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European Union extends ban on Pak chilly exports

Thursday, 1 July 2010


KARACHI, June 30 (Commodity Online): Pakistan's efforts to persuade the European Union to lift a ban on its chilly exports failed once again due to lack of quality ensuring methods.
Sindh Agriculture Forum blamed the government for the delay in establishing chillies storage and mechanical drying facilities at Kunri which resulted in extending the EU ban.
In a statement, SAF said, "Poor policies of the government are hurting export potential of the country, as delay in the establishment of a Rs 220 million project of processing and drying plant at Kunri has incurred losses of millions of dollar to chilly exporters".
In the first phase, around 22 state-of-the-art chilly processing and drying machinery had to be installed. The project was expected to be operational in early 2011.
The processing capacity of the plant is said to be around 32 tonnes of chilly, thus growers could get better prices of their commodity.
In the second phase, drying and processing plants and machinery for onion and garlic growers were to be installed.
There were bright chances of enhancement in chilly exports to USA, EU and Canada, but the delay of processing and drying plant in Kunri has put on hold the 'lifting' of ban on exports by EU.
During this crop season in Pakistan, only 105,000 acres of land has been brought under cultivation as compared to last year's cultivation on 185,000 acres of the land.
Growers and traders of Red Dundi Cut chili in the lower Sindh area known as biggest chili market of Asia have suffered huge financial losses owing to low rates and no export.