Feb 05 -
Transporters strike hits molasses export
Molasses exporters fear their heavy export orders
this season may not be fulfilled, because of the transporters strike
that does not seem to come to an end, even after three weeks. The
exporters estimate a loss of at least $50 million foreign exchange to
Transporters are demanding a straight 75 per cent
increase in haulage charges that, according to the molasses exporters,
will render their business non-viable.
A spokesman for the Terminal Association of
Pakistan said on Thursday that sugar mills, mostly in upcountry and in
North (Punjab and NWFP) are reporting a built-up in molasses inventory
as it could not reach the port, as the transport is off the road.
Normally, the first two months of a year —
January and February — are considered to be peak season for export
of molasses. Around 0.5 million tons find their way into the world
market. But this season owing to a bad sugarcane crop, only 0.2
million tons could be exported so far, he maintained.
As molasses could not reach the port area, seven
ships, which were expected to load around 0.2 million tons of
molasses, had been diverted to a neighbouring country, the spokesman
Pakistan annually produces around 2.2 million tons
of molasses, all of which is exported as a very negligible quantity is
consumed locally. However, for the last two years poor sugarcane crop
has reduced the exportable surplus of molasses to 1.6 million tons.
According to estimates, the country could earn
around $50-65 million at an average current world market rate of $30
to $40 per ton, if the entire quantity of 1.6 million tons of
exportable surplus is shipped within next six months.
The terminal operators have alleged that lack of
government support in resolving their problem with the striking oil
tanker owners, who had been demanding increase in freight by 75 per
cent, has caused the diversion of seven vessels to other ports.
Efforts on to raise export to Africa
Commerce Minister Abdul Razzak Dawood has said that
efforts are in full swing to increase Pakistani exports to African
countries to $1 billion annually, with the help of two-pronged
He was speaking at a seminar on "Pak-African
Economic Co-operation", on Saturday, organized by Institute of
Business Management (IBM).
The minister said a study group was created in
Export Promotion Bureau (EPB) to work on this project. He pointed out
that currently, Pakistani exports to African region increased from
$360 million to $415 million.
"In addition to export promotion efforts to
Africa, we will also pursue Pakistani investors to invest in African
countries and set up industrial units in the required fields," he
added. He said Pakistan wanted to play a role similar to Japan, South
Korea and Malaysia.
EPZA to develop 100 acres
The Board of Directors of Export Processing Zones
Authority (EPZA) has given its approval for development of additional
100 acres of land lying with Karachi Export Processing Zone (KEPZ).
The EPZA Board in its 64th meeting held on Monday,
under the chairmanship of its chairman Maqsood Ismail was also
informed about investment proposals approved for Karachi Export
Processing Zone during last six months.
The Board was informed about approval given to five
trading proposals in addition to industrial projects.
The new investment proposals include m/s Hala
International Industry for galvanising of corrugated steel sheets
entirely meant for export, m/s Mekson Laboratories for processing and
manufacturing of cosmetics, m/s Pearl Lubricants for processing,
blending and packing of greases, oil and lubricants and Asian Spices
for processing and cleaning of spices.
TCP chief to settle issues with Iraq
Chairman, Trading Corporation of Pakistan (TCP),
Masood Alam Rizvi is scheduled to visit Iraq next week to settle the
issues related to quality, price and shipment of 35,000 tons of wheat
Rizvi said the corporation had submitted the tender
for the export of 35,000 tons of wheat to Iraq, quoting the price.
He said he would hold talks with the officials of
Iraq Grain Board to sort out all the issues so that the shipment could
be made within 60 days after the opening of letters of credit (LCs) by
EPB to hold kinno show
The Pakistan Export Promotion Bureau (EPB) is
holding exhibitions of kinno (oranges) in five Asian and European
countries to raise their exports from Pakistan.
This was stated by EPB director general Tariq Iqbal
Puri while speaking at a seminar on the Export Potential of Perishable
Items by the Lahore Chamber of Commerce and Industry on Thursday.
The five countries where the kinno exhibitions are
scheduled to be held include Indonesia, Malaysia, Hong Kong, Saudi
Arabia, and Netherlands.
NWFP exports increase to $450m
NWFP's exports rose from $64.7 million in 1998-99
to $450 million in 1999-00 showing an improvement by 750 per cent,
provincial minister for industries Owais Ghani said on Wednesday.
"NWFP recorded the growth in exports by
removing red tape-ism and bureaucratic hurdles in less than one
year," claimed the minister, while speaking at the opening
ceremony of the 'leather craft show', which began on Wednesday.
'Inferior quality yarn risks export worth millions'
Export contracts of textile made-ups worth millions
of dollars are in jeopardy as spinners are supplying inferior and
cotton-waste-mixed yarn to textile ancillary industry.
"We have to face foreign buyers with whom our
contracts are usually finalized well in advance, ensuring quality as
well as price and of course with shipment schedule," a leading
readymade garment exporter said.
However, spinners this season have resorted to a
very ugly game by supplying inferior quality yarn, mostly mixed with
cotton waste, claimed another exporter of value-added textile goods.