Local traders expect drop in exports by at least 30 per cent amid ongoing impacts of fighting in Middle East
Pakistani mango traders expect export sales to fall at least 30 per cent this year following a loss in demand from key markets and rising shipping costs, according to a report by Radio France Internationale (RFI).
“Almost 80 per cent of mango export is to the Gulf region, Iran and Afghanistan,” Waheed Ahmed, chief patron of the All Pakistan Fruit and Vegetable Exporter Association, told AFP.
Ahmed said total mango exports were expected to shrink by around 30,000 tonnes since last season to 80,000 tonnes.
“The border to Afghanistan is closed, there is war in Iran… there is war in the entire Middle East.”
While he told AFP he welcomed the preliminary ceasefire agreement between the US and Iran, the outlook remains uncertain and won’t change the losses incurred this season.
“The main challenges still remain,” he said.
Pakistani mango exports have also been affected by the country’s conflict with Afghanistan which has closed down border crossings, according to RFI, as well as increasing energy and shipping costs.
Ahmed estimated that shipping a container of 25 tonnes of mangoes cost around US$1,400 last year.
“The same freight has increased to US$6,000 to US$7,000 this year,” he said.
Pakistan’s domestic market is unlikely to help offset the loss in export earnings as country struggles with rising inflation and cost of living. According to a government survey cited by RFI, Pakistan’s inflation rate leapt to 10 per cent in the three months after the conflict began, from 5.5 percent in the July-February period.
