ISLAMABAD, Nov 5: The country’s exports during the first four months of current fiscal (July-Oct 2002-03) were recorded at $3.478 billion as against $3.024 billion during the same period of previous fiscal, showing a rise of 15 per cent.

“The government is confident of achieving export target of $10.4 billion for the fiscal 2002-03, as the four months’ figures are 5.5 per cent ahead of target,” Commerce Minister Abdul Razak Dawood told reporters at a press conference here on Tuesday.

The minister said exports in October reached $891 million as against $759.9 million achieved in October 2001, showing 17.3 per cent increase, adding this export figure is highest ever for the month of October.

Razak Dawood informed newsmen that the country’s imports in October this year stood at $1.01 billion, witnessing an increase of 20.6 per cent over imports worth $838 million realized in the corresponding month of last fiscal.

While during the first four months (July-October), the imports were recorded at $3.79 billion, showing 13.4 per cent increase over the imports worth $3.34 billion achieved in the like period of previous fiscal, he added.

The minister further said that during July-October period of the current fiscal, the trade deficit reduced to $310.6 million from $317.9 million in July-October 2001-02, registering a decline of 2.3 per cent.

Exports as percentage of imports increased to 91.8 per cent during July-October 2002 from 90.5 per cent during July-October 2001, he added.

Mr Razak expressed his confidence over the future of textile which is looking good as per the textile vision 2005, adding there is improvement in value added exports and the clean cotton campaign has started showing results.

The Minister further said that country was likely to produce 10.5 million raw cotton bales this year as against the targeted consumption of 12 million bales and added the rest of consumption demand would be met through imports.

Razak Dawood was hopeful that country’s textile exports could reach $10 billion by 2005 as investment of around $1 billion in textile machinery over the past three years was now showing results.

Similarly, the minister said the engineering industry was also on the path of improvement through ‘Engineering Vision 2010’, adding, “We have to take this industry much forward from the existing level of around $270 million per annum exports.”—APP

Our Staff Reporter adds: With regard to FTA with the US, Commerce Minister Abdul Razak Dawood did not give a specific answer saying the process takes two/three years in the United States. “You will flash it too much like its happening tomorrow...even before the (signing of) FTA with Sri Lanka. That is not the case,” said the minister.

He, however, said that during his meeting with the US under secretary of state Alan Larson on Wednesday, the subject of discussion would be the meeting of the Pak-US working group in Washington on Dec 10, 2002.

The minister said that the two sides have agreed to broaden the agenda to include items other than textile exports for market access, textile exports and world trade organization (WTO) issues.

To another question whether the United States would be increasing exports quotas for Pakistan, the minister said that the issue has been under discussion and the quota would of course increase.

The commerce minister said that the trade agreement between the ASEAN members and China signed recently would not affect Pakistan because it was trying to get greater market share from these states particularly Malaysia and Thailand.

Talking about FTA with Sri Lanka, the minister said that the two sides were still in the negotiations stage and were extremely close to the formal signing.

He hoped that the new government would maintain cotton policy and allow free import and export of raw cotton on international parity prices, achieve greater market access with China, the USA, Indonesia, Morocco, Kenya and South Africa.

He said that total cotton consumption was expected to be around 12 million bales and perhaps around 1.5 million bales would have to be imported in view of 10.5 million bales projected production at home.