Dr. Salamat Ali's Profile

Dr. Salamat Ali is a trade policy analyst currently working as an additional collector customs, Federal Board of Revenue, Government of Pakistan. Mr Ali completed Hubert. Humphrey Fellowship at Michigan State University in 2008-09 followed by a master in International Economic Policy Management from the London School of Economics and Political Science and then a PhD in International Trade from University of Nottingham (U.K.). His professional and research interests concentrate on trade costs, trade policy analysis, and the impact of non-tariff measures on developing countries. He has administered import and export policies of the government for more than a decade and has also published in leading peer-reviewed journals including Journal of Development Studies, and The World Economy. He has led various studies on trade policy issues and delivered numerous presentations at international forums including the WTO, UNCTAD, ADB, IDB, WCO and UNESCAP.


Trade Competitiveness and Industrial Growth under the CPEC

This study examines the potential effects of China-Pakistan Economic Corridor (CPEC) on trade competitiveness and industrial growth in Pakistan. It provides a detailed overview of existing state of Pakistan’s trade with China and then explores the linkages of CPEC-related projects with various indicators of trade competitiveness. It also investigates the potential reduction in transport time to access trade-processing facilities for firms located in various parts of the country following the completion of the CPEC. The study uses a mix method approach comprising a review of existing literature, analysis of primary and secondary data, empirical estimations using a gravity model and survey of leading firms.

The analysis shows that Pakistan’s trade with China is gradually rising and the CPEC could boost it further. The rise in imports from China is however much higher than that in Pakistan’s exports to China. The completion of CPEC-related road, rail and energy infrastructure projects would considerably improve competitiveness of Pakistan’s firms by reducing inland transportation costs and improving access to electricity, a key input in the production process. Moreover, these projects are expected to improve various indicators of trade competitiveness, such as LPI, LSCI and GCI. Similarly, the development of Gwardar port could reduce beyond-the-border trade costs through the channels of access to improved shipping facilities and the availability of additional shipping services. It seems that the firms located in the hinterland manufacturing regions in the province of KPK and Punjab would particularly benefit from the reduction in inland transportation costs. The study also highlights the need of complementary trade and domestic polices to fully exploit the potential of the CPEC.

Dr. Salamat Ali
Additional Collector Customs
Federal Board of Revenue

Hubert Humphrey
Michigan State University




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