The Federal Board of Revenue (FBR) and the Ministry of National Food Security and Research (MNF&R) Wednesday accused each other of 'facilitating' illegal import of fruits and vegetables mainly from India through Afghanistan which is hurting the interests of Balochistan's farmers.
This was the crux of the meeting of Senate Standing Committee on Commerce and Textile Industry presided over by Senator Shibli Faraz. The meeting was convened to discuss a point of importance raised by Senator Mor Kabeer Ahmed Muhammad Shahi in the Senate sitting on August 3, 2018 and referred to the Senate Committee on Commerce and Textile Industry on concerns of farmers in Balochistan regarding import of vegetables.
Dr Waseem ul Hasan, Commissioner Ministry of National Food Security informed the committee that Customs is releasing banned items due to sanitary and phytosanitary conditions at our borders with Iran and Afghanistan. These illegal imports are also hurting local growers of Balochistan who produce apples, onions and tomatoes.
FBR' s Customs Chief maintained that Department of Plant Protection (DPP), an organisation of Ministry of National Food Security and Research, does not have enough trained workforce and laboratories to check infected fruits and vegetables.
The committee was informed that the previous government had imposed a ban on imports of apples and other farm products last year due to which Balochistan's farmers earned a good return on their crops. However, this year they are again suffering from import of those products which are probably of Indian origin but imported through Afghanistan.
Mir Kabeer informed the committee that Balochistan produces 1.2 million tons of apples whereas the country's requirement is just 1 million tons; and Balochistan's onions' production is enough to meet six months requirements.
Mir Kabeer further stated that a few days ago 300 trucks of Indian onions were detained in Gujranwala brought in Afghani bags. He said presently, 120 kg bag of onion is being sold at Rs 500 and the price of one crate of tomatoes is Rs 200-225. He added that there are few customers for apples.
Senator Maulana Atta ur Rehman enquired from the FBR officials as to why import of these items was reopened, asking sarcastically that the decision to reopen import of these items shows that FBR officials pocket money has ended.
Director General Trade Policy, Muhammad Ashraf informed the committee that the government has taken a number of sanitary and phytosanitary measures to protect local farmers.
Shibli Faraz expressed serious reservations at the Commerce Division for not sharing the roadmap of how to achieve the timeline targets of the STFP with the committee.
"We have seen that whatever is discussed or recommended by the committee is not implemented by the Commerce Division," he said, adding that the Commerce Division would benefit itself if it takes the committee's recommendations on board but added that the Division places no importance to the committee - a fact substantiated by the dismal trade figures.
He said there appears to be no rigorous analysis in the decisions that are being implemented and time is spent on drafting laws but they are simply not implemented. Shibli further stated that laws related to IPO and Geographical Indications are in place but progress is not being shared with the committee; and the committee has not been taken into confidence on Exim Bank.
He said, an impression was given to the committee that exports are increasing but there has been no mention of base line growth in exports. Current account deficit increased as exports declined and imports increased, he maintained.
After hearing the viewpoints of different committee members and officials from Ministry of Commerce, Ministry of National Food Security and Research and FBR, the committee decided that Commerce Division would again be requested to put in place stringent measures to discourage imports of three items, ie, apples, onions and tomatoes.
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