Coronavirus fallout: Pakistan braces for massive impact on trade with China

A Pakistani Naval personnel stands guard beside a ship carrying containers during the opening of a trade project in Gwadar port, some 700 kms west of Karachi on November 13, 2016. (AFP)
Short Url
Updated 19 February 2020
Follow

Coronavirus fallout: Pakistan braces for massive impact on trade with China

  • Deadly outbreak could affect 25% of Sino-Pak commerce, businesses say
  • Prolonged supply chain disruption may create a shortage of raw material in the country, experts say

KARACHI: A day after Moody’s predicted an economic growth slowdown across the Asia Pacific region, triggered mainly by the deadly coronavirus outbreak in China, Pakistan’s business community and experts said on Wednesday that it could disrupt 25 percent of trade between the two countries, due to delayed shipments from Beijing.

The international credit rating agency shared its research report on Tuesday where it predicted that the coronavirus outbreak could add to pressures on growth, with the impact felt primarily in trade and tourism, and for some sectors through supply-chain disruptions, too.

“Our baseline assumption is that the economic effects of the coronavirus outbreak will continue for a number of weeks before tailing off and allowing normal economic activity to resume,” Christian de Guzman, a senior Vice President at Moody’s, said on Tuesday.

Moody’s further lowered China’s growth, reflecting the impact of the virus which has killed 1,868 people in China thus far after it was first reported in January this year.

This is in addition to more than 72,436 cases of infections that are currently under investigation.

“We have lowered our China growth forecast to 5.2% for 2020 from 5.8% previously, reflecting a severe but short-lived economic impact, with knock-on effects for economies across the region,” De Guzman said.

The outbreak has also impacted China’s external trade and disrupted global supply chains, with the country’s economy on a standstill for the past three weeks after Beijing extended the lunar new year holiday to contain the spread of the virus.

Closer to home, it means a delay in shipments of raw materials to Pakistan.

“We can say that around 25 percent trade with China is impacted so far and if the holiday break is further extended, the situation for Pakistan may be worrisome because it may create a shortage of raw material for our industries,” Khurram Ijaz, Vice President of the Federation of Pakistan Chambers of Commerce and Industry (FPCCI), told Arab News.

Pakistani importers, for their part, said that delayed raw material shipments from China, especially chemicals used by textile industries, could have a negative impact on the sector.

“There is a disturbance in the trade flow as the supplies come from there (China). The production will be impacted in Pakistan because the raw material for many industries comes from China,” Imran Ghani, Former Chairman of Pakistan-China Business Council, said. 

Importers of chemicals and dyes from China fear that this could eventually lead to a substantial drop in exports.

“The chemical and dyes sector imports raw material for the textile sector that may hurt exports. At present, orders have been placed but shipment delays will create supply gaps and those who are not maintaining buffer stocks will face a difficult situation in meeting export targets,” Amin Yousuf Balgamwal, Pakistan Chemicals & Dyes Merchants Association, told Arab News.

Another sector that is bearing the brunt of the coronavirus outbreak is that of fruit and vegetables.

“We are facing a shortage of reefer containers due to a reduction in the volume of import cargoes, followed by a marked downward trend in the imports from China which is having a pronounced negative impact on exports,” Waheed Ahmed, the Patron-in-Chief, All Pakistan Fruit & Vegetable Exporters, Importers & Merchants Association (PFVA), said, adding that following a ban on the import of garlic from China, the Chinese garlic is “being re-exported from Pakistan, too.”

Pakistan’s import and export with China amounted to around $6 billion during the first six months of the current fiscal year FY20, while both the countries exchanged goods worth $11.8 billion during the last fiscal year FY19, State Bank of Pakistan data stated.
 


Pakistan announces star-studded commentary panel for PSL 10th edition

Updated 06 April 2025
Follow

Pakistan announces star-studded commentary panel for PSL 10th edition

  • Former England Test captain Alastair Cook is set to make his PSL debut behind the mic this season
  • The PSL 10th edition will also feature a full-match broadcast in Urdu commentary for the first time

ISLAMABAD: The Pakistan Cricket Board on Sunday announced a star-studded commentary panel for the 10th edition of the Pakistan Super League (PSL) Twenty-20 tournament, with former England Test captain Alastair Cook set to make his PSL debut behind the mic.
The six-team tournament is scheduled to commence from April 11 at the Rawalpindi Cricket Stadium and will conclude on May 18, with the final taking place at the Qaddafi Stadium in Lahore.
The tournament will feature 34 matches in Karachi, Lahore, Multan and Rawalpindi.
“Cook will be joined by former MCC President Mark Nicholas – a renowned voice in cricket commentary since retiring from competitive cricket in 1995,” the PCB said.
“Joining Cook and Nicholas are fellow countrymen Dominic Cork and Mark Butcher, while South Africa’s Jean-Paul Duminy and Mike Haysman will also be part of the panel.”
From Bangladesh, it will be Athar Ali Khan, and he will be joined by New Zealand’s former Test cricketer Martin Guptill. Australia’s two-time ICC Women’s World Cup winner Lisa Sthalekar will also lend her voice to the tournament.
Commentators from Pakistan include four former Test captains, Aamir Sohail, Ramiz Raja, Waqar Younis and Wasim Akram. They will be joined by former Test cricketer Bazid Khan, former Pakistan women’s team captain Urooj Mumtaz and cricket analyst Sikander Bakht.
In a historic move, PSL-10 will also feature a full-match broadcast in Urdu commentary for the first time.
“The Urdu commentary panel includes Ali Younis, Aqeel Samar*, Marina Iqbal*, Salman Butt and Tariq Saeed, who will be joined by the above Pakistan’s commentators for selected segments,” the PCB said.
Erin Holland and Zainab Abbas will be the presenters during the league matches.
“We are excited to welcome a star-studded commentary team, featuring some of the most iconic names in the cricketing world — including legendary former Test captains and top-tier broadcasters. Their involvement not only enhances the quality of our coverage but also highlights the global stature of the HBL PSL,” PSL Chief Executive Officer Salman Naseer said.
“This year, for the first time in HBL PSL history, we will be broadcasting a full match entirely in Urdu commentary – a move that brings us even closer to our passionate fanbase across Pakistan. We are confident that the combination of iconic voices and fresh innovations will enhance the viewing experience for fans at home and around the world.”


Pakistan says killed eight militants infiltrating its border with Afghanistan

Updated 06 April 2025
Follow

Pakistan says killed eight militants infiltrating its border with Afghanistan

  • The Pakistani Taliban militants were trying to infiltrate the border in North Waziristan district of Pakistan’s Khyber Pakhtunkhwa province
  • Islamabad has frequently blamed the surge in militancy in its western provinces of KP and Balochistan on Afghanistan, Kabul denies the charge

ISLAMABAD: Pakistani security forces have killed eight Pakistani Taliban militants who were attempting to infiltrate the country’s border with Afghanistan in the northwestern Khyber Pakhtunkhwa province, the Pakistani military said on Sunday.
Pakistan has struggled to contain a surge in militancy in the country, particularly in KP, since a fragile truce between the Pakistani Taliban, or the Tehreek-e-Taliban Pakistan (TTP), and Islamabad broke down in November 2022.
The TTP and other militant groups have frequently targeted security forces convoys and check-posts, besides targeted killings and kidnappings of law enforcers and government officials in recent months.
In the latest incident, security forces had an intense exchange of fire with the group of militants who attempted to infiltrate the border in KP’s North Waziristan district, according to the Inter-Services Public Relations (ISPR), the Pakistani military’s media wing.
“Sanitization operation is being conducted to eliminate any other Kharji [TTP militant] found in the area,” the ISPR said in a statement.
The North Waziristan district, which borders Afghanistan, had been a stronghold of the TTP before successive military operations drove the militants out of the region more than a decade ago. Pakistan says TTP fighters have regrouped in the restive region in recent years.
Islamabad has frequently blamed the surge in militancy in its western provinces of KP and Balochistan on Afghanistan, accusing Kabul of sheltering and supporting militant groups that launch cross-border attacks. Afghan officials deny involvement and insist that Pakistan’s security issues are an internal matter of Islamabad.
“Pakistan has consistently been asking interim Afghan government to ensure effective border management on their side of the border,” the ISPR said.
“Interim Afghan government is expected to fulfil its obligations and deny the use of Afghan soil by Khwarij for perpetuating acts of terrorism against Pakistan.”


Pakistan seeks ‘comprehensive’ partnership with Russia in energy, agriculture and IT sectors

Updated 06 April 2025
Follow

Pakistan seeks ‘comprehensive’ partnership with Russia in energy, agriculture and IT sectors

  • Pakistan and Russia, once Cold War rivals, have strengthened ties in recent years through increased dialogue and trade cooperation
  • Senate Chairman Gilani expresses Pakistan’s support for Russia’s role in promoting regional stability, multipolar global governance

ISLAMABAD: Pakistan seeks a “comprehensive” partnership with Russian in energy, agriculture, information technology (IT) and other sectors, Pakistan’s Senate Secretariat said on Sunday, citing Senate Chairman Yousuf Raza Gilani.
The statement followed Gilani’s meeting with Valentina Matviyenko, chairwoman of the Federation Council of the Russian Federation, on the sidelines of the 150th Inter-Parliamentary Union (IPU) Assembly in Tashkent.
Gilani highlighted the shared aspirations of both nations for peace, security and multipolarity in global affairs, and emphasized the increasingly broad-based cooperation across various sectors and multilateral platforms.
“Both sides discussed diversifying economic ties in areas such as energy, agriculture, pharmaceuticals, and IT. Chairman Gilani advocated for the establishment of banking channels and improved connectivity under regional frameworks,” the Senate Secretariat said in a statement.
“Chairman Gilani concluded by reaffirming Pakistan’s readiness to work with Russia toward a comprehensive, forward-looking partnership and extended an invitation for future parliamentary exchanges in Islamabad.”
Pakistan and Russia, once Cold War rivals, have strengthened ties in recent years through increased dialogue and trade. In 2023, Islamabad began purchasing discounted Russian crude oil banned from European markets due to Russia’s war in Ukraine, and also received its first shipment of liquefied petroleum gas from Moscow.
In December last year, Russia and Pakistan held intergovernmental meetings in Moscow and discussed cooperation on oil and gas offshore exploration and refining, according to a Reuters news agency report. Russian Ambassador to Pakistan Albert P. Khorev this year announced cooperation with Pakistan in the energy and industrial sectors, including the modernization of a state-owned steel mill.
Gilani expressed Pakistan’s support for Russia’s role in promoting regional stability and multipolar global governance, according to the Senate Secretariat.
“Both sides emphasized the importance of coordinated efforts in forums like the SCO (Shanghai Cooperation Organization) and UN (United Nations), particularly regarding climate action, food security, and counter-narcotics,” it added.


‘No one to return to’: Afghans fear Pakistan deportation

Updated 06 April 2025
Follow

‘No one to return to’: Afghans fear Pakistan deportation

  • Islamabad announced at the start of March that 800,000 Afghan Citizen Cards would be canceled
  • The deportation program has already forced 800,000 undocumented Afghans across the border

Rawalpindi: Benazir Raufi stands alone in her restaurant, her staff and customers too afraid to visit after Pakistan’s government announced it was canceling the residence permits of hundreds of thousands of Afghans.
Islamabad announced at the start of March that 800,000 Afghan Citizen Cards (ACC) would be canceled — the second phase of a deportation program which has already forced 800,000 undocumented Afghans across the border.
“If I’m deported, it will destroy me. Either my heart will stop, or I’ll take my own life,” 45-year-old Raufi, who was 13 years old when her family fled civil war in Afghanistan in the 1990s, told AFP.
“Pakistan gave us our smile and now those smiles are being taken away.”

This picture taken on March 3, 2025 shows Afghan Citizen Cards (ACC) holder Benazir Raufi at the counter of her restaurant in Rawalpindi, Pakistan. (AFP)

Ten Afghan women who worked for her have refused to leave home after the restaurant in Rawalpindi was raided by police — facing deportation to a country where women are banned from studying, certain jobs and visiting some public places like parks.
“I have no one to return to. The Taliban won’t accept us,” Raufi added, her voice cracking.
The government’s deadline for ACC holders to leave voluntarily has been pushed back to April, but harassment by authorities has been underway for months, according to activists.
Those born in Pakistan, married to Pakistanis, or living for decades in the country are among those to have their government residence permits canceled.
The deportation campaign comes as political ties between the neighboring governments have soured over Pakistan’s rapidly deteriorating security situation along the border.
Last year was the deadliest year in almost a decade in Pakistan, with more than 1,600 people killed in attacks — nearly half of them security forces personnel — according to the Islamabad-based Center for Research and Security Studies.
Pakistan accuses the Taliban government of failing to root out militants sheltering on Afghan soil, a charge the Taliban government denies.
The Taliban government has repeatedly called for the “dignified” return of Afghans to their country, with Prime Minister Hassan Akhund urging countries hosting Afghans not to force them out.

This picture taken on April 3, 2025 shows Afghan refugee Dua Safay, whose real name has been changed, hanging clothing in her rented home in Rawalpindi, Pakistan. (AFP)

“I have freedom (in Pakistan) — I can visit the park, and my daughter can go to school,” Dua Safay, who fled when the Taliban government returned to power in 2021.
“There’s no future for me or my daughter in Afghanistan,” added Safay, whose real name has been changed.
Some 600,000 Afghans have crossed the border into Pakistan since the Taliban government implemented their austere version of Islamic law.
“They will be sent back to a country where conditions are extremely harsh, especially for women and children,” according to Moniza Kakar, a Pakistan-based human rights lawyer.
“These people fled to escape persecution. Forcing them back into that fire is a violation of international law.”
Millions of Afghans have traveled to Pakistan over the past four decades, fleeing successive conflicts including the Soviet invasion, a civil war and the post-9/11 US-led occupation.
The ethnic Pashtun belt of Khyber Pakhtunkhwa which borders Afghanistan shares close cultural and linguistic ties with Afghan Pashtuns.

This picture taken on April 3, 2025 shows Afghan refugees walking through a refugee camp in Islamabad, Pakistan. (AFP)

Around 1.3 million Afghans with resident cards issued by the UN Refugee Agency (UNHCR) are allowed to remain in the country but have been banned from the cities of Islamabad and Rawalpindi.
“Over 1,000 people have been moved to detention centers in the past three to four days, while thousands are leaving voluntarily all over Pakistan,” Kakar added.
Many families fear being mistreated or extorted for money by the authorities if they are detained, or of being separated from relatives.
“If I have to go, I’ll go in tears, with a broken heart,” said 43-year-old Naimatullah, who was born in Pakistan and has never been to Afghanistan.
“They (people) won’t even see me as an Afghan — they’ll call me Pakistani. I am a nobody.”
After the deadline, Samiullah, who was born in an Afghan refugee camp in Pakistan and is married to a Pakistani woman, will be considered an illegal foreigner.
“My wife will not be able to go with me, my daughters are from here. It is a constant struggle. I can’t get caught,” the 29-year-old told AFP.

This picture taken on April 3, 2025 shows Afghan refugees gathered inside a room at a camp in Islamabad, Pakistan. (AFP)

Tens of thousands of Afghans living in Pakistan who are waiting to be relocated to Western nations also fear being deported.
Most are advised by Western nations to cross into Pakistan where their asylum claims take months to be processed.
Among them is Samia Hamza, a 31-year-old women’s rights activist and mother of four, currently in the northwestern city of Peshawar.
“They gave us a support letter but the Pakistani police does not recognize it,” she told AFP.
“We need to stay one more month in Pakistan, then we will receive our visa to Brazil and leave.”


European experts to arrive in Islamabad tomorrow to train Pakistani aviation inspectors

Updated 06 April 2025
Follow

European experts to arrive in Islamabad tomorrow to train Pakistani aviation inspectors

  • Pakistan has recently witnessed a massive surge in militant violence, including deadly suicide attacks
  • The development comes months after EU lifted its ban on PIA and authorized Airblue to fly to the bloc

ISLAMABAD: A team from the European Civil Aviation Conference (ECAC) will arrive in Islamabad on Monday to provide specialized security training and certification to Pakistani aviation inspectors, a Pakistan Civil Aviation Authority (PCAA) official said on Sunday, amid growing security concerns in the South Asian country.
Pakistan has recently witnessed a massive surge in militant violence, including deadly suicide attacks, in its two western provinces of Balochistan and Khyber Pakhtunkhwa.
According to the Global Terrorism Index (GTI) 2025 report, Pakistan is the second-most affected country by terrorist violence, with a 45 percent rise in deaths in 2024.
Pakistan reached out to the ECAC for the training of its civil aviation inspectors after the resumption of Pakistani flights to the EU in Jan. this year, according to PCAA officials.
“The ECAC team is arriving in Pakistan tomorrow to conduct training of our inspectors on two key areas of Explosives Trace Detection (ETD) and Explosive Detection Dogs (EDD),” PCAA Director of Aviation Security Shahid Qadir told Arab News.
“The training aims to enhance their ability to inspect explosive detection machines as well as guide the handlers of detection dogs on key focus areas and essential elements to ensure the highest standards of inspection.”
In November, the European Aviation Safety Agency (EASA) lifted its ban on the Pakistan International Airlines (PIA) and authorized another local airline, Airblue, to operate flights to Europe. The ban had been in place since June 2020 due to concerns over the ability of Pakistani aviation authorities to meet international standards.
Qadir said the PCAA was committed to meeting all international standards and it was ensuring the credentials of Pakistani inspectors align with those of developed countries in Europe and the United States.
“The two-member ECAC team will conduct a four-day training at Islamabad International Airport, where twelve of our aviation security regulatory inspectors will receive the training,” the official said.
“They will conduct the training and certify the inspectors upon its completion.”
He said this training would enhance the Pakistani team’s specialization and strengthen the country’s credibility, urging aviation inspectors to apply across all airports in Pakistan.
Aviation security is the most frequently inspected area each year, according to Qadir. During such inspections, one of the first things international regulators review is the profile of inspectors.
“When they see the courses, training, and certifications our inspectors have completed, they recognize that we meet international standards,” he added.