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8/8/2019 Final Internship Report on Tdap in Arial
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TRADE DEVELOPMENT AUTHORITY
OF PAKISTAN
TOPIC: INTERNSHIP REPORT ON TDAP:
SUBMITTED TO:
SAJID NAZIRSENIONR LECTURAR
CIIT LAHORE
SUBMITTED BY:
SHUJAAT ALI
MBA (FINANCE)
SP08-MBE-047
COMSATS INSTITUTE OF INFORMATION
TECHNOLOGY LAHORE
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PREFACE
In the past, business was on short scale and was easily managed by a commonman. With the passage of time, this activity has become vast and complicated.Nowadays, it is impossible for a common man to run the business especially inthis period of competition. This situation demands energetic, duly qualifiedexperienced business administrators who could meet the challenges of this ageof modernization. Department of Business Administration undertakes to producemanagement specialists fully aware of the ins and outs of the businessmanagement, and capable of meeting the competitions.
Internship is an indispensable part of MBA degree program. The philosophybehind this is to orient the entrance towards business atmosphere and tobroaden the vision. In this regard, I was assigned to take my internship training atTrade Development Authority of Pakistan. I also worked in many departmentsand observed the overall performance and procedure of the organization.
Moreover a complete and comprehensive report is the requirement for the MBAprogrammed. In completing this report, I have tried my best to arrange thevarious facts and observation in such a way that will help the reader to maximumunderstanding towards the functioning of Trade Development Authority ofPakistan.
Regards:
Shujaat Ali
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ACKNOLEGEMENT
Absolute praise for Almighty Allah, provider of hope, guidance and knowledgewithout whose constant remembrance I would not have over come my momentsof despair. I am grateful to Allah almighty, for enabling me to fulfill this tiring, but
interesting job for the completion of my internship report.
I would not be going justice in presenting this internship report withoutmentioning the people around me who have been inextricably related with thecompletion of this report. I would like to express my heart felt thanks to mysupervisor Mr. Sajid Nazir for her support and guidance, which she renderedthrough out the study, and provided me with such a wealth led ideas, to peruseand power of writing this report. It could not have been possible to accomplishthis report without him thoughtful guidance and expertise.
I wish to record my honorable regards to all those who helped a lot in completion
of this report, especially to Deputy Director, MR.Aslam Rahi. I also appreciate thevaluable services and moral support from my friends. FinallyI wish to place on record, my heart felt thanks, regards, and gratitude to myparents. Their guidance support and trust enable me to through this report.
Finally, for any all to fallible errors, omissions and shortcomings in the writingof the report only I am responsible for which I hope that all concerning regardsof this report will forgive me.
One of the Greatest Discoveries a man makes, One of his great surprises,Is to find he can do what he was afraid he could not do it
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TABLE OF CONTENTS
Executive summary___________________________________________06
Introduction_________________________________________________07
TDAP in retrospect_______________________07The principles for changes_________________09
Creating an Icon for TDAP________________ 10
Vision, Objective, Manifesto_______________ 11
Funding the organizations_________________ 11
Office Structure of TDAP______________________________________12
Organization Structure (Organogram)____________________________ 13
How wills TDAP Function___________________14
Organization framework_____________________15Functions of Department/Directors_____________17
Products Clusters___________________________19
SWOT Analysis______________________________________________21
Marketing or Export Strategies__________________________________ 25
Competitive Strategies_________________________________________27
Services Provided by TDAP____________________________________ 29
Organizational Behavior_______________________________________ 32
Policies, procedures, Meetings__________________________________ 35
4ps of TDAP________________________________________________ 35
Information Advisory Committee________________________________ 39
Export Marketing Development Fund_____________________________40
SRO (Statutory regulation order) ________________________________ 41
Facilities and Incentives for Exporters____________________________ 42
Export Finance_____________________________42
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GSP_____________________________________ 44
Account Department__________________________________________46
Budget of TDAP for 2010____________________46
Export from Pakistan_________________________________________ 50
Learning AS an Internee_______________________________________51Schedule of training________________________ 51
Duties___________________________________52
Accomplishment__________________________ 52
New Knowledge Acquired__________________ 52
Problems Encounters_______________________53
How Experience Impacts my Career___________53
Challenges Face by TDAP_____________________________________ 54
Suggestions_________________________________________________56
References_________________________________________________ 57
Annexes____________________________________________________ 58
1. Internship joining letter
2. Internee evaluation Form
3. Internship Letter
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EXECUTIVE SUMMARY OR ABSTRACT
This is an internship report on Trade Development Authority of Pakistan. During
internship my primary focus was to study the overall performance, functions and
business operations of the organization. I also studied the SWOT of TDAP and
Challenges faces by TDAP.
The Trade Development Authority of Pakistan (TDAP) is a body corporate
established on 8 November, 2006, under a Presidential Ordinance. The TDAP is
the successor organization to the Export Promotion Bureau (EPB).Established in
1963 (as E.P.B) .TDAP attached department of Ministry of Commerce .Its vision
is to Providing Leadership, Direction, Pro and Re-active Facilitation, to an
aggressive national drive for sustainable growth of Pakistan's Foreign Trade. Its
objective is to promote and support sustained growth in exports of goods and
services both in terms of volume and value, to project a correct modern and
enterprising image of Pakistan as an exporting country.
It has Head office in Karachi and many four regional and nine sub regional
offices in Pakistan and it also have foreign offices. TDAP is headed by the
Chairman who is usually from the private sector with the status of the Minister of
State. Total numbers of director General in TDAP is 6, Total numbers of
directors work under each D.G is 6, Total numbers of assistant director in TDAP
regional branch is 13, Total number of employees in is 1311, out of which 316
are in executive and 995 in non-executive cadres. Its have nine division
according to there functions. Its have four products cluster in different cities like
Lahore, Multan, Faisalabad etc in Lahore branch.
TDAP use many types of Export/Marketing strategies like: Enhance World
Market, Value addition, Export Diversification, Geographic Expansion, Women
Entrepreneurship, Traditional partner Countries, Leverage International Trade
Blocks / Agreements. TDAP not use competitive strategies only make negotiation
with other countries. TDAP use different agreements like FTA, GSP etc for
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negotiations. The main functions of TDAP are as follows: International Marketing,
Supply Chain Management, Information Management, Pakistans Business
Image Management, Export Facilitation, SME Development, Exporters Capability
and Capacity Development, Awareness about WTO Regime, HR, Finance and
Administration, Regulatory Function, Karachi Expo Centre, Export of Services,
International Trade Fair, Exchange of Delegation. TDAP 4ps are product, price,packaging and promotions.
In reports what we learned during internship also mentioned and challenges
faces by TDAP and also give some suggestion for improvements.
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INTRODUCTION:
The Trade Development Authority of Pakistan (TDAP) is a bodycorporate established on 8 November, 2006, under a Presidential
Ordinance. The TDAP is the successor organization to the Export Promotion Bureau
(EPB).Established in 1963 (as E.P.B) An attached department of Ministry of Commerce. Headed by a Chief Executive Officer Headquarters at Karachi Regional & Sub Regional Offices in Pakistan TDAP in this enhanced responsibility and role will create direct linkages
with stakeholders, local and abroad, aiming for a Quantum Leap inexports. The administrative ministry of the TDAP will be the Ministry ofCommerce
On the demand side, TDAP helps exporters to participate in exhibitionsabroad and sends delegations to export markets with a view to explorenew markets and develop the traditional markets.
On supply side, TDAP has established over 32 training institutes andprojects in various export sectors to train necessary manpower that canmanage the export trade and industry, professionally, meeting therequirements of the export markets
Export promotional activities are carried out in co-ordination with tradebodies at home and Pakistan's trade missions abroad.
The Trade Development authority of Pakistan, in Retrospect:
Set up in 1963 as an attached department of the Ministry of Commerce,the TDAP facilitated exporters across the country, helping them overcomechallenges by leveraging opportunities on the supply and demand side.
For 47 years, the erstwhile organization was the primary agency of theGovernment of Pakistan that played a vital role in promoting Pakistansgoods and services internationally.
Over the 47 year period TDAP played a critical role in helping exporters toparticipate in 30 to 80 exhibitions abroad each year.
Regularly sent and received between 20 and 40 business delegationseach year to and from export destinations to explore new markets and
enhance market share through sustainable growth and diversification. Over the years TDAP has supported the development of equal number of
trade policies, implementing the consequential initiatives it was assigned. Its role in Textile Quota management is especially significant. It has issued
millions of GSP Certificates and management of gold and jewelry exportregulations.
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More than 20,000 exporters have been facilitated and part-funded toexhibit and grow their exports; over 2,000 delegates have been sent orhosted in Pakistan.
The setup of the Expo Centre in Karachi, and now in progress in Lahore,is a milestone in assisting exports, managing Pakistans image andproviding the country and the city of Karachi significant new economicopportunities.
The organization has carried out mega export promotional activities, within
and outside Pakistan, hosted individually and also in co-ordination withtrade bodies.
On supply side, TDAP established over 32 training institutes and projectsin various export sectors to train necessary manpower to manage theexport trade.
It has provided the forum for exporters and importers dispute resolutionthrough the mechanism of commercial courts in collaboration with the
judiciary. Established the Cluster Development Programmed. One of the most significant contributions of the TDAP, to provide Pakistan
with its first ever Export Strategy and a roadmap for export growth.
1. This strategy differentiated between strategic thrusts directlyimpacting achievement of Volume and Value in exports
2. Those that would cause a more Enabling Environment for theprivate sector to realize their aspirations.
3. This strategy articulated enhancement of market share ofPakistans Core product categories in the major markets.
4. Achieving value addition and increased competitive strength,5. Specifically focusing on selected product sectors (Developmental)
and weak geographical areas, for product and marketdiversification.
6. The strategy also emphasized the energizing of women
entrepreneurship in support of Pakistans exports7. Enhancing overall economic value addition in the country8. Achieving bilateral and multilateral trade agreements for gaining
market access, leveraging economic relations with countries wherePakistan already enjoyed strong bilateral relationships.
The Principles for Change:
Trade Development Authority or TDA, as it will eventually be called as a familiarand easy to remember encryption, has emerged as an organization based on thefollowing fundamental considerations for change.
First and foremost the intense and focused relevance to the needs andpriorities of the stakeholders.
Pakistans future socio-economic needs and the requirement for aninspirational quantum leap in exports.
Pakistan unique strengths and weaknesses as an exporting country. Best world practices of trade development. State-of- the-art management and governance.
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Use of todays Information communications technology for managing TDAand its promotional initiatives.
Leveraging existing best expertise and human resources. In its form,functioning and delivery of facilitation, the TDA will be governed by thevalues of customer focus, result and service orientation, besides beingproactive, innovative, aggressive and clearly transparent.
Creating an Icon for TDAP.
Fundamentally a brand is the icon of an organization that serves to develop itsidentity. It further helps define and establish what the organization stands for interms of its vision, mission and core values, and makes it recognizable in acontinuum rather than a snapshot.
The elements of the new TDAP logo, in addition to being an expressive, uniqueand internationally admirable graphic and colour combination, are purposeful andrepresentative of the organizational mandate and strength, concern for theenvironment and its passion to serve and facilitate the stakeholders. Thus:
The globe with its electrical impulses, colours and dynamism reflects thecompetitive, yet globalize arena where TDAP will endeavor to achieve itsmission. It symbolizes increasingly the scope of TDAPs businessoperations and the challenge to achieve its due share of world trade.
The energetic bands that envelop the globe symbolize fingers of twohuman hands, held together to represent the dynamic and diversifiedrange of goods and services available from Pakistan, produced with careand offered for the people of the world.
The space between the bands speaks of the energy and desire to exceedthe expectation of buyers and TDAPs customer through quality and valueof Pakistani products and services and also TDAPs support and service.
The color green represents the dominant color of the Pakistan flag andalso connotes environmental balance and developmental progress of anation.
The elegant but solid slanted type font in black depicts the stable basesupporting the revolving globe and securing hands. The tilt of the typedenotes dynamism and purposeful momentum to the future of TDAP andPakistan.
The successor role of the organization is captured, for the transition periodin the words Formerly EPB hugging the TDAP in the logo.
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OUR VISION
Providing Leadership, Direction, Pro and Re-active Facilitation, to an aggressivenational drive for sustainable growth of Pakistan's Foreign Trade.
Objective:
To promote and support sustained growth in exports of goods and services bothin Terms of volume and value. To project a correct modern and enterprising
image of Pakistan as an exporting country.
Manifesto:
Assist govt. in formulating & administering Trade Policy Formulating export targets and monitor exports Facilitating export oriented industry Receive & disseminate market intelligence Sponsor incoming & outgoing trade delegations Participation in international trade fairs Settlement of trade disputes Market studies, workshops & seminars Training & development of HR and exporters Export of services Registration of contracts (Rice, Wheat, Yarn, Jewelry etc.) Implementation of Trade Policy initiatives Mandatory certification Refund of duty draw back on exports Assistance in compliance certification Other initiatives
Funding of the Organization:
TDAP, in its initial phase will be a government funded organization receivingannual grants from the Government of Pakistan. As it gains momentum in itsorganizational capacity, it will gear itself to generate revenues, like various TPOsaround the world, to help finance its operations.
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OFFICE STRUCTURE OF TDAP:
OFFICE STRUCTURE OF TDAP:
TDAP head office is in Karachi
It have four regional offices and Nine sub regional offices
TDAP offices are placed in every province of Pakistan
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HEAD QUARTER(KARACHI)
REGIONAL(Islamabad)
REGIONAL(Lahore)
REGIONAL(Peshawar)
REGIONAL(Quetta)
Sub regional
(Multan)
Sub Regional
(Faisalabad)
Sub RegionalSialkot
Sub regional
Gujrawanla
Sub regional
(Mirpur )
Sub regional
(Swat)
Sub regional
(Abbotabad)
Sub regional
(sukkar)
Sub Regional
(Hyderabad)
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Chairperson
Vice Chairperson
D.G
3
D.G
2
D.G
4
D.G
5
D.G
1
D
DIRECTOR
1
DIRECTOR
2DIRECTOR
3
DIRECTOR
4
DIRECTOR
5
DIRE
6
DEPUTYDIRECTOR
EXECUTIVE
OFFICER
DEPUTYDIRECTOR
DEPUTY
DIRECTOR
DEPUTY
DIRECTOR
ASSISTANT
DIRECTOR
DEPUTY
DIRECTOR
EXECUTIVE
OFFICER
ASSI
DIRE
DEPUTY
DIRECTOR
ASSISTANT
DIRECTOR
ASSISTA
DIRECT
ACCOUNTANT
AAO
ORGANIZATION STRUCTURE (ORGANOGRAM)
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STRUCTURE OF TDAP:
TDAP is headed by the Chairman who is usually from the private sectorwith the status of the Minister of State.
The Vice Chairman who is a senior civil servant of the country assists him.
Total numbers of director General in TDAP is 6
D.G is Head of the Regional Branch
Total numbers of directors work under each D.G is 6
Total numbers of assistant director in TDAP regional branch is 13
Total number of employees in is 1311, out of which 316 are in executiveand 995 in non-executive cadres.
With a view to make TDAP an effective trade promotion and development bodyof the country, it has recently been expanded, restructured, and reinforced withemployment of experts from the private sector.
How will TDAP Function?
The general direction and administration of the Trade Development Authority hasbeen vested in a 28 member Board, constituted under the Chairmanship of theMinister of Commerce. The members of the Board make for a holistic andstrong representation of the key public (15) and private sector (12) members.The Chief Executive of the Authority will serve as the Vice-Chairman and theSecretary of the Authority will act as the secretary of the Board. The Board willmeet a minimum of twice a year, and more times as deemed necessary for theperformance of its function. The Board shall be the supreme decision-making
body of the Authority having the power to supervise, control, direct and regulatethe affairs of the Authority. All policy decisions, including any change inpreviously established policy, in respect of any and all matters within the
jurisdiction of the Authority, shall be made only by the Board. The Board shallhave the power to delegate any of its powers to the Chief Executive of theAuthority. The Authority will serve as the Secretariat of the Board.
The Trade Development Authority will have all such powers, as may benecessary to perform its function of holistic planning and executing proactivestrategies. The core values of TDAP are based on Accountability, Transparency,and Empowerment of its people to achieve the results agreed upon and have
their performance appraised against those goals for identifying success.
The TDAP will be required to recommend to its Board a national policy formaximizing exports of goods and services from Pakistan by working through theSectoral Committees that would allow the Authority to backward integrate andhelp organize the supply base. Similarly Advisory Committees and FacilitationCommittees will help facilitate exporters capabilities and capacities; to achievesynergy in development of exports at the national level by forging effective liaison
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with private and public stakeholders. And most critically doing and causing to bedone all aspects that relate to the global marketing and promotion of goods andservices exports from Pakistan, over the medium term, to achieve a quantumleap in exports within 5 years from the completion of the seamless transformationprocess initiated.
A nine member (9) Executive Committee headed by the Federal Minister ofCommerce as its chairperson (as Chairman of the TDAP Board) will be
constituted by the Board to meet as often as needed to make decisions on behalfof the Board and that may delegate powers to the Executive Committee, fromtime to time, to act on behalf of the Board. The Executive Committee iscomprised of 9 members with at least 5 members representing the private sectorperspective.
Funding of the Organization:
TDAP, in its initial phase will be a government funded organization receivingannual grants from the Government of Pakistan. As it gains momentum in itsorganizational capacity, it will gear itself to generate revenues, like various TPOs
around the world, to help finance its operations.
Organizational Framework:
Now TDAP has 9 Divisions that are:
1. Geographic and Regional Trade Alliances (D.G 1)2. Export Supply Management (Textiles and Agriculture) (D.G 2)3. Export Supply Management -II (Other than Textile) (D.G 2)
4. Quota & Regulatory Management (D.G 3)5. Planning, Policies and International (D.G 4)6. Communications (D.G 5)7. Human Resource, Finance & Administration (D.G 5)8. Information Technology (D.G 6)9. Skill Development (D.G 6)
GEOGRAPHIC AND REGIONAL TRADE ALLIANCES
This division works as a navigator. Based on the feedback from Commercial
Officers in foreign countries regarding unconstrained demand and performanceof our products, it would provide strategic guidance to export and supplymanagement divisions for both textile and non-textile products mix. The divisionwould also identify and plan exploitation of opportunities flowing from regionaltrade alliances. Exhibitions and delegations abroad would also be planned andmanaged by the Division.
EXPORT AND SUPPLY MANAGEMENT (BOTH TEXTILE AND NON-TEXTILE)
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Primarily responsible for implementing programmed such as Export Vision, etc.This Division would chase the unrestrained demand through keeping the existingproducts afloat by constantly adapting and upgrading them and launching newproducts.Campaigns for marketing and product up-gradation will be developed and ExportPromotion Committees (EPCs) would be their forums of intervention. Theproactive interaction with trade and supply chain will be managed throughdeliverables such as market updates and product reports developed in close
collaboration with Geographic Division, Technical Skills Development division,SMEDA, BOI and Trade Associations.
QUOTA AND REGULATORY
This Division is responsible for managing all regulatory functions, such asregistration of exporters/importers, textile quotas management, registration ofproducts contracts and issuance of GSPs. Quality Review Committee for Ricewill also work under this Division.
POLICIES, PROCEDURES AND INTERNATIONAL LIAISON
Primarily responsible for trade policy formulation, its review and evaluation withspecific emphasis on simplification and harmonization of procedures with theobjective of achieving competitive edge in the context of emerging businessrealities such as W.T.O and Trade Blocks. The division ensures the provision ofthe facilitation services to manufacturers and exporters through liaison withagencies like CBR, SBP, KPT, Civil Aviation, etc. Resolution of trade disputes isalso the responsibility of this division. In addition to that, the division willforge and actively pursue linkages with international agencies such as CBI, GTZ,JICA, etc. for training and export development.
COMMUNICATIONS
The prime responsibility of this division is to manage the image of TDAP. as wellas export regime through periodical reports about activities of TDAP Moreover,advertising, publication of bulletins and promotional literature will be handledby this Division. Export display Centers will also be managed by this Division.
Human Resource, Finance & Administration
This Division manages human resource, administration and finances of TDAPincluding Export Marketing Development Fund. In addition to financialmanagement, the Division will carry out management audit. Assets managementincluding the management of Karachi Expo Centre (KEC) will be theresponsibility of this Division.
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RE-SRUCTURING OF TDAP, DIVISIONS AND FUNCTIONS
To gear-up export promotional activities and adopt such measures which couldhelp in obtaining our due share in international market the old organization ofTDAP has been re-structured on functional basis with distribution of functionsand responsibilities into mainstream by products and by territories. The objectiveis to achieve specialization by products and by geography.EPB has been divided into the eight divisions. The functions of these divisions as
well as names of the head of the divisions are as follows:-
Functions of Department/ Directors:
One Director General and Six directors are performed different function in Lahoreregional office. Directors General and directors and its functions are:
Director General:
Functional, Administrative, and Financial Matters of sub regional Offices
Products of Punjab Region. All Products officers to assist D.G in ProductRelated Matters.
EDF Projects of sub Regional Offices
Budgeting for office.
ACRs of all the subordinates
Payments
Budgeting
Transfer of employees within Export Promotion Bureau Lahore
Planning for improvements
Repairing of the building, vehicles etc.
Director 1
Seminar and workshops
Institutes
EIAC- Help Desk
Fiscal and Facility
Export Policy Initiatives
Pharmaceutical Products
Coordinations with Govt. Departments on trade issues
Director 2
Agriculture Products, Meat products Etc (Other than Rice)
QRC Management & coordination with REAP
Contracts Registration including cotton and Yarn
MOUs with other organizations
WTO matters
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EDF Projects of regional office.Lahore
Director 3
GRM Exhibitions and delegations
Rice as product
UNIDO. Cluster development program and supervision of clusters in
Sialkot and Faisalabad Legal Matters
Policy Matters related to GRMD
Processing of proposals and initiatives on calendar exhibitions,delegations ,Trade policy inputs and other matters referred byHeadquarters and MOC.
Liaison with Headquarters for preparation of marketing plans includingcalendar of exhibitions and delegations & effective evaluation ofexhibitions with objective of deciding future participants.
Director 4
Women Entrepreneurs
Wexnet Exhibition
EDF projects of sub regional offices
Coordinations with sub regional offices on all matters except foradministrative issues.
Coordination with product officers in Punjab Region
Pr & Media Publicity
Director 5
Administration of regional office
Supervision of administrative and financial affairs of sub regional officeunder supervision of DG, sub Regional Offices.
Coordination on all administrative matters with HR and FA.
Human Resources and Financial management of Punjab Region.
Protocol and Transport
GSP Certification
Refund Claims of Mandatory Certification.
Director 6
IT related matters of Punjab region
Construction related affairs of PSFD
Local Exhibitions including Juft, Carpet Show and Expo
Monthly Activity Reports
Matters referred to him by D.G
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Products clusters:
PRODUCT
CLUSTERS (A)
The major issues
confronting the clusters in Sialkot are effluent water treatment plant for leatherindustry, eradication of child labor from surgical and sports goods industry,
training of manpower for different export oriented industry at supervisory and
working level.
PRODUCT CLUSTER (B)
PRODUCT CLUSTER (C)
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In Faisalabad the major issues are installation of water treatment plan by thetextile units and for this purpose a garment city is being setup with Government
funding but to be managed by the private sector.
PRODUCT CLUSTER (D)
SWOT ANALYSISTrade Development Authority of Pakistan is an institution of the government thatwas established with a primary objective to boost exports and to facilitate theexporters with information and guidelines in making exports. So it has tried tokeep and maintain a large network of exporters and importer and a contact withbuyers and seller in the international market and provides the exporter with
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information that are helpful to them in making decision relating to export and helpthem with funds and information to ease the export of the country.
(NOTE):
TDAP is a Government regulatory body so its have no opportunity andthreats because opportunity and threats are based on external factor. So TDAPor any Govt, bodies have not opportunity and threats.
Strengths:
Having information offices in all over the world, Trade DevelopmentAuthority of Pakistan is playing an important role in providing thecustomers and the exporters with timely information and guideline that ishelpful and make them ease in making decision that what country is bestand why and for what products.
Proud able Human recourse is available with the TDAP that helpful for theexporters.
As the TDAP is the single organization that is working in thecountry to promote exports on the governmental level. So the organizationis financed by the government funds. So it can dispose off funds like EDF(Export Development Funds) & EMDF (Export Marketing DevelopmentFunds).
The TDAP is a governmental organization so it has a support from theGovernment in implementing its policies to govern the export relatedproblems.
Information Technology is used in the offices here and a computerizeddatabase that is linked with the internet for the timely information from one
place to another place. High co-ordination among the departments is there in the organization.
TDAP has established different training institutes in orderto provide skilled manpower to export based industry.
TDAP maintains a large database of foreign buyers, which isvery helpful for the exporters.
TDAP also maintains very sensitive statistical data, which isnecessary to enter in any foreign market.
Implementation of online communication, as TDAP has its own websiteand computerized network.
Worldwide office network.
TDAP website is very important and comprehensive source ofinformation for the exporters.
TDAP receives full co-operation from the foreign embassies ofPakistan all around the world.
To maintain international quality standards the TDAP provides financialand consultancy services to the exporters.
It has maintained a large database of foreign buyers that is helpful for theexporter in making contacts.
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A statistical research is made relating to export and to enter the market.
Exporters are facilitated in getting visa for the joining of trade delegationand in participating the trade fairs.
International disputes are being settled with the help of TDAP that giveslegal help to the exporters.
Weaknesses:
Less emphasis on training and development of export-related skills, allover the country e.g. creation and encouragement of vendor industriesdown the line.
Failure of creating an export culture in Pakistan as a national priority.
Political instability of Pakistan.
The most of the employees qualification is not related to their job.
Website is not updated properly.
Employees are eager to do work, but they dont know the businesstechniques, as they are not from relevant field.
The promotional activities of TDAP are not attractive enough to stimulate
the foreign buyers. TDAP has not proper authority to implement its decision.
Influenced by slow process of its own and other ministries.
There is no reward for outstanding performance.
There is not some kind of structured policies for the training of its ownemployees.
Lack of professional commitment and commercial attitude;
Lack of vision and sense of direction to face highly sensitive and fluidinternational markets;
Preference of career orientation by TDAP personnel over the targetachievement.
Too much of bureaucratization backed-up by highly centralized and rigidorganizational structure;
Less participative policy making and arbitrary decision making;
Rampant inefficiency and corrupt practices.
The promotional activities of the organization are not very attractive sothat to attract the foreign buyers.
Funds are being utilized sometimes on unproductive ways that contributea problem for the promotional activities.
The decision making is done in a traditional manner and no stimulation toemployees with low motivation.
Flow of information between the other departments is very low. So it leadsto the unnecessary delays in the decision making process.
Employee job satisfaction is very low because no incentives and rewardsare given on outstanding performance.
No Proper Rule and Regulations.
Traditional organizational Culture
Excessive Staff
No MIS system
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No Research and development Department
Informal unproductive culture
Commitment of the employee is not there in the organization.
(NOTE): These opportunities and threats in the international market for exporterto the Pakistanis exporter point of view not TDAP point of view)
INTERNATIONAL MARKET FOR PAKITANI EXPORTERS
Opportunities:
Growing economic trend of the world.
By improving quality of our products we can get our due share in theinternational markets.
By focusing on the new markets as Africa and Middle East we canimprove our exports.
Helping the exporters with information and finance will improve ourexports.
Elimination of quota restriction. By improving competitiveness demand of Pakistani products in
international market can be enhanced.
As quota restrictions are going to eliminate will get free market for itsexports.
Fast development and reforming in Pakistan, encourage the businessinside Pakistan so it will also increase the export.
In globalization we can improve our products export by entering theforeign markets with quality and lower costs.
Information technology is helping and has improved our production thatwill helpful in reducing cost and improving quality.
More expo centre should be established that will helpful in the promotionof exports.
Excessive Demand of Pakistani Products
In Pakistan have many natural resources
WTO gives relaxation to developing countries.
Threats:
Reputation of Pakistan is not good in the international market. The qualitystandards are not properly observed and cost is very high that is a threatfor the exports.
Taxation problems are there in Pakistan that discourages the export ofthe country.
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Downsizing trend is there in every organization so employee has a fear sothey can not contribute very much.
Image of Pakistan being a Muslim country.
Political instability of Pakistans trade members. Political instability hurtsthe performance of Export Promotion Bureau.
Sudden changes in the government policies spoil relationship betweenTDAP and exporters.
Increasing efficiency of Pakistans competitors.
MARKETING OR EXPORT STRATEGIES:
1. Enhance World Market:
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Enhance world market shares of the Core Product Categories via
Increased penetration of our best performing Categories in the top 10respective countries.
Selectively increase the top penetration of the Core Product Categories inthe Next top 10 countries.
Core CategoriesOther CoreCategories
Textile GarmentsRaw Cotton Yarn (AllTypes)FabricsGarments
Made Ups (ExcludingTowel)TowelsArt Silk and SyntheticTextiles
RiceLeather / ProductsSports GoodsCarpets and WoolSurgical Instruments
Petroleum Products
2.Value addition:
Pursue enhancement of manufacturing and marketing capabilities andefficiencies with a view to achieve value addition and increased competitivestrength for our Core Product Categories.
3. Export Diversification:
Pursue with national alignment and focused resource application, selectedDevelopmental export opportunities where Pakistan currently enjoys, or canachieve, a strong competitive edge. The identified Categories are:
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Developmental Categories
FisheriesFruit, Vegetables &Wheat.Marble & Granite.Engineering goods.Healthcare
PoultryI.T- Software & ServicesGems & JewelryChemicalsGeneral Services.
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4.Geographic Expansion:
Pursue in the less explored Geography, exports of our Core Products Categories
and Services and any other, but significant opportunities. The geographic areasidentified are:
Geoghraphic Areas
AfricaEastern EuropeOceania (Australia/NewZealand)
South AmericaCentral Asian Republics
5. Women Entrepreneurship:
To energies the Women Entrepreneurship in support of developing and realizingPakistan's export capabilities and potential, and enhance overall economic valueaddition.
6.Traditional partner Countries:
Bilateral Trade Enhancement would be achieved with countries where Pakistantraditionally/potentially enjoys close relationships.
7.Leverage International Trade Blocks / Agreements:
Enhance market access based on proactive and innovative management ofcurrent or emerging world economic / trading blocks and bilateral tradingarrangements.
COMPETITIVE STRATEGIES:
CORE VALUES:
High level of efficiency and customer orientation, both pro and reactive,responding promptly to stakeholder needs.
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Focused and prioritized efforts, as opposed to pursuing commerciallydesired flexibility.
Ensuring all initiative services are CUSTOMER DESIRED anddeveloped with GENUINE AND CLOSE ASOCIATION of relevantstakeholders. The ONLY exception may be where stakeholdersalignment cannot be achieved due innovation or for experimentation.
Ensure innovate, experimentation and risk taking encourage to achieve(for own needs or for advice to government and effort).
TDAP will use current / world class management tools and techniquesand Information Technology (IT) or EDP (Electronic Data Processing)for organizational efficiency in all that it wishes to do or achieve (suchas HR management, Finance and Accounting management, ProjectManagement, Procurement Management, Process engineering, TQM(Total Quality Management) and CI (Continuous Improvement) etc.
TDAP will as far as is possible undertake Measurement of Success on
the principle that What gets done is what is measured.
TDAP will ensure Transparency and Discipline in all its activities andrecognize merit as the only basis of adoption of option.
As opposed to fire fighting, every effort will be made to Institutionalizedthe core activities and services of TDAPs Export Facilitation efforts,Policies, Regulations, Advisory etc, without loosing flexibility andresponsiveness to sudden challenges and change.
Strategies:
TDAP not use any competitive strategies only do the negotiations as perWTO rules. For negotiations TDAP use different types of agreement like:
FTA (Free Trade Agreement)
PTA (Preferential Trading Arrangement)
GSP (Generalized system of preferences) ETC,
Free Trade Agreement:
In FTA is a bilateral agreement between countries for specific products .InFTA no exports duties are incurred. Pakistan makes FTA with differentcountries like
China Pakistan FTA
South Asian FTA
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Malaysia Pakistan FTA
Iran Pakistan FTAGeneralized System of Preferences:
The Generalized System of Preferences (GSP), is a system where-bypreferential treatment by way of a reduced or duty free tariff rate is granted bydeveloped countries known as preference giving or donor countries, to eligible
products imported from the developing countries
It is believed that the main objectives of Generalized System of Preferences willbe met by the ways given below:
To increase the export earnings of the preference receiving countries;
To promote their industrialization; and
To accelerate their role of economic growth.
Export under GSP Scheme:
If an exporter wishes to benefit from Generalized System of Preferenceshe hasto establish classification of his products within the Customs TariffSchedule ofthe country where he has an export interest
When the exporter becomes ascertained that his products are eligible forGSP, heshould calculate the preferential margin of his product which willenjoypreferential treatment in a particular market, so that he can calculate the
pricesfor offering to the importer.
The exporter must determine if his product(s) is subject to anyquantitativelamination.
The exporter must determine if his product(s) is subject to anyquantitativelamination.
The application for GSP treatment is supported by appropriatedocumentaryevidence regarding origin and details of the consignment of the products.
The more informations can be obtained about GSP from ExportPromotion Bureau.
SERVICES PROVIDED BY TDAP OR FUNCTION OFTDAP
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(A) Government related:
TDAP not only provides assistance to exporters but also assists theGovernment of Pakistan in the following matters.
TDAP assists the Government of Pakistan in setting the export targets
TDAP helps the Government in devising action plan to achieve thesetargets
TDAP advises in framing the rules and regulation of export trade sothat the exports targets may be achieved
TDAP assists the Government to simplify the procedures so that theseare easily understandable and applied by all the persons who are notwell qualified but interested in exports.
TDAP in collaboration with the Government of Pakistan carries outdifferent studies and surveys regarding
(B) Marketing:
Market Research
Fairs and Exhibitions - local and international Trade Delegations
Overseas and local publicity
Participation in Trade Related Events
Expo Center - Holding of exhibitions
Facilitation through trade officers abroad
Seminars/Conferences/Workshops
(C) Communication
Publication of Trade inquiries/opportunities Library
Export Intelligence Bulletin
Counseling
Year Book Statistics
(D) Human Resource Development
Training Institutes Seminars on ISO 9000 and 14000
TQM
Social Sector Concerns
Environmental Concerns
(E) Service to exporters
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Export Facilitation committee
Resolving problems in exports
Simplification of procedures
Export procedures handbook
Establishing buyer-seller contacts
Fax on demand and the Web site
Interface with chambers/trade associations
Settlements of trade disputes
(F) Regulatory
Formulation of proposals for the Trade Policy Implementation of TradePolicy
Textile Quota Management
Registration of Importers/Exporters
Registration of Export Contracts
Determination of Minimum Export Prices
Issuance of GSP Certificates
(G) Facilitations
Face to Face Counseling
Export Facilitation Committee to resolve export related problems
Standardization and simplification of procedures
Establish buyer-seller contacts
Informations dissemination through website/Fax on demand
(H) Supply Chain Management
SWOT analysis
Developmental Road maps
Cluster Development
Provision of Common utilities
Co-ordination and collaboration with stakeholders (Local & International)
Certification assistance (ISO, SA, HACCP, FDA)
(I)Information Management
New Website
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Renewed News letter
Publications and audio visuals
Trade Point (in Progress)
Mass Media communications
Seminars and Conferences
E mail blasts
Fax-on-Demand
Library
Pakistan Business Image Management
Expo 2008
(J)SME Exporter Development
Increase the number of exporters amongst both SME and larger Pakistani
enterprises
Identify, educate, make export ready and launch as exporter
Scheme under development
(K)Exporters Capability and Capacity development
Exporters education
Export skill Development council
Training institutes
Testing facilities
Related initiatives per trade policy
Awareness about WTO Regime
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Creating awareness
Inputs on WTO negotiations
Guiding exporters on WTO compliance and challenges/ opportunities
arising
ORGANIZATIONAL BEHAVIOR
Organizational behavior is simply the understanding, prediction, andmanagement of human behavior in organizations. In other words, organizationalbehavior is involved with the study and application of the human side ofmanagement and organization. TDAP, being an organization in the competitivebusiness community, also needs to carefully concentrate on behavioral side ofhuman management. The important issues in this regard follow:
Job Design
In recent years TDAP has adopted job rotation form of job design, by providing toits employees a greater variety of work by transferring them to differentdepartments. Particularly the marketing analysts enjoy the benefit of jobenrichment, too, through visits to assigned projects. The staff members are alsosent to attend various courses offered by other institutions in the country aswell as abroad. This practice enhances their experience and skills.
Job Satisfaction
Almost all the officers of the high level management come through CSS. Theirqualification does not match with their professional work. So they face some kindof problems in performing the daily routine work. In some departments there is avery little job satisfaction among the employees. But the overall the people aresatisfied with their job up to some extent.
JOB STRESS
Stress is an adaptive response to an external situation that results in physical,psychological or behavioral deviations for organizational participants.
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The following types of stress may result in job stress.
1. Extra-organizational stress2. Organizational stress3. Group stress4. Individual stress5. Job stress
The top management of TDAP has taken measures and made efforts to minimizethe negative stress amongst the employees. In organization special efforts arebeing made to reduce group stress by making the employees realize that theyare an essential part of the organization and a sense of involvement is provokedamongst them.
Another reason for this low negative stress is the fact that there are no inter-personal or inter-group conflicts in organization. There is an environment ofmutual understanding amongst the unions of the officers as well as employees.This is also due to the fact that the top management takes keen interest in these
matters.
PERSONALITY DEVELOPMENT
Personality means how people affect others and how they understand and viewthemselves as well as their pattern of inner and outer measurable traits. Thedevelopment of personality is a continuous process by which children graduallyacquire pattern of overt behavior, thinking problem solving, emotions, conflictsand ways of coping with conflicts that will go to make up their adultpersonalities.
Organization should give a great deal of attention in this regard. Suitableenvironment along with other opportunities should be provided to the employeesto understand themselves and to evaluate themselves. It should also offer morerefresher courses to both its officers and its employees, inside and outside thecountry that will groom their personalities. They should be taught how to usetheir knowledge and skill effectively in practice and how to plan their daily workin a better way.
Organization should also introduce the following concepts, which will surelydevelop the personality of its employees.
Job responsibility is given to the employees and a close check to see howpeoplerespond to their employees.
Relationship of the employees with their clients and other persons.
Proper turnout of the employees, as it makes a significant impression onthecustomers.
Regular checks to confirm that people abide by the rules of IDBP.
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Punctuality and regularity of the employees
INTER-PERSONAL RELATIONSHIPS
The success and prosperity of an organization depends upon its inter personalrelationships. There are pleasant relationships because people are getting highmonetary rewards. High-level officers work in close coordination with the middlelevel officers and the clerical staff in the form of a team. In all the
departments, different teams are formed comprising a high official. There is a lotof interaction between the different levels of management.
Training Programmed
All the training and recruitment policy for the employee is set by the Governmentof Pakistan. All the officers appointed here come through the CSS. So thetraining is done on the selection of the officers and later on some trainingprograms are managed by the organization. Sometimes it sends its employees tothe foreign for the training. But the percentage of the officers is very low who go
abroad for
Training
So organization has no recruiting policy. Some of the people are kept by theorganization on the contract basis but their limits are also mentioned by theGovernment.
POLICIES, PROCEDURES & MEETINGS
a) Resolution of trade disputes
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b) Work towards trade policy formulation, its review and evaluation with specific
emphasis on simplification and harmonization of procedures with the objective of
achieving competitive edge in the context of emerging business realities such as
WTO and Trade Blocks.
Pursue linkages with international agencies such as CBI, GTZ, JICA, etc. for
training and export development.
c) Ensuring the provision of the facilitation services to manufacturers and
exporters through liaison with agencies like CBR, SBP, KPT, Civil Aviation, etc
4 Ps OF TRADE DEVELOPMENT AUTHORITY OF PAKISTAN
Service Mix:
Trade Development Authority of Pakistan is a promotional organization and its
foremost function is to promote export so it is a service mix rather than product
mix. The exporters are provided and facilitated with information relating to their
product and their export and market as well as the benefits provided by the
government and TDAP.
Product:
TDAP provides help for the exporter to know the following points regarding histarget market before he commences his export business:
Profile of local major manufacturers.
Distribution channel and mark-up at each of the distribution channel.
Competition among local products and imported brands.
Evaluation of products by consumers, retailers, wholesalers and
importers in terms of price, quality and design.
Local production figures.
Export by destination & Import by Country of origin.
Market size in terms of value and quantity.
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Price:
Pricing is very important factor to enter in the foreign market along with quality.
To price the product is an important and sensitive task. TDAP provides the
exporters information that is related and same product price in the international
markets and help them in making decision to price their product so that they may
able to enter the market with differentiation. Here is some kind of guidelines that
are used in order to price a product.
Packaging:
The Trade Development Authority of Pakistan provides the exporter the
information relating to the packaging of the products and the international
standards that are required for packaging. The more emphasis is given on the
packing of the perishable commodities and timely arrangements are being made
in order to send those to the destinations.
Promotion:
As the TDAP is an organization with an objective to promote trade especially
exports, so the main emphasis is given on the promotional activities. Various
methods are being used in order to boost exports. Here are some kinds of the
tools that are generally used by the organization in order to boost and promote
products exports.
Seminars
Trade Fares and Exhibitions
Trade Delegations
Publications
Video Films/Documentaries
Publicity
Print Media
Electronic Media
The TDAP Web Site
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Seminars:
Through these seminars TDAP provides necessary know-how to inform theexporters and the delegation of the foreign countries regarding promotion ofexport products. Different seminars on ISO 9000, ISO 14000, fashion forecasts,new market Development, Agri Exports, Non Traditional forecasts and otherspecialized topics have been arranged by the Trade Development Authority ofPakistan.TDAP frequently organizes seminars on issues such as Basics of Exports,How to Increase Exports and other Export marketing related activities.
Trade Fairs
Trade Development Authority of Pakistan also works for Pakistansrepresentation in international trade events especially in exhibitions, shows andfairs. All the procedures and other rules are the same as mentioned in the abovelines. If there is some participation fee, TDAP bears 50% of it while the rest halfis borne by the participant himself.
Exhibtions:
Local ExhibitionsIn side the country exhibition to create awareness in Pakistani businesscommunity about export of different commodities, TDAP arranges specificcommodity shows and exhibitions. Along with these shows, seminars are alsoarranged. In these seminars, participants are provided export-relatedinformation. Brochures, pamphlets, and other written material are also distributedamong the participants. These shows are conducted where there isconcentration of production of the commodity. For example, a few days ago,
Shoe Show was held in Lahore while Dates Show was arranged in Khairpur(Sind). The sole aim of this activity is to encourage the local community and thelocal producers of a particular product to export that commodity. These showsare arranged with the cooperation of trade associations and mostly, theparticipation is free.International ExhibitionsThere are many foreign exhibitions that are arranged by the TDAP for the variouscategories as for leather, agricultural products, engineering, textiles products andinformation technology. Some of them are specific to the products and some aregeneral.
Trade Delegation:
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One of the most important functions of TDAP is to promote Pakistani productsabroad for the purpose of exports. TDAP adopts a number of strategies for thispurpose.TDAP, Government of Pakistan from time to time organizes Trade Delegationsabroad, the program of which is published through the press and advertisements.A normal package of incentives is given to the members of delegation.
Export Facilitation Committee:
Export Facilitation Committee (EFC) was created in 1997 to resolve the
operational problems of exporters. EFC is headed by Vice Chairman TDAP and
comprises of senior officials from export related departments like CBR, State
Bank, PIA, Pakistan Railways, utilities agencies etc and the representatives of
various exporters' associations. It meets every month to discuss and resolve the
problems faced by the exporters. Generally, in cases where the problem relates
to an individual exporter, TDAP approaches the concerned department for
resolution of the problem. In cases where the problem relates to an export sector
or many sectors, then the problem is brought on the agenda of EFC and
resolved. However, policy related problems are referred to the government for
policy solution through national budget, trade policy etc.
Functions:
Expedite the resolution of operational problems of exporters
Resolve the problems relating to fixation & payment of duty drawbacks
Open bond operations
Release of samples
Shipment of goods
Import of inputs for use in products to be exported
Export refinancing and other Forex requirements of SBP
Allocation of cargo space & freight rates with PIA & shipping companies
Matters relating to the utilities and other similar service.
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INFORMATION AND ADVISORY CENTRE (IAC)
The Information and Advisory Centre of the TDAP aims at micro-level contact with buyers and sellers. It processes the enquiries received fromimporters abroad and guides the local exporters accordingly. Enquires receiveddirectly from importers as well as from Pakistan trade offices abroad aredisseminated to exporters in Pakistan by the IAC through.
Global import/export statistics along-with comparisons with other markets.A well organized library catalogued in sections containing trade directoriesand information on products, export marketing, quality control, GSP,design, packing, customs tariff, trade fairs & exhibitions, costing & pricingand statistics.
International and local periodicals/journals relating to export trade.
Photocopying, microfiche print-outs, computer printouts and diskettecopying facilities.
Daily newspaper listings, faxes to trade associations.
Face to face counseling to resolve export problems.
Complete information about overseas export market.
A weekly Export Information Bulletin providing the latest foreign tradeinformation & enquiries.
Export training Courses for new exporters.
A Directory of Pakistani Exporters.
Computerized information on Exporters/Manufactures and ForeignBuyers.
Sources of obtaining of Informations
The first thing the exporter has to do in conducting any export business is tofind importers who will buy your goods. There are many ways to find overseasbuyers. TDAP can assist the exporters in the following ways:
Get in touch with the Information and advisory centre of TDAP whosefunctions include introducing foreign buyers to Pakistani exporters.
TDAP has a database of foreign importers that include themost updated information gathered by trade CommercialCounsellors/Commercia
TDAP has also updated its database on exporters profile within the
country. Visit TDAP Information and advisory Centre has a specializedinternational trade library where references of company directories, yellowpages and trade journals from all over the world are available.
Sending offer letters on your products to the companies listed in suchdirectories and journals is one way to approach buyers.
Visit foreign market, as a member of trade missions, and/or as an exhibitorin the trade fairs and exhibitions.
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Get information from the Commercial section of foreign embassies ortrade promotion organizations stationed in Pakistan.
Check the inquiry letter sent by foreign buyers to the local chamber ofcommerce offices.
EXPORT MARKETING DEVELOPMENT FUND:
The object of this fund is to assist by grants-in-aid the financing of projectsrelating to:
Survey of foreign markets for specific Pakistani products andservices.
Designing of Pakistani products to meet the requirements offoreign markets.
Development of foreign markets through opening offices abroad,publicity.
Participation in exhibitions, sending of delegations and othermeasures.
Dissemination of information relating to foreign markets amongstexporters through seminars, publications, film shows etc.
Extending of consultant marketing services to exporters,organizations an industries engaged in exports.
Promotion of marketing research organizations.
Cooperation with international and national organization andagencies engaged in activities relating to marketing of goods andservices in foreign markets.
Assistance to export marketing organization approved by theTDAP.
Doing all such things as the Board of Administrators of the Fund
may consider essential and conductive to the attainment of any orall the objectives of the Fund mentioned above.
Finance Training Institute for export oriented trading and industrialsectors.
Subsidize delegations/sales missions/exhibitions and publicityabroad.
Help in establishing the offices abroad of Federation PakistanChambers of Commerce & Industry and exports associations andresearch & development activities, engaging consultants etc.
Source of Funds
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(i) Cess @ 0.25% of the export precedes(ii) Receipts for services rendered to clients.(iii) Donations and endowments.(iv) Any other receipts declared legitimate contribution to
the Fund by the Federal Government.
SRO (STATUTORY REGULATIONS ORDERS)
These SROs Notifications Circular and different forms, with regard to exports arebeing issued from time to time by the following organizations of Government ofPakistan:
Ministry of Finance, Economic Affairs, Statistics and Revenue, RevenueDivision
Ministry of Commerce
Centre Board of Revenue (CBR) (Revenue Division)
State Bank of Pakistan
Pakistan Custom and
Export Promotion Bureau
Here are some of the important SROs that are issued by variousdepartments to govern the trade.
S.No S.R.O`s DATE DESCRIPTION
417(I)2000 17-6-2000 Sales Tax Refund Rules, 2000
844(I)/98 23-7-1998 No Duty no Drawback Rules, 1998 843(I)/98 23-7-1998 Common Bonded Warehouse (Conventional) Rules,
1998
905(I)/98 12-8-1998 Duty Drawback Rules, 1998
583(I)/2000 12-8-2000 Exemption from payment of custom duties ofMachinery and Equipment by Fruit and vegetable exports
FACILITIES AND INCENTIVES FOR EXPORTERS
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The primary objective of the organization is to promote export. So theorganization and the Government of the Pakistan is providing some kind ofincentives and facilities to the exporter in order to boost export. The governmentis providing loans on concessional rates. Moreover there are some schemesintroduced by the different institutions to finance the export. The finance isavailable on or after the export for the production of the commodities or to makeexport. Moreover there is tax exemptions to the exporters that attract to go for theexport. There is sales tax exemption to the exporter on the goods exporter and
the refund is claimed by them on the export.
Following are some facilities as are provided to the exporter by the Governmentand by the organizations.
Export Financing @13% under the Export Finance Scheme of the StateBank of Pakistan.
Export financing under Foreign Currency Export Finance facility forpurchase of Inputs domestically or for imports of foreign inputs forexportable goods.
Export credit guarantees under Pakistan Export Finance Guarantee
Agency Income Tax @ 0.75% to 1.25% for different commodities under the
Income Tax Ordinance 1979.
Facilities under Temporary Importation Scheme.
Facilities under Common Bonded Warehouse Scheme.
Facilities under the Pioneering Export Marketing & Product UpgradationFund.
Payment of Commission to agents abroad.
Opening of offices abroad.
Protocol Passes to leading exporters for access to lounges at National
Airports etc.
Export Finance:
To maximize the exports various schemes of financing has been started by thefinancial institutions. These institutions works closely with the TDAP.Maximization of exports remains a cardinal objective of the countryseconomic policy. Though no special institution has been established for theexclusive of financing exports almost all commercial banks take active part inthis field. The state bank attached the highest importance to export financing andseeks to ensure that adequate finance is available. One feature of foreign trade
financings is that, what is realization of Export proceeds? Time lag between theshipment of goods and the realization of the export proceeds is longer than in thecase of domestic trade. However, it is noteworthy that, despite the longer timelag involved. Foreign trade financing is not less safe for the banks as theircredit covers specific shipment of goods and they have the necessary documentsin their possession giving them the title to the goods. Foreign trades financing iswhat is a self-liquidating character.
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The state bank has been providing liberal refinance facilities for exports.Special rediscounting facilities have been: What are non-traditional exports?Provided for cotton. While banking system in Pakistan has provided adequatefinance for traditional exports, it has not kept pace with the demand for creditfrom newly emerging exports. In recent years, a number of nontraditional exportshave emerged and their aggregate contribution to foreign exchange earnings hasbecome substantial. Realizing that the small exporters do not enjoy theconfidence and trust of the bankers and that the export
market of non-traditional items is highly competitive, the state bank hasintroduced a special financial scheme for non-traditional exports. One of he basicproblems is to tie up the problem of export credit with the arrangements forguarantees and insurance. Under the scheme, non-traditional exports have beendefined as well commodities and goods except cotton, cotton textiles, cottonyarn, cotton waste, wool, rice, hides and skins, leather, sports goods, surgicalinstruments, and cement.
So different schemes has been launched by the institution to finance exports.They have different requirements and different modes of financing. Moreover thegovernment has given the tax relaxation to the exporter in order to make export.
The exports are exempt from the sales tax and some other concessions aregiven in the taxes.
Import and export Registration
The import and export registration is done by the TDAP. The importance of theregistration is declared from the fact that according to the Governmental rules noone can export anything to the others without getting with registered by TDAP.This is the procedure used in import and export registration.
How to get Export & Import Registration.
Export & Import Registration is granted by the export promotion bureau,head office and by all its regional and sub regional offices. Theapplicant(s)/firm(s)company is required to apply for registration as animporter or an exporter through banks to the offices of TDAP on specifiedapplication form (appendix A) vied clause 2.1 of SRO 898(I)/99 dated 4thAugust 1999 regarding import and export procedure: -
Application forms are available with the TDAP offices and are supplied tothe applicants free of charge. Photocopy of application form is alsoacceptable by TDAP.
Every importer and exporter applying for registration or renewal ofregistration shall pay fees as follows: -
i) Import Registration fee Rs. 1530/-. This includes RS. 1000/- asregistrationfee to be paid once on registration. Rs. 500/- as renewal fee for fiveyears @100/- per annum including the year in which the registration is effected
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Rs. 30/-as cost of category passbook.
ii) Export registration fee Rs. 1500/-. This includes Rs. 100/- asregistrationfee to be paid once on registration. Rs. 500/- as renewal fee for fiveyears @ Rs.100/- per annum including the year in which theregistration is affected.
In case the applicant desires to obtain both import and export registration thetotal fee shall be Rs. 3030/-
NOTE:
(Actually in the current year the Exporter and Importer registration hasbeen abolished and this restriction has been deleted and now they do not
need to get them registered with the organization.)
GSP (GENERALISED SYSTEM OF PREFERENCES)
The Generalized System of Preferences (GSP), is a system where-bypreferential treatment by way of a reduced or duty free tariff rate is granted bydeveloped countries known as preference giving or donor countries, to eligibleproducts imported from the developing countries It is believed that the mainobjectives of Generalized System of Preferences will be met by the ways givenbelow:
To increase the export earnings of the preference receiving countries;
To promote their industrialization;
To accelerate their role of economic growth.
Export under GSP Scheme
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If an exporter wishes to benefit from Generalized System of Preferenceshe has to establish classification of his products within the Customs TariffSchedule of the country where he has an export interest.
When the exporter becomes ascertained that his products are eligible forGSP, heshould calculate the preferential margin of his product which willenjoy preferential treatment in a particular market, so that he can calculatethe prices for offering to the importer.
The exporter must determine if his product(s) is subject to any quantitative
lamination.
The exporter must determine if his product(s) is subject to any quantitativelamination.
The application for GSP treatment is supported by appropriatedocumentary evidence regarding origin and details of the consignment ofthe products.
The more informations can be obtained about GSP from TDAP.
ACCOUNT DEPARTMENT:
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Single entry system use for accounting records
Only record expenditure
Prepared Cash book
Manual work
Re-appropriation fund (If needs of TDAP are greater then budget thenTDAP apply for re appropriation fund.
Pay received from Headquarter
All record mountain bye AGPR(Accountant General of Pakistan revenue) All retirement funds record in State bank of Pakistan but pay by AGPR
EDF and EMDF managed by ministry of finance
Govt of Pakistan give approval to Ministry of finance release that fund thenM.O.F deliver this fund to TDAP Head office then Head office deliver to regionaloffice.
Budget of TDAP for Year 2009-10
Sanction Budget 12,586,000
Ministry of finance give permission Use Only 95% of total budget 11,956,700
Re-appropriation funds 3,012,150
Final Budget 1468,850
Total Expenditure up to 30.06.2010 13,358,937
Balance 1,609,913
BUDGET OF TDAP FOR YEAR 2009-10
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Statement Showing the Expenditure up to 28.06.2010 of TDAP,Lahore during financial year 09-10
Object Head CODE Sanctioned
Budget
95%Budget
Re-appropriation/Add. Funds
Requested
for Re-appropriation
FinalBudget
TOTALExpenditure upto30.06.20
10
Balance(6 - 7)
1 2 3 4 5 6 7 8
Purchase ofPhysical Assets A091 - - 470,000 470,000 400,000 70,000
TransportA09501 - -
Machinery &Equipment
A09601 - -
Purchase ofFurniture
A09701 - -
I.T. Equipments
A0920
3 -
470,00
0
47
0,000
40
0,000
70,
000
Repair ofDurable Goods A13
360,000
342,000
673,000 -
1,015,000
954,040
60,960
Transportation &Repair
A13001
190,000
180,500
357,000
537,500
477,438
60,062
Machinery &Equipment
A13101
150,000
142,500
258,000
400,500
400,077 423
Furniture &Fixture
A13201
20,000
19,000
15,000
34,000
33,580 420
I.T.EquipmentsA13703 -
43,000
43,000
42,945 55
OperatingExpenses A03
12,126,000
11,519,700
1,849,150 -
13,368,850
11,898,226
1,470,624
Travel &Transportation
A038
4,350,000
4,132,500
(572,000)
-
3,560,500
3,349,648
210,852
Personal TAA03805
2,600,000
2,470,000
(990,000)
1,480,000
1,303,169
176,831
Transportation ofGoods
A03806
50,000
47,500
47,500
38,200
9,300
POL ChargesA03807
1,650,000
1,567,500
408,000
1,975,500
1,950,799
24,701
ConveyanceCharges
A03808
50,000
47,500
10,000
57,500
57,480 20
Communication A0321,34
6,0001,278,
700669,00
0 -1,94
7,7001,92
5,48922,
211
Postage &Telegram
A03201 - - - -
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EXPORT FROM PAKISTAN
Comparison of Export and Import of Pakistan
2010-11 2009-10 CHANGE
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EXPORT FROM PAKISTAN VALUE IN MILLION $
MONTH 2007-08 2008-09 2009-10 2010-11 CHANGE OVER EXPORT
EXPORT VALUE %
JULY 1,472 1,879 1,468 1,788 320 21.83
AUGUST 1,465 1,564 1,462
SEPTEMBER 1,484 1,772 1,508
OCTOBER 1,378 1,475 1,577NOVEMBER 1,539 1,527 1,518
DECEMBER 1,320 1,257 1,566
JANUARY 1,464 1,346 1,685
FEBRUARY 1,538 1,250 1,519
MARCH 1,772 1,312 1,770
APRIL 1,791 1,322 1,701
MAY 1,921 1,463 1,754
JUNE 1,909 1,522 1,819
19,052
17,688
19,346
1,788
JULY-JUNE 19,052 17,688 19,346 1,788
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J U L Y VALUE
EXPORTS 1,788 1,468 320
IMPORTS 3,239 2,639 600
BALANCE (1,451) (1,172) (279)
NOTE:
1) Figures are PROVISIONAL2) Target is subject to the Approval
LEARNING AS A INTERNEE:
SCHEDULE OF TRAINING
The Trade development Authority of Pakistan arranges 40days of trainingprogram for students every year. Mr. Allah Ditta who is Information Coordinator inthe Admin department manages the training program for students. He made thetraining schedule and guides the students. There were total of twelve studentsfrom University of the Punjab. He divided the students in to four groups andmeetings with different directors were held in groups.We met with different Deputy Directors, Assistant directors, accountant,Executive officers and PR0 (Public relation Officer) at TDAP and learn innovativeand realistic knowledge from them and also got a practical insight in realOrganizational environment. They all guided us with their valuable experiencesand provide us with very healthy learning environment.The internship program was required to be of six weeks and Mr. Allah Dittaplanned the training schedule in a way that will cover 0ne directorate per week.In The last week we were allocate to make and submit the research report on anexport product based on the current years statistics. The students were
supposed to submit the research report in order to get the internship completioncertificate.I was assigned to make a research report on Sugar industry of Pakistan underthe charge of MS, Adeela Younis(Schedule training work are already mentioned in weekly reports so thats whynot mentioned in this report)
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DUTIES:
In every week we are engaged with different directors of differentproducts. They share knowledge about work.
Our coordinator assigned task to every internee and required to preparedreport on different products. I was worked on sugar industry
Give task to search out the swot of TDAP
Provide information to different exporters about how u can exports yourproducts
Help out to exporters of Gems and Stone to fill form for Export registration
Share marketing strategies with exporters and discuss brand strategiesand benefit of brand with exporters
Give task to search out how many types of problems faces by Pakistan
and how it can be resolve Search out the current figures of import and exports by use of Trade map.
ACCOMPLISHMNET
Submitted report that required by the TDAP for certificate in time.
Attend five days workshop on Gems, Jewellery and Stone and receivedcertificate.
TDAP staff are impressed with my discussion in GJS Workshop so thatswhy invite to next seminar on FTA (Free Trade Agreement).
TDAP committed with me to invite you at every seminar In disciplinary manner, attendance, Personality, My coordinator give
positive remarks on my evaluation form.
NEW KNOWLEDGE ACQUIRED:
I have acquired some practical knowledge from TDAPlike:
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Learned about Government structure, functions etc.
Export Procedure
Sugar industries
Imports and exports trend
Gems and Jewellery and Stone industry
FTA, GSP etc
Trade disputes
Exhibitions, fair, delegation criteria for domestic level and foreignercountries
Why Pakistan go back in industry.
Banned products in Pakistan
Cluster Development Program
Black list Companies and areas
About Trade Map
PROBLEMS ENCOUNTERED
All staff member of TDAP are too much cooperative either it could bedirectors or peon. No big problem face during internship but some problemfaced like;
Reporting system in Government organization are too much rigid soDirector General are on Holidays so we received internship letter aftermany weeks.
Problem face in collection of data for report either it internship reportsor sugar industry report.
No computer system available for working of internees Soft copy of data are not available in TDAP
HOW EXPERIENCED IMPACTS MY CAREER
Before in this internship I have no practical knowledge about Governmentorganizations and negative image develop in my mind but now my mind
perception changed after done internship training in TDAP. All staffmember are competitive and I had got lot of knowledge regardingfunctions, Finance, Administrations, Supply chain management andinternational trade (Imports and Exports). If any one asked me questionregarding imports and export then I will share lot of knowledge without anyanxiety to that person. If I will start business of imports and exports nearfutures then I feel no problem will incurred. I think its my fortune I havedone my internship from TDAP because TDAP working are totally based
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on research so I love research work. TDAP also arrange seminarregarding trade so TDAP Had made commitment with me they will beinvite me in every seminar and workshop its pleasure for me. So I thinkexperienced that I gained from TDAP will helpful in my career.
I know my specialization in Finance and I have learned not more regardingfinance but I have lot of knowledge regarding every departments and Ithink Basic objective of MBA are to make multi skills to every person so I
think I achieved that objective after doing internship in TDAP. So I am verythankful to our internship advisor Sajid Nazir who recommended me to dointernship from TDAP.
CHALLENGES FACED BY TDAP
The TDAP faces different challenges, as it find out theopportunities and planning for the promotion of Pakistans export in allover the world.
Although it has no authority to force exporter in their work, but it tryhard to train and educate them.
The TDAP, as mentioned earlier, was established in 1963 with the soleaim of providing the Pakistan export community with update marketinginformation.
TDAP vital role is to bring about and appreciable increase in Pakistans
experts and raise foreign exchange earnings by providing encouragementto producers to organize themselves properly in order achieve this goaland to coordinate with different government agencies to formulateeffective export policy.
TDAP is playing a role of platform, as it arranges the placewhere meeting of exporters and foreign buyers are held.
Prospective buyers who are unable to visit Pakistan but are interested inbusiness contacts with Pakistani counterparts can utilize TDAP servicesthrough written enquiries.
The information center of TDAP is computerized to provideregular dissemination of information to the export community. The
information and Advisory Center (IAC) of the TDAP has added newsdimensions to its central catalyst role i.e. of valuable contribution towardsenriching the countrys image.
The IAC of TDAP maintains a comprehensive record on Pakistaniexporters/ manufacturers and their product profiles. The information isuseful when attending to foreign enquiries by Pakistans Trade Officesabroad.
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The TDAP produces a number of documentary films each year thatare distributed to our embassies for screening before potential buyers andat trade fairs abroad.
At present, there are over 40 trade offices abroad. The main purpose ofthese trade offices is to boost Pakistani exports, which can be achievedthrough initiative on the part of our trade officers. The maintains a closeworking relationship with all of them.
In order to introduce Pakistans exportable commodities to the world,
TDAP has been arranging permanent display of products within Pakistanand abroad to attract prospective foreign buyers.
One of the most important roles of TDAP is its participation in internationaland national trade fairs. Annually Pakistan participates in not less than fiftymajor international exhibitions.
Pakistan as a member of community of the developing nations hasdeveloped policies aimed at exploiting the international market. Opting fora policy of export promotion instead of import substitution entails a strongorientation towards overseas markets and a liberalization of the domesticmarket for goods, services and capital, as well as of imports and exports.
It is aimed at increasing the competitiveness of Pakistani exporters.
Quality consciousness and efficient production techniques are beingencouraged through massive investment in human resource development.
A large number of research and training institutes are being set up andemphasis is being put on private sector development and market orientedpolicies.
The govt. is focusing on rapid industrialization through a series ofinvestments in infrastructure development such as energy andcommunications. At the same time, privatization and denationalizationprogram has been is going on and reforms in the tariff as well as
exchange control has been initiated. In order to take the utmost advantage of these reforms with a view to
maximizing the export potential of Pakistan and take on the challenge ofadapting our approach to one which takes into account the rapidlychanging world economic c