The Ministry of Commerce of Government of Pakistan has approved ‘Look Africa Plan’ with stringent measures to boost bilateral trade between Pakistan and Africa in the upcoming years.
Pakistan’s total trade with Africa is $3 billion as against the total trade volume of $3 trillion. Pakistan’s share in total trade of African countries is 0.3 per cent.
Under the policy, top 10 countries out of the 54 African nations selected trade promotion include Nigeria, Kenya, South Africa, Morocco, Algeria, Egypt, Sudan, Tanzania, and Ethiopia. All these countries constitute 78pc of the total African gross domestic product (GDP).
According to the policy, Pakistan will offer to negotiate a preferential trade agreement with three African trading blocs – Southern African Customs Union (SACU), East African Community (EAC), and Economic Community of West African States that constitute (ECOWAS).
SACU members are Botswana, Lesotho, Namibia, South Africa and Swaziland while EAC comprises of Burundi, Kenya, Rwanda, South Sudan, Tanzania, and Uganda. ECOWAS members are Benin; Burkina Faso; Cabo Verde; Côte d’Ivoire; Gambia; Ghana; Guinea; Guinea Bissau; Liberia; Mali; Niger; Nigeria; Senegal; Sierra Leone; and Togolese.
Currently, Pakistan has only 13 joint ministerial commissions with African countries that are not sufficient for institutional strengthening of both sides. (The JMCs are only with Algeria, Senegal, Morocco, Egypt, Kenya, Libya, Niger, Nigeria, South Africa, Sudan, Tunisia, Uganda, and Zimbabwe).
The commerce ministry of Pakistan will also open new commercial sections in Africa at least in the largest economies including Egypt, Tanzania, Ethiopia, Sudan and Algeria where Pakistan has resident embassies. Currently, the commerce ministry’s commercial sections only exists in four African countries — Kenya, South Africa, Nigeria and Morocco.
Out of 54 countries, Pakistan has resident missions only in 15 African countries – Egypt, Libya, Algeria, Tunisia, Morocco, Senegal, Nigeria, Niger, South Africa, Mauritius, Zimbabwe, Tanzania, Kenya, Sudan and Ethiopia. The remaining 39 countries are covered through accreditation.
Priorities for Business
The ministry has also prioritised six sectors to promote its exports to African countries – pharmaceuticals and surgical instruments, electrical appliances, rice, wheat, corn, textiles, cement and construction materials and services.