Non-traditional items' exports surge by 139pc: Fiscal years 1999-2003
KARACHI, Oct 6: Pakistan's exports saw a fabulous growth of $3.745 billion or 43.7 per cent during last four years (1999-2003), with major thrust seen on non-traditional items rising up to $1.022 billion or 139 per cent over the base year (1998), officials said on Wednesday.
It is fascinating that among the non-traditional items petroleum products (POL) took the lead at $212 million, showing a growth of 260 per cent against the base year 1998. Other non-traditional products' exports scrambled to $810 million, registering an increase of 139 per cent.
Similarly, developmental items also recorded a remarkable growth at $304 million or 64 per cent over the base year 1998. The products included in non-traditional category were engineering goods, cement, sugar, chemical, meat and meat products, poultry, wheat, handicrafts and other small items.
The general notion that the 15 per cent extra market access given by the European Union and the US has little standing as both contributed around $446 million towards exports. During 2002-03, the EU's extra market access contributed $306 million more towards exports and the US $140 million, sources at the Export Promotion Bureau said.
During the last four years, textiles and garments registered a growth of 41 per cent at $2.398 billion, rice 18 per cent at $202 million, leather and leather products was higher by 37 per cent at $202 million, carpets rose by 12 per cent at $33 million, sports goods increased by 16 per cent at $46 million and surgical goods were higher by 10 per cent at $13 million.
There is a consistency in the growth of exports of non-traditional goods and during the fiscal year 2003-04, fish and fish preparation exports were higher by 14 per cent, fruits and vegetables spurt by 17 per cent, engineering goods by 35 per cent, gem and jewels increased by 14 per cent, IT higher by 58 per cent, meat and meat products rose by 42 per cent, cement by 16 per cent, sugar higher by 18 per cent, and all other small category of items were higher by 211 per cent.
Under a geographical diversification growth in exports to the African continent during the last four year was higher by 29 per cent and Eastern European by 178 per cent.
Both these areas had been neglected and little efforts were made to explore these markets by the exporters. Basic reason had been the lack of normal banking facilities and unwillingness on the part of exporters to take risk to such markets.
Traditional markets also witnessed a substantial growth during this period (1999-2003) with North America showing 34 per cent rise in exports, Western Europe higher by 48 per cent and the Middle East recording a 91 per cent growth in exports.
There was a ban on meat imports from Pakistan by Saudi Arabia and the UAE, but it was removed on a pro-active approach from the EPB. Similarly, African countries also lifted the ban on import of fruits and vegetables from Pakistan and duty on rice was reduced.
China allowed mango imports, whereas Romania and Turkey lifted the ban on import of animal casing from Pakistan. The EU removed restriction on fish import from Pakistan and the US on shrimp imports.
The market expansion to the newly-found world of Eastern Europe and Russia also produced encouraging results with tremendous potential in growth of exports during the last four years. Exports to Poland rose by 265 per cent, to Russia by 500 per cent, Romania by 99 per cent, Hungary by 120 per cent, Czech Republic by 48 per cent and exports to Lithuania were higher by 472 per cent.
No matter how meagre the export amount may be to these countries but some breakthrough had been achieved in exploring new markets which was one of the major problems for Pakistan.
In the African continent, Kenya emerged as a strong trading partner during the last four years, showing a growth of 344 per cent. Exports to Morocco rose by 47 per cent, Mauritania higher by 55 per cent, Egypt by 31 per cent, Madagascar by 199 per cent, Nigeria by 87 per cent, Sudan by 460 per cent, Uganda by 158 per cent and Senegal by 785 per cent.
The actual quantum of exports and earnings may not be as high as the traditional markets have been showing but it was encouraging that there had been a diversification in exports of the country.