Pakistan’s drug regulatory authority proposes use of Chinese currency to import medical raw material

Pharmacy employees wearing facemasks interacts with customers in Islamabad, Pakistan, on March 23, 2020. (AFP/File)
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Updated 26 January 2023
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Pakistan’s drug regulatory authority proposes use of Chinese currency to import medical raw material

  • DRAP’s proposal can increase import of pharmaceutical products from China by about to 70 to 80 percent
  • Pakistan is witnessing a major shortage of lifesaving drugs in local market after import restrictions to save dollars

ISLAMABAD: The Drug Regulatory Authority of Pakistan (DRAP) on Wednesday suggested raw material import for medicines from China, saying the payments could be made in the Chinese currency under such a mechanism.

Officials in Islamabad have significantly restricted imports of luxury and essential items due to the rapidly depleting forex reserves of the country. The measure has not only slowed down the economy but also led to a shortage of various items, including lifesaving drugs, in local markets.

According to Geo News, Asim Rauf, the chief executive officer of the authority, suggested the idea to improve the availability of necessary medicines in the market amid declining dollar reserves in a meeting with the local pharmaceutical industry.

He mentioned the proposal at a time when commercial banks have stopped issuing letters of credit (LCs), leaving importers struggling to arrange the greenback for already placed orders.

“As the LC issue is hampering the import of active pharmaceutical ingredient (API) from China and India,” Rauf said, “the Drug Availability Committee of DRAP has come up with a solution to import the medicines’ raw material from China in its local currency RMB (Yuan) to ensure availability of essential medicines in the country.”

“The pharmaceutical products’ imports from China can further be increased and taken up to 70 to 80 percent,” he continued while pointing out that the mechanism would prevent the country from spending US dollars.

The DRAP chief said he was also working to resolve the LC issue to help the local pharmaceutical industry on the directives of the Prime Minister’s Office while urging the central bank and the finance ministry to look into the authority’s import proposal.


Pakistan’s seafood exports to China hit nearly $255 million in 2025 as market reach widens

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Pakistan’s seafood exports to China hit nearly $255 million in 2025 as market reach widens

  • Frozen fish and cephalopods lead exports as shipments expand beyond China’s coastal hubs
  • Growth reflects Pakistan’s push to diversify exports and tap China’s inland consumer markets

ISLAMABAD: Pakistan’s seafood exports to China rose to nearly $255 million in 2025, underscoring Beijing’s growing importance as a destination for Pakistani marine products, according to data from China’s General Administration of Customs (GACC) published by state-run APP on Monday.

The figures point to a broader geographic and product diversification of Pakistan’s seafood trade with China at a time when Islamabad is seeking to boost foreign exchange earnings and reduce reliance on a narrow set of export sectors.

“The gains were driven by sustained demand for frozen fish, cephalopods, and a growing range of processed seafood products in both coastal and inland markets,” APP said in a report, citing China Customs data.

Frozen fish remained the single largest export category, contributing about $64.6 million to Pakistan’s seafood shipments to China. Imports were concentrated in major coastal and metropolitan entry points, with Guangdong province emerging as the largest destination by value and volume, importing 8.48 million kilograms worth $15.7 million. Shandong and Beijing followed, each exceeding 7 million kilograms, while Shanghai, Tianjin and Zhejiang also recorded substantial volumes.

At the same time, smaller but notable shipments were recorded in inland provinces including Sichuan, Yunnan, Guizhou and Chongqing, suggesting a widening distribution footprint supported by expanding cold-chain logistics and growing demand away from China’s traditional port cities.

Cephalopods emerged as another key growth pillar. Exports of frozen cuttlefish and squid reached nearly $31 million, while frozen octopus rose to almost $12 million, reflecting demand from catering chains and seafood processors supplying China’s foodservice and ready-to-cook segments.

Affordable pelagic fish also performed strongly. Frozen sardines, sardinella, brisling and sprats recorded imports of around $14.9 million, supported by household consumption and mass-market food manufacturers.

In addition to core frozen categories, Pakistan exported roughly $14.4 million each in two higher-value segments classified by China Customs as “fish” and “fish products,” indicating a gradual shift toward processed and value-added seafood lines.

Analysts cited in the APP report attributed the overall growth to improved compliance with Chinese food safety standards, expanded approvals for Pakistani processing facilities and competitive pricing backed by Pakistan’s marine resource base. Investments in cold-chain logistics and streamlined customs procedures were also seen as supporting higher volumes and broader market access.