{"id":57995,"date":"2026-01-29T06:51:16","date_gmt":"2026-01-29T06:51:16","guid":{"rendered":"https:\/\/www.dailybigdigit.com\/?p=57995"},"modified":"2026-01-29T06:51:16","modified_gmt":"2026-01-29T06:51:16","slug":"pakistans-digital-corridor-why-cross-border-e-commerce-must-become-the-fourth-phase-of-cpec","status":"publish","type":"post","link":"https:\/\/www.dailybigdigit.com\/?p=57995","title":{"rendered":"Pakistan\u2019s Digital Corridor: Why Cross Border E-Commerce Must Become the Fourth Phase of CPEC"},"content":{"rendered":"<p><img loading=\"lazy\" decoding=\"async\" class=\"size-medium wp-image-57996 aligncenter\" src=\"https:\/\/www.dailybigdigit.com\/wp-content\/uploads\/2026\/01\/Screenshot_20260129-114553-192x300.jpg\" alt=\"\" width=\"192\" height=\"300\" srcset=\"https:\/\/www.dailybigdigit.com\/wp-content\/uploads\/2026\/01\/Screenshot_20260129-114553-192x300.jpg 192w, https:\/\/www.dailybigdigit.com\/wp-content\/uploads\/2026\/01\/Screenshot_20260129-114553-655x1024.jpg 655w, https:\/\/www.dailybigdigit.com\/wp-content\/uploads\/2026\/01\/Screenshot_20260129-114553-768x1201.jpg 768w, https:\/\/www.dailybigdigit.com\/wp-content\/uploads\/2026\/01\/Screenshot_20260129-114553.jpg 916w\" sizes=\"auto, (max-width: 192px) 100vw, 192px\" \/><\/p>\n<p style=\"text-align: center;\">Written By: Ms. Aleena Gohar, a Participant of ICSF-UoS Fellowship Program 2025-26 at University of Sargodha<\/p>\n<p>&nbsp;<\/p>\n<p>The China Pakistan Economic Corridor (CPEC) has impacted the discussions regarding the economic future of Pakistan in more than a decade. At the time of its initial introduction, it was considered a significant opportunity which would enable Pakistan to rebuild its infrastructure, improve its own supply of energy, and re-establish its relationships with the region. Some of the phases through which CPEC has experienced in the years include road networks, energy projects, and formation of Special Economic Zones (SEZs). Each stage has been worth and has been characterized by its share of challenges. The next commercial prospect of Pakistan, however, is not collocated with roads, trains or power plants because the world is soon turning digital with trade and online connectivity. It exists in internet shopping. Based on this reason, it reveals that cross border e-commerce ought to be formally incorporated in the fourth phase of CPEC.<\/p>\n<p>Why Digital Connectivity Matters More Today<\/p>\n<p>The global economy is transforming very rapidly, even compared to the traditional infrastructure investment. Digital trade has grew faster in the past decade as compared to physical trade. Micro-enterprises which were not previously able to connect with other customers across the globe can now sell online goods profitably. China, Singapore, Malaysia, among other countries have exploited this shift to increase their exports and help the owners of businesses in the region. Pakistan is however falling behind. Pakistan is a nation that has immense digital potential. The country boasts of a large young population, more than 190 million mobile subscribers, and an upsurge in social media usage. Nevertheless, the country does not contribute much as an exporter of e-commerce on the international level. Over the last few years, our policy deliberations have been largely focused on physical connectivity i.e. roads, ports, and railroads, but have overlooked the new driver of international trade, which is digital connectivity. Physical connectivity Pakistan is already physically connected to the world through CPEC. However, in order to reap the maximum of its strategic location, Pakistan now has to become digitally connected. And the most appropriate way to do so is by cross border e-commerce with the assistance and formalization of CPEC setup.<\/p>\n<p>CPEC\u2019s Natural Evolution into a Digital Corridor<\/p>\n<p>The trend towards the digital cooperation of CPEC seems to be quite positive and inevitable provided we observe the trend of its evolution. The initial phase dealt with electricity shortage which was a short term issue. The second phase involved the improvement of roads and transit ways. The third stage of industrialization of Pakistan by means of SEZs is the objective. But what will occur when these SEZs start producing? What will become of these goods? Pakistan has over 90 percent small and medium sized businesses (SMEs). What can the nation do to ensure that the international markets are open to SMEs? The old methods of exporting that require lengthy processes, excessive paper work and volume buyers cannot offer the solution. The logical extension of CPEC should then be to establish a Digital Corridor in which Pakistan and China collaborate to develop infrastructure, policies, and infrastructures to facilitate cross border online trading. China already possesses good experience in this sphere. Such platforms as Alibaba, JD.com, and Pinduoduo have turned small Chinese vendors into the exporters in the world. This digital network can be learned by Pakistan, cooperate, and integrate in it.<\/p>\n<p>Why Cross Border E-Commerce Should Be a CPEC Priority<\/p>\n<p>There are several reasons why cross border e-commerce deserves to become the formal fourth phase of CPEC.<\/p>\n<p>1. It is low cost but high-impact<\/p>\n<p>Digital projects are way cheaper than power plants or roadways though their impact is far broader. There is no need to spend billions of dollars to develop data centers, digital payment systems, e-commerce sites, or logistical networks. Even minor investments can alter the behavior of export at the local level. The payoff of investment occurs much faster, especially when the business begins selling online on a global scale and is a small enterprise.<\/p>\n<p>2. It empowers youth and small sellers<\/p>\n<p>In Pakistan, the youths often find it hard to penetrate official markets. Most of them are experts in handicraft, textile, art and computer-related services yet they lack the means of selling their products abroad. Cross border e-commerce fill that gap. It allows the ordinary citizens to begin owning businesses at home. Instead of relying on large sectors to absorb young people into their operations, training, incubation centers, and digital trade hubs can be established across the SEZs in Pakistan and the universities should CPEC make e-commerce a major part of their operations. This would also produce a workforce that is tech savvy besides creating employment.<\/p>\n<p>3. It strengthens Pak China economic cooperation<\/p>\n<p>The railways and energy are not sufficient in themselves to make economic cooperation possible. China has already become a leader in the digital space worldwide, thus, it must diffuse there. Chinese knowledge in Pakistan can be applied in the following areas:<\/p>\n<p>\u2022 Automation of warehouses<\/p>\n<p>\u2022 International logistics<\/p>\n<p>\u2022 Electronic payments<\/p>\n<p>Supply chain management with artificial intelligence and cybersecurity.<\/p>\n<p>Joint e-commerce free trade can be set in and around Gwadar, Karachi, Lahore and Gilgit that would help to process small packages quickly, simplify the process of clearance, and speed up the shipping routes.<\/p>\n<p>4. It aligns with Pakistan\u2019s need for export diversification<\/p>\n<p>Pakistan has export base in a small number of products primarily textiles. In order to sustain in the contemporary economy, Pakistan has to diversify. E-commerce can be used to sellers in the niche markets organic skincare, traditional crafts, gemstones, sports goods, home decor, regional foods and digital services. They are high value segments capable of performing successfully in the world in case they receive digital encouragement. Even China is increasingly growing toward consuming foreign products. The Pakistani fruits, honey, spices, leather products, and cultural products can receive a great demand in the Chinese online markets.<\/p>\n<p>5. It supports Pakistan\u2019s inclusion in global value chains<\/p>\n<p>Cross border e-commerce does not necessarily imply selling finished products. It equally involves being involved in disjointed global value chains. Digital services can be offered by Pakistani freelancers, small components can be offered by Pakistani manufacturers, and small batches of processed foods can be sold by agricultural producers in Pakistan. Such a form of integration is much easier on paper than in reality.<\/p>\n<p>What Pakistan Must Do to Make This Happen<\/p>\n<p>To transform cross border e-commerce into the fourth official phase of CPEC, Pakistan must take several deliberate steps.<\/p>\n<p>1. Modernise customs procedures<\/p>\n<p>Pakistan customs systems are still structured to accommodate large shipments and not small ones. In order to facilitate e-commerce, Pakistan requires:<\/p>\n<p>\u2022 simplified documentation<\/p>\n<p>\u2022 faster clearance times<\/p>\n<p>\u2022 reduced micro-exporting charges.<\/p>\n<p>\u2022 digital customs platforms<\/p>\n<p>China developed the systems of smart customs many years ago. Pakistan has the opportunity to implement such models due to the cooperation of CPEC.<\/p>\n<p>2. Build digital infrastructure in SEZs<\/p>\n<p>The SEZs are not only supposed to contain factories but also data centres of digital services, warehousing services, e-commerce training schools and fulfilment centres. Every SEZ must be in a position to accommodate internet sellers who require packaging, warehouse and transport.<\/p>\n<p>3. Create a Pakistan China digital trade agreement<\/p>\n<p>The manner in which small sellers will be exporting to China and vice versa can be defined through a formal agreement. It is able to set regulations on data protection, consumer safety and settlement of payments. Scaling of platforms is not easy without some clear regulations.<\/p>\n<p>4. Train human capital<\/p>\n<p>The government and universities must train people in:<\/p>\n<p>digital marketing<\/p>\n<p>product photography<\/p>\n<p>online store management<\/p>\n<p>logistics planning<\/p>\n<p>Chinese consumer behaviour<\/p>\n<p>This is where CPEC academic exchange programs can play a major role.<\/p>\n<p>5. Support secure and easy digital payments<\/p>\n<p>For e-commerce to work, payment systems must be fast and trustworthy. Collaboration with Chinese fintech firms such as Alipay and WeChat Pay can help Pakistan develop robust systems for cross-border transactions.<\/p>\n<p>How CPEC\u2019s Fourth Phase Can Shape Pakistan\u2019s Future<\/p>\n<p>When implemented correctly, a CPEC motivated digital corridor can help Pakistan work towards achieving the goals it has been fighting to achieve over decades: SME empowerment, industrial development, export sales and employment. The digital phase would rely more on knowledge sharing, transfer of technology, and collaborations between the private sector, unlike the earlier levels that required a considerable amount of financing. Also, it would enable Pakistan to be a more competitive country in the region. Digital export ecosystems already exist in such countries as Bangladesh, Vietnam and India. Pakistan cannot spare to fall behind. It is possible to strategically and systematically place Pakistan in the global e-commerce map with a digital phase within CPEC. Above all, this would convey that CPEC is not a bunch of roads and power stations, but a living project that evolves according to the trends in the global arena. Since the world is shifting towards a period when trade is characterized by data and digital services, CPEC needs to change, and Pakistan needs to change with it.<\/p>\n<p>Conclusion<\/p>\n<p>The initial three stages of CPEC provided the basis of physical convergence and industrial development. However, the immediate step should be forward-thinking, but not retroactive. The fourth stage of CPEC must be officially the cross border e-commerce since it can democratise the exports, youth empowerment, SMEs, and even make Pakistan a part of the rest of the digital world. It is cheap, realistic and in line with the global economic realities. With the adoption of digital corridor within CPEC, Pakistan will finally have an opportunity to open a new gateway to the economy one in which the benefits reach the furthest corners of society, as rural craftsmen or urban businessmen. The time for this shift is now. Unless Pakistan acts fast, the international digital market will pass by without us.<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Written By: Ms. Aleena Gohar, a Participant of ICSF-UoS Fellowship Program 2025-26 at University of Sargodha &nbsp; The China Pakistan Economic Corridor (CPEC) has impacted the discussions regarding the economic future of Pakistan in more than a decade. At the time of its initial introduction, it was considered a significant opportunity which would enable Pakistan [&hellip;]<\/p>\n","protected":false},"author":8,"featured_media":57997,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[73,33,35],"tags":[],"class_list":["post-57995","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-english-news","category-national-news","category-pakistan"],"_links":{"self":[{"href":"https:\/\/www.dailybigdigit.com\/index.php?rest_route=\/wp\/v2\/posts\/57995","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.dailybigdigit.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.dailybigdigit.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.dailybigdigit.com\/index.php?rest_route=\/wp\/v2\/users\/8"}],"replies":[{"embeddable":true,"href":"https:\/\/www.dailybigdigit.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=57995"}],"version-history":[{"count":0,"href":"https:\/\/www.dailybigdigit.com\/index.php?rest_route=\/wp\/v2\/posts\/57995\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.dailybigdigit.com\/index.php?rest_route=\/wp\/v2\/media\/57997"}],"wp:attachment":[{"href":"https:\/\/www.dailybigdigit.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=57995"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.dailybigdigit.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=57995"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.dailybigdigit.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=57995"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}