ISLAMABAD: Pakistan have signed 13 memorandums of understanding worth $250 with China to export fruits and vegetables, seafood and animal feed and establish joint ventures in Pakistan, state media reported on Wednesday. 

The agreements were signed at the Pakistan-China B2B Conference held in Beijing with the participation of over 200 representatives from business groups in both nations. Pakistani officials used the forum to provide insights into the investment potential of the animal feed and fruit and vegetable processing industries. Several incentives for foreign investors were highlighted, including 100 percent foreign ownership, unrestricted profit and dividend repatriation, and zero import tariffs on factory equipment and machinery.

This is the third sector-wise Pakistan-China B2B meeting this year, with the first held in Qingdao with a focus on fishery companies, the second in Guangzhou for footwear, and the fourth slated to take place in Suzhou in December.

“Pakistan and China have signed thirteen MoUs on fostering joint ventures in animal fodder, fruits and vegetables processing sectors,” Radio Pakistan said. “The MoUs valued at 250 million US dollars were signed between Pakistani and Chinese companies in Beijing.”

Ghulam Qadir, Commercial Counsellor at the Embassy of Pakistan, told APP state news agency Pakistan’s competitive advantages in tariffs, labor costs, and raw materials could increase profit margins for businesses by up to 4.6 percent in fruit and vegetable processing. In the animal feed sector, particularly in the production of additives and supplements, profit margins could rise by as much as 3.6 percent.

“The Pakistani government is committed to creating a more business-friendly environment and has already addressed issues such as remittance challenges faced by Chinese companies,” Qadir said. 

Mian Saeed Ahmed Fareed from Legend International Pvt. Ltd., a Karachi-based seafood exporter to China, said he had signed an agreement with an importer in Tianjin to export aquatic products to China.

“After COVID-19, our volume of export to China has been going up to about 700-800 metric tons of seafood annually including cuttlefish, squid, ribbon fish, croaker, etc. In recent several years, the demand for seafood in this vast market has increasingly diversified, ” he said.

A representative from a fodder company based in Weifang, an agricultural hub of China, appreciated the potential in bilateral markets, technology transfer, and raw material trade.

“The low labor and machinery cost in Pakistan provides us with opportunities for cooperation,” he told APP.

Tang Yaping, Director of the Tea Industry International Department, said she would lead a delegation of Chinese tea companies to visit Pakistan for the establishment of joint processing plants and warehouses.

Zhu Qianqiu, President of the Cross-Border Trade Development Committee in China, said the body was pushing for the establishment of a zero-tariff zone in Pakistan for trade in bilateral commodities.
 

KARACHI: The Pakistan Stock Exchange (PSX) rebounded significantly on Wednesday, rising over 3,000 points at the start of trade, following a steep drop a day earlier during major political clashes in the capital.
The benchmark KSE-100 index recorded its largest-ever single-day decline on Tuesday, plummeting 3,506 points, or 3.57 percent, amid political uncertainty triggered by a protest march on Islamabad led by supporters of former Prime Minister Imran Khan, demanding his release from jail.
Khan’s followers retreated overnight after security forces conducted a large-scale operation in Islamabad, clearing the main thoroughfare near parliament and key government buildings.
Subsequently, the PSX surged by 3,260.99 points in the morning, trading at 97,835.15 as of 11:10 AM.
According to Shehryar Butt, portfolio manager at Dawson Securities, the stock market has been performing well lately due to improved macroeconomic indicators.
“The stock exchange came under pressure yesterday due to the political noise in the country,” he told Arab News. “The market stood on 99,700 points before it came down. Today, it is back on track since the political protest is over.”
Pakistan’s Finance Minister Muhammad Aurangzeb said on Sunday that political protests had inflicted daily economic losses of Rs190 billion ($684 million), compounding the challenges faced by the nation’s struggling $350 billion economy.
Amid the unrest, Belarusian President Alexander Lukashenko is leading a 68-member delegation in Pakistan to discuss enhanced economic cooperation.
Both nations on Tuesday signed 15 memoranda of understanding aimed at boosting trade and investment ties, which the government hopes will help stabilize Pakistan’s economy.
The government has also accused Khan’s Pakistan Tehreek-e-Insaf (PTI) party of attempting to sabotage Lukashenko’s visit and impede the country’s path to economic recovery.
PTI lawmakers have said, however, they planned the protest before information about the Belarusian delegation’s visit was made public, dismissing the government’s allegation.