Mango export facing challenges

The export of Pakistani mango faces stiff challenge due to Covid-19 coupled with serious negative impacts of the climatic changes.

All Pakistan Fruit & Vegetable Exporters, Importers & Merchants Association (PFVA) has reduced the export target of mango by 40 percent.

Exporters said low production of mangoes as result of the climatic change and strict global lockdown led to sharp decline in demand of Pakistani mango by the importing countries while marked reduction in flight operations and an extraordinary increase in freight charges with economic recession in international markets, the export of mango encounters very serious challenge now.

PFVA keeping the these factors in view has limited export target of mango to 80,000 metric ton this year which is 50,000 ton less, compared to the last year export target of mango set at 130000 ton.

With marked reduction in the export target this year, the revenue generation of valuable foreign exchange would equally be seriously impacted. Last year with mango export of 130,000 ton, the country earned valuable foreign exchange amounting to $90 million while it's feared to be $50 million during this year.

According to PFVA patron-in-chief Waheed Ahmed, the current mango season is in state of high uncertainty due to global Covid-19 pandemic, and thus the export of mango is anticipated to be reduced by 40 percent in comparison to the last year. The global Pandemic has led to shut down of International importing markets of Pakistani mangoes including the US and Europe.

He informed that due to shut down of Airlines, tourism industry & shopping malls because of strict global lockdown there has been significant drop in demands of various items and the demand of mango is likely to be equally affected likewise.

The airlines, on other hand due to curtailment of its operation have enhanced freight charges three times. The airlines which were charging Rs 175 per kilo last year are now demanding Rs 550 per kilo for the Europe while the freight charge of Rs 80 per kilo to the Gulf countries has been enhanced to Rs 240 per kilo this year which has multiplied cost of the mango export consignment exorbitantly.

Of the total export volume of mango, 55 percent is exported by Sea, 20 percent by air and 25 percent by land routes but due to exorbitant increase in freight charges by the airlines, by air export of mango is feared to be reduced by 70 percent this year, Waheed cautioned.

On the other hand, the export of mango to Iran and Afghanistan via land routes is likely to encounter difficulties either due to global lockdown or closure of the borders for exercising precautionary measures in wake of Covid-19.

He informed that the flight operation to several importing countries of Pakistani mangoes has not yet been resumed and similarly the flights which are operating with changed schedule are also posing a serious threat to the mango export. Even if Pakistani mango exporters export mango to the Europe by absorbing higher freight charges, there is no guarantee that these shipments would be cleared in time and reach to the consumers, he added.

Not only export of fresh Mango but the value-added mango products like mango pulp exports have also started experiencing declining and domestic consumption also declined significantly and this ill-effects are anticipated to become pronounced during the current mango season.

Due to closure of hotels, academic institutions, tourism and shopping malls, the demand of juices has dropped remarkably which is adversely affecting export of mango pulp as well as drastic reduction in demand locally. The importing countries of Pakistani mango pulp have already curtailed their orders while due to significant drop in consumption of juices locally, its feared that the revenue generation from export of mango pulp as well local sale is anticipated to be dropped by 35 percent.

Waheed Ahmed said the Covid-19 has only surfaced this year while negative impact of the climatic changes are being felt for last five years leading to low production while the mango crop is now taking additional two weeks to get matured and hence harvesting period now increased.

The province of Punjab which has share of 70 percent in total production of mango in the country now faces reduction of 35 percent in production while the province of Sindh faces reduction of 15 percent from usual share of 29 percent in total production of mango in the country during the current season.

Waheed Ahmed stressed upon the federal government to extend freight subsidy to the "By Air mango exporters" so as to make up losses resulting due to higher air freight charges and enabling them to compete in international markets particularly in Europe & USA in wake of challenges emerged due to Covid-19.

For adopting essential preventive measures against spread of Covid-19 by the mango orchards, factories and public houses, the cost of production is also increasing and hence the government may also consider extending financial assistance to the exporters as compensation on cost incurred in taking preventive measures, PFVA demanded.

Provision of safety face masks, sanitizers, thermal devices and safety clothes and other related accessories by the government to the industries would certainly assist industries to face serious challenges of the global pandemic. Therefore, to achieve export target of mango this year, it's imperative to have close co-optation and support from various export-related departments namely plant protection, customs, sea ports and airport authorities, Waheed emphasized.