@@INCLUDE-HTTPS-REDIRECT-METATAG@@ Chinese goods dominate Pakistan’s local markets

Chinese goods dominate Pakistan’s local markets

While the Pakistan aims to generate more business activities and make new inroads for Chinese goods especially automobiles under the China-Pakistan Economic Corridor (CPEC), manufacturers of Pakistan are feeling the pinch of the onslaught. Cheap, mass-produced Chinese products including fabric, toys and watches have taken up a major market share in Pakistan.

 

Chinese clothing material (100pc polyester) is heavily used in making dress shirts and now occupies 70pc market share.

 

China has captured toys market with 90pc market share. Toys worth Rs700-800 million arrive in Karachi alone every year.

 

In artificial jewellery, China enjoys more than 50pc market share. Indian jewellery holds 30pc of the market share while only 20pc belongs to local producers.

 

Thriving imports from China are ballooning country’s trade deficit as imports are rising and exports are falling. Chinese buying of Pakistan-made goods fell sharply in the first half of 2016-17 to $770 million against $1.02 billion a year ago. Pakistan's exports to China has been continuously falling from $2.69 in 2013-14 to $1.9 billion in 2015-16.

 

Chinese envoy to Pakistan Sun Weidong, has said that China has little interest in importing goods produced in Pakistan. It would be ready to import only after Chinese factories are established in Pakistan, and they begin manufacturing.