LAHORE: The Businessmen Panel (BMP) of Federation of Pakistan Chambers of Commerce and Industry (FPCCI) said that there is a significant trade, and investment, potential with the Association of Southeast Asian Nations (ASEAN) member countries.
BMP Chairman Mian Anjum Nisar said that the volume of trade between Pakistan and ASEAN can increase by $4-5 billion in a few years if we revisit our policy. He added that Pakistan should take maximum advantage of a rapidly globalising economy, and should try to excel in particular segments within the international supply chains.
“Japan is one of the top consumers of iron ore, although it doesn’t produce any of it. Pakistan may be one of the top producers of cotton, but Bangladesh leads in the garment manufacturing,” he said while emphasising the need for regional cooperation to gain competitive advantage.
Anjum Nisar further said that regional agreements are used for not only promoting trade and investment but also strengthening domestic policy reforms. He added, “Pakistan is important for ASEAN as much as ASEAN is important for Pakistan when it comes to economic cooperation.”
The panel’s spokesman Ahmad Jawad said that “integration within ASEAN will be a key boost to the region’s economic growth in the medium-term for us”. He added, “We are already seeing an increase in intra-regional trade both within ASEAN and among Asia’s emerging economies more broadly.”
Jawad said that with a population of more than 600 million and a nominal GDP of $2.31 trillion, ASEAN, composed of Brunei, Myanmar, Cambodia, Indonesia, Laos, Malaysia, Philippines, Singapore, Thailand and Vietnam, is fast becoming a major economic force in Asia and a driver of global growth.
He also said that as the economies of the neighbouring China and India decelerate, and as the US shifts its focus to the east, the region is increasingly becoming a destination for investment. This means, he added, that Pakistan should revisit its trade policy and start close ties with this emerging block in order to boost its economic growth.
Similarly, commerce ministry should expedite the Free Trade Agreement (FTA) with Thailand, and further give due willingness towards Singapore for the FTA, which may enhance country’s horticulture and textile exports, he added.
