By M.Nasirulmulk

2. Introduction
Islamic Republic of Pakistan is located in south Asia
It is the sixth most populous country with population
exceeding than 200 million
It is the 36 largest economy in the world
Its share border with Afghanistan, India, Iran and
China

3. Pakistan trade agreements
Commenced on 1 January 1995
 Signed by 123 nations
Regulate International trade

4. Pakistan trade agreements (Contd.)
South Asian Free Trade Area(SAFTA)
Came into force on 1 January 2006 .
SAFTA requires (India, Pakistan and Sri Lanka) to
bring their duties down(1st phase ending 2007 and
2nd phase ending 2012)
 The least developed nations in South Asia (Nepal,
Bhutan, Bangladesh, Afghanistan and Maldives)
 Whereas Afghanistan as the 8th member state

5. Pakistan trade agreements (Contd.)
China–Pakistan Free Trade Agreement
Trade volume reached to $20 billion by
2015
 The second phase will lower tariffs further

6. Sanjeeda saddique

7. Pakistan's Import and Export Indicators and
Statistics (2010)
Total value of exports
US$20.29 billion
Primary exports – commodities
textiles (garments, bed linen, cotton cloth, yarn), Circe, leather
goods, sports goods, chemicals, manufactures, carpets and rugs
Primary export partners:
 US (15.87 percent of total valor of exports),
 UAE (12.35 percent),
 Afghanistan (8.48 percent),
 UK (4.7 percent),
 China (4.44 percent).

9. Pakistan's Import and Export Indicators and
Statistics (2010)
Total value of imports: US$32.71 billion
Primary imports - commodities: petroleum, petroleum products, machinery, plastics,
transportation equipment, edible oils, paper and paperboard, iron and steel, tea
Primary import partners:
 China (15.35 percent of total imports)
 Saudi Arabia (10.54 percent)
 UAE (9.8 percent)
 US (4.81 percent)
 Kuwait (4.73 percent)
 Malaysia (4.43 percent)
 India (4.02 percent).

11. Muhammad yousaf

12. Historical Trade balance of Pakistan
Pakistan’s international trade is suffering from huge amount of deficit due to low
demand for its exports.
Domestic political instability also accounts for trade deficit
Due to increase in deficit tariffs was raised from 20% - 25% to the 30%-35% in 300
luxury items by Pakistani government
This act brought decrease in imports and increase export, thus lowering the trade
deficit

14. Reasons for Trade deficit
 Pakistan's failure to explore and exploit its own oil and gas resources
to its full capacity has led to them relying on imports to meet the
growing energy demands in the country
Political Instability
Higher inflation rate
Lower demand for its export