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Published 03 Jan, 2004 12:00am

Arrivals at EU: Textile quota ports exceed visas' number

KARACHI, Jan 2: Despite the fact that most of the categories of textile quotas to the European Union (EU) remained under utilized but the arrival at ports of entry of member states is higher when compared with export visas issued by the Export Promotion Bureau (EPB) during the quota year 2003.

According to figures available at the website of the European Union, arrival situation as on January 2, 2004, in all EU categories was higher against the original utilization of quantities exported on the visas issued by the EPB for shipments to EU states.

The natural position should have been that the arrival of shipments at ports of entry should not have exceeded the quantum or number of visas issued by the EPB.

Exporters say that even if the fastest mode of communication was used, such as electronic mailing (e-mail), still the arrival of shipments should have remained below or equal to the quantum or number of visas issued by the EPB.

They are also questioning as to who took the advantage by issuing fake visas because even a percentage higher arrival means making of crores of rupees, particularly when the quota premium prices soared to all time high level in the open market this year (2003).

The higher arrival is more evident in fast running or 'hot cake' EU categories which further strengthens to a theory that a 'game' had been played in order to make quick and easy money, exporters maintained.

The arrival figures of shipments to EU's ports of entry as made available on their website disclose that category 6 (pants) has been utilized up to January 2, 2004, at 97.95 per cent where as Quota Supervisory Council (QSC) website discloses that utilization of this quota is 97 per cent. This means that arrival at EU's ports of entry has been higher.

Similarly, the arrival of category 9 (towel) at EU's ports as shown by its website stood at 95.80 per cent but the QSC is showing its utilization at 95.15 percent. Again there is a higher arrival at ports of entry against the exports visas issued by the EPB.

Another fast running category is No 20 (bedlinen), its arrival figures as shown by EU's website on January 2, 2004, stood at 99.17 where as QSC website shows its utilization at 98.71 per cent. Again this category's arrival at ports of entry is higher than its utilizations.

There is also a possibility that both the sides did not tally their figures or failed to debit some of the entries resulting in higher arrival figures at EU's ports of entry.

However, this proves that both or one of the sides have failed to monitor the figures, which could give true picture of utilization and arrival of quotas and shipments to EU member states.

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