn by telephone. “If we can earn 10 billion dollars this year, let us plan to earn 15 billion dollars in next two or three years and 20 billion dollars in five years or so,” he remarked.
Officials looked somewhat shaken a few weeks ago after the launching of US-led offensive against Iraq on March 20. There were doubts on export prospects. But they now seem to be back on the track and are pretty confident of even exceeding 10.4 billion dollars target by end June and hence the optimism for earning 11.5 billion dollars from export trade in 2003-04.
After netting about 7.9 billion dollars export earnings during July-March 02-03 period that include 938 million dollars in single month of March, the officials do not find realisation of 800 million dollars plus every month for next three months a very difficult task.
Officials in the EPB attribute improvement in export performance to the hard work put in by them in last three years. The country’s export base is now gradually being expanded and diversified in terms of commodities and markets.
Tariq Ikram claimed that a category of 10 non-traditional items showed 26 per cent rise and exports in African market registered a quantum leap of 40 per cent in the current fiscal year. Textiles continue to remain leader of Pakistan’s export trade and at least each of five items—yarn, cloth, knitwear, bedwear and readymade garments are going to net in one billion dollars before the end June next.
The Export Promotion Bureau is planning to organize a grand seminar on quantum leap jump in exports in May. Officials say that it is going to be a very high level seminar in which top bureaucrats, bankers and business leaders will participate to address export related issues in new emerging regulatory frame-work of the World Trade Organization (WTO).
The seminar will address the issue of production cost of exportable goods with reference to utilities tariff, financial charges and operation of banking system. It will also discuss and debate the industrial productivity and all other related issues.
The exporters and the government continue to face the problem emerging from Pakistan’s image abroad. “No buyers are coming to Pakistan,” complained a readymade garment exporter. The EPB has found a solution of this problem by organizing participation of Pakistan’s businessmen in more than 40 exhibitions and fairs abroad during the current fiscal year. Another solution is to set up warehouses of different items in Middle East, Europe and other places.
The main problem to be faced by the exporters in coming months is the expected appreciation in rupee value which could affect their earnings. With high utility tariff, rising transportation cost and increasing financial charges the exporters consider earning of a depreciated dollar a bad proposition.
