KARACHI, March 29: President Gen Pervez Musharraf said on Wednesday Pakistan hoped to make $18 billion of exports this year and the target for next year would be $20 billion.

Inaugurating the Expo Pakistan 2006, he pointed out that in the first seven months of the current fiscal year — from July to January – ‘we have already hit $9.3 billion (mark) in terms of exports.

“I am ….. sure that if we continue like this, we will …. cross $18 billion,” the president said and expressed the hope that next year they ought to be crossing $20 billion mark.

He said exports amounting to $20 billion were not enough and they needed to target much higher. However, he said: “We cannot target much higher unless we strategise and think of innovative methods of doing that.”

The president said they must go for market access through bilateral arrangements and were going for preferential trade agreements and free trade agreements with many countries, also within South Asia.

He said they had also gone in for an early harvest arrangement with China and that was the trend they must pursue on a bilateral level to give a boost to the country’s exports.

Gen Musharraf said they would also have to diversify their products. He said in the past they had bogged down in exports of agricultural products and textile.

However, he pointed out that textile accounted for only six per cent of world trade whereas 61 of the trade happened to be in heavy industry and engineering sector.

Therefore, the government took a decision in early 2000 that they must diversify their exports and get into the heavy industry and engineering sector.

The president emphasised the need for diversification of their markets. “In the past, we were bogged down in looking to the west only, which means Europe and the United States.”

He called for looking to new markets in Africa, East Europe, South America, South East Asia and China. “We never concentrated on trading with these countries.”

Gen Musharraf also highlighted the significance of value-addition in their exports.

He pointed out that Pakistan was the fifth largest milk producer in the world but they did not produce cheese, butter, milk powder or yogurt for export.

“We must go for a white revolution which we are trying to bring about in Pakistan today and become exporter in dairy products”, he added.

Gen Musharraf also pointed out that the revenue collection in the country was expected to increase to Rs850 billion this year as compared to Rs302 billion in the year 1999.

The president pointed out that the government was creating an investment-friendly environment in the country by modifying rules and a lot had already been done in this regard.

He asked the representatives of 57 countries who had come to attend the Expo 2006 to consider Pakistan for making investment.

He said every sector of economy was open to foreign investors and 100 per cent equity was allowed to any foreign investor in Pakistan. The security of investment is guaranteed through law, he added.

President Musharraf said that investment in Pakistan had increased by 500 per cent this year. “We are targeting $2.5 billion to $3 billion and in this case the increase would be 1,000 per cent.”

He said he was positive that investment would come to Pakistan. He said it was unfortunate that there were travel advisories against Pakistan.

“Pakistan is a moderate and progressive society. It is unfortunate that what we faced since 1970 with Soviet invasion in Afghanistan and the turmoil taking place in Kashmir over the last 17 years, have an impact on our society as well as on our national fabric.”

The president pointed out that “we remain a moderate, enlightened and progressive society.”

He said there was a fringe minority of extremists and expressed determination that the government would be successful in controlling them with the support of moderates.

Offering thanks to investors who came from abroad, he said that by making investment and trading in Pakistan they were indirectly contributing to fighting extremism and terrorism.

—APP