In a statement issued on Sunday, Standing Committee of Federation of Pakistan Chambers of Commerce & Industry (FPCCI) on Horticulture and Food Exports, Chairman Ahmad Jawad has said Pakistan should focus on Russia for tapping the trade opportunities in the light of mutual overtures between two countries which were part of a greater shift in international relations.
Saying that geopolitics, strategic realities can change with surprising speed, Ahmad Jawad said that Russian businessmen are interested in Pakistani commodities and willing to extend preferential treatment to Pakistani exporters. He said that Russian imports of food-related commodities were worth about $39bn in 2013, about $23.5bn of which was in categories affected by ban on exports by Western countries to Russia.
He said that from the countries covered by the sanctions, Russia imported $17.2bn worth of food which it will now import from other countries and thus creates huge opportunities for Pakistani food and agriculture exporters from the last one year.
Jawad said that Pakistan’s current trade with Russia is about $550m which given the existing potential, can be further enhanced. Pakistani potatoes and kinnow fruits are already being exported. There is a big demand in Russia for seafood such as shrimps, prawns and shellfish.
Even in horticulture sector, Pakistan has a sizable share in Russia’s fruit and vegetable market, he said adding that but they were more concerned about the quarantine standards of the Pakistan companies which they pointed out, must meet Russian quarantine standards; he added. Similarly he also sought government’s support in reducing sea and air freight charges which costs more towards Russia.
He pointed out that that the past record of trade ties between the two countries has not been enviable by any measure. According to Euro monitor international, the Russian rice market was estimated at $35.4bn which was again a big opportunity for Pakistan.
Pakistan has already received an invitation for the first time to attend a BRICS summit. BRICS comprising Brazil, Russia, India, China and South Africa is emerging as a powerful global financial and economic bloc. So, a host of opportunities are knocking at the doors of Pakistan and it should capitalise on them in order to give a big push to the economy and trade of the country; said Jawad.
“It’s high time Ministry of Commerce may devise a detailed strategy with the consultation of FPCCI so that product specific exhibitions could be organised in different parts of Russia,” he added.
Similarly Pakistan should also pursue the case of Preferential Trade Agreement (PTA) with Russia to achieve easy access in the Russian market, he said, calling for accelerating arrangements to facilitate the export of fresh and frozen meat and poultry, vegetables which include carrot, cauliflower, cabbage and beet-root and fruits, which include dates, dry fruits, apple and plum.