Pakistan gets a leg-up in trade with Italy, a 3.13% trade surplus is recorded for FY20

Pakistan has witnessed a trade surplus with Italy of 3.13 pc during the fiscal year 2019-2020. The stated surplus is measured against the previous fiscal year. Furthermore, a trade surplus of $228.848 million is recorded against $221.898 million in the previous year, as per the state bank of Pakistan.

Export to Italy

Also, during the FY20, Pakistan recorded engagement of $750.917 million in exports. As for the FY19, exports reached $805.399 million. This reflects a dip of 6.76pc.

Taking the exports on a year-on-year basis, a decline of 14.07 pc appears for June 2020. Exports went down from $70.468 million in June 2019 to $60.552 million in June 2020. On a month-to-month basis, export to Italy picked up by 24.20 pc in June 2020. If measured against $48.752 million in May 2020.

Imports from Italy

Goods worth $522.069 were imported from Italy in FY2020. For FY19, the imports stood at $583.501 million. This reflects a decrease of 10.52pc.

Taking imports on a year-to-year basis, imports have picked up by 22.13 pc. Imports worth $37.291 million are recorded against $45.544 million in June 2020. On a month- to- month basis, imports got a leg-up by 123.29pc for June 2020. Similarly, Pakistan’s overall imports to all countries have declined by18.22pc for the fiscal year 2020. Presently the exports stand at $42.418 million against a $51.869 billion last year.

Pakistan’s overall exports to all countries declined by 7.22pc for the fiscal year 2020. Last year exports stood at $24.256 in net worth. However presently, the count stands at $22.504 billion.

Pakistan performed well despite pandemic

Pakistan Ambassador to Italy, Jauhar Saleem said that Pakistan has been able to score well in the Italian market despite the contemporary fallout due to the pandemic.

The ambassador laid out the trade surplus to be of $210 million against a deficit of $164 million with Italy in FY2019. “So, the balance of trade is in Pakistan’s favour now. In FY20, Pakistan’s exports to Italy were $731 million and imports stood at $521 million. “he added.

Additionally, Pakistan’s main export to Italy includes textiles, leather, rice, and ethanol. Mr Saleem said, “Pakistan is a market leader in rice and it holds 38% share in the Italian market as the country exports rice worth $62 million.”

Italian Investment in Pakistan

Moreover, the envoy briefed that the Italian investment in Pakistan picked up by 45% in FY20 against FY19. A jump to $56.4 million for FY20 is recorded. FDI In energy, pharma, chemical, and IT sectors are being made with the energy sector getting the most of it.

“Italy has planned to invest in renewable energy in Pakistan. Pakistan’s embassy in Rome is facilitating these new investment projects. “he said.,Home remittances from Italy grew b 25% in FY20. As for June 2020, work remittances have witnessed 77% growth. Presently, Italy is undertaking initiatives to regularize the Pakistani labour force. Pakistan’s undocumented labour force would be the main beneficiaries under this scheme.

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