Issue link: https://maltatoday.uberflip.com/i/1530259
maltatoday | SUNDAY • 8 DECEMBER 2024 6 COMMERICAL Connecting Pakistan and Malta for mutual growth IN an effort to strengthen inter- national relations and promote bilateral trade and investment opportunities, Zia Noor has been appointed as Pakistan's Honor- ary Investment Counsellor (HIC) in Malta by the Board of Invest- ment (BOI) under the office of the Prime Minister of Pakistan. The counterpart of the Board of Investment of Pakistan is Malta Enterprise, the primary agency tasked with investment, trade, and commerce in Malta. Unlocking Potential in Bilateral Trade Malta, being a small but strate- gically positioned country in the European Union, relies heavily on imports for various resourc- es and goods. Despite Paki- stan's robust export portfolio, its presence in Malta's market has remained underdeveloped. A significant volume of goods like rice, tiles,textiles, sports equipment and goods, and ce- ment—all staples in EU trade— is exported from Pakistan to other EU countries, bypassing Malta altogether. Pakistan's fo- cus is now on tapping into this untapped market, building its export reputation, and estab- lishing direct trade links with Maltese businesses. One of the prime examples lies in the rice industry. Currently, much of the rice consumed in Malta is imported from Italy. However, Italy itself sources rice from South Asia, including Pa- kistan. This additional layer in the supply chain inflates prices for Maltese consumers. Direct imports from Pakistan would not only reduce costs but also provide premium quality prod- ucts without the markup im- posed by intermediaries. The Pietà Pakistan Centre: A Networking Catalyst To bridge this gap and foster closer business ties, a centre has been established in Pietà, Malta. This serves as a platform for Pa- kistani manufacturers and Mal- tese entrepreneurs to connect, network, and showcase their products and services. From the food industry to the automo- tive sector, the goal is to attract high-profile businessmen from both countries to explore mutu- ally beneficial opportunities. Pakistani manufacturers are already reaching out to Maltese counterparts, but there is a need for greater awareness and en- gagement. The Pietà centre acts as a gateway, demonstrating the vast potential for direct trade and investment. By bringing stakeholders together under one roof, it paves the way for long- term partnerships and econom- ic growth. Investment Opportunities: A Two-Way Street Trade is just one facet of the relationship between Pakistan and Malta. Investment oppor- tunities are equally promising. Wealthy Pakistani businessmen are increasingly looking to in- vest in Malta, recognising its advantageous location within the EU. For instance, there is a growing interest in setting up manufacturing plants for surgi- cal equipment in Malta. With ongoing tenders to supply surgi- cal instruments to the local hos- pital, establishing such facilities locally would be both logistically and economically advantageous. A factory in Malta, owned by Pakistani investors but produc- ing goods locally, would not on- ly streamline the supply chain but also boost Malta's exports. Products 'made in Malta' could be proudly stamped and export- ed across the EU, enhancing the nation's industrial reputation. This endeavor would also create jobs for Maltese workers, con- tributing to the local economy. Conversely, Malta's invest- ment in Pakistan could open doors to a market of over 230 million people. Industries such as technology, textiles, and ag- riculture present lucrative op- portunities for Maltese busi- nesses seeking to expand their footprint in South Asia. The collaboration aims to ensure a balanced, two-way relation- ship that benefits both nations equally. Overcoming Challenges and Seizing Opportunities Historically, Malta has enjoyed a robust trade relationship with India, but Pakistan has only re- cently begun to make strides in this direction. Efforts are underway to enhance visibility and establish Pakistan as a reli- able trade partner. While chal- lenges such as logistical barriers and unfamiliarity with market dynamics exist, the potential rewards far outweigh these hur- dles. Direct imports from Paki- stan would provide Maltese businesses with high-quality products at competitive pric- es, cutting out middlemen and reducing costs. Similarly, Mal- tese expertise in sectors such as tourism, infrastructure, and different services could play a transformative role in Pakistan's economic development. The Bigger Picture: Building Bridges The overarching goal of this initiative is to foster a bridge be- tween the two nations. It is not a one-sided effort; instead, it is about building a mutually bene- ficial relationship that leverages the strengths of both countries. From trade to investment, every sector holds the promise of growth and collaboration. This partnership also high- lights the importance of eco- nomic diplomacy in a globalised world. By working together, Pa- kistan and Malta can not only boost their respective econo- mies but also strengthen their positions on the global stage. For Malta, it is an opportunity to diversify its trade portfolio and attract foreign investment. For Pakistan, it is a chance to enhance its export image and access new markets. The appointment of an Hon- orary Investment Counsellor marks a significant step forward in fostering economic ties be- tween Pakistan and Malta. With initiatives like the Pietà centre and plans for direct trade and investment, the future looks promising for both nations. By focusing on shared growth, Pa- kistan and Malta can unlock a world of opportunities, proving that collaboration is the key to success in today's interconnect- ed world. Zia Noor