ISLAMABAD: The “Look Africa Plan” undertaken by Trade Development Authority of Pakistan (TDAP) underscores the need to effectively explore markets other than Europe and the United States. It helps diversify Pakistan’s export markets by tapping into the immense potential of the African continent.
According to the Ministry of Commerce data, Kenya, South Africa, Madagascar, Tanzania, Egypt and Nigeria are Pakistan’s top export destinations in Africa. It shows that Pakistan’s exports to most of its top destinations in the African continent are increasing over the time, which indicates that Africa’s top economies are becoming attractive for Pakistani exports.
Exports to African countries rose to $369.21 million during the first quarter (Q1) of the fiscal year 2022-23 from $307.42 million during the same period of the fiscal year 2021-22.
Kenya remained the largest export destination in the African continent during Q122, with an export volume of $60.44 million, registering 34% growth against the same months of FY21 when export volume was recorded at $45.12 million.
Exports to South Africa were recorded at $54.738 million during the period under review, compared to $46.03 million during the corresponding quarter of the last year, with an increase of 18.90%. With an export volume of $33.56 million, Egypt registered as the third largest market for Pakistan in Africa during August 2022. Exports to Tanzania grew to $21.12 million during July-September 2022 from $11.48 million during the same months of 2021. Exports to African countries also grew by 22.32% during September 2022 compared to the same month of the previous year. Exports to African countries were recorded at $128.69 million during September 2022 against $105.2 million during the corresponding month of 2021.
Traditionally, Europe and the US have been the primary export destinations for Pakistan. However, the initiative encourages Pakistani businesses to explore and expand their trade horizons by venturing into the African market. By diversifying export markets, Pakistan can reduce its dependence on a limited number of countries and mitigate risks associated with market fluctuations and trade barriers.
Experts believe that by endorsing the need to effectively explore markets other than Europe and the US, this strategic undertaking aims to forge stronger trade relations between Pakistan and African countries. Through enhanced trade promotion efforts, addressing trade barriers, and building sustainable partnerships, the “Look Africa Plan” has the potential to unlock new avenues of economic growth for Pakistan while contributing to the development of Africa’s economies. –INP
