Diversification: Govt broadening export basket, says Afridi

Subsidy to be provided for date and olive processing.

Federal Minister for Textile Industry Abbas Khan Afridi said the government had taken a number of steps to diversify the export basket through the Strategic Trade Policy Framework (STPF) 2012-15.

Responding to a question during the question hour of the Senate, the minister said these steps include mark-up support of two percent on prevailing Long Term Financing Facility (LTFF) for future import/purchase of machinery to encourage fresh investment in export oriented industries.

“To boost the exports of the country by promoting the value-added sector, a further mark-up reduction of 1.5% from the prevailing rates (8.4%) of Export Finance Scheme will be provided to the fish preparation, processed foods, meat, sports goods, electric fans, electrical machinery and other sectors,” Afridi mentioned.

Moreover, to increase income of the farmers and foreign exchange earnings, the government will provide 50% subsidy in the cost of plants and machinery for dates and olive processing.

Afridi further informed that in order to facilitate the establishment of fruit processing plants in Gilgit-Baltistan, the government would provide 50 % subsidy in the cost of plants and machinery specifically for the province.

To another question, he said that during the previous cotton crop season almost 87% of the cotton crop area was under Bt cotton. Since the National Bio-Safety Committee had not cleared the newly developed Bt cotton varieties, the seed of these varieties could not be certified.

He said the government was working over a Seed Bill and that the bill would soon be presented in the National Assembly. Bt cotton is a genetically modified variety of cotton.

Published in The Express Tribune, May 17^th, 2014.

Like Business on Facebook, follow @TribuneBiz on Twitter to stay informed and join in the conversation.