Pakistan, Lanka must increase cooperation to boost trade

Concerned over the slow pace of growth bilateral trade, Sri Lanka and Pakistan have called for increased cooperation to give impetus to the two way trade, currently pegged at $ 250 million annually.

Trade, Marketing and Consumers Affairs Minister Bandula Gunawardena said Sri Lanka was willing to fully assist the business community of Pakistan to enhance trade ties with their counterparts in the island.

Gunawardena said this during a discussion with the Federation of Pakistan Chambers of Commerce and Industry (FPCCI) Vice President Zubair F Tufail in Karachi on Thursday, an official statement said. He added that Pakistan and Sri Lanka need to complement each other’s economies and promote commercial activities through frequent exchange of delegations and exhibitions.

Though the Free Trade Agreement between the two Nations has brought positive results, but it still falls short of the potential available in both SAARC member countries, he added.

The FPCCI Vice President said exports from Pakistan to Sri Lanka had increased by 112 per cent from US$ 75.04 million in 2000-2001 to US$ 87.9 million in 2005-2006. Lanka is a major buyer of Pakistani cotton yarn and woven fabric which contributes 63.3 per cent in total exports of the former to Sri Lanka.

Sri Lanka also imports iron and its articles, pharmaceutical products, rice, rags etc.

Pakistan’s imports from Sri Lanka have also risen from US$ 35.2 million in 2000-2001 to US$ 71.31 million in 2005-2006. It imports rubber and its products, oilseeds, tea, spices, coffee, fruits among other items from Sri Lanka.

Tufail told Gunawardena that Pakistan was in a position to export cement to Sri Lanka. PTI