In this respect, the Netherlands, one of the most advanced economies in the world, is stretching out its hand to Pakistan. Located at the gateway to the world's single largest market and home to the Port of Rotterdam and Schiphol Amsterdam Airport, the Netherlands is a global hub for innovation and value added goods and services. As a leading trading nation it has a population of just 16.8 million people that sustain the 17th largest economy in the world with a GDP four times that of Pakistan.
The Dutch economy is underpinned by very solid economic fundamentals, backed by several AAA credit ratings. It is characterised by high-value exports, innovative technologies, best practices and a very high level of automation and mechanisation. For example, the Netherlands are the second largest exporter of agricultural goods world-wide despite having access to limited arable land and using up only five percent of the available workforce.
Other major sectors of the Dutch economy include the water, logistics, chemicals, energy, maritime, creative, life sciences, and Hi-Tech industries. Though the Netherlands has never been the main trading partner of Pakistan, the two peoples have traded with each other through thick and thin since before Pakistan was an independent nation - the first Dutch trading post (in Sindh) dates back to 1651.
Since then, Dutch companies like Shell, Phillips and several brands under the Unilever umbrella have become staples in the Pakistani household and market place. As the relationship between the two nations evolves from a donor-recipient set-up to a more mature and balanced trading partnership, bi-lateral trade between the two - approximately 700 millions dollars in 2011 - should see substantial growth.
There have been calls for "trade not aid" by Pakistan ever since 9/11 but many countries have been hesitant to invest in Pakistan or to allow Pakistani goods duty-free access to foreign markets. As part of their ambition to enhance economic co-operation between the Netherlands and Pakistan, the Netherlands and EU stand ready to give a list of 75 Pakistani goods, including textiles, preferential access to European markets under the latest iteration of the EU's Generalized Scheme of Preferences (GSP Plus). The onus is now on the Government of Pakistan to make sure that they fulfil the qualification criteria for this scheme.
Bilateral trade is not just about exporting goods out of the country. In Pakistan, there is huge potential for applying Dutch inputs, technologies and practices in local industries and sectors, which would benefit the competitiveness of the respective sectors and the economy as a whole.
In fact, Dutch expertise has already played roles in outfitting Pakistani ventures for the 21st century. From helping set up the Sialkot Airport, providing port equipment in Karachi or co-operating with Pakistani companies setting up dairy farms; Dutch expertise has been well received by the local business community. Local dairy farmers have expressed lots of interest in importing Dutch cows but as it stands at the moment, Pakistani import regulations have stood in the way. Should import regulations be revised, local farmers could almost double their dairy production as Dutch heifers can produce upto 40 litres of milk daily.
For an agrarian economy, agricultural inputs like machinery, chemicals, seeds and storage solutions will always be in high demand. With plenty of arable land and cheap labour available in Pakistan, innovative Dutch inputs can help achieve food security and help the sector position itself to export on a much larger scale.
Similarly, the textile industry which largely exports raw materials could be a lot more competitive if it sold processed goods with added value. It should come as no surprise then, that Dutch companies like Stork (textile printing) and Stahl (leather processing) have carved out niches for themselves in this sector.
While the shift from aid to trade does represent some change in bi-lateral relations, it shouldn't be interpreted as the Netherlands "stepping away" from providing assistance to Pakistan altogether. The Netherlands remains a major contributor to organisations like the UN and the World Bank that administer aid and implement development projects.
For example, the Dutch have contributed two million dollars to the UNDP "rule of law" programme in Malakand division and five million dollars to the Multi Donor Trust Fund (MDTF) that has provided funding for reconstruction, rehabilitation and reforms in KP, Fata and Balochistan since 2010.
In the area of culture, the Makli restoration project, the Heritage Foundation's digital library, Rumana Husain's photo journal Karachi wala and the documentation and protection of prehistoric petroglyphs in Chilas are projects that have benefited by Dutch support.
Opportunities for collaboration between the Netherlands and Pakistan are aplenty. Whether it's trading goods, exchanging services, or introducing innovative solutions; the revised Dutch and European Union regulations have opened doors that can contribute to real economic growth in Pakistan, which we all support.
(The author is the ambassador of Holland to Pakistan.)