Pakistan and German trade

Basic information about Germany

Germany, Founded date: January 18, 1871
Population:80,996,68 (July 2014 estimate)
Climate: temperate ,wet winters and summers.
Religions: Christians 97%,Muslim 3.7%, 2.8% others.
Government type: federal republic.
National capital: Berlin.
Currency:1 euro () = 100 cents
The GDP per capita in Germany is 39717.70 US dollars in 2014.
It is equivalent to 314 percent of the world's average.
Basic information about Pakistan
Country name :PAKISTAN
Capital: Islamabad
Independence day:14 AUGUST.1947
Religions: Muslim 97% and other 3%
Languages: Punjabi, Urdu and English.
CURRENCY : rupees
GDP per capita was 818.87 US dollars in 2014. GDP is equivalent
to 6 percent of the world's average.
GERMAN CULTURE

The Arts:Germans have made tremendous contributions to

classical music
Business culture:Surprises and humor are not
welcomed.
GERMAN CULTURE
Holidays and celebrations:Christmas and Easter.
German Unification Day on October 3.

Countrys big beer bash is called "Oktoberfest, its starts

each year on a Saturday in September and ends 16 to 18
days later.

German food culture

Apfelstrudel (apple strudel)
Eintopf
Kartoffelpuffer
Schwarzwalder Kirschtorte
GERMAN PAK RELATION
Germany, the largest and the healthiest economy in the European
Union have long ties with Pakistan.
German textile machinery has played an important role in the
development of Pakistans textile industry.

German plays a vital and an influential role in country's upcoming

political events, financial crisis and whatever the matter is,
FREE TRADE TREATY
Trade between Pakistan and Germany is conducted in freely
convertible currency in terms of the Trade Agreement signed in
1957.
Germany is Pakistans largest trading partner within the European
Union, accounting for 20% of Pakistans total exports to the EU
and 21% of Pakistans total imports from the EU.
IMPORTANT POINTS TO KNOW
Germany has now become the largest trading partner of Pakistan
in Europe and fifth biggest source of foreign investment in the
country.
Pakistan is also one of the first of Germanys partner countries to
make use of innovative development funding instruments.
Germany is one of the most popular destinations for young
Pakistani researchers wishing to pursue a PhD, alongside the
USA, the United Kingdom and France.
PAKISTANS EXPORTS
Germany is a good market for Pakistani textile products,
especially readymade garments, bed wear cotton fabrics and
knitwear. The main items of exports included cotton fabrics,
towels, synthetic textiles, cotton yarn, bed wear, cotton bags and
other made-ups textiles, besides textile and clothing articles.

Germany also imports a variety of other products from Pakistan,

which include: leather clothing, leather gloves, sports goods and
surgical instruments.
Non-exportable or less-exportable items
Rice is exported to Germany but not in a vast volume because
our rice is slim and they like to eat the healthier one. Bangladesh
and Thailand and Philippines are the exporter of rice to Germany
on a large scale.
Machinery is not exported to Germany.
Jewelery must be exported to Germany as they like the the heavy
jewelry.
Should export
Olive Oil," Sesame Oil from roasted
and not roasted seeds" and Peanuts oil.
German are fond of mangoes .
Should as well try to export Fresh Ginger, Garlic,"Bengan.
WHAT DOES GERMANY IMPORT?
Crude
Petroleum
Vehicle,
Refined Petroleum
Computers

Packaged Medicaments
Planes, Helicopters, and/or Spacecraft
Human or Animal Blood
Integrated Circuits

Insulated Wire
Broadcasting Equipment
Semiconductor Devices
Gold
Aircraft Parts
Gas Turbines
Medical Instruments
Rubber Tires
Telephones
Seats
Impediments in trade relation with Germany
Trade in Limited products.
Series of cumbersome bureaucratic procedures.
Lack of trend of product diversification in Pakistani products.
Security situations also adversely affect the inflow of FDI by
Germany.

Energy crisis.
Tax related issues.
Economy of Pakistan

Currency
Fiscal year
Trade
organisations

1 Pakistani Rupee (PKR)

Rs.1 = 100 Paisas
1 July 30 June
ECO, SAFTA, ASEAN, WIPOand WTO

Statistics
GDP
$250 billion (nominal, 2014)
$928 billion (PPP, 2015)
GDP rank
26th (PPP)
42nd (nominal)
GDP growth
4.24%(2014)
GDP per
$1,513 (nominal)
capita
$4,886.27(PPP; 135th; 2015)
GDP by
agriculture: 25.1%, industry: 21.3%, services: 53.6% (2014 est.)
sector
Inflation (CPI)2.1% (April 2015)

Population 12.4% (2014)

belowpoverty
line
Labour force 31 million (201213)
Labour force agriculture: 43%, construction: 15.2%, manufacturing:
by
13.3%,wholesale and retail: 9.2%,transport and communication: 7.3%
occupation (201213)
Unemployme 6.6% (2013 est.)
nt
Main
textiles and apparel, food processing, pharmaceuticals,construction
industries
materials,chemicals, cement, mining,machinery, steel, engineering,soft
ware and hardware,automobiles, motorcycle andauto
parts, electronics, paper products, fertiliser, shrimp, defence
products,shipbuilding
Ease-of104th (2015)
doingbusiness
rank
External
Exports
Total $30.414 billion (2013-14 est.), Goods $25.157 billion, Services
$5.256 billion
Export goods Linens (10%)
Cotton and Yarn (9.2%)
Rice (7.9%)
Non-Knit Men's Suits (4.3%)
Refined Petroleum (3.2%)
Cement (2.3%)
Main export
United States 13.3%
partners
China 10.9%
United Arab Emirates8.6%
Afghanistan 8.5%
Germany 5.1%
Imports
$41.668 billion (2013-14 est.)
Import goods Food $4.15 billion
Machinery $5.05 billion

Transport Vehicles $1.66 billion

Textile $2.29 billion
Fertilizers and other chemicals $6.86 billion
Raw metal $2.7 billion
Refined Petroleum $9.02 billion
Crude Petroleum=$5.75 billion
Main import
partners

China 17%
United Arab Emirates15%
Kuwait 8.8% (2012 est.)
Saudi Arabia 8.5%
Malaysia 4.8%

Public finances
Public debt 61.8% of GDP (2014-15)
Revenues
14.8% of GDP, Pkr 4.119 trillion or $40 billion
Expenses
19.5% of GDP, Pkr 5.412 trillion or $54 billion
Credit rating Standard & Poor's:
B- (Domestic)
B- (Foreign)
B- (T&C Assessment)
Outlook: Positive
Moody's:
B3
Outlook: Stable
Foreign
$17.7 billion (April 2015)
reserves
The economy of Pakistan is the 26th largest in the world in
terms of purchasing power parity (PPP), and 42nd largest in
terms of nominal Gross Domestic Product. As Pakistan has a
population of over 186 million (the world's 6th-largest), thus GDP
per capita is $3,149 ranking 140th in the world. Pakistan is a
developing country and is one of the Next Eleven, the eleven

countries that, along with the BRICs, have a potential to become

one of the world's large economies in the 21st century. However,
after decades of war and social instability, as of 2013, serious
deficiencies in basic services such as railway transportation and
electric power generation had developed. The economy is semiindustrialized, with centres of growth along the Indus
River. Primary export commodities include textiles, leather goods,
sports goods, chemicals and carpets and Rugs.
Growth poles of Pakistan's economy are situated along the Indus
River; the diversified economies of Karachi and major urban
centers in the Punjab, coexisting with lesser developed areas in
other parts of the country. The economy has suffered in the past
from internal political disputes, a fast-growing population, mixed
levels of foreign investment. Foreign exchange reserves are
bolstered by steady worker remittances, but a growing current
account deficit driven by a widening trade gap as import growth
outstrips export expansion could draw down reserves and
dampen GDP growth in the medium term. Pakistan is currently
undergoing process economic liberalization with includes
privatization of all government corporations, aimed to
attract foreign investment and decrease budget deficit. In 2014,
foreign currency reserves crossed $15 billion which has led to
stable outlook on the long-term rating by Standard & Poor's

Economic comparison of Pakistan 1999

2008

A view of I. I. Chundrigar Road, the financial district of Karachi in

Pakistan

Main Industries by Region - Pakistan. Source:[45]

Pakistan & its two largest City economies. Source:

Indicator

1999

2007

2008

2009

2015

GDP

$75
billion

$160
billion

$170
billion

$185
billion

$272.136 billion

GDP Purchasing
Power Parity (PPP)

$270
billion

$475.5
billion

$504
billion

$545.6
billion

$928.43 billion
(PPP,2015)

GDP per Capita

Income

$450

$925

$1085

$1250

Revenue collection

Rs.
305
billion

Rs. 708
billion

Rs. 990
billion

Rs. 1.05
Rs 2.65 trillion
trillion

Foreign reserves

$1.96
billion

$16.4
billion

$8.89
billion

$17.21
billion

$17.7 billion

Exports

$8.5
billion

$18.5
billion

$19.22
billion

$18.45
billion

$30.414 billion
(2013-14 est.)

Textile Exports

$5.5
billion

$11.2
billion

KHI stock exchange

(100-Index)

$5
billion
at 700
points

$75
billion at
14,000
points

$46
billion at
9,300
points

$26.5
billion at
9,000
points

Foreign Direct
Investment

$1
billion

$8.4
billion

$5.19
billion

$4.6
billion

$0.803 billion[25]

External Debt &

Liabilities

$39
billion

$40.17
billion

$45.9
billion

$50.1
billion

$56 billion

Poverty level

60%

43%

37%

29%

17%

$1313

Literacy rate

45%

53%

59%

61%

58%

Development
programs

Rs. 80
billion

Rs. 520
billion

Rs.
549.7
billion

Rs. 621
billion

Rs758 billion

Agriculture[edit]
Main article: Agriculture in Pakistan

Agriculture by Province

Mango Orchard in Multan, Pakistan

The most important crops are wheat, sugarcane, cotton, and rice,
which together account for more than 75% of the value of total
crop output. Pakistan's largest food crop is wheat. In 2005,
Pakistan produced 21,591,400 metric tons of wheat, more than all
of Africa (20,304,585 metric tons) and nearly as much as all of

South America (24,557,784 metric tons), according to

the FAO. The country is expected to harvest 47 to 64 million tons
of wheat in 2015. Pakistan has also cut the use of dangerous
pesticides dramatically
Pakistan is a net food exporter, except in occasional years when
its harvest is adversely affected by droughts. Pakistan exports
rice, cotton, fish, fruits (especially Oranges and Mangoes), and
vegetables and imports vegetable oil, wheat, pulses and
consumer foods. The country is Asia's largest camel market,
second-largest apricot and ghee market and third-largest cotton,
onion and milk market. The economic importance of agriculture
has declined since independence, when its share of GDP was
around 53%. Following the poor harvest of 1993, the government
introduced agriculture assistance policies, including increased
support prices for many AGRICULTURAL COMMODITIES and
expanded availability of agricultural credit. From 1993 to 1997,
real growth in the agricultural sector averaged 5.7% but has since
declined to about 4%. Agricultural reforms, including increased
wheat and oilseed production, play a central role in the
government's economic reform package.
Majority of the population, directly or indirectly, dependent on this
sector. It contributes about 24 percent of Gross Domestic Product
(GDP) and accounts for half of employed labor force and is the
largest source of foreign exchange earnings.
Pakistan's Top Ten commodities by export value in 2011 were:
Commodity
Wheat

Value [1000 USD]

674424

Cotton lint

359341

Flour of Wheat

352014

Tangerines, mandarins,
clem.

120893

Potatoes

102185

Cattle meat

71729

Maize

70028

Cotton Waste

65707

Dates

64081

Vegetables fresh nes

53136

Pakistan's principal natural resources are arable land and water.

About 25% of Pakistan's total land area is under cultivation and is
watered by one of the largest irrigation systems in the world.
Pakistan irrigates three times more acres than Russia. Pakistan
agriculture also benefits from year round warmth. Agriculture
accounts for about 23% of GDP and employs about 44% of the
labor force. Zarai Taraqiati Bank Limited is the largest financial
institution geared towards the development of agriculture sector
through provision of financial services and technical expertise.

Pakistan is one of the world's largest producers of the following

commodities according to FAOSTAT, the statistical arm of
the Food and Agriculture Organisation of The United Nations,
given here with the 2008 ranking:
Name

Global rank

Apricot

3rd

Buffalo Milk

2nd

Chickpea

3rd

Cotton, lint

4th

Cotton, Seed

3rd

Dates

5th

Mango

6th

Onion, dry

4th

Oranges

11th

Rice, paddy

11th

Sugarcane

5th

Tangerines

9th

Wheat

10th