Pakistan’s SMEs seek greater access to African markets amid Gulf export disruptions

Pakistan's small and medium enterprises (SMEs) have called for greater access to African markets, warning that disruptions in the Red Sea and ongoing tensions in the Middle East are affecting exports to key Gulf destinations.

 

The concerns were raised during a meeting between Commerce Minister Jam Kamal Khan and a delegation from the Gujranwala Small Chamber of Commerce, where participants discussed export diversification, industrial competitiveness, access to finance and regulatory reforms.

 

The delegation said shipping disruptions had impacted exports to traditional markets, including Saudi Arabia, the UAE, Bahrain and Kuwait, and urged the government to facilitate business-to-business (B2B) meetings and trade delegations to help Pakistani exporters expand into African markets.

 

The commerce minister acknowledged Africa's growing economic potential, noting that rising demand and expanding consumer markets present opportunities for Pakistan's engineering, home appliance, metal and light manufacturing industries.

 

Industry representatives also highlighted high energy costs, taxation, limited access to affordable financing and outdated machinery as key challenges facing SMEs. In response, the minister said the government is pursuing reforms to improve industrial competitiveness, modernise manufacturing and expand access to financing through the Export-Import (EXIM) Bank of Pakistan.

 

The meeting also addressed concerns over delayed sales tax refunds, shortages of recycled raw materials and the need to reduce the informal economy. Jam Kamal said the government is working to simplify regulations, digitise licensing procedures and create a more level playing field for compliant businesses to support sustainable export-led growth.