Year-on-year: Pakistan's exports increased by 2.1% in Oct

Pakistan’s year-on-year exports increased 2.1% in October - the number went from $2.02 billion in 2019 to $2.06 billion this year, commerce ministry’s data showed on Tuesday.

There has been a contraction of 10.3% in imports that dropped to $3.65 billion from $4.07 billion.

Trade deficit narrowed around 23% year-on-year in October at $1.58 billion as textile value-added exports showed improvement, while imports were down relatively sharply.

The monthly trade deficit improved by $463 million compared to the corresponding month a year earlier, according to the official data shared during a meeting held to review the export trends. The commerce ministry didn't disclose month-on-month trade trend.

Adviser to the Prime Minister on Commerce and Investment Razak Dawood presided over the meeting. “Pakistan economy will continue on its upward recovery trend. The officials of ministry continue to proactively facilitate exporters and businessmen. No efforts should be spared to counter the effect of the second wave of COVID-19 in Pakistan’s major export markets.”

Exports first showed recovery in July after consecutive downtrends since March amid coronavirus lockdown. Ease in lockdown paved way for clearance of orders stuck on ports.

Due to global pandemic, economic activities came to a halt.

In July-October, Pakistan’s exports marginally decreased by 0.1% - the number stood at $7.54 billion. Trade deficit in the first four months of the current fiscal year contacted 4.5% - number went from $7.77 billion to $7.42 billion.

“Pakistan’s exporters made it possible for bringing the exports to pre-COVID-19 levels despite uncertainty and contraction in Pakistan’s major markets,” said the adviser.

Export increases were mostly in the value-added sectors. The increases were witnessed in home textiles (10%), women's garments (20.8%), jerseys and pullovers (35.3%), made-up articles of textile (10.4%), stockings and socks (19.2%), cement (10.8%), pharmaceutical products (26.8%), tarpaulins (66.8%), and made-up clothing accessories (245.2%).

Exports of mostly non-value-added products decreased during the July-October period. Cotton fabric exports were down 8%. Exports of cotton yarn fell 40.1%.

Worn clothing exports dipped 63.6%. Exports of raw leather slipped 38.4%. Crude petroleum exports dipped 53.7%. Exports of cotton sharply fell 95.7%.

Pakistan’s top five growing markets during July-October were Indonesia with 39.3% share, followed by Qatar 34.5%, Denmark 24.9%, South Korea (22.5%) and Afghanistan (15.6%).