Chinese expert sees great potential in Pakistan’s service trade

Web DeskWeb Editor

28th Aug, 2021. 04:19 pm
trade

BEIJING: Pakistan is a country with a population of more than 200 million and has a huge consumer market. Population and resources are huge advantages for the development of service trade, and their labour force is very young, a Chinese expert said on Saturday.

Zhang Wei, chief expert of China Association of Trade in Services, said that during FY2020/21, Pakistan’s service exports increased 9.19 per cent to $5.937 billion, and the service trade deficit fell sharply 43 per cent. Pakistan service trade shows great potential. For its development, Wei shared his advice.

“For Pakistan, the development of the network infrastructure industry should be the priority. It is necessary to establish 4G and 5G base stations, especially in ports where cross-border freight is concentrated and large cities where cross-border trade is concentrated. This is the foundation of developing online cross-border trade.” Wei told CEN.

He said he knew there are many Chinese network companies, including China Mobile investing in Pakistan for its infrastructure network facilities and he strongly supports that. Wei also stressed the importance of the processing trade development.

“Pakistan’s exports to China, including agricultural products and minerals, are all resources products.

China’s exports to Pakistan are all manufacturing products, home appliances, electronics, and mechanical products. Such trade in goods between China and Pakistan is bound to have a deficit.” Wei said, adding that Pakistan should increase the value addition and a variety of products, which could help increase the employment generation and promote the development of service trade.

Last year, China signed RCEP with 14 countries. Wei said that it manifests the international cooperation tendency of establishing free trade zones and signing free trade agreements.

“More and more countries have reached a consensus to be more open and provide convenience in their Customs. All participants have benefited from RCEP. Vietnam has cooperated with China in entrepot trade, and Singapore and China cooperate in offshore finance. RCEP can provide them with more conveniences and profits,” he said.

These have strong references for Pak-China cooperation. China and Pakistan also have free trade agreements, which can be fully utilised.”

“[The] trade between Pakistan and China has progressed a lot during the first six months of 2021. In this duration, Pakistani exports have increased up to 80 per cent. The reason behind this is that in 2020 the second phase of FTA was launched,” Pakistan’s Ambassador to China Moin ul Haque said.

“Along with that we are trying to arrange promotional events, many Pakistani pavilions are established in many cities of China, through which we are promoting Pakistani products.”

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