Measures suggested avoiding restrictions on rice exports
Islamabad: [Oct 23]
The Pakistan Economy Watch (PEW) on Sunday asked the rice exporters to use proper packing material in order to avoid US restrictions.
Local exporters having market in around 110 countries should use new jute bags for packing to stay clear from any punishment, it said.
Many exporters utilize used gunny bags bought from different flourmills containing pests that is causing concerns in the US, said Dr. Murtaza Mughal, President of the PEW.
The jute bags that have already been used for wheat transportation contain bugs; which is not acceptable in the sensitive western markets, he said.
Dr. Murtaza Mughal said that if America imposes any restrictions on the Pakistani rice shipments, the EU would follow the suit hurriedly.
He advised exporters to keep themselves away from using used gunny bags which is imperative for the survival of their businesses. "Proper packing can help enhance exports and fetch better price," he added.
He said that few leading exporters have been using custom-made 5 kg bags while majority seems unconcerned.
Dr. Murtaza Mughal said that some businessmen can also consider using polypropylene bags for exports.
Side-by-side exports of wheat and rice from port help beetles to find their way in rice cargoes, he said.
Law and order situation and extortion has increased cost of doing business while competition with China, India, Thailand, Vietnam, Japan, Brazil, Indonesia, Cambodia, Uruguay, Egypt, and Argentina call for improved measures, said Dr. Murtaza Mughal.
He said that water shortage, reducing organic matters in the soil, financing problems with SBP, salinity in soil, lack of research and energy crisis are also some issues that can pose a threat to Pakistan's third largest crop and our position as world's No. 12 rice exporter, he said.
Exporters should take urgent steps to increase their share in the markets of the Philippines, Nigeria, Iran, Saudi Arabia, Iraq, Malaysia, South Africa, and Indonesia if they want to hike up exports to $4 billion by 2015, he said.
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Dr. Murtaza Mughal
Cell: 0321-5157671
President Pakistan Economy Watch
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