CPEC benefits must reach to Balochistan, KP: FPCCI

Federation of Pakistan Chambers of Commerce and Industry (FPCCI) said it must be ensured that the dynamic and enduring benefits from CPEC accrue to the people living in the deprived districts of Balochistan and southern KP. The opening up and integration of these districts with the unified national market of goods and services would make their fisheries, mining, livestock, horticulture and other activities economically feasible, creating incomes and jobs and helping lift them out of poverty.

Talking to newsmen on Monday, FPCCI Regional Standing Committee on Horticulture Exports Chairman Ahmad Jawad said by playing a more active role in maximising the benefits to the people of deprived districts and containing avoidable costs, the government would be able to allay a lot of misapprehensions and doubts.

On the horticulture exports side, he said exporters could immediately raise Pakistan’s horticulture exports to $1 billion in next fiscal year if we get support from the government, as horticulture exports amounted to $641 million in 2015-16. Jawad said, ‘If we take a look the global horticulture sector has been gaining importance since last two decades in world trade. The fact was that in recent years, developing countries have created a space for themselves in this market. But they were not able to move beyond four to five per cent of the world trade and in comparison Pakistan’s share was just 0.3 per cent.

“Under Strategic Trade Policy Framework (STPF) for 2015-18 and a short term export enhancement strategy, the Commerce Ministry has identified four areas and horticulture is one of them, “but no concrete incentive offered till date which needed to be addressed through exclusive package for horticulture sector by the prime minister”, he remarked.

He said it has also been proven that the potential for horticulture exports was enormous and by putting it under the STPF government has accepted this fact. However, there was a growing need for the government to strengthen the sector and that could only be done by giving it more attention. The government should provide some support to exporters for Hot Water Treatment (HWT) plants and CA stores under equity sharing arrangements and incentives on freight-on-board (FOB) value; so that this sector may also perform as well as in the CPEC trade route. Jawad added.

However a few policy recommendations to improve the potential of this industry could be enhancing R&D capacity to produce pre-basic and basic seeds on commercial scale; synchronising extension services of provincial agriculture departments and the private sector; upgrading the Gilgit Airport to an all-weather airport; provide due infrastructure in Balochistan and KPK areas, prioritising construction and maintenance of Tajikistan Road and developing a centralised E-platform for marketing of locally-produced certified seeds.

Jawad further told there was also need for setting up equipped processing units in all the seven districts. It must also be ensured that the Department of Agriculture and relevant departments were having more of technical staff than non-technical support staff. He also quoted an example that Pakistan was the sixth largest apricot producer and 10th largest in apples in the world but their share in the fruit’s export market was almost zero.

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