UNISAME URGES PROMOTION OF E-COMMERCE & 3 WAY MERCHANTING FOR SMEs

The Union of Small and Medium Enterprises (UNISAME) has urged Alamgir Chaudhry Chief Executive Officer (CEO) of the Small and Medium Enterprises Development Authority (SMEDA) to promote E-Commerce and also 3 way merchant trade for the benefit of the SMEs to enable them meet the global challenges.

President UNISAME Zulfikar Thaver said it is very important that the SMEs should know about E-Commerce and also about 3 way merchant trade whereby any SME sitting in Pakistan could import any item from one country and sell it to a third country and earn profit on the added price on the invoice as an intermediary.

Thaver urged the CEO SMEDA to conduct E-Commerce sessions to educate the entrepreneurs as EC is catching on rapidly and SMEs can enter the global market from Pakistan on the internet through merchant accounts and make and receive payments from global destinations. Secondly he said not many SMEs are aware of 3 way trading and simply rely on indenting by which they earn meagre commission but in 3 way trading they could add more than 10% as profit on the invoice value and issue their own invoice. In the case of 3 way trading the shipment is made from the country of origin to the destination port of the buyer but the financial aspect is controlled by the Pakistani intermediary and his bankers and the entrepreneur obtains payment from the buyer and remits it to the seller after pocketing his profit.

He said in the State Bank of Pakistan allows 3 way trading for certain commodities but the SMEs need this facility of 3 way trading for all items and urged the SBP to extend the facility of 3 way trading for all the items.

He said it is high time the entrepreneurs are facilitated for both EC and 3 way trading and urged SBP to allow and facilitate the entrepreneurs.

Posted in: Press Releases