Under the 2020 survey, 11,520 importers and exporters, Pakistan can increase it’s export by up-to $12bn in export proceed by 2024.
The trading industry of Pakistan has been affected due to the halt of export due to the COVID-19 Pandemic.
The report further identifies the trading hurdles facing Pakistani businesses-
More than half of the country’s exporters struggle with domestic and foreign regulatory barriers, says invisible barriers to trade- Pakistan 2020′
The ITC’s latest export potential assessment for Pakistan identifies the measure that Pakistani businesses face. Among which most of them were homegrown. It includes lack of technical requirements, insufficient trade-related information, and inadequate infrastructure
In the report ITC’s acting Executive Director Dorothy Tembo says,
“There is great scope for the government of Pakistan to streamline processes, improve quality management and work with exporters to provide consistent, transparent and timely information,”
According to the NTM survey in Pakistan, it is estimated that the market carries 49% of small enterprises and 57% of medium-sized firms. These face troubles with non-tariff measures. While on the other hand, 54% of large companies are difficult to manage.
Consideration of Regulation for Exporters
It affects small and large scale markets entrepreneurs with a lack of support from government sectors on matters such as tax refunds, export inspections, and certification. It has been estimated that compliance of regulation and procedure is difficult for 51p% of Pakistani exporters and 46% of importers. Most agricultural exporters (60%) — especially those dealing with fresh and processed foods.
However, to ensure human health, Pakistani companies that manufactured goods face a challenging situation concerning rules related to quality standards, safety, and production processes (4%).
Pakistani exporters find it difficult to follow those strict policies in comparison to the neighboring SAARC countries. They account for only 5% of the problems that local exporters experience with foreign rules & regulations in the export of goods.
The Role of the Local Government
Exporters reported that most of the obstacles occur within the country due to the unavoidable paperwork. The high charges to obtain the required certification or testing, create additional problems. Informal payments and inadequate facilities for testing and certification in Pakistan were also a complication.
Small and medium scale enterprises take measures to strengthen their businesses. Consequently, they can give the local laboratories the testing and certification process.
Introducing a portal service for transparency of can ensure reliable import and export systems. Automation of warehouses and custom services should also be brought into notice.