The products which are in produced in abundance is export to other countries. And the products which are not produced in a country or which shortage imports from other countries. Export and imports are important. They should be keeping in balance otherwise balance of trades disturbs which automatically disturbs the balance of payment of a country. Through exports a country can capture the other countries market like china.
Balance of trade can be balanced if we keep the imports according to exports. In Pakistan the major exports are crops and raw material. Crops contribute a major portion of the country’s GDP. The imports of Pakistan are luxurious items. That’s why its balance of trade disturbs. Pakistan needs to exports finished products instead of semi finished or raw materials. And Pakistan should reduce their imports and need to produce those products in its own country.
Pakistan has to pay in foreign exchange and earn in rupees. It has also a big effect on Pakistan currency. In this way currency devalued. Pakistan is a consumption oriented society. Major imports are luxurious items petroleum etc. people should reduce their consumption.
Major cash crops of Pakistan are rice, tobacco, fruits, vegetables, cotton and basmati rice of Pakistan is very famous in other countries. These are the major earnings. Pakistan economy is not as stronger. To make it strong Pakistan should increase their exports. Government should pay attention. Many exports bureau are opened by Government to facilitate exports of Pakistan. Many taxes on exports are reduced to increase the exports.
Imports and exports make a friendly relation between two countries. It encourage to each other to do more business in favor of their own countries.