Doing Business with Pakistan

A comprehensive guide to doing business, exporting, investing, and manufacturing in Albania.

Foreign Direct Investment with the International Trade Council / Company Incorporation / Company Formation

Albanian Investment Development Agency

Tel: +355 42 251 001
Email: info@aida.gov.al
Web: www.aida.gov.al

null

General Directorate of Customs

Albania General Directorate of Customs - International Trade Council

 

Tel: +355 42 253 820
Email: helpdesk.dpd@dogana.gov.al
Web: www.dogana.gov.al

National Chamber of Commerce

Albanian Chamber of Commerce and Industry

Albanian Chamber of Commerce and Industry - International Trade Council

Tel: +355 45 800 932
Email: cci.tirana@cci.al
Web: www.cci.al

Ministry of Economy Information from the International Trade Council - a Peak-body - international chamber of commerce

Ministry of Finance and Economy, Albania

  • Type of Government: Federal Parliamentary Republic
  • Population: Approximately 240 million
  • GDP: Around $350 billion USD
  • Corporate Tax Rate: 29%
  • Personal Income Tax Rate: 0% to 35% (progressive rates)
  • Major Exports: Textiles, rice, leather goods
  • Major Imports: Machinery, petroleum, chemicals

 

Exporting goods to Pakistan involves several steps. Here’s a comprehensive guide:

  1. Research Market Requirements

    • Understand Pakistan’s import regulations and product standards.
  2. Identify Your Product’s HS Code

    • Determine the Harmonized System (HS) code to understand tariffs and regulations.
  3. Prepare Documentation

    • Gather necessary export documents: commercial invoice, packing list, certificate of origin, and bill of lading.
  4. Check Tariff and Non-Tariff Barriers

    • Verify any tariffs and ensure compliance with Pakistan’s non-tariff measures.
  5. Choose a Reliable Freight Forwarder

    • Select a logistics provider experienced in shipping to Pakistan.
  6. Comply with Labeling and Packaging Regulations

    • Ensure your products meet Pakistani labeling and packaging standards.
  7. Arrange for Insurance

    • Secure insurance to cover potential shipping risks.
  8. Customs Declaration

    • Submit a customs declaration electronically, often through your freight forwarder.
  9. Pay Applicable Duties and Taxes

    • Calculate and pay any required import duties and taxes.
  10. Track and Confirm Delivery

    • Monitor the shipment to ensure it reaches the destination safely.

Key Contacts

  • Pakistan Customs
  • Trade Development Authority of Pakistan (TDAP)

Importing goods into Pakistan involves several steps. Here’s a detailed guide:

  1. Research Import Regulations

    • Understand Pakistan’s import laws and product-specific regulations.
  2. Obtain Necessary Licenses

    • Check if your products require special import licenses or permits.
  3. Classify Your Goods

    • Determine the Harmonized System (HS) code for your products to understand tariffs and duties.
  4. Prepare Documentation

    • Gather required documents: commercial invoice, bill of lading, packing list, and certificate of origin.
  5. Choose a Customs Broker

    • Hire a licensed customs broker to assist with the import process.
  6. Comply with Labeling and Packaging Standards

    • Ensure products meet Pakistani labeling and packaging requirements.
  7. Submit Customs Declaration

    • File a customs declaration electronically through the Pakistan Single Window system.
  8. Pay Duties and Taxes

    • Calculate and pay any applicable import duties and taxes.
  9. Arrange for Transportation and Delivery

    • Coordinate with a logistics provider to transport goods to their final destination.
  10. Track and Confirm Receipt

    • Monitor shipment progress and confirm delivery upon arrival.

Key Contacts

  • Pakistan Customs
  • Trade Development Authority of Pakistan (TDAP)

Incorporating a company in Pakistan involves several key steps. Here’s a detailed guide:

  1. Choose a Business Structure

    • Decide on the type of company: Private Limited Company, Public Limited Company, etc.
  2. Reserve a Company Name

    • Check availability and reserve your company name through the Securities and Exchange Commission of Pakistan (SECP).
  3. Prepare Founding Documents

    • Draft the Memorandum and Articles of Association.
  4. Open a Bank Account

    • Open a business bank account and deposit the required minimum capital.
  5. Submit Incorporation Documents

    • File the incorporation documents with the SECP online through their eServices portal.
  6. Obtain a National Tax Number (NTN)

    • Register with the Federal Board of Revenue (FBR) for tax purposes.
  7. Register for Sales Tax

    • If applicable, register for sales tax with the FBR.
  8. Register with Social Security Institutions

    • Enroll employees with the Employees Old-Age Benefits Institution (EOBI) and other relevant bodies.

Costs

  • Registration Fee: Varies based on company type and capital.
  • Additional Costs: Legal fees, stamp duties, and other administrative expenses.

Key Contacts

  • Securities and Exchange Commission of Pakistan (SECP)
  • Federal Board of Revenue (FBR)

Setting up a manufacturing plant in Pakistan involves several key steps. Here’s a detailed guide:

  1. Conduct a Feasibility Study

    • Analyze market demand, location, and resources.
  2. Choose a Business Structure

    • Decide on the type of business entity, such as a Private Limited Company.
  3. Register the Company

    • Register your company with the Securities and Exchange Commission of Pakistan (SECP).
  4. Secure Financing

    • Arrange funding through loans or investors.
  5. Select a Location

    • Choose an industrial area with access to infrastructure and resources.
  6. Obtain Necessary Permits and Licenses

    • Apply for construction permits, environmental approvals, and industry-specific licenses.
  7. Design and Construct the Facility

    • Hire architects and contractors to design and build the plant.
  8. Purchase and Install Equipment

    • Acquire machinery and ensure it meets safety and operational standards.
  9. Hire and Train Employees

    • Recruit skilled workers and provide necessary training.
  10. Set Up Supply Chain and Distribution

    • Establish relationships with suppliers and distributors.

Key Contacts

  • Securities and Exchange Commission of Pakistan (SECP)
  • Board of Investment (BOI)

Registering a trademark in Pakistan involves several steps. Here’s a detailed guide:

  1. Conduct a Trademark Search

    • Search the Intellectual Property Organization of Pakistan (IPO-Pakistan) database to ensure your trademark is unique.
  2. Prepare Your Application

    • Gather necessary details including the trademark design and the list of goods/services it will cover.
  3. Submit the Application

    • File your application with IPO-Pakistan, either online or in person.
  4. Examination Process

    • IPO-Pakistan examines the application for compliance and conflicts with existing trademarks.
  5. Publication for Opposition

    • If approved, the trademark is published in the official journal for a period during which others can oppose it.
  6. Receive Registration Certificate

    • If no oppositions are filed, you receive the official trademark registration certificate.

Costs

  • Application Fee: Approximately PKR 3,000 for each class (subject to change).

Key Contacts

  • Intellectual Property Organization of Pakistan (IPO-Pakistan)

Resolving commercial disputes in Pakistan involves several steps. Here’s a detailed guide:

  1. Consult Legal Counsel

    • Engage a lawyer familiar with Pakistani commercial law.
  2. Attempt Negotiation

    • Try to resolve the dispute amicably through direct negotiation with the other party.
  3. Mediation

    • Consider mediation with a neutral third party to facilitate a resolution.
  4. Arbitration

    • Use arbitration for a binding resolution. Pakistan recognizes and enforces arbitration agreements.
  5. Litigation

    • If other methods fail, file a lawsuit in the appropriate court. Be prepared for a formal legal process.
  6. Enforcement of Judgments

    • Once a decision is reached, ensure it is enforced through the relevant authorities.

Costs

  • Legal Fees: Vary based on the complexity and length of the dispute.
  • Court Fees: Required for litigation and depend on the case specifics.

Key Contacts

When considering business in Pakistan, it’s important to understand various factors:

Social and Cultural Factors

  • Language: Urdu is the national language; English is widely used in business.
  • Business Etiquette: Emphasizes respect, building personal relationships, and understanding local customs.

Political Factors

  • Government: Federal parliamentary republic with ongoing efforts to improve the business environment.
  • Regulations: Business-friendly policies, but bureaucratic processes may require navigation.

Economic Factors

  • Currency: Pakistani Rupee (PKR).
  • Foreign Investment: Encouraged, especially in special economic zones with incentives.

Foreign Exchange

  • Exchange Rate: Subject to fluctuations; businesses should monitor currency risks.
  • Regulations: Managed by the State Bank of Pakistan, with some restrictions on currency exchange.

Rule of Law

  • Legal System: Based on British law and Islamic principles; provides a framework for business operations.
  • Intellectual Property: Protected under national laws, aligned with international standards.

Infrastructure

  • Transport: Developing infrastructure with key projects in roads, ports, and energy.
  • Utilities: Ongoing improvements in energy and utilities, though challenges remain.

Key Contacts

  • Board of Investment (BOI)
  • State Bank of Pakistan

Our Members Include Leading Organizations in Pakistan

Ask our Experts on Doing Business in/with Pakistan

If you’re looking to do business or invest in Pakistan, we can provide expert guidance, market insights, and valuable connections to help you navigate the local landscape. Contact us today to discover how we can assist in making your venture a success.