Pakistan loses Iran’s mango market

Published: June 19, 2012
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MARKET LOST: $10m
is the worth of mango which
could not be exported to Iran
this year.

MARKET LOST: $10m is the worth of mango which could not be exported to Iran this year.

KARACHI: Pakistani fruit exporters have lost a lucrative market in neighbouring Iran, where at least 30,000 tons of mango were exported previously, as a result of the trade embargo imposed by the United Nations on Tehran.

With the loss of this market, the exporters could not export around $10 million worth of mango during the current season, said Waheed Ahmed, Co-chairman of Pakistan Fruit and Vegetable Exporters, Importers and Merchants Association in a statement on Monday.

Keeping in view the serious implications for Pakistani exports, the association has written a letter to the Ministry of Commerce, asking it to use diplomatic channels to resolve the issue.

Ahmed said though the State Bank of Pakistan (SBP) had clarified its stance on the UN sanctions, the commercial banks were reluctant to show any flexibility in opening letters of credit and issuing E Form.

Commercial banks were reluctant to issue E Form to exporters because of UN sanctions on Iran, effectively prohibiting export of mango, he said, adding this would lead to a sharp reduction in overall mango exports.

Mango exports have already slowed down as only 40,000 tons could be exported so far to world markets. Besides Iran, “no shipments could be made to other potential markets of Japan and United States so far,” he said.

According to Ahmed, kinnow, another important fruit enjoying a considerable share in the country’s fruit exports, has also faced almost the same fate in Iran where only 6,000 tons were exported this year against average shipments of around 60,000 tons in previous years.

Besides the UN embargo, Iranian restrictions on imports to protect its local products have also hurt exports from Pakistan.

Published in The Express Tribune, June 19th, 2012.

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Reader Comments (18)

  • Raj - USA
    Jun 19, 2012 - 10:34AM

    What is the purpose of signing currency swap agreement with Iran if it cannot be used for even such small exports ?

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  • Mohammad
    Jun 19, 2012 - 10:41AM

    Export these 30k ton to USA and ask them to pay cash.

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  • faraz
    Jun 19, 2012 - 10:49AM

    So where are those naive strategists who were envisioning an Iran-Pakistan alliance?

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  • M Ali Khan
    Jun 19, 2012 - 11:27AM

    Because mangoes and oranges are used as nuclear fuels in Iran. Hence the sanctions by UN. Makes a lot of sense doesn’t it?

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  • Jaiho
    Jun 19, 2012 - 12:14PM

    According to Ahmed, kinnow, another important fruit enjoying a considerable share in the country’s fruit exportsemphasized text

    Good to know that Pakistanis also enjoy Kinnow. It is also very popular in India.

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  • Imran Con
    Jun 19, 2012 - 12:52PM

    @M Ali Khan:
    Sounds like the point of sanctions is over your head.

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  • Taji
    Jun 19, 2012 - 1:00PM

    Smells like a Mango conspiracy by the US against Pakistan. Recently, we heard that the Pakistani Mangoes are not going to be exported to the US, and now thanks to the sanctions on Iran, organized by the US, Pakistan stands to lose more money. So much so for being the strategic partner on war on terror, it’s more sounding like war on Pakistani Mangoes.

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  • Aristo
    Jun 19, 2012 - 1:45PM

    Barter?

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  • Fahad
    Jun 19, 2012 - 2:18PM

    Y not release them to our domestic markets. Prices are beyond our limits. I went to get a dozen bananas the other day. It cost me 400 for a dozen. I mean for gods sake. All fruit should be released Into our domestic markets let the west eat their mashrooms and potatos

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  • Salman
    Jun 19, 2012 - 2:41PM

    Export it to Europe. I am living in Sweden here and let me tell you only Pakistani mango is dominating Swedish markets, thanks to Arab dwellers and shop keepers. Not many food marts keep the mangoes hence there is always a chance of caching into the market in Scandinavian countries, who are deprived from fruits from warmer countries.

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  • Rajendra Kalkhande
    Jun 19, 2012 - 3:25PM

    Why bother about US, Iran or anyone else. Send all surplus mangoes to India. I am sure almost all food items produced in India and Pakistan can be marketed locally with good profits.

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  • ZZ
    Jun 19, 2012 - 3:39PM

    Pakistani traders have to get inovative and I am sure some of them are already doing this. They need to trade mangoes for other goods, even other ediables like dry fruits etc would be a good barter.

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  • Deb
    Jun 19, 2012 - 3:57PM

    Send it over to India, the market is big enough to absorb all of it.

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  • Raj - USA
    Jun 19, 2012 - 6:12PM

    @Mohammad:
    I have been trying to buy Pakistani mangos, particularly Chaunsa for two years now. Cannot find it anywhere. There is definitely a market here.

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  • Raj - USA
    Jun 19, 2012 - 6:18PM

    @Raj – USA:
    I find it hard to believe that the exports of mangoes to Iran comes under UN sanctions. Generally food items are exempt from any sanctions. India has just recently exported large quantity of wheat on barter trade. There may something more to this news item.

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  • John B
    Jun 19, 2012 - 7:19PM

    There is no sanction against import of fruits, vegetables, grains and medicine, including import of machinery not associated with nuclear program

    “only 6,000 tons were exported this year against average shipments of around 60,000 tons in previous years.”-If there is a sanction, then how can PAK legally export 6000 tons this year and also 60000 tons in the previous year as sanctions have been in place for awhile?

    ” Iranian restrictions on imports to protect its local products have also hurt exports from Pakistan.”-This is the real reason.

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  • Jun 19, 2012 - 10:17PM

    Dear pakistani friends

    You can export all your surplus mangoes, kinows and any other fruit to India without any problem Need not to look to iran US or Europe

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  • salman y
    Jul 12, 2012 - 5:58AM

    i have mango any contery want mango please contacts

    phone no#:; 00923007133074

    Email; [email protected],com

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