KARACHI, Dec 17: Minister of State and Export Promotion Bureau Chairman Tariq Ikram on Tuesday said anti-dumping duty being imposed by the European Union from March 2004 on bedlinen imports from Pakistan will have little or short-lived impact on exports.
Addressing a hurriedly called press conference at the EPB head office, the EPB chairman said bedlinen exporters had adopted a strategy wherein they could export maximum quantity of their consignments before March next year when a 14.1-per cent anti-dumping duty would be imposed.
Therefore, it was expected that the impact of the punitive duty would be short-lived, that is, for six months — July to December 2004 — because from January 1, 2005, a quota-free era will start and all sort of duties will go, he added.
The EPB chief expressed the hope that the exporters after making huge investment in plant and machinery would be in a position to meet such challenges through efficiency and quality products.
Tariq Ikram, who was assisted by EPB vice-chairman Tariq Puri, tried to defend the Bureau’s performance viz-a-viz imposition of anti-dumping duty on bedlinen, levy of customs duty on import of super basmati by the European Commission, quota crisis and high premium rates of quotas witnessed by the exporters in the open market this year.
Tariq Puri said all these negative effects were the outcome of external developments that was beyond the control of the EPB and did not directly bear on the performance of the Bureau. He said high premium prices of quotas during the year were a result of demand and supply.
Referring to the imposition of customs duty at the rate of 250 euro per ton on basmati rice from January 1, 2004, Tariq Ikram said: “We are going to take aggressive strategy against this decision of the EC.”
He said millers of EU member states were against this decision and they have assured “our exporters of full support and hoped good results would come up”.
The EPB chairman said exports during November were $6 million higher than the corresponding period of last year, but these were 10 per cent less than the previous year’s overall exports. However, he said the country would meet the $12 billion export target. On average, he said, there had been $1 billion exports per month, with the exception of July and November when the exports were lesser.
Mr Ikram said the overall growth in exports had been maintained at 11.5 per cent and expressed the hope that a balance of $7.2 billion to meet the target of $12 billion would be achieved during the remaining period of the fiscal year.
He said textile exports during the July-Nov period increased by 12 per cent to $3.25 billion, while exports of core products stood at $904 million and non-traditional items at $677 million, showing a 17-per cent growth.
However, he said there was a decline in exports of leather and leather goods and carpets, but rice, fish and fruits exports were higher, fetching good per unit price. Similarly, he said there was a growth in non-quota categories, which was quite encouraging.
Tariq Ikram was optimistic about the breakthrough in Saudi Arabian market for parboil rice and said annual demand of the Kingdom was around 600,000 tons and Pakistan could get its share once it enhanced its production capacity.
Responding to a question, he said that up to June 30, $375 million had been given towards freight subsidy, and after claims to the tune of $50 to $60 million had been cleared.