KARACHI: Russia’s ban on importing food items from Europe and North America has caused Pakistani exporters to turn their attention towards that market.
Sensing the opportunity, a delegation of 20 Pakistani companies has left for Russia to participate in the three-day World Food Moscow exhibition that will conclude on September 18.
Pakistan Fruit and Vegetable Exporters, Importers and Merchant Association (PFVA) Co-Chairman Waheed Ahmed told The Express Tribune that chances to secure big import orders is high after the Russian ban.
“Our association has already chalked out a strategy to increase our exports to Russian markets,” he said.
The World Food Moscow is Russia’s premier international exhibition for the food and drink industry. This is its 23rd year and it expects to welcome exhibitors from 70 countries.
Six of the companies that have left for Russia were also setting up their stalls in the exhibition where they display fruits, vegetables and their value-added products, added Ahmed.
“To increase the penetration of Pakistani food exports to Russia, our government needs to make some efforts on the diplomatic level as well,” he stressed.
The delegation will conduct meetings with Russian fruit importers as well as their officials during the event to create business opportunities, he said. However, the absence of direct banking channels between Russia and Pakistan are creating problems for Pakistani businesses, which is a big problem that needs to resolve immediately.
Fruit and vegetable exporters say that Russia is in search of alternative markets to import fruits and vegetables worth $2 billion. Pakistan can manage to capture 5-10% of this market, added the exporters.
Apart from fruits and vegetables, exporters say there is also a big opportunity for poultry, red meat, dairy and wheat exports as Russia is looking forward to find alternative markets for these items.
Pakistan’s noticeable exports to Russia are kinnow (mandarin) and potato, while other commodities are also sent but in small quantities.
Exporters say that a lack of understanding and collaboration between the two countries on quarantine protocols often creates problems.
In 2012, Russia warned Pakistan that it may completely ban fruit import and vegetable imports from Pakistan because of serious quality issues and non-implementation of quarantine standards. Russian quarantine department also raised serious reservations over the lack of government control on Pakistani fruit and vegetable exports.
But, diplomatic efforts from the Pakistani government partially resolved the issue.
Published in The Express Tribune, September 16th, 2014.
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I am totally against vegetable & fruit exports. This is because for two reason firstly we hardly meet int'l quarantine standard & secondly because we do not produce sufficient to export, as there is no vision or planing to capture such opportunities. Instead, such adventurism would not only cause sever shortages but would help in further rise in inflation that remains a big menace for for the nation. Unfortunately it is for the planing division to look into such type of opportunities & prepare a plan accordingly. But we talk big & deliver almost zero that has pushed country to the wall. I would recommend imposition of export duty rather than encouraging exporters or else we could be heading for another untimely price hike & disaster due to management short sightedness.