ISLAMABAD: To enhance the ability of Pakistani enterprises’ capacity to produce, distribute and sell products and services more efficiently than competitors, the Federal Cabinet on Tuesday approved the Strategic Trade Policy Framework (STPF) till 2025.

Priority sectors have been identified under the STPF after studying the international demand trends, on the one hand, and the capacity and capabilities of various traditional and developmental export sectors of Pakistan, on the other.

The former include textile and apparel, leather, surgical instruments, sports goods, carpets, rice, and cutlery. The developmental export sectors comprise engineering goods (including auto parts), pharmaceuticals, marble and minerals, processed food and beverages, footwear, gems and jewelry, meat and poultry, and chemicals.

The main focus of STPF will be on geographical and product diversification, manufacturing cost reduction through tariff rationalization, the pursuit of regional connectivity, including Look Africa and Silk Route reconnect policies, and enhancement of market access through the free trade agreements and preferential trade agreements.

It also includes the facilitation of logistics and tracking under the International Road Transports (TIR) Convention and enhancement of regional connectivity for access to the Central Asian Republics, Turkey and Iran, through to Europe and Russia.

The STPF is dynamic in nature and will be subject to course correction based on constant monitoring and evaluation. There would be an institutionalized mechanism for robust monitoring and implementation of the STPF to minimize the policy implementation gaps, which have traditionally remained a weak link due to multi-organizational roles in the export ecosystem.

To oversee the implementation, a cross-functional National Export Development Board (NEDB) has already been constituted under the chairmanship of the prime minister, comprising senior public sector officials of relevant organizations and the private sector representatives.

Regular meetings of the NEDB are being held to ensure the implementation of various policy measures.