Kinnow exports to Afghanistan and Central Asia have been severely impacted due to closure Pak-Afghan border, Federation of Pakistan Chambers of Commerce and Industry (FPCCI) Standing Committee on Horticulture Exports Chairman Ahmad Jawad has stated.
The All Pakistan Fruit and Vegetable Exporters, Importers and Merchants Association (PFVA) has set the export aim of kinnows at 350,000 tons for the 2016-17 season.
“Thousands of people are stranded on both sides and traders are unable to move their goods. The sealing of Afghan border has created a grave humanitarian crisis,” a press release quoted him as saying. Jawad said before the closure, hundreds of trucks and containers mainly carrying foodstuffs such as fruit, meat and milk would pass through two border posts alone.
The shutting of the border has transformed trade and movement of people from other checkpoints in the tribal areas. Innumerable trucks with perishable items remain stuck on both sides for the past one month.Traders from both countries have been haemorrhaging an amount of around $4m a day due to the border being sealed. 80pc of these losses are being borne by Pakistani traders.
Due to tensions exacerbating between the two countries and the drawdown of US-led coalition forces had already caused a huge drop in exports to Afghanistan from $2.5 b to $1.3 b. The exports are plunging down further with the growing uncertainty caused by this new low in relations between the two countries.
The Government has been incurring huge revenue losses due to an average of 500 trucks crossing the border on a daily basis, paying Rs10,000 each in customs duty and transit fee. The closure has severely impacted local traders and those linked with the transportation business.
The FPCCI official while realising the repercussions of recent terrorist activities in Lahore and Sehwan stressed on reaching an amicable solution to the impending problem. He also highlighted the importance of trade between the two countries.
