Export from Pakistan has observed fluctuations since inception of Pakistan. However, recently in the post Covid arena, several products have gained importance in the international product market. This article highlights some of these group of products that could be a start process for companies to plan export of such products and increase profitability.
Export Status in 2024
Export of products under Food Group increased by 61% in the Fiscal Year (FY) 2023-24. It was recorded at $4.737b in the last year as compared to $7.627b. This indicates that companies are forced to export raw agriculture products due the energy crises. The Textile Group increased to $17.667b from $16.633 by a small number of 6%. The Other Manufacturing Group increased to $4.376b from $4.040b which is 8% of the previous year. All other products were exported for the value of $2.920b in the FY 2023-24 which increased by 13% from the FY 2022-23
High Demanding Product Groups
You might come across with any news or article stating that export value of a product has increased by high percentage. Do you think this information if sufficient to plan export of that product? You will need additional analysis to decide about the product export.
After a comprehensive analysis, group of products, explained below, have been found as suitable for export from Pakistan. By the export of products from these groups, companies can earn sufficient profit because the demand for these products has rise in the international market. Rising demand for a product indicates opportunity for high profit.
Arms, Ammunition & Parts
Export of arms, ammunition and their parts has been highest profit-making products. The analysis depicted that by exporting same quantity of arms, exporter could earn 135% additional revenue in the last year as compared to the FY 2022-23.
Animal/Vegetables, Fats, Oil & Waxes etc.
Animal, vegetables, etc. is the second high demand category of products. The profitability rose to 90% in FY 2023-24 then FY 2022-23. People associated with the cattle farming and vegetable growing can earn more in the coming period.
Preparation of Food Stuff, Beverage, Tobacco etc.
The profitability of beverage and tobacco increased by 55% in the last years as compared to FY 2022-23. Tobacco growing areas across Pakistan have an opportunity to increase their earning in the future.
Raw Hides & Skins, Leather, Fur & Art
Raw hides, leather, etc. have also increased demand in the international market. Profitability of these products has risen by 25%. Since, these are raw materials for the industry, installation of these plant would be more suitable than exporting raw materials. When demand for raw material rises, that is induced demand due to an increased demand for finished product.
Textile & Textile Articles
Textile is one of the major industries of Pakistan. As stated above, the export of textiles increased by 6% in the last FY. The profitability of the category grew by 15%. The numbers indicate that additional export could have been made in FY 2023-24.