|
20%
further decline fear in rice exports
Karachi-Exports of rice from Pakistan has suffered almost by
20 percent in month of January 2002 as compared to previous
month mainly due to rupee-dollar disparity and "aggressive
marketing" by Indian rice exporters, who are reportedly backed
by their government.
According to officially released data, Pakistani rice
exporters marketed only 125,990 metric tons rice in global
market in January 2002 as compared to the 156,592 metric tons
exported in December 2001. The gap between the exports during
two months period swelled by 19.54%.
Total value of rice exported in January 2002 stood at Rs 1,932
million or US$32,100, 000 down by 9.25% and 8.64% as compared
to rice exported in December 2001 worth Rs 2,129 million or
US$35134,000 respectively.
The official sources said that quantity of rice exported in
January 2002 is also short by 58.55% if it is compared with
the same period of last year, January 2001, when large
quantity of rice equal to 303,934 metric tons was exported by
Pakistani exporters and earned US$60,517,000 on the account of
foreign exchange for the country. In January 2002 Pakistan's
rice exports suffered by 46.96% in dollar term against the
same period of last year.
The rice exporters attributed huge fall in rice exports to
dollar depreciation and imposition of withholding tax on rice
exports in addition to these the active involvement of
Pakistan's rivals,
Indian exporters, who won majority of international tenders
due to its lower rice price it offered to international
buyers, was the prime reason for less Pakistani rice exports.
Abudl Rahim Jano, Chairman, Rice Exporters Association of
Pakistan (REAP) said the decline in rice exports was due to
aggressive marketing by Indian exporters aided by their
government which is providing Rs 3.50 (Indian Rupee) per ton
subsidy to their exporters and growers.
"Indian rice Irri-6 is available at US$135 per ton (FOB) in
the international market but Pakistan offers same at US$ 153
per ton to international buyers. Due to huge price disparity
international buyers are moving towards Indian markets", Jano
noted.
He observed that the higher international price of Pakistani
rice was the result of sudden depreciation of dollar verses
Pak rupee which occurred after September 11, 2001 tragic
incident.
Withholding tax imposed on rice was another factor which
played vital role in the decline of rice exports from the
country, he added.
Jano cautioned that "aggressive sellers" of Vietnam were
lurking on the wing to market their rice crop by next month
and said their arrival in the international market would
further deteriorate the conditions for Pakistani rice
exporters, making it more difficult to compete.
He viewed that major losers were farmers who had to suffer
huge losses due to which the only 37,7000 acres area was sown
in the current season against targeted 48,0000. He warned if
the prevailing situation persists then rice cultivation will
further decline substantially in next season.
Referring to a recent meeting with government officials, REAP
Chairman said due to water shortage in Sindh, provincial
government has banned the cultivation of rice on 35,000 acre
of land for next sowing season which would fuel the crisis in
local as well as international market.
Feb 20, 2002
|
Pakissan.com;
|
