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POWERED BY RESEARCH & DEVELOPMENT DEPARTMENT, SCCI

13thEDITION

“Bismillah ir-Rahman ir-Rahim”

"In the name of ALLAH, the most Gracious, most Merciful".

“

”

“O ye who believe! Devour not Usury,doubled and multiplied; but fear

Allah; that ye may (really) prosper.”

-AL Quran-

"Whenever a morsel of haram reachesthe belly of a servant all the angels inthe heavens and on the earth will

curse him"

-Hadith-

*-----*…..*-----*…..*-----*…..*-----*

What is Inside...!13th Edition

Message by Secretary General 01

Message by President SCCI 02

Long-Term Financing Facility 04

Export Business in Pakistan 08

Payoneer - A Global Payment Mode 15

Business Apps 19

Innova!ons in Nano-Finishing in Tex!les 20

Inspira!onal Quotes 22

Report on - “Intellectual Property Rights” 23

Country in Focus - “Brazil” 29

General Fair & Exhibi!ons 38

Credits 39

trends, new technologies and untapped opportuni(es. The Sialkot Chamber of Commerce &Industry has always been commi)ed to provide quality services to its members and CHAMBER’SCOMMUNICATOR is the con(nua(on of the legacy and tradi(ons of adding innova(ve valueadded services. This E Magazine is designed to serve as an informa(ve tool for enriching theknowledge and providing guidelines to our members helping them manage and flourish theirbusinesses profitably.

In this edi(on, we have managed to cover the different dynamics of industry ranging fromproduct diversifica(on, innova(on and use of latest techniques and technology to changingmarket trends and poten(al markets to be exploited. We are striving to improve the contentswith every upcoming edi(on and request all our readers to give their inputs and sugges(ons thatwould advance the objec(ves of this E Magazine.

Wish you all an interes(ng reading experience.Profound Regards,

Tariq Mahmood MalikSecretary General

Dear Members,

It gives me immense pleasure to present you the13th edi(on of Chamber’s Communicator, the firstcorporate E- Magazine of Sialkot that is unique inproviding informa(on regarding latest business

SECRETARY GENERAL

Message

Mr. Majid Raza BhuttaPresident SCCI

ndustry-Academia Linkages are impera&ve for Developmentand Innova&on. Within the context of knowledge-intensivesocie&es, industrial academia linkages are vital to becomingimportant part of higher educa&on policy-making, both at theNa&onal and Ins&tu&onal levels. Governments around the worldare increasingly acknowledging the importance of highereduca&on ins&tu&ons as strategic actors in na&onal and regionaleconomic development, given their poten&al to upgradeknowledge of the labor force and to contribute to product andprocess innova&on through technology transfer. The same oughtto be replicated in Pakistan which would lead to development ofnew technologies, enhanced produc&on systems, diversifica&onof export basket and ul&mately increased exports.

Sialkot Chamber of Commerce & Industry has taken theIndustry-Academia Linkages as priority this year and would keepon striving to boost the exis&ng linkages with the Universi&eswith a result oriented approach. Keep the same in view, , I am

pleased to share with you that wevisited Na&onal University of Scienceand Technology, Islamabad (NUST) onFebruary 21, 2017 to discuss theestablishment of NUST Campus inSialkot and fostering be'er Industry-Academia Linkages.

During the visit, we experienced manyinnova&ve projects which I believe canbe beneficial for the Industry. Some ofthe main projects were:

1. BCI-II (Upper limb) (CEME)The aim is to design such limbs thatrequire no technical assistance inplacing or removing, are lightweightand have low cost. The objec&ve ofthis group was to study, design, andfabricate a prosthe&c arm that is notonly state of the art but also low incost. The brain controlled prosthe&cupper limb is triggered by EMG signalsof the muscle contrac&ons, which are

I

Message

linked, to the thought process. The electronic andcontrol circuitry is available in both insert mount andsurface mount technology. The first prototype (MyoMecha 1) was manufactured the same year andtested on a 14-year-old boy.

2. SurgiSol (SEECS)SMART Sim is a Virtual-Reality Laparoscopic SurgicalTrainer for surgeons to learn the skills required inMinimal Invasive Surgery. It allows a surgeon to betrained, tested, and specialized in diverse surgicalscenarios and procedures developed as a part ofthis training simulator system. Some of thedis-nguishing features of this system are PreExercise Educa-on, Run-Time Assistance, and PostExercise Review.

3. Nulcer (SEECS)Nulcer is a wearable garment (shorts) that usesElectrical S-mula-on (ES) to prevent pressure ulcers.ES has been proven effec-ve in preven-ng pressureulcers by aiding the body’s nutrients and blood flowin a muscle under pressure. The garment includeselectrodes to provide ES to the gluteal muscles,since these are the most affected by pressure ulcers.The ES device mounted on the front of the garmentis wirelessly controlled via Bluetooth Low Energyfrom a mobile app. The app offers pre-configuretherapy regimes as well as op-on to selectcustomized se/ngs, includes data analy-cs storedon a cloud and connects the pa-ent and doctor fortherapy analysis and effec-veness.

4. INWERT (CAE)An inner wear jacket has been prepared that iscapable of providing comfortable temperature tohuman body, electronically. The vest is designed towork equally well in both hot and cold weathercondi-ons. It is aimed to provide comfortableworking temperatures to the people who have towork in harsh weather condi-ons. Moreover, byproviding a comfortable temperature to theindividual without any use of heater or aircondi-oner, this jacket can significantly help inreducing energy consump-ons and bills. INWERT ispowered by a rechargeable ba.ery pack.

5. Nano Smart (ASAB)A much be.er, safer, and efficacious product ratherthan synthe-c products, which are toxic for theenvironment and have failed to prevent this majorproblem in Health care se/ngs. The product notonly prevents the spread of infec-ons but also killsthe microbes as it has been designed by cu/ng edgetechnology. The product can be used to add valueto any fabric based product.

6. Automated Hot Dip Coating & Drying SystemAutomated Dip-Coa-ng System for surgical toolssuch as scissors, retractors, etc., Conveyor TraySystem for loading/movement of selectedinstruments, Sensor based dip-coa-ng systemadjusts the level of the tank according to theselected instrument for dipping process to takeplace, 6-8 KVA Electric Hea-ng System, IndustrialGrade Fan System for cooling. It was also mutuallyagreed and decided that the SCCI and NUST wouldarrange several interac-ons between the Industryand Academia through dedicated sector baseddelega-on visits to NUST and Seminars of NUSTProfessors in Sialkot.

Here I would like to request the members of theChamber to come forward and collaborate withAcademia for necessary resolu-on of their issuesrelated to produc-on, product development, R&Dand Import subs-tu-on.

I look forward to your support and contribu-onstowards conver-ng our dream of an innova-veIndustry of Sialkot a reality.

Thank you!

Long Term FinancingFacility (LTFF)

Finance is the life line of any business, and it isimpossible to achieve the short and long term businessgoals without effec+vely managing the finances.Entrepreneurs need funds for growth, marketcompe++on, and to keep their business opera+onaland maintain their customer base etc. as well asfinance is needed to fulfill the long-term goals and newaddi+ons like purchase of machinery and plants etc. Itis difficult for the small & medium enterprises toarrange huge finance for such addi+on in business.Therefore, SMEs approach the banks and otherfinancial ins+tu+ons for long-term loans and advancesto fulfill the need and to run the business circlesmoothly. In order to meet such demands ofbusinesses, State bank of Pakistan offers manyrefinancing schemes e.g. “Long Term Financing Facility(LTFF)”.

Long Term Financing Facility (LTFF) for Plant &Machinery

Over the years, SBP has introduced special schemesunder its refinance window to ensure adequate supplyof financing to the value added industries atcompe++ve rates to enhance their produc+on capacity.These schemes mainly include Export Finance Scheme(EFS) to ensure short term credit availability forexporters and Long Term Financing Facility (LTFF) forencouraging export led growth on the long term basis.Therefore, to facilitate export led growth throughse,ng up export oriented projects, LTFF wasintroduced to provide funds on long term basis (up to10 years) for import of machinery and purchase locallymanufactured plants, and it is available at mark-up rateof 6 percent per annum.

As SBP men+oned on their website that thereare more than 20 banks and financial ins+tu+onsare offering the said scheme, some of thoseins+tu+ons/banks are; Allied Bank Limited,Askari Bank Limited, Bank Alfalah Limited, BankAl-Habib Limited, The Bank of Punjab, The Bankof Khyber, Ci+bank, Faysal Bank Limited, HabibBank Limited, Habib Metropolitan Bank Limited,MCB Bank Limited, Na+onal Bank of Pakistan,NIB Bank Limited, Samba Bank Limited,SILKBANK Limited, Soneri Bank Limited, StandardChartered Bank (Pakistan) Limited, Summit BankLimited, United Bank Limited, Sindh BankLimited, JS Bank Limited, Development FinanceIns+tu+ons (DFIs), Pak Oman InvestmentCompany Limited (POICL), Saudi Pak Industrial &Agricultural Investment Company Limited(SPIAICO), Pak Libya Holding Company Limited(PLHCL), Pakistan Kuwait Investment CompanyLimited (PKICL), Pak Brunei Investment CompanyLimited (PBICL), Pak China Investment CompanyLimited (PCICL), PAIR Investment CompanyLimited. [Updated in October 2016]

Aims & Objectives State Bank had introduced LTFF to promote exportled industrial growth in the country. Through thisfacility exporters are facilitated by providingsubsidized financing for se'ng up of export orientedprojects and modernizing their plant & machinery.

Maximum Financing Limit and Repayment• Maximum borrowing limit for a single exportoriented unit is Rs 1.5 billion under LTFF.• Financing is available for a maximum period of 10years including a maximum grace period of 2 years.• Principal amount of loans is repayable in equalquarterly / half yearly installments a�er prescribedgrace period, if any. Mark-up is payable on quarterlybasis.

Features of this Scheme • Financing is available for local purchase and importof new plant, machinery, equipment and generator/cap%ve power plant.• Financing available through banks as per theirlending policies and terms & condi%ons of theFacility.• Financing is available to the export orientedprojects only having annual exports equivalent toUS$ 5 million or 50% of sales, whichever is lower.

• Financing also available to new projects on thebasis of projected exports. New projects arerequired to meet the minimum export target of LTFF[viz. annual exports equivalent to US$ 5 million or50% of sales, whichever is lower] on staggered basisin four years.• Financing is available against Le&er of Creditonly, to the extent of the C&F value of importedmachinery and ex-factory / showroom price oflocally manufactured machinery.• Eligible Sectors are tex%le & garments, riceprocessing, leather & leather products, sports goods,carpets & wools, surgical instruments, fisheries,poultry & meat, fruits / vegetable & processing,cereals, I.T. so�ware & services, marble & granite,gems & jewellery, engineering goods, ethanol,furniture, pharmaceu%cal, glass and dairy sector.

Eligibility Criteria for LTFF

• The facility shall be available to the export orientedprojects only if their annual export is equivalent to US $5million or at least 50% of the sales whichever is lower. • Financing shall be available through PFIs which includecommercial banks, Islamic Banks and DFIs. • Financing under the facility shall be available to the extentof the C&F value of the imported new plant and machineryand ex-factory/showroom price of the new locallymanufactured machinery to be purchased by the eligibleborrowers.

• The cost of insurance, transit insurance, erec#on andcommissioning charges and other incidentals (includingtransporta#on charges, in case of locally manufacturedmachinery) etc. shall not be financed under the facility. • PFIs shall reasonably ensure fulfillment of the pre-disburse-ment formali#es by the borrower through due diligence as pertheir own internal arrangements to avoid miss u#liza#on of theFacility through over invoicing, wrong selec#on of machineryetc. • Disbursement under the facility shall be made by PFIs a�erensuring that all the pre-disbursement formali#es have beencompleted in accordance with the terms of agreement betweenthe PFI & borrower, and between the supplier / manufacturerand the purchaser / importer of the machinery. • There will be no maximum limit for borrowing by theprospec#ve entrepreneurs under this Facility. However, in caseof larger financing requirements, i.e. over Rs 300 million,PFIs are encouraged to provide finance under consor#umarrangements. • In case of consor#um financing, the payment to the PFI of theimporter / supplier / manufacturer shall be made by the leaderof the consor#um, who shall therefore, be under obliga#on tocer#fy the share of each member PFI and the amount disbursed

• Export oriented SME borrowers maypurchase imported machinery from thecommercial importers or authorizeddealers of the foreign manufacturers inPakistan and authorized suppliers in caseof locally manufactured machinery andplant; While providing facili#es under theScheme to SME borrowers the PFIs, how-ever, will ensure that financing under thefacility, when taken together with otherborrowings, does not exceed the borrow-ing ceiling fixed for SMEs under the SMEsPruden#al Regula#ons.

Terms & Conditions

by it, to enable the consor#um membersto avail refinance from State Bank to theextent of their share subsequent to theactual payment made by the consor#umleader. • PFIs shall make necessary arrange-ments to ensure that the amount ofrefinance availed by them from StateBank and outstanding as on the date ofprepara#on of their financial statementsis shown separately in Annual AuditedAccounts, against their cons#tuent towhom the financial facili#es weresanc#oned by them.

• State Bank shall have the right to appoint anindependent consultant to verify the use of therefinance under the Facility for the purposesspelt out under the Facility. In case the reportof the consultant points out irregularity on thepart of the financing PFI or the borrower, StateBank reserves the right to recover the amountof refinance granted to the PFI along with fineat the prescribed rate including the cost ofsuch verifica#on. • In case of the import of plant and machinery,the foreign currency required for makingpayment to the machinery manufacturer orthe suppliers abroad, against LC, shall bepurchased by the PFI of the borrower from theinter-bank market at prevailing rates. In casethe machinery is to be imported under usanceLC, both the exporter and its PFI would ensurethat they have made necessary arrangementsto hedge their posi#on against adverseexchange rate movements. The quantum ofthe loan amount in equivalent Pak rupees shallbe determined on the basis of the rupeesresources required for purchase of the foreigncurrency on the actual date of re#rement of LCand shall be released in accordance with thepayment terms.

• In case the projec#ons made by the borrowers inrespect of export sales are not met with a confidenceinterval of 10% the State Bank would consider to imposea fine on the borrower at a rate to be determined bythe State Bank provided the borrowers fail to providejus#fica#on for the same. PFIs would be under obliga#onto keep track of borrower’s performance in this regardand submit the posi#on to the inspec#on teams of theBanking Inspec#on Department of the State Bank at the#me of inspec#on of the PFI, if so desired.

State Bank offers such schemes for the developmentand promo#on of small and medium businesses, as allthe details regarding the working and availing theschemes are given on the official website of StateBank of Pakistan h�p://www.sbp.org.pk for the kindinforma#on. SMEs should take benefits for suchrefinancing schemes for enhancing their businesses atlow cost, and develop their methodologies andtechniques through new and latest machineries in orderto compete in interna#onal market.

To be successful, you have to have heart in your business and your businessin your heart. (Thomas Watson)

a) Flow chart for an exporter in Pakistan

Product Selection Business Plan

Target Market Selection

Step-1Prepare Export Business Plan:• Execu#ve Summary• Background Informa#on• Market Research• Marke#ng Decisions• Legal Decisions• Produc#on Facili#es Decisions• Personnel Decisions• Financial Decisions• Implementa#on Schedule• Appendices

Step-2Business Forma#on• Sole Proprietorship

No Registra#onOne Person

• PartnershipAssocia#on of Persons (AOP)Registra#on under Partner

ship Act 1932Minimum 2 personsMaximum 20 persons

• CompanyRegistra#on under Company’s

Ordinance 1984Minimum 1 personNo limit of persons

Step-3Issuance of Na#onal Tax Number(N.T.N) from F.B.R

Step-4Opening of Bank Account withBusiness Name.

Step-5Issuance of Sales TaxRegistra#on Number (S.T.R.N)from F.B.R.

Step-6Membership with LocalChamber of Commerceand WEBOC Registra#onwith Customs and

EXPORT BUSINESSin Pakistan?

Why & how should we do

Step-15Acceptance of Salescontract by importer (C&F,L/C, via Karachi)

Step-16L/C issuance by ImportersBank

Step-17L/C receipt by exporter viahis Bank

Step-18Exporter arranges forproduc(on readiness forExport

Step-19Exporter arranges forTransporta(on of goods (llKarachi port

Step-20Exporters hires a customsclearing agent and gives himcustoms clearing documentsi.e. Invoice, Packing list,sales tax Invoice, Form-E,B/L Proforma (Original NTN+ GST for 1st shipment only)

Step-21Customs clearing agentarranges customs clearance

Step-22Goods are loaded on theplanned ship

Step-23Customs agent arranges B/LFrom Shipping Company

Step-24Exporter gets B/L fromcustoms agent and preparesother documents asrequired in L/C

Step-25Exporter submits theoriginal documents(required in L/C) in his Bankalong with original L/C,Form-E, GD, etc.

Step-26Exporters Bank adds itsInstruc(ons Le)er(Schedule) and dispatchesthe documents toimporter’s Bank whoissued L/C

and Membership with Rela(ve TradeAssocia(on e.g. The Surgical Instrumentsand Manufacturers Associa(ons e.g.REAP for Rice exports, PHMA for Hosiery,APTMA for tex(les exports.

Step-7Search for buyers/ importers

Step-8Iden(fica(on of Poten(al Buyer

Step-9Selec(on of Export Channel (Direct orvia agent)

Step-10Introduc(on le)er sending to importer

Step-11Enquiry le)er receiving from importer

Step-12Quota(on le)er + Sample sending toimporter

Step-13Order confirma(on by Importer

Step-14Sales contract issuance by Exporter

BUSINESSEXPORT

Step-27Importer’s Bank checks the documents as perL/C as per Interna&onal rules importer’s Bankhas 5 working days to check the documents.

Step-28If documents are alright, the importer’s Banksends the payment to Exporters Bank fromwhere it received the documents. In case ofdiscrepant documents importer’s Bank needsapproval of importer to send the payment.

cycles. There is also a risk inherent in depending on alimited number of customers in any one market andfinding new customers interna&onally can spread thisrisk.

An export can be complex, par&cularly for those whohave not inves&gated fully how to go about it. But mostof these problems can be managed easily and efficientlyand there is a wide range of advice available throughFederal Board of Revenue (FBR), Trade DevelopmentAuthority of Pakistan (TDAP), State Bank of Pakistan(SBP), Small and Medium Enterprises DevelopmentAuthority (SMEDA), local Chamber of Commerce andother Trade Associa&ons.

Interna&onal is not difficult but it may well involve moreissues than you have been used to dealing with in localbusiness. It requires careful planning and a clear under-standing of the Interna&onal rules, proceduralrequirements, costs & risks involved.

Trading overseas is no longer constrained to a fewcompanies with high profile products. In this era ofglobaliza&on, there are opportuni&es for mostbusinesses. We can see a list of items being exportedby Pakistanis to China, UAE, EU & USA etc.

c) The companies must ask basic questions beforemaking the decision to export!

• What are company’s goals from export businesses?• What are the requirements of export business fromcompany resources i.e. management, opera&ons,personal and finance --- and how will these require-ments be fulfilled?• Is it suitable to export with the resources available orwould company resources be be'er used in exportbusiness?

d) The most common mistakes by new exporters?• Insufficient commitment by top management aboutthe poten&al risks and resources to overcome• Failure to obtain export counseling on exportbusiness• Failure to develop and implement an effec&ve export

b) Why companies make a decision toexport?

A Company’s choice to start export businessdepends upon mul&ple factor includingthe ownership advantages (specific areas,interna&onal experience, ability to developdifferen&ated products), loca&on advantages ofthe market (market size and growth poten&al)and internalizing advantages (specific assets orskills within the company and integra&ng theminto ac&vi&es rather than licensing or sellingthem). The reasons may be spread riskacross a wider range of customers, to driveinnova&on, to maximize use of produc&oncapacity, because it is profitable etc.

Selling goods in the export market is anexcellent way of increasing turnover; it can bevery profitable, and can reduce unit cost byincreasing volumes and extending product life

business plan• Failure to develop effec(ve marke(ng mix strategiesi.e. product, price, place and promo(on strategies• Failure to assess the company’s export poten(al byexamining its opportuni(es and resources• Failure to select right target market• Neglec(ng the export business when the domes(cmarket is in boom

f) Outline of an export business plan:

1. Execu�ve Summary• Key points of the plan• Business descrip(on and target markets• Brief descrip(on of the management team• Summary of the financial projec(ons

2. Background Informa�on• History of the Company• Products offered showing dis(nct advantages• Strengths and weakness of the company• Present performance• Ra(onale as the basis for the decision to

export3. Market Research

• Target countries• Market condi(ons in target countries i.e.

exis(ng demand, compe((on, strengths andweaknesses of the economy – barriers toentry etc.

4. Marke�ng Decisions• Product Strategy• Price Strategy• Place Strategy• Promo(on Strategy

5. Legal Decisions• Trade mark, copy right protec(on• Cer(fica(ons e.g. ISO 9000• Export business regula(ons/ registra(ons

requirements6. Produc�on facili�es decisions

• Produc(on capacity• Plans for expansion• Product modifica(ons• Loca(on of opera(ons

7. Personnel Decisions• Personnel required to manage the exports• Experience and exper(se of exis(ng

personnel• Training required of exis(ng personnel• Hiring required in the short run and in the

long run8. Financial Decisions

• Projected financial statements and cash flowassuming export ac(vi(es

• Current finance facili(es• Financial needs and future source of finance• Poten(al risk and sources of protec(on

e) What is an export business plan and its purpose?

An effec(ve export business plan shows everythingyou have devised from commercial opera(ons abroad.Its purpose, func(on and contents make it one of themost important strategic and tac(cal documents inyour company. The export plan should be short,factual, precise and complete. It is neither and manualnor a short story. In fact, it is a set of instruc(ons,backed by logical analyses and considera(ons. It mustconsider company resources, iden(fy specific markets,and establish specific plans for dealing with marke(ng,legal, manufacturing, personnel and financialelements. Finally, it must include a schedule forimplementa(on. The purpose of the plan is:• To bring all relevant management tools andmarke(ng instruments together• To give direc(on to all your planned ac(vi(es formaximizing exis(ng poten(al and objec(ves are setout• To give (me and ac(on plan• To show cost and benefit analysis

9. Implementa'on Schedule• Time and ac'on plan

10. Appendices• Curriculum vitae of key people involved• Key accounts• Market survey data analyses• Drawings• Financial projec'ons

g) What and where to export?

When star'ng an export business, it is mostimportant to first collect sta's'cs and buyerssuppliers data to help you decide the product andthe country you will be dealing with. The first stepis an in depth research in all areas of business andhere customs shipment data will be great help.Iden'fying the market and the product are thetwo most basic decisions to be made at thebeginning. Research and planning with theavailable customs data confirms a successfulbusiness.

For updated and complete sta�s�cs of Pakistanexports, please visit below linkh(p://www.tdap.gov.pk/tdap-sta's'cs.php

A problem of one person offers an opportunity foranother person to find a solu'on for that person’sproblem. When deciding on what kind of businessis for you, you should not start by focusing on thebusiness itself, its nature and income poten'al buton what type of life style you really want! Chancesare you will discover your lifestyle business andstart an export business.

Thus you need to start with a vision of a life yousee yourself living. But unfortunately most peopledo not clearly know what they want. They will saythey want to make more money. Please make aclear vision of what you want your life to be, andyou shall find the business to start with.

A list of millions ofproducts are bought,sold or distributed insome part of the worldon a daily basis. Thistrading of goods isworth millions of dollars.A country tends toimport products thatthey are not able tomanufacture areproduce efficiently andeconomically. Theyexport goods that theycan in expensivelymanufacture.An exporter cannot goto every country in the

world to persuadepeople to buy hisproduct. Even thelargest interna'onalfirms do not trade withthe whole world and notevery country can or willbuy what a par'cularexporter may sell tothem. In view of scarceresources and shortageof experiencedmarke'ng personnel,the exporter shouldbe selec've andconcentrate on markets,which could yield thebest results.To start your own exportbusiness, it is veryimportant to know thecommodity you want totrade. Once you havedecided the commodity,define an interna'onalmarket or your product.Have in place thecompulsory registra'onsfor export businessand hiring experts ofmarke'ng, shipping,documenta'on, claims,incen'ves etc. it has tobe handled withcomplete knowledge ofrules and legali'es ofthe two countries.

BUSINESSEXPORT

Familiarize yourself withcareful planning and aclear understanding ofthe interna"onal rules,procedural requirements,costs & risks involved andsimply go ahead with yourown export business now!

What will be marketentry and exit policy......?

What will be our costbenefit analysis......?

h) Export business riskmanagement.

There are a number of ac"vi"esyou can do to manage the risksinvolved in export business. Thisworks the best when you thinkabout them well in advance,although they may seem likeunnecessary fuss. The main areasare as under:

• Appropriate ContractsWhat sort of contract you need isa ma#er of judgment: as with anybusiness, a formal contract makesli#le difference and usually addsmore complica"ons, expect whensomething goes wrong. If you aretrading with someone overseasthen there are more risks and,without a contract, your tradingmay not be subject to PakistanLaw and the rules you normallyexpect. For example, without awri#en contract it may be muchmore difficult to get paymentfrom a customer in somecountries. You should set out asmuch as possible in wri"ng andmake sure your customer receives

and understands it. The largerthe deal, the longer "me periodit runs for and the more complexthe rights and obliga"onsinvolved, the more seriously youshould consider using a formalcontract.

• A�er-sales serviceThat your customer is long dis-tance away does not imply thata�er-sales service is not requiredor worthwhile. This keeps you intouch with your customers, givingyou a be#er understanding ofwhat they do and want, andpossibly giving you early warningof any problems that may arise.Your customer will also appreciatethe efforts you make to ensurethat they can be successful withyour products. This will in turnmean your own business grows ascustomers trust you more.

• Customer reten�on riskmanagementYou may sign long term servicecontracts with major customersand be in touch on regular basisto keep them sa"sfied. In the

mean"me, we should spread therisk by developing our smallercustomers to enable them be ourmajor customers. Also con"nueour efforts to add new customers.

Risk Management

• Using an agentUnless you have in-depth localknowledge, you might considerusing someone who understandsthe market, lives there or visitsregularly, speaks the local lan-guage(s) of the area and can helpto support and develop yourbusiness. These agents willinvolve an extra cost (a commis-sion), possibly linked to the levelof business but this can beworthwhile in the long run. It canbe invaluable to have someonewho can provide some or all ofthe following services:

finding business for you, providing adviceabout local regula,ons, ge.ng approvalfrom local authori,es, ensuring thatpayment is received, providing or advisingon local marke,ng, transla,ng etc. youhave to judge whether the servicesprovided are worth the commissionspaid, but you may save ,me and moneywith less frequent visits and dealing withunfamiliar languages and cultures.

When appoin,ng an agent (or distributor)there should be a formal agreement inwri,ng covering ma-ers such as theterritory, payment, termina,on etc. youmay also want to make paying your agentcondi,onal, e.g. on full payment receivedfrom your customer.

• Credit Risk ManagementYou should manage the cash flows on aregular basis. Get a line of credit frommore than one banks and build up close,es with the banks personnel dealingwith policy ma-ers as well as forecas,ngforeign exchange risks etc... Be updatedwith the market ups and downs.

• Protec�ng Intellectual PropertyYou may be using Intellectual property,such as trademarks, brand names etc,that you have developed in the Pakistan.You should consider protec,ng anyIntellectual Property used overseas sothat another business cannot easily tradeon the goodwill that you generate. Youwill need to take professional advice inthis area.

• Credit Reports of your CustomerThe importance of seeking a credit reportof a customer in the export market canhardly be over emphasized to a prudentbanker. It is a global norm and one of the

major tools for any effec,ve riskmanagement system.

Banks need a credit report to managetheir risk judiciously. When a bank isapproached for opening of an LC ornego,a,ng an export bill, the need for acredit check on the foreign customer,becomes his basic requirement. A creditreport from a reliable and experiencedsource containing updated informa,onof the exporter customer provides thenecessary comfort. Not only a bank,rather any exporter or en,ty can sourceand get benefit of such like reports.

In Pakistan we may get services of belowconsultants for obtaining a credit reportof the customer.

IFI Consultants Principal Office7-B LDA Homes, Block D, New MuslimTown.Lahore, 54660, Pakistan.Tel: +92-42-35831134-36Fax: +92-42-35865956h-p://www.ificonsultants.com/index.html

ICIL ConsultantsMain Head OfficeD-90, Block-2, Scheme-5, Kehkashan,Cli�on, Karachi-76000, PakistanTel: +92-21-35877451-4Fax: +92-21-35877345h-p://www.icilpk.com

Reference:The content of the ar#cle has beenextracted from the book "COMPLETEIMPORT EXPORT BUSINESS MANUAL" by IJAZ AHMAD.

PAYONEER is basically a financial

services business that provides online moneytransfer and e-commerce payment services ininterna#onal business dealings. Founded in 2005and based in New York, as PayPal is not workingin Pakistan, Payoneer become the most reliableway to receive and send payments from all overthe world. It is venture-backed, profitable andranked in the top 100 of Inc. 5000’s FinancialServices companies with over 700 employeesglobally across 12 offices, the Payoneer team isdedicated to overcoming the complexi#esassociated with cross-border payments. Theybelieve in being hi-tech, developing the mostcu$ng-edge solu#ons while always ensuringthat the needs of their customers are at thefocus of their work. It is a registered MemberService Provider (MSP) of MasterCard Incorpo-rated and it facilitates millions of businesses andprofessionals from more than 200 countries togrow globally by making possible seamlessworldwide payments. Payoneer is a fast, flexible,secure and low cost payment solu#on that issuesPrepaid MasterCard Debit Cards to peoplereceiving payment from foreign countries.Whether you are a business owner, professionalor freelancer, Payoneer offers you mul#ple waysto get paid by your interna#onal clients andglobal marketplaces – quickly, securely and atlow cost.

Their mission is;

“To empower globalcommerce with our innovativecross-border paymentsplatform; in today’s borderlessdigital world, Payoneerenables millions of businessesand professionals from morethan 200 countries, to growglobally by facilitatingseamless, cross-borderpayments. Additionally,thousands of leadingcorporations and marketplacesrely on Payoneer’s masspayout services to send fundsto their beneficiaries world-wide. With Payoneer’s fast,flexible, secure and low-costsolutions, businesses andprofessionals in bothdeveloped and emergingmarkets can now pay and getpaid globally, as easily as theydo locally.”

Receiving payments with Payoneer • Get access to receiving account by clickingh,p://blog.payoneer.com/how-to/receive-payment-from-companies-worldwide-with-the-global-payment-service/, which allow you toreceive local bank transfers in USD, EUR, GBP andJYP, as if you had a local bank account. Provide thedetails of your account to any customer or market-place which requires local banking details.• If you want to request a payment directly fromPayoneer then it will send your client an email onyour behalf with details of the payment and severalsafe and secure op+ons to pay online, includingcredit/debit card (VISA or MasterCard), eCheck orlocal bank transfer.

Making payments with Payoneer• If you want to pay a team member, contractor, orsupplierand they don’t have a Payoneer accounteven then you can pay money through Payoneer forfree to his local bank account.

Accessing your payments• Make purchases online, and in stores anywhereMasterCard is accepted, or withdraw your cash atATMs globally with the Payoneer Prepaid Master-Card .• Withdraw funds from Payoneer directly to yourlocal bank account, in local currency.

How to Sign Up at Payoneer1. Click on the below link, Sign Up page will be displayed.h,p://www.effec+veinforma+on.in/Go/Payoneer2. Fill up your personal details. Please confirm that your given detailsare correct otherwise you may possibly face problems.3. Next enter your contact details like address, pin code and workingmobile number.4. Then it will ask you to specify the password and security ques+on. 5. You need to enter your bank account details along with SWIFTcode. 6. Double check the details before clicking next bu,on.

Once you create your Payoneer account, the Payoneer team willreview your request for approval and within a day or two you will getan approval Email.

A�er you order the card,wait for 10 to 20 days, andyou’ll receive the card onyour provided address,a�er receiving your card,the first thing you can do isto ac+vate your card.

PPaayyoonneeeerrAA fifinnaanncciiaall sseerrvviicceess ffoorr

oonnlliinnee mmoonneeyy ttrraannsseeccttiioonn!!

ACTIVATE YOUR PAYONEER IN PAKISTAN• To ac�vate your card go to www.payoneer.com • Click on Ac�vate your card in the panel on the right• Enter your account details to login to your Payoneer online account(these are thesame details you chose when you order the card). The username is

your email address and the password is what you chose it to be.

• Once you login, you will see a bu on you can click to ac�vate yourcard. Click it!• Enter the 16 digit card number located on your card, and choose a4 digit pin number.• Your card has been ac�vated successfully.

USE YOUR PAYONEER IN PAKISTAN• Your Payoneer card can be used in thousands of loca�ons across Pakistan• You can withdraw money from selected ATM machines all over Pakistan.• Make sure you look out for the MasterCard logo on the machine before you insertyour card.

• Remember that all transac�ons in Pakistani ATM machines are done in Pakistani Rupees.

• Does Not Check ATM Balance from the ATM but to check it online. Most machines inPakistan do not support checking of balance of MasterCard cards, and your card couldget stuck if you try.

• You can also use your Payoneer MasterCard debit card at any shop, petrol pump orrestaurant that accepts MasterCard payments. All big stores etc accept this methodof payment.

EE--SShhooppppiinngg

EE--PPaayymmeenntt

• You must enter the Amount in Rupees a�er conver"ng the dollaramount that is in your card. You can only withdraw in rupees andnot in dollars in Pakistan.• Currently, the following banks support MasterCard ATMtransac"ons:

1. Bank Al Falah2. Muslim Commercial Bank 3. Standard Chartered Bank

The transac"on limit depends on the machine. Most MCB ma-chines and all SCB machines allow users to withdraw Rs. 20,000per transac"on. There is no limit on the number of transac"onsbut different Payoneer cards have withdrawal limits so you shouldcheck that out when ordering your card. Most cards have a dailywithdrawal limit of USD 2,000 (means you can make around 10transac"ons of PKR 20,000 per day).

Note: Never apply for more than 1 card at a �me, wait un�l youreceive the card, if you didn’t receive the card on �me thenrequest for another card, However, making mul�ple or fakecards is not allowed by Payoneer and it can result banning youfrom Payoneer.

Facebook LiveFacebook is inves�ng much invideo pla�orm and thousands ofbusinesses are jumping on thetrain. With Facebook Live one canbroadcast, to the world, all sorts ofcontent that will help promotebusiness, as well as one candemonstrate products, interviewan execu�ve, show an event, etc.The videos will help to a ractcustomers. Insightly CRM

Every business should have a customerrela�onship management system. Thisapp ensures that nothing falls throughthe cracks, everyone is on the samepage and you are building a database ofgood informa�on that can be used forcommunica�on, sales and customerservice for future years.

Entryless“Entryless” can now read and extractany data on a scanned invoice, port itover to a format for you to review andapprove and then automa�cally bring itinto your accoun�ng system or pay itonline. It cuts overhead, reduces peopleprocessing and data entry problems.

WAVEWAVE is easy-to-use accoun�ng so�-ware pla�orm made specifically forsmall businesses, independent contrac-tors and sole proprietors with nine orfewer employees. It lets businessestrack sales and expenses, manageinvoices and customer payments, payemployees, scan receipts and generateaccoun�ng reports.

APPSSTTOORREE

NNaannoo--FFiinniisshhiinngg iinn TTeexxttiilleessRecent Innovations in

Introduction: With the advent of nano science and technology, anew area has developed in the area of tex"le finishingcalled “Nanofinishing”. The term nano comes from theGreek word “Nanos” which means dwarf or abnor-mally small. If the criterion is to produce very minutepar"cle size fibers and materials, nano technology isthe only way to achieve the same. Nanotechnology canalso be known as the technology that works at themolecular level, atom by atom to create largestructures with improved molecular organiza"on.Nanotech research efforts in tex"les have mainlyfocused in two areas:

• Upgrading exis"ng func"ons and performances oftex"le materials.• Developing intelligent tex"les with completely newcharacteris"cs and func"ons.

Nanotechnology has opened immense possibili"esin tex"le finishing area resul"ng in to innova"ve newfinishes as well as new applica"on techniques.Par"cular emphasis is on making chemical finishingmore controllable, durable and significantly enhancethe func"onality by incorpora"ng various nanopar"-cles or crea"ng nanostructured surface. Nano finishesare generally applied in non-emulsion form whichenables a more thorough, even and precise applica"onon tex"le surface. They are generally emulsified intoeither nano micelles, made into nano sols or wrappedin nano capsules that can adhere to tex"le substrateseasily and more uniformly. Since nano par"cles have alarge surface area to volume ra"o and high surfaceenergy, they have be#er affinity for fabrics. Thereforethese finishes are more durable, effec"ve and do notadversely affect the original handle or breathability ofthe fabric.

The different types of finishes in Nano finishingtechnology include the following:

Hydrophobic Nano finish:

Fluorocarbon finish is one of the mostimportant nano finishes applied to tex"les.Fluorocarbons are a class of organic chemicalsthat contain perfluoroalkyl residue in which allthe hydrogen atoms have been replaced byFluorine. These chemicals have very highthermal stability and low reac"vity whichreduce the surface tension therefore makingthe fabric hydrophobic in nature. The a#achedmul"func"onal molecule can impart wrinkleresistance by cross linking cellulose chainsand also impart water-repellency, creaseresistance, soil resistance, detergent freewashing, increased speed od drying, etc. Thedurability of this finish is much be#er thanthe conven"onal fluorocarbon acrylatepolymer based finish.

Anti-microbial Finish Silver ions have broad spectrum of an"microbialac"vi"es. The method of producing durablesilver containing an"-microbial finish is toencapsulate a silver compound or nano par"clewith a fiber reac"ve polymer.

Photo-catalytic self-cleaningAdvanced orienta#on processes that are combina#on ofpowerful oxidizing agents with UV or near UV light havebeen used to remove organic pollutants from tex#les. TiO2has been proved to be an excellent catalyst in photodegrada#on of colorants and other organic compounds.Nano sized TiO2 par#cles show high photo cataly#c ac#vi#esbecause they have a large surface area per unit mass andvolume as well.

Anti-pollen finishMiyuki Keori Co of Japan is marke#ng an# pollen garments

or fabrics. The smoothness of the finish on the surface andthe an#-sta#c effect does not let pollen or dust come close.This is achieved by using the polymer which has an#-sta#cor electro conduc#ve composi#on.

Flame Retardant finishNyacoll nano technologies. Inc has been the world’s largestsupplier of colloidal an#mony peroxide which is used forflame retardant finish in tex#les. Nano an#mony pentoxideis used with halogenated flame-retardants for a flameretardant finish.

Odor repellent finishA Talwanese nanotech firm Greensheild has createdunderwear that fights odor which is achieved throughnanotechnology. Nega#ve ions create a magne#c field thatinhibits the reproduc#on of odor causing bacteria.

UV protectionNano clay par#cles of montnor-blonite is one of the most commonlyused UV blocker. It also increases40% tensile strength and 60% flexuralstrength. A thin layer of #taniumdioxide is formed on the surface ofthe treated co$on fabric whichprovides excellent UV-protec#on; theeffect can be maintained a�er 50home launderings.

Nano par#cles has thus emergedas the key technology which hasrevitalized the material science andthus has immense poten#al fordevelopment and evolu#on of anew range of improved materialsincluding polymers and tex#les. Toconclude, Nanotechnology definitelyhas the poten#al to being arevolu#on in the field of technicaltex#les.

Note: Material of this ar�cle has been extractedfrom third party sources, believed to be reliable

and authen�c.

Success iswalking

from failure to failure with no loss of enthusiasm

“

”

What is IntellectualProperty

Intellectual property refers tocrea�ons of the mind: inven�ons;literary and ar�s�c works; andsymbols, names and imagesused in commerce. Intellectualproperty is divided into twocategories:

1. Industrial PropertyIndustrial Property includespatents for inven�ons, trade-marks, industrial designs andgeographical indica�ons.

A patent for an inven�on is grantof exclusive rights to make, useand sell the inven�on for a lim-ited period of 20 years. The

patent grant excludes othersfrom making, using, or sellingthe inven�on. Patent protec�ondoes not start un�l the actualgrant of a patent.

A trademark is a sign thatindividualizes the goods of agiven enterprise anddis�nguishes them from thegoods of others. It can be in theform of words, designs, le�ers,numerals or packaging, slogans,devices, symbols, etc.

An industrial design is theornamental or aesthe�c aspectof an ar�cle, in other words, thatpart which makes the ar�clea�rac�ve & appealing. It mayconsist of three-dimensionalfeatures, such as the shape or

surface of an ar�cle or two-dimensional features, such aspa�erns, lines or colors.

Geographical Indica�on inrela�on to goods, means , anindica�on which iden�fies suchgoods, as origina�ng ormanufactured or produced in aterritory of a qualifying countryor a region or a locality of aqualifying country , where agiven quality, reputa�on or othercharacteris�c of such goods, isessen�ally a�ributable to itsgeographical origin.

2. CopyrightsCopyright covers literary works(such as novels, poems andplays), films, music, ar�s�c works(e.g., drawings, pain�ngs,

photographs and sculptures) and architecturaldesign. Rights related to copyright includethose of performing ar!sts in their perform-ances, producers of phonograms in theirrecordings, and broadcasters in their radio andtelevision programs.

Intellectual Property is cri!cal for compe!!veeconomy in the back drop of ongoing globaliza-!on. Sustainable economic growth nowdepends largely on Hi-tech R&D base andefficient knowledge input. The new concept ofIP based na!on is gaining ground because it isIntellectual Property which enables technologycrea!on and technology transfer by providingthe necessary enabling environment.

What are intellectual property rights?Intellectual property rights are the rights givento persons over the crea!ons of their minds.They usually give the creator an exclusive rightover the use of his/her crea!on for a certainperiod of !me. IPR rights are like any otherproperty right. They allow creators, or owners,of patents, trademarks or copyrighted works tobenefit from their own work or investment in acrea!on. These rights allow innovators andcreators to choose the terms on which theydistribute their work. They can choose, forexample, to license and sell their works orinven!ons, to make them available for free, orto allow their use subject to certain condi!ons.

Why promote and protect intellectualproperty?

There are several compelling reasons. First, theprogress and well-being of humanity rest on its

capacity to create and invent new works in the areas oftechnology and culture. Second, the legal protec!on ofnew crea!ons encourages the commitment ofaddi!onal resources for further innova!on. Third,the promo!on and protec!on of intellectual propertyspurs economic growth, creates new jobs and industries,and enhances the quality and enjoyment of life. Anefficient and equitable intellectual property system canhelp all countries to realize intellectual property’spoten!al as a catalyst for economic development andsocial and cultural well-being. The intellectual propertysystem helps strike a balance between the interestsof innovators and the public interest, providing anenvironment in which crea!vity and inven!on canflourish, for the benefit of all.

Intellectual property rights, is necessary to provideincen#ves and financing for innova#on and crea#on,which in turn lead to economic, cultural and socialprogress. Protec#on for intellectual property alsoencourages the produc#on and dissemina#on ofknowledge and a wide range of quality goods andservices. Intellectual property rights add value forconsumers and can provide a guarantee of sourceand quality. Intellectual property protec#on con-tributes to economic growth in both developed anddeveloping countries by s#mula#ng innova#on, cul-tural diversity and technical development as part ofa larger policy framework. Properly used, intellectualproperty rights can also be key tools for theallevia#on of poverty through trade. The immenseadverse economic and social impact of intellectualproperty the� requires that comba#ng counterfeit-ing and piracy become a priority for society, and notjust right holders. Unless governments, businessesand ci#zens make a coordinated effort to uphold theintellectual property system, society will not reap itsbenefits.

How does the average person benefit? Intellectual property rights reward crea#vity andhuman endeavor, which fuel the progress ofhumankind. Some examples:

The film, recording, publishing and so�wareindustries – which bring pleasure to millions ofpeople worldwide – would not exist withoutcopyright protec#on.

Without the rewards provided by the patent system,researchers and inventors would have li$le incen#veto con#nue producing be$er and more efficientproducts for consumers.

Consumers would have no means to confidently buyproducts or services without reliable, interna#onaltrademark protec#on and enforcement mechanismsto discourage counterfei#ng and piracy.

Intellectual Property Rights EncourageInnovation and CreativityOne purpose of the intellectual property rightssystem is to provide incen#ves to innovators toproduce new inven#ons and crea#ons. This in turnprovides society with a steady stream of innova#onsthat fuel economic, cultural and social progress, helpto alleviate poverty and disease, and enrich ourcultural heritage. Intellectual property rights enablepeople to benefit from their innova#ons andcrea#ve work, and to prevent others from copyingor unfairly gaining from the inventor’s crea#vity andinvestment. By according these rights, societyprovides an incen#ve for people and organiza#onsto invest #me, resources and original thinking todevelop innova#ve products and technologies andexpand knowledge and culture. This encourages theproduc#on of a wide range of quality goods andservices, and helps maintain fair compe##on.New crea#ons and inven#ons benefit everyoneTechnologies and crea#ons that have touched andchanged millions of lives would probably not existtoday without the incen#ves provided by intellectualproperty rights.

Financing innovation and creation through the marketInnova#on and crea#on have to be financed; likeeveryone else, the people innova#ng and crea#ng

It ensures that rewards flow to thosewho improve upon previous works andinven�ons, and that these new ideas, inturn, can be used by s�ll others. Thisprocess lies at the heart of long-termeconomic growth.

Small and medium sized enterprisesare among the greatest beneficiariesMany small and medium sized enterprises(SMEs), in both developed and developingcountries, rely heavily on intellectual prop-erty rights. Design rights, copyrights, patentsand trademarks are essen�al for numerousindustries composed mainly of SMEs such as

have to make a living. Large amounts of me and money can bespent on researching and developing new technologies and productswithout any guarantee that these will be rewarded, as there is alwaysa risk that a product will not be successful. Intellectual propertyrights are a mechanism that allows innovators, creators andproducers to finance their work through the market place. Othermodels of financing exist, such as government funding or privatepatronage, but intellectual property rights (IPRs) remain the basismost frequently used by individuals and organiza ons to fund anddisseminate their work. Intellectual property rights allow crea vefreedom and encourage innovators and creators to be responsive toconsumer needs.

Innovation – key to competitivenessInnova on has become one of the most important vectors ofsustainable growth for businesses, and of economic prosperity forsociety as a whole. Businesses must constantly improve or renewtheir products and services if they wish to keep or capture marketshares and remain compe ve. Businesses o�en invest largeamounts of money in research and development and in theadver sing and marke ng of their products. These investments willnot be undertaken unless businesses are in a posi on to recoup theirexpenditures. Appropriate and effec ve protec on of intellectualproperty gives innova ve businesses a powerful incen ve to invest,and contributes to economic progress. Innova ons build upon eachother, and every inventor and creator is indebted to those who camebefore. Intellectual property protec on fosters this virtuous cycle ofinnova on and crea on.

the tex le, toy, publishing, andretail industries, to name just afew. In developing countries,intellectual property rights havespurred the development of hugeindustries (e.g. the so�ware andfilm industry in India) as well asallowed small businesses todevelop innova ve businessmodels (e.g. the franchising offast food stands).

Pakistan’s Intellectual Property Issues The country is not being able to improve theenvironment to protect the Intellectual PropertyRights (IPR). Pakistan is showing substan!aldeteriora!on on the indicators to improve the IPR,An enabling framework required to createintellectual asset in the system con!nues to performpoor. The capacity of research ins!tu!ons andprivate sector spending on scien!fic research anddevelopment has been stagnant for the past fewyears. This is causing the country to lose its compe!-!veness by not being able to create implementa!onmechanism for the ci!zens to protect theirintellectual property.

The University-Industry Collabora!on is also ama"er of concern in Pakistan as more emphasis isbeing put on non-research ini!a!ves or research inisola!on from the industry. This also indicates thatthe businesses in Pakistan are not benefi!ng fromthe R&D being done in academic and researchins!tu!ons across the country, resul!ng in lack ofindigenous solu!ons for the local and interna!onalchallenges.

Although over the past few years, a li"le over adozen Pakistani brands were launched in the globalmarketplace and inspired by their success other

brands are also aspiring toexplore new possibili!esoverseas. But s!ll securing aplace in a crowded globalmarketplace is difficult as thelack of respect for intellectualproperty rights (IPR) in thecountry makes the task moredaun!ng. Pakistan’s percep!onas a violator of IPR does not helplocal firms in not so conduciveinterna!onal environment.

Unfortunately IPO has not been

able to evolve a vibrantmechanism to measure thechallenges it faces in corrup!on-prone environment. Onlycompanies that have gatheredcri!cal mass and aspire to gain afootprint in the global marketengage law firms to handle IPRaffairs. Others get their workdone through agents at thetrademark registry to save !meand avoid tension

The concerned agencies that

deals with the IPR viola!ons arenot properly equipped to do theneedful. There is a crucial needfor coordinated efforts forenforcing intellectual propertyrights to check counterfei!ngand piracy. The situa!on ischao!c. The viola!on of IPR isrampant. It works against ci!zensby exposing them to the dangerof substandard products. And itharms the country as foreigncompanies turn away because ofweak IPR enforcement.

Call to actionTo derive the full poten�al of theintellectual property system as a tool forgrowth and progress, governments musttake posi�ve ac�on. Suggested measuresinclude:

• Providing for clear and enforceableintellectual property rights ownership,without any discrimina�on. • Improving the accessibility of na�onaland interna�onal intellectual propertyprotec�on systems in terms of costs andease of use;• Ensuring that intellectual propertyins�tu�ons are efficient and sufficientlyfunded;• Suppor�ng intellectual property policieswith sound economic management, goodinfrastructure and other appropriatepolicies in areas such as educa�on,science and technology, culture, taxes,investment regula�ons, produc�onand technical incen�ves, trade, andcompe��on;

• Making it a priority to strengthen and/or create alegal framework to ensure implementa�on andeffec�ve enforcement measures against intellectualproperty the�. There is also a need for clearlydesignated and sufficiently resourced enforcementins�tu�ons, supported by training, interna�onalcoopera�on and public educa�on.

• Establishing an ac�ve and coherentintellectual property policy coordinatedthroughout government bodies;• Educa�ng local communi�es,businessesand the public on the poten�al benefitsof the intellectual property system;providing assistance to innovators/producers/creators on how to useintellectual property protec�on to theircommercial advantage; and suppor�ngefforts of stakeholder organiza�ons in thisarea;• Bridging the gap between academic andresearch ins�tu�ons, and businesses andfinancing sources.

BBrraazziill – IInnttrroodduuccttiioonn Brazil is the largest country in South America and the fi�hlargest na#on in the world as it is also included in BRICSNa#ons together with Russia, India, China and South Africa.This is the South America's most influen#al country, aneconomic giant as one of the world's biggest democracies. TheBrazilian landscape is very different in nature as it has borderswith every South American country except Chile and Ecuador.Southeastern Brazil was once completely covered with denseforest, now it is the country's industrial capital, home toBrazil's biggest ci#es: São Paulo and Rio de Janeiro. It coversonly 11 percent of the country but houses 43 percent of itspopula#on. Brazil has many different soils and climates, so itcan produce a great variety of crops; therefore, Its agriculturalexports include sugarcane, latex, coffee, cocoa beans, co$on,soybeans, rice, and tropical fruits. Brazil is also South America'smost industrial na#on, producing chemicals, steel, aircra�, andcars. They have discovered major offshore oil reserves duringtheir efforts to eradicate poverty; these reserves have given aboost to the economy and made Brazil prominent into the topleague of oil-expor#ng na#ons.

Country in FFOOCCUUSS

“

”

BBRRAAZZIILL

Economic Fact Sheet Brazil

Official Name Federal Republic of Brazil Location Eastern South America, bordering the Atlantic Ocean Area Brasilia Capital Brasilia Climate Mostly tropical, but temperature in South Population 210, 071, 898 (July 2013 est); 85.7% Urban Population Literacy rate Total Population: 92.6% (Male: 92.6% and Female: 92.9%) Natural resources Bauxite, gold, iron ore, manganese, nickel, phosphates, platinum, tin,

uranium, petroleum, hydropower, timber Budget (2016 Est.) Revenue: US$ 411 bn approx (BRL 1.4 trillion -22.4 % of GDP)

Exp : US$356 bn approx (BRL 1.21 trillion- 19.3% of GDP) GDP $1.9 trillion (nominal) $ 3.26 trillion (PPP) (2045 EST.) Annual Growth rate 0.1% (2014), -3.8% (2015), -4.0% (2016) Labor Force 109.2 million (Est 2015) Unemployment rate 8.5% GDP per Capital USD 8, 651 (2015) GDP Contribution Agriculture: 5.9%

Industry: 22.2% Services: 71.9%

Trade Total Trade volume USD 362.583 billion (2015) Export: US$ 191.134 billion Import: US$ 171.449 billion

Major Imports Oil: US$ 24.9 billion (1444.5% of total Brasilia imports), Machine, engines, pumps: $24.8 billion(14.5%), Electronic equipment: $20.4 billion (11.9%), Vehicles: $13.6 billion (7.9%), Organic chemicals: $9.3billion (5.4%), plastics: $7.1 billion (4.2%), Fertilizers: $6.6 billion (3.9%), Pharmaceuticals: $6.5 billion (3.8 %, medical, technical equipments: $5.5 billion (3.2%), other chemical goods: $4.6 billion (2.7%) (ad2015)

Major Exports Oil seed: US$ 21.2 billion (11.1%) OF TOTAL EXPORTS), ORES, SLAG, ASH: $16.7 BILLION(8.7), Oil: $ 13.7 billion (7.2%), Meat: $13.1 billion(6.8%), Machines, engines, pumps: $11.4 billion(5.9%), Vehicles: $9.6billion(5%), Iron and steel:$8.9 billion (4.7%), Sugar: $7.8 billion, (4.1%), Food waste, animal fodder: $6.2 billion(3.2%), Coffee, tea and spices: $6 billion (3.2%) (ad2015)

Trading Partners China, United States, Argentina, Netherlands, Germany, Japan etc. Major Industries Textiles, shoes, chemicals, cement, lumber, iron ore, tin, steel, aircraft,

motor vehicles and parts, other machinery and equipments

Main Agriculture Products

Coffee, soybeans, wheat, rice, corn, sugarcane, cocoa, citrus, beef

OOppppoorrttuunniittiieess

• Brazilians are sports lover and they havecultural significance of sports in the country.Football is the most popular sport in Brazil.Other than football, sports like volleyball, mixedmar�al arts, basketball, and motor sports,especially Formula One, enjoy high level ofpopularity. All these Sports ac�vi�es are widelyprac�ced and popular in the country. Brazil hasalso been involved in Olympics, and alsocurrently ranked 33rd in the overall ranking ofmedals in the Summer Olympics. Therefore,they are impor�ng sports goods ($ 2488 million)and sports wears ($ 2228 million) from roundthe globe (in 2015), and it can be a poten�almarket for Pakistan’s Sports Industry, as we areexpor�ng only worth $ 23 million of sportsgoods and $ 141 million sports wears to Brazil,which is not much prominent .

TTrraaddee RReellaattiioonnss bbeettwweeeenn PPaakkiissttaann aanndd BBrraazziill

Brazil is one of the prominent trade partners of Pakistan inLa�n America and its economy has been ranked second largesteconomy in La�n America. Brazil’s major imports from Pakistanare sports items, surgical tools, co�on, polymer and paper.There are large numbers of opportuni�es to collaborate and toenhance the economic rela�ons between both the countries.Brazil has improved in agriculture sector and is working on therenewable energy crea�on and covers more than 42% of itsenergy need through renewable energy. They are also ready tohelp Pakistan in this sector via renewable energy resources,like wind, solar and coal as Pakistan is facing the energy criseswhich hamper its industrial growth. The current trade volumebetween the two countries falls around 300 million dollarswhich is not up to the poten�al available. Both the countrieshave huge perspec�ves for increasing trade and coopera�on inthe fields of sports goods, instruments, food items, fer�lizers,fruits and vegetables co�on, tex�le and dairy sector.

• Instrumental music has been prominent in Brazil,with styles ranging from classical to popular and jazzinfluenced forms. There are many types of musiccomposed and enjoyed by Brazilians such as sertanejo,samba, bossa nova etc. “Dance” is also a significantpart of Brazilian Culture. Sialkot made musicalinstruments are exported to different countries butthere is no export at all to Brazil. Musical InstrumentsIndustry should study the demand of Brazil includingwind instruments, Percussion musical inst, Brass Windinstruments, upright pianos, Grand pianos and otherstring instruments etc. to explore new lines and tapthis poten%al market.

• Brazil imports different products from all over theworld, which are being manufactured in Pakistan.Brazil imports Cutlery and kitchen wears worth $ 1.6(B), Shoes & Saddlery worth $ 21. 1 (B) from the worldbut Pakistan is nowhere in the cards. Sialkot industryshould work on these segments and approach the saidmarket.

• Health care facili%es in Brazil arefunded by the Brazilian Government.Government-funded hospitals and clinicsare providing free of cost medical servicesto about 70% of the masses; while the restavail the services of private hospitals. Brazilis also one of the leading medical tourismdes%na%ons in South America. To fulfill thedemand of surgical facili%es, Brazil imports asignificant quan%ty of surgical items fromdifferent countries worth $ 15.8 (B) whereasPakistan’s share in the market is USD 122 M.There is immense scope to enhance exportin this sector considering the value addedsurgical and dental products beingmanufactured in Pakistan.

• Leather industry is one of the major industrial sector in Pakistan,and export raw leather, leather garments, goods, gloves andaccessories to markets around the globe, but Pakistan’s exports toBrazil in this sector is below the real poten�al. Pakistan’s Exports ofLeather goods to Brazil were around $ 52 Million in 2015 whereasBrazils total imports of leather products was $ 8.2 Billion. LikewisePakistan’s export of Leather gloves and protec�ve equipment toBrazil in 2015 was around $ 73 million while Brazil’s imports were$ 1593 million. These facts and figures show that there is huge spacefor Pakistan to enter in the Brazilian Market.

• Military and Badges Industry is also a booming industry in Pakistanwhich can explore great opportuni�es in the Brazilian Marketconsidering the poten�al in said field.

• “Informa�on technology” is a rising sector and has a lot ofpoten�al. Government of Pakistan spends huge amount of moneyon informa�on technology projects, and this industry is regarded asa successful sector of Pakistan economically, even in financial crisis.The government of Pakistan has given numerous incen�ves to ITinvestors in the country during the last decade; this resulted in thedevelopment of the IT sector and its exports as well. Brazil andPakistan can also work together in this regard as IT industry in Brazilis booming, and it has beaten China in becoming the seventh largestIT industry in the world.

BBRRAAZZIILL

•Brazil has fer�le soil and all natural resources; it isalso home of more advance farming technologyand farmers with extensive experience. Thecountry produces world’s best grains, and oilseeds.Pakistan is also an agrarian country and earnsmajor por�on of its earning directly or indirectlyfrom agriculture sector. Both the countries canshare their exper�se in this field through jointventures. • Brazil is known as a leader in new biofueltechnologies. It has a great variety of energysources available for energy produc�on; therefore,Brazilian energy has been rela�vely “cleaner” and

produced at interna�onally-compe��ve prices.Sugarcane ethanol and bioelectricity producedfrom le�over e.g. fibers, stalks, leaves andsugarcane the largest source of renewable energyin Brazil, which also controls environmental andsocial impacts. This sector in Pakistan is rela�velyunderdeveloped; however, in recent years, thereinterest has been showed by environmentalistgroups and the related authori�es to explorerenewable energy resources for energy produc�on,in light of the energy crises and power shortagesaffec�ng the country. Both the countries can workin this field.

• Brazilian exper�se in dairy farming, livestock and infrastructuresectors is much needed in Pakistan to enhance the economic linksbetween both the countries. Brazil is on growing track in these fieldsand Pakistan can open the door for Brazil for investment andtechnical assistance in the said sectors.

BBRRAAZZIILL

BBRRAAZZIILL

• Exchange of business delega%onsbetween both the countries issignificant to enhance the bilateralrela%ons and trade. Moreover,Single country Exhibi%ons can alsobe a great source of introducingproducts in each other’s Market.

• Non-conven%onal sectors like gem andjewelry, marble and pharmaceu%cal etc.can also be explored to boost up theeconomic %es between Brazil andPakistan, as Brazil has high proficiency andproduc%vity in above cited products.

• Joint Ventures and FDI-Foreign DirectInvestment should be focused, to takemore benefits from exis%ng opportuni%es.Both the countries should find the sectorsand relevant fields to make joint ventures.

• Joint Ventures and FDI-Foreign Direct Investment should be focused, to takemore benefits from exis%ng opportuni%es. Both the countries should find thesectors and relevant fields to make joint ventures. Therefore, both thecountries can take benefits from each other’s financial resources, humanresources, technical assistance, as well as latest technology, new industriesand products can also bring in Pakistan to enhance the por$olio of localindustry.

• The Ministry of External Rela%ons in Brazil provides official calendar of maintrade shows, fairs, exhibi%ons held in country for different sectors. The cata-logue can be downloaded from h&p://investexportbrasil.gov.br?l=en and thefollowing link also gives informa%on about Trade Shows in Brazilh&p://www.eventeye.com/fairs/cl_trade-shows_brazil.html. Par%cipa%on inpoten%al exhibi%on in Brazil would not only help in promo%on of Pakistanmade products in the market but also to explore and understand the Brazilianmarket.

Pakistan should focus on increasing Pakistan’s exports to Brazil.There are many ways to sell the products in Brazil market e.g.Direct Exports (exporters nego�ate directly with importers ofBrazil), Indirect Exports (exporters sell the products throughbrokers e.g. trading companies and commercial importers) andthrough Commercial Representa�ves (exporters may engage anindependent professional services or companies to act astheir commercial representa�ves in Brazil, compensa�on themthrough commission based on sales volumes). Pakistaniexporters should also capture the market through Openingoffices in Brazil, as it will help them understand the exact needand trends in Brazilian market.

““BBRRAAZZIILL””TTRRAADDEE FFAAIIRRSS

HHaaiirr BBrraassiill

Date: 21-24 Apr 2017 Venue: Expo Center Norte, São PauloCountry: BrazilSector: Surgical, Beauty Products & Fashion Website: h#ps://www.hairbrasil.com/ingles/

CCoouurroommooddaa

Date: 15-18 Jan 2017 Venue: Expo Center Norte, São Paulo,Country: BrazilSector: Shoes, Leather goods and AccessoriesWebsite: h#ps://translate.google.com.pk/trans

late?hl=en&sl=pt&u=h#ps://couromoda.com/&prev=search

FRANCAL

Date: 02-05 Jul 2017 Venue: Expo Center Norte, São Paulo,Country: Brazil Sector: Surgical, Beauty Products & Fashion

Clothing and Accessories Website: h#ps://translate.google.com.pk/trans

late?hl=en&sl=pt&u=h#ps://couromoda.com/&prev=search

CCIIOOSSPP SSaaoo PPaauulloo IInntteerrnnaattiioonnaallDDeennttaall MMeeeettiinngg

Date: 01-04 Feb 2017 Venue: Expo Center Norte, São Paulo Country: Brazil Sector: Medical Instruments Website: h#ps://www.expocheck.com/en/expo

s/16589-ciosp-sao-paulo-interna"onal-dental-show-and-congress

BBrraazziill IInntteerrnnaattiioonnaall AAppppaarreellSSoouurrcciinngg SShhooww

Date: 12-14 Sep 2017 Venue: Expo Center Norte, São Paulo,Country: Brazil Sector: ApparelWebsite: h#p://cems-apparelsourcing.com/

BIG 3 SHOW AFRICA

Date: 26-28 Oct 2017 Sector: Bathroom & Kitchen, Building

Construc,onCountry: Kenya, AFRICAVenue: Kenya-a Interna,onal Conven,on

Centre, Nairobi, Website: h-p://big3africa.com/

China Interna#onal Medical Equipment Fair

Date: 30 Aug-01 Sep 2017 Sector: Medical Equipment (Surgical)Country: ChinaVenue: Intex Shanghai, ShanghaiWebsite: h-p://en.cmef.com.cn/

ExhibitionsTRAD

E FA

IRS

Mar#al Arts Super Show

Date: 06-08 Jul 2017 Sector: Mar,alarts, Medical, Pharmaceu,calCountry: USAVenue: MGM Grand, Las VegasWebsite: h-p://www.masupershow.com/

Apparel Tex#le & Footwear Trade Exhibi#on

Date: 24-25 May 2017 Sector: tex,le and footwearCountry: Cape Town, South AfricaVenue: Cape Town Interna,onal Conven,on

Centre (CTICC)Website: h-p://sourceafrica.co.za/wp/

Interna#onal Defence Industry Fair

Date: 09-12 May 2017Sector: technology defence industryCountry: Büyükçekmece, TurkeyVenue: TÜYAP KONGRE VE FUAR MERKEZİWebsite: h-p://idef.com.tr/en/NOTE: The informa,on has been gathered from

third party sources and Sialkot Chamber ofCommerce and Industry does not hold any

responsibility for the authen,city and accuracyin this regard.

Gra�tude extended to all the readers. Our team looks forward to your valuable feedback.For Feedback: Sialkot@scci.com.pk

Abdul Rauf

Tariq Mahmood MalikSecretary GeneralSialkot Chamber of Commerce & Industry

Umair NisarSenior R & D Officer Sialkot Chamber of Commerce & Industry

Atqa Arshad PuriR & D Officer Sialkot Chamber of Commerce & Industry

Anum Jamil R & D Officer Sialkot Chamber of Commerce & Industry

Deputy Secretary (Publ)Sialkot Chamber of

Commerce & Industry

Mehmooda Bu�WRC Coordinator Sialkot Chamber of

Commerce & Industry

Ass. R & D Officer Sialkot Chamber of

Commerce & Industry

Salman Mir

Junior Officer Sialkot Chamber of

Commerce & Industry

Arfa Naveel

MMeeeett ��ee TTeeaamm