PIDE Sets Out Six-Point Roadmap to Unlock Pakistan’s Export Potential

Pakistan must accelerate structural reforms, reduce trade costs and diversify its export base to achieve sustainable economic growth, speakers said at the conclusion of the 39th International Conference of the Pakistan Society of Development Economists (PSDE).

The Pakistan Institute of Development Economics (PIDE) hosted the conference, which outlined a six-point roadmap to strengthen exports and improve the country’s competitiveness.

Government Outlines Trade and Investment Reforms

Chief guest Rana Ihsaan Afzal Khan, Coordinator to the Prime Minister on Commerce and Industries, outlined several measures aimed at improving the business environment.

He said the National Tariff Policy 2025–30 would rationalise around 7,500 tariff lines and cap customs duty at 15 per cent. Authorities are also reviewing approximately 500 regulatory requirements.

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The government plans to double SME financing from PKR 1 trillion to PKR 2 trillion. It is also streamlining trade procedures through the Trade Facilitation Board and Pakistan Single Window.

Khan identified information and communications technology (ICT), artificial intelligence, agriculture, minerals and the blue economy as key areas for export diversification.

Six Priorities for Export Growth

Dr Faheem Jehangir, PIDE Dean (Policy) and PSDE Secretary, highlighted a major gap in Pakistan’s economic performance. He said GDP had doubled over the past 15 years, while exports had remained largely stagnant.

He attributed the gap to protection-oriented incentives, inconsistent policies, political uncertainty and weak investor confidence. High logistics and border costs, along with a narrow export base, have also limited growth.

The conference proposed six priorities to address these challenges:

Ensure policy continuity: Sustain the URAAN Pakistan initiative beyond political cycles.

Reform tariffs and trade agreements: Modernise tariff structures and pursue strategic free trade agreements.

Reduce logistics costs: Improve oversight, strengthen the Pakistan Single Window and establish effective Corridor Export Coordination Cells.

Build investor confidence: Maintain adequate foreign exchange reserves, improve risk-hedging options and simplify regulations.

Strengthen exporters: Encourage export-oriented investment and develop small and medium-sized enterprise (SME) clusters.

Develop new export sectors: Expand AI-enabled agriculture, ICT, the blue economy, tourism and creative industries.

According to the conference’s findings, better integration of the Single Window system and stronger corridor coordination could reduce trade costs by 10 to 14 per cent. The establishment of around 5,000 new SMEs could add US$2.5 billion to exports.

Policy Stability Key to Competitiveness

The concluding panel, titled “How to Export More: Learning from Newly Industrialised Economies,” examined the conditions needed to sustain export growth.

Prof. Dr Zafar Nawaz Jaspal, Vice Chancellor of Quaid-i-Azam University, chaired the panel. Tahir Habib Cheema, Chief (Admin & Finance) at the Federal Board of Revenue, moderated the discussion.

Participants included Syed Asad Ali Shah, a governance and economic reform specialist; Dr Babur Wasim, Senior Economist at the Asian Development Bank; Shafiq Shehzad, Director General Trade Policy at the Ministry of Commerce; and Dr Madiha Riaz, Professor of Economics at PIDE.

The panel highlighted the need for stable policies, public trust, trade-specific skills and reliable energy. Participants also stressed predictable tax and customs systems as essential for investment.

They cautioned that cheap labour and tax incentives alone cannot ensure lasting competitiveness.

Digital Trade, Fisheries and Creative Exports

Technical sessions explored opportunities in digital trade, port digitalisation, sustainable fisheries and Blue Bonds. Discussions also covered overseas labour mobility aligned with verified international demand.

Researchers linked tourism growth to strong institutions and the rule of law. They also proposed a Music Export Council and a National Music Export Fund to support Pakistan’s creative industries.

These proposals reflected the conference’s broader emphasis on expanding beyond traditional export sectors.

Experts Deliver Memorial Lectures

Dr Kabir Ahmed Sidhu, Chairman of the Securities and Exchange Commission of Pakistan (SECP), delivered the Allama Iqbal Memorial Lecture. Titled “Beyond the Mandi: Connecting Pakistan’s Farms to Finance, Markets and Exports,” it focused on improving links between agriculture, finance and markets.

Dr Sardar Mohazzam, former Managing Director of the National Energy Efficiency and Conservation Authority (NEECA), chaired the session.

Prof. Dr David Daokui Li of Tsinghua University in Beijing delivered the Mahbub ul Haq Memorial Lecture. His address, “Three Key Lessons and Pragmatic Forms of Assistance from China,” examined lessons from China’s development experience. Dr Samuel Rizk, UNDP Resident Representative, chaired the lecture.

Research Awards Recognise Emerging Scholars

The conference received 204 extended abstracts. After blind peer review, organisers selected 24 papers, including 10 authored by women.

Of 78 PhD poster submissions, 31 were selected for presentation. Women accounted for 60 per cent of the entries. The newly introduced PhD Symposium brought together 31 scholars, including 19 women.

Dr Eatzaz Ahmed of Iqra University mentored participants on research design. Tatiana Golea of Springer Nature provided guidance on international publishing. PSDE also registered 541 new members through its digital membership portal.

In the Best Research Paper category, Dr Jamshed ur Rahman of Government College University, Lahore, won first prize of PKR 300,000. Dr Mohammad Ali of NESPAK, Islamabad, secured second place and PKR 200,000. Fatima Ejaz of Fatima Jinnah Women University, Rawalpindi, won third place and PKR 100,000.

For Best Research Poster, Iffat Irshad, a PhD scholar at Fatima Jinnah Women University, won first prize of PKR 150,000. Muhammad Asif Ali, a PhD scholar at the University of Swabi, received second prize of PKR 100,000.

PIDE Calls for Action on Export Reforms

In his closing address, Dr Nadeem Javaid (SI), Vice Chancellor of PIDE and President of PSDE, stressed that export-led growth was vital to Pakistan’s economic stability.

He called for a shift from managing scarcity to creating wealth through productivity and innovation. He also urged policymakers to turn the conference’s findings into practical measures and encouraged young researchers to pursue policy-relevant studies.

Javaid thanked GIZ, the Asian Development Bank, the Higher Education Commission, Quaid-i-Azam University, international experts and the PIDE team for supporting the conference amid austerity constraints. He then formally declared the event closed.

The conference concluded as Pakistan seeks to turn economic stability into sustained export growth. Organisers said they would share the recommendations with policymakers and development stakeholders.

The proposals aim to help create conditions for Pakistan to reach its target of US$100 billion in exports by 2035. Strong participation throughout the two-day event reflected continued interest in shaping the country’s economic future.