ISLAMABAD, Dec 17: The European Commission (EC) has formally agreed to re-include super basmati in the abatement list following the demand of Pakistan’s rice exporters asking for re- consideration of the decision.
Well-placed sources told Dawn on Wednesday that EC had officially conveyed to Pakistani mission in Brussels that it was re-including super basmati in the abatement list shortly.
To process the issue for consideration, the sources said, government had asked Pakistan’s commercial counsellor at Brussels to negotiate with the EC authorities at the earliest before leaving Brussels.
He was scheduled to come back to Pakistan by December 20 following the completion of his tenure as commercial counsellor at Brussels.
The earlier EC decision, to be effective from January 1, 2004, would have resulted in the levy of import duty at a rate of 250 euro per ton on import of super basmati in the EU member countries making Pakistani rice less competitive compared to the commodity coming from other sources into these markets.
The sources said it was expected that the EC would decide the amendment in its earlier decision by December 25 to allow the duty concession to Pakistani super Basmati.
According to the sources due to Christmas holidays, it is most likely that the decision might be notified by early January 2004.
The sources said that the two major concerns of EC regarding price and geographical indication of the super basmati what they were believing were not of Pakistani origin were addressed properly.
According to the sources 11 varieties of basmati have been notified early this year by the EC. However, an amendment to the EU legislation passed by the managing committee of the European Commission disallowed the levy of 250 euros a ton concession to non-traditional varieties of basmati like ‘super’ of Pakistan and ‘Pusa’ of India.
Pakistan’s total export of rice to EU member countries stood at around $ 53 million during the year 2002-03.
Recently, UK trade minister Mike O’ Brien in a press conference had regretted the EC decision to exclude super basmati rice from the abatement list.
He said Pakistan’s basmati rice is very popular in the UK because of its good quality, and it would, according to him, not lose its market share particularly in the UK.
According to the source, the British organizations including trade representing Indian brands had strongly supported inclusion of super basmati in the concession list.






























