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Pakistan has potential to export 40,000T kinnow to India annually — News and photos on Allbiz United Kingdom
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All.BizUnited KingdomNewsAgricultural marketPakistan has potential to export 40,000T kinnow to India annually

Pakistan has potential to export 40,000T kinnow to India annually

18 Dec 2012 14:33 | Agricultural market

LAHORE: Pakistani kinnow exporters can benefit from improved ties with India for increasing exports of kinnow from Pakistan to India with annual consumption of 40,000 tonnes.

LAHORE: Pakistani kinnow exporters can benefit from improved ties with India for increasing exports of kinnow from Pakistan to India with annual consumption of 40,000 tonnes.

Indians rate Pakistani kinnow equal in value to Australian oranges and by exporting kinnow to India, our exporters can save a big portion of transportation expenditure as compared to other countries.

According to an estimate Pakistan can export 40,000 tonnes of kinnow to India annually.

With the shortest land route access from main fruit producing areas of Pakistan and a huge population consuming kinnow, India can be the best market for export of the delicious winter fruit, which may operationional in January 2013. Harvest Tradings CEO Ahmad Jawad on Monday said free trade and frequent interactions could result in making our farming high-tech too with lesser cost, due to proximity of the two countries. Information on agro processing industries, and floriculture could give farmers the diversity that they need in making intelligent decisions and influencing policymaking.

There is no doubt India is also the largest importer of Pakistani dates, last year import worth of Rs 3 billion and we may take it to Rs 1 billion extra easily, he said.

Jawad said still our agriculture sector has a few concerns in the wake of trade liberalisation with India because of subsidies provided to their agriculture sector in the form of support price on diesel, fertilizer. This makes Pakistan's agriculture produce less competitive in relation to India. Secondly, there were colossal post-harvest losses in Pakistan due to lack of technology. On average each agriculture hectare gets a subsidy of $300 per year in India.

This works out to be around Rs 11,900 per acre of subsidy or 30 maunds average production of any commodity. Indian farmers have a comparative advantage of Rs 400 per 40kg. We need a cautious approach during the process of opening trade with India.

If you especially look at the progress in the last 10 months, you will notice that India and Pakistan have moved too fast in economic relations. With this accelerated pace no doubt the two neighbours can achieve the bilateral trade target of over $10 billion in next few years but with level playing field, Jawad remarked.

End.

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