THE potential for Scottish companies doing business in Pakistan has been highlighted at a conference in Glasgow, where delegates were told the country is ripe for development by firms in the oil and gas, renewable energy and food and drink sectors.
The event, staged by export body Scottish Development International, was staged as the UK Government targets growing the value of bilateral trade with Pakistan by 7% to £2.5 billion by 2015.
Pakistan's burgeoning population – expected to grow from 190 million to 250 million by 2050 – rich natural resources and strategic geographical location between India and China means the opportunity it presents is too big to ignore, the conference heard.
Delegates were urged to separate the myth from reality as regards security and corruption in Pakistan, and heard the shared culture between Pakistan and the UK gives Scottish companies an advantage.
Next to Urdu, English is one of the country's two official languages and is regarded as the "language of business", while many of Pakistan's professional classes are trained and educated in Britain.
The conference, hosted by Nosheena Mobarik, chairwoman of CBI (Confederation of British Industry) Scotland, came as hopes emerged that the recent elections in Pakistan would pave the way for the country's commercial potential to be realised.
The election saw a civilian government take over from another after serving a full term for the first time.
Ms Mobarik, who chairs the Pakistan Trade and Investment Forum (PTIF), said the event showed Pakistan was a market that cannot be ignored.
She said: "Today was a turning point.
"I have been lobbying the Scottish Government for a long, long time that this is a market that needs to be looked at.
"We can't just focus on India and China – there are markets out there like Pakistan. Yes there are negatives, but we have to get the positive message out there."
Ms Mobarik pledged to capitalise on the opportunity by hosting a series of regional events in her role as chair of the PTIF, including one focused on energy in Aberdeen.
She noted that a previous event held by the forum on the case for retail investment in Pakistan earlier this year was already paying dividends, with Marks & Spencer, New Look and BHS actively looking at sites in the country.
Debenhams was one of the first to make the move, having opened a store in Karachi last year.
Yesterday's conference was also addressed by Francis Campbell, the British Deputy High Commissioner in Karachi, and Humza Yousaf MSP, the Scottish minister for external affairs and international development.
Mr Campbell set out to debunk the myth of Pakistan as an area unsafe to do business, emphasising the challenges were no different to trading with any other emerging economy.
He said oil and gas companies stood to benefit by investing in the country. Although it is still a developing industry, he said the rewards are there for companies that "stick with it", pointing to the recent find by Italian firm Eni.
Mr Campbell said: "There is a huge energy deficit in Pakistan – there's a need to build infrastructure. I would hope that when the [trade] delegation goes over [from Scotland later this year] energy will feature strongly."
Mr Campbell added that Scottish agricultural and fish farming companies have the potential to export their techniques to Pakistan, adding that Scotland should examine how at attract Pakistani companies looking to relocate overseas. He also said the Scottish tourism industry should target the country as it has a "growing middle class with disposable income".
Mr Yousaf said: "We are bombarded by what the perception of Pakistan is and people have an unfair perception of Pakistan.
"That is not to say it is not without its challenges. Bridging that gap between myth and reality is going to be one of the biggest challenges in terms of getting companies and businesses to explore the opportunities in Pakistan. But the elections can't be underplayed – that in itself was a great signal, which will help I'm sure."
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