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Pakistan and China Sign $382 Million Agricultural Cooperation Deal

BEIJING: International Innovation Park Limited EPZ and China National Cereals, Oils and Foodstuffs Corporation (COFCO) have signed a landmark agreement valued at over $380 million to enhance collaboration in the agriculture sector. The deal was finalized at the China International Fair for Trade in Services (CIFTIS) in Beijing on Saturday, marking a significant step in strengthening bilateral trade and cooperation.

The agreement was witnessed by Pakistan’s Ambassador to China, Khalil Hashmi, Trade and Investment Counsellor Ghulam Qadir, and representatives from both companies. Ambassador Hashmi described the deal as a “milestone for Pakistan,” highlighting its potential to boost collaboration between Chinese and Pakistani firms and improve product development in Pakistan. He also noted Pakistan’s preferential trade agreements with major global markets, including the European Union, the United Kingdom, and China, facilitated by the China-Pakistan Free Trade Agreement (CPFTA), which provides duty-free access for many Pakistani products.

In a separate development, Liu Zhai, Senior Vice President of IBI and CEO of Toodudu, signed a Memorandum of Understanding (MoU) with Naveed Asghar, Chairman and CEO of Waetz Asia. The MoU aims to enhance cooperation in the textile sector, focusing on the digital transformation and optimization of supply chains for 200 textile factories in Pakistan.

The CIFTIS event has also played a crucial role in fostering financial cooperation. Shaikh Muhammad Shariq, Vice President of the National Bank of Pakistan (NBP) and Chief Representative in China, highlighted how the platform is facilitating collaboration between Chinese banks and global financial institutions. Speaking at a seminar on “Investment in Pakistan,” Shariq praised CIFTIS for its role in promoting discussions that could lead to future financial partnerships. “CIFTIS offers a unique platform for NBP to explore collaborative ventures that can drive mutual growth and stability in the global financial landscape,” he said. With a total asset base of $23.6 billion, NBP remains Pakistan’s largest capitalized bank, with net assets worth $1.36 billion.

CIFTIS 2024, held from September 12-16, featured Shougang as the main venue for financial institutions to showcase their services. Federal Minister for Commerce Jam Kamal Khan also emphasized the deep strategic ties between Pakistan and China, often referred to as “iron brothers.” He acknowledged the significant progress achieved through initiatives like the China-Pakistan Economic Corridor (CPEC) and CPFTA but stressed the untapped potential for future economic collaboration. Khan delivered a virtual keynote address at the Pakistan Investment Conference during CIFTIS, underscoring the importance of the ongoing strategic partnership between the two nations.

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