Pakistan to miss rice export target

LAHORE The country will miss the 4 million tons target of rice export, as the constant power breakdowns has affected the whole chain of rice growers, millers, shellers and exporters, who are unable to fulfill their orders. Pakistan is likely to miss the export target, though our products demand is very high in the world, which is being exported to more than 100 countries. This year we also have a very good crop and we have set the target to export more than 4 million tons of rice. But due to the energy crisis, sufficient quantity is not being exported, as exporters could not cater their export orders only due to unavailability of power, said Rice Exporters Association of Pakistan (REAP). Safder Hussain Mehkri, Vice Chairman REAP said that exporters have to bear huge financial losses because both basmati and non basmati sectors are facing a very tough competition due to low priced Indian rice. He requested the government for the regular and smooth power supply for the rice mills, particularly in Sindh and Punjab. As India has lifted ban on Non Basmati Rice Exports after three years of ban, besides the Indian currency has devalued by more than 15 percent during the last three months and is expected to lose another 5 to 8 percent against the dollar in the short term. Resultantly, Pakistani rice exporters are facing tough competition in international markets. Therefore, it is essential that whatever orders Pakistan Rice Exporters are able secure are executed well in time for which the govt should ensure smooth supply of power to the rice sector. The power supply cuts which are as long as 12 hours, are directly affecting the entire supply chain of rice from farm to exports. So, the priority should be given during the period of October to March. Rice industry generates valuable foreign exchange of more than $2 billion per annum. Chairman REAP Javed Islam talking to The Nation, expressed the hope that the country would definitely achieve the target of 4 million tons of rice export. But the real problem is non-stop supply of electricity, he said and added, that if millers are provided constant power supply, they would be able to achieve the target easily. He informed that in last 4 months of current fiscal year (July to Oct), Pakistan has exported total quantity of 861,957 Metric Tons of rice, whereas in last year during the same period we had exported 976,957 Metric Tons of rice. Moreover, due to the non availability of electricity, we are forced to use generators, due to which the processing cost is highly increased and it will be very difficult to compete in the international markets, he added.