ISLAMABAD: Pakistan’s exports to South Africa fell 38 per cent over the past couple of years due to many obstacles to the expansion of bilateral trade.

Pakistan’s exports to the African nation declined to $184m in 2015-16 from $294m in 2013-14. Pakistan has a share of 0.3pc in the total imports of South Africa.

South Africa’s total international trade in 2015 was $172bn, consisting of $85bn exports and $87bn imports.

The reasons for the increase in Pakistan’s trade deficit given by the Ministry of Commerce were a slowdown in the South African economy and a sharp depreciation in the rand, the South African currency.

Pakistan’s major exports to South Africa are cement, cotton fabric (woven), made-up articles of textile materials, synthetic fabrics, leather, iron and steel manufacturing. To increase access to the South African market, according to an official source, the commerce ministry prepared a trade expansion road map, which has been submitted to the premier’s office.

Major components of the road map include taking part in leading trade fairs and exhibitions in South Africa and organising business forums in Karachi and Johannesburg.

According to the commerce ministry, South Africa applies high customs tariff on products that are of export interest to Pakistan.

Currently, the customs tariff rate is 95pc on textile made-ups, 42pc on knitted garments, 28pc on articles of leather, 28pc on footwear, 42pc on woven garments, 22pc on carpets, 27pc on sugar and confectionery, 22pc on cotton fabrics and 25pc on meat.

The African market was never on the priority list of either the government or the private sector. Instead, export promotion efforts have largely focused on the North American and European Union markets.

Published in Dawn, June 23rd, 2017