The Ministry of Commerce has supported the establishment of a separate “Minerals Division” to promote the development of the gemstones sector and the effective utilization of mineral resources in Pakistan. This proposed division, similar to the Petroleum Division, would provide an effective system for coordination and oversight between the federal and provincial governments. The Ministry believes this step is essential given the unique nature of the minerals sector and its distinct institutional requirements.
Pakistan is rich in precious stone reserves, with emeralds, rubies, aquamarines, and topaz found in abundance, particularly in Gilgit-Baltistan, Khyber Pakhtunkhwa, and Balochistan. However, due to unregulated mining, smuggling, lack of value addition, and the export of raw stones without processing, the sector has not developed to its full potential.
The National Assembly Standing Committee on Commerce has recommended the establishment of a Gems Authority to oversee the entire value chain, from mining to exports, for the promotion of precious stone exports. The Ministry of Commerce supported this proposal, stating that Pakistan’s current annual gemstone exports range between $5 million and $7 million, a volume that could be increased manifold through an appropriate strategy.
According to the Ministry of Commerce, a specialized body could not only promote modern technology, cutting, polishing, and certification systems but also help Pakistani products access key international markets such as China, Thailand, and Europe. This would enable the prevention of illegal trade, assurance of quality, and promotion of foreign investment.
The Ministry of Commerce noted that while its domain includes exports, trade promotion, and international cooperation, matters related to mineral mining and local production could be handled more effectively under the Ministry of Industries and Production. The Ministry of Industries has presented a comprehensive framework for the development of the sector, which includes industrial status, technical training, and mineral processing initiatives.
The Ministry of Commerce also stated that the proposal for a Minerals Division, suggested by MNA Gul Asghar, should be considered because the minerals sector is inherently different from other industrial or commercial sectors. A separate division could ensure a coordinated strategy at the federal and provincial levels, environmentally friendly mining practices, and the organized development of the precious stones sector. The Ministry estimates that if this body is established, the exports from the gems sector could increase tenfold over the next ten years.
