How to add value to minerals, increase export – a business case for Pakistan

Pakistan is endowed with huge reserves of minerals covering an outcrop area of 600,000 sq. Km. There are 92 known minerals, of which 52 are commercially exploited, with 68.52 million metric tons per year. The sector is a promising one with an average growth of 2-3% per annum, the existence of above 5,000 operational mines, 50,000 SMEs and direct employment of 300,000 workers. The country has the world’s second-largest salt mines and fifth-largest copper and gold reserves, second-largest coal deposits, and estimated billions of barrels of crude oil. Despite huge potential, the mineral sector’s contribution to Pakistan’s GDP is around 3 %, and the country’s exports are only about 0.1% of the world’s total. In the year 2017, Pakistan’s total mineral exports were 0.5 Billion USD compared to the world’s 401 Billion USD. Ismail Sattar discusses the Employers Federation of Pakistan’s initiative to process the mineral resources in Pakistan into value-added chemicals.EFP has conducted geological surveys, identified minerals and the refining processes. Their first task was to upgrade low concentration Fluorspar to acid grade, which is widely used in acid making industries, CFC’s manufacturing, and glass and ceramic industries. Furthermore, the metallurgical grade is widely used in the iron and steel industry. This initiative will not only contribute to greater GDP. Still, it will also act as a starting point to develop more industries in Pakistan, which will reduce the burden on our imports and lead to a stronger, more versatile economy.