With the mango season on its last legs, the official estimates of exports differ from those of exporters.

The Pakistan Horticulture and Export and Development Company (PHDEC) — the official agency looking after the process — thinks that some 75,000 to 85,000 tonnes might have gone out of the country in the last four months. With 20,000 to 30,000 tonnes still on the trees, the total export tally might go up to 90,000 tonnes, short of the target of 110,000 tonnes for this year.

Exporters, however, contest both figures. Their estimate ranges between 60,000 tonnes and 70,000 tonnes — all export orders are already in place since only two weeks of the season are left.


With expanding and deepening consumer sensitivities the world over, the business model is changing, adding to the cost of doing business


The current figures only need compilation. The country would thus be ending its season at almost half of (130,000 tonnes) what it actually exported only six years ago.

The PHDEC insists that its figures are based on 22 hot-water treatment plants, which treat the fruit for export. Putting their data together, one reaches the figure the agency is sharing. It, however, does agree that the country,

could achieve the export target, which it set for itself only five months ago.

Beyond this debate between government agencies and exporters, one must not forget that the issue is very important. One has to look deeper into the causes and possible solutions of the issue.

With expanding and deepening consumer sensitivities the world over, the business model is changing, adding to the cost of doing business.

In case of mangoes, some costly steps have become necessary. For example, the treatment of the fruits (hot-water or irradiation) needs to extend to the entire mango crop. In order to ensure the treatment and fruit quality, the pre-shipment inspection is now an added layer, which again has a cost of its own. The freight charges remain high.


Given the huge operational gaps at the provincial and federal levels, exports are suffering hugely


Because of these factors, many exporters are now opting out and keeping volumes low. In 2007-08, the country exported 130,000 tonnes, which have now progressively fallen either to 70,000 tonnes as claimed by exporters or 90,000 tonnes as per official claim.

The overhauling process must begin with the synchronisation of production and export. After the 18th Amendment, the production process is a provincial subject, whereas exports fall under the federal government.

Given the huge operational gaps at both levels, exports are suffering hugely, which needs to be checked. This dichotomy should be dealt with.

Secondly, most of the mango orchards are 60 and above years old, losing vitality and yields — both in quantity and quality. There has been no effort to replace old orchards; nor resources at the local level, nor new, and better, varieties to work as incentives. Only some minor replacement effort is taking place in Sindh.

Finally, unless the government finds ways to lower the cost of doing business, mangoes will continue losing space in the world market. This year, even the opening up of the Iranian market has not been of help.

According to exporters, the government should contribute towards the freight cost, at least for the short term. For the long-term process, it should help to find new and more productive varieties, help orchards replacement and finally assist exporters to be competitive in high-end markets.

Published in Dawn, Business & Finance weekly, September 12th, 2016

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