Rice Exporters Association of Pakistan (REAP) has once again urged the government to declare rice exporting sector as an 'industry' which will help devising a consolidated policy aimed at integration and elevation of all the stakeholders in rice supply chain.
The demand was reiterated by the REAP Chairman Chaudhry Samee Ullah during his meeting with Shaza Fatima Khwaja, Chairperson of the Parliamentary Standing Committee on Finance. REAP SVP Rafeeq Suleman and Secretary General Kashif ur Rehman. The representatives from Ministry of Commerce, Ministry of Food Security, TDAP & Ministry of Industries were present on the occasion.
Chairman Reap apprised the house that $2 billion Rice Export sector is still striving to be recognized as Industry. He said the fragmentation in supply chain partners including farmers, millers and exporters pose a bigger challenge. The issue at farm levels poses threat in Sanitary and Phyto-Sanitary (SPS) at export destinations while the local millers, that handle 70 percent of paddy, are ignorant of good milling and storage practices, which deteriorates the grain quality and add pain to the agony.
He informed that competitor countries including Thailand, India, USA, Brazil recognize their Rice sector as Industry that benefits with formulation of policies to increase yields at farm levels and improvement in quality for exports. Samee Ullah Naeem further said that the current fragmentation of sector is a barrier to development of this sector.
'Declaration of Rice Sector as Industry will benefit formation of consolidated policy that will benefit integration of all supply chain stake holders into one chain. The Ministry of Industry will in turn help Government with relevant policies to add value to rice supplies from farms to fork, he said.
The step to declare rice sector as industry would benefit with 30% higher exports (Additional USD-500 Million) by saving Post Harvest Losses (20%) and increasing exports to high valued destination by 30%. The Ministry of Commerce and Ministry of Food Security officials present in the meeting supported reap stance, REAP Chairman claimed.
Addressing the concern, Shaza Fatima Khwaja assured the delegates of her fullest support for the sector to be recognized as an Industry. Others matter which were discussed include inclusion of rice in Chinese FTA, release of funds from Export Development Fund (EDF) Board for setting up Rice Technical Training Institute and REAP stance of Zero Tolerance on Mandatory Pre-shipment Inspection. The Standing Committee will submit its proposals to Minister of Commerce, Pervaiz Malik for due implementation to increase rice exports, Samee concluded.