Pakistan targets $195 million through kinnow export this year

This file photo shows a Pakistani worker sorting kinnow (mandarin oranges) at an orchard in the agricultural town of Bhalwal on Jan. 18, 2010. (AFP)
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Updated 13 December 2019
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Pakistan targets $195 million through kinnow export this year

  • Last year, the country earned the highest export revenue of $222 million by exporting 370,000 tons of the fruit
  • Lack of new varieties, declining quality, and absence of quarantine protocol posing major export challenges

KARACHI: At the advent of the new kinnow season, Pakistan has reduced its export target for the fruit by about 70,000 tons, citing tough competition in the international market and deteriorating quality of citrus in the country, exporters said on Friday.
“Export of kinnow from Pakistan has started and we have set a target of 300,000 metric tons that will help generate $195 million in revenue,” Waheed Ahmed, Patron-in-Chief of All Pakistan Fruit and Vegetable Exporters, Importers and Merchants Association (PFVA), told Arab News.
Pakistani firms expect kinnow production of 2.2 million tons during the current season and will export 20 percent of it.
Punjab is the center of production and supply of citrus fruits where about 85 percent of the citrus production area is covered by kinnow variety followed by Musambi (10%), Fruiter (4%), Blood Red (1%).
Last year, Pakistani exporters set a target of 350,000 tons, though they ultimately sold 370,000 tons and generated $222 million in export revenue for the country.
While they acknowledged that they had earned record revenue in 2018, exporters said their losses were also record high due to stiff competition in the Russian market.
“The target has been slashed because exporters had to suffer huge financial losses of up to $6 million in the Russian market. Exporters were shy of taking risk this time and reduced the target by 50,000 tons,” Ahmed said.
“No new markets are included as the export destination this year,” he continued. “Until the Food Security Department resolves the issue of quarantine with Thailand and other countries, new markets cannot be tapped.”
Due to the serious issues of quality, the PFVA is abiding by a self-imposed ban since 2014 on export of kinnow to Europe, a big market for the Pakistani fruit.
The European market would offer better price for Pakistani kinnow compared to other conventional international markets, if the country’s resumed exports increased by 50 percent, said the PFVA chief.
Exporters say the country has not introduced new varieties of kinnow for decades and the existing varieties had exhausted. They also point out that other countries had developed many varieties of the fruit.
“We need to develop at least three to four new varieties, including seedless citrus with enhanced shelf life. We need to enhance the cultivation area as well,” Ahmed noted.
Exporters say the existing kinnow orchards have already completed their life cycle and do not have adequate resistance to protect against the effect of climatic changes and diseases, raising serious quality issues.
“With improved quality and shelf life, the country can earn $1 billion in five years,” Ahmed said. “This can be achieved with extensive research and development (R&D). Otherwise, the existing export of citrus fruits would be badly affected.”
He also called for the resumption of exports to Iran which discontinued nine years ago, resulting in the loss of $40 million per annum.
“Pakistan can export around 80,000 to 90,000 tons of kinnow to Iran,” Ahmed said, questioning the wisdom of allowing import of tomatoes from Iran but not availing the opportunity of exporting kinnow to that country.


Pakistani business federation says EU envoy pledges support for training industrial workforce

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Pakistani business federation says EU envoy pledges support for training industrial workforce

  • Support aims to boost competitiveness as Pakistan expands skilled labor for exports and remittances
  • FPCCI says the country’s economic future hinges on preparing its workforce for modern technologies

ISLAMABAD: The European Union’s top diplomat in Pakistan has pledged support for the country’s push to train its industrial workforce, exporters and small businesses through the national technical and vocational education system, Pakistan’s top business federation said in a statement on Tuesday, calling the assistance critical for boosting competitiveness.

The commitment came during the first annual conference on Technical and Vocational Education and Training (TVET), jointly organized by the Federation of Pakistan Chambers of Commerce and Industry (FPCCI) and the TVET Sector Support Program, where the EU envoy addressed business leaders and government officials.

“Pakistani industries, exporters, trade bodies and SMEs will be facilitated and supported in their training, and exporters should draw maximum benefit from the GSP+ program,” said EU Ambassador Raymonds Kroblis, according to the FPCCI statement, referring to the EU trade scheme that grants Pakistan preferential, duty-free access for most exports in return for implementing international conventions.

He added that Pakistan’s economic future depended on preparing its workforce for modern technologies.
FPCCI President Atif Ikram Sheikh said Pakistan could “change its economic trajectory” through large-scale skills development and called for a sustained public–private partnership to modernize vocational training.

He said the federation would train 1,000 officials from chambers and trade bodies to strengthen workforce readiness.

Sheikh said Pakistan’s youth had “immense potential” and required structured opportunities to advance, both for domestic industry and for overseas employment.

Pakistan has been working to expand its pool of skilled workers to tap opportunities in Gulf economies, where higher-skilled migration could help lift remittances, a major stabilizing force for Pakistan’s economy.

Speakers at the conference said aligning Pakistan’s workforce with international standards was key to improving productivity, securing export growth and preparing workers for global labor markets.