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Pakistan seeks new export routes as potato prices collapse

Pakistani authorities and grower groups are urging faster export measures as falling potato prices and high logistics costs continue to pressure growers.

Punjab Agriculture Minister Syed Ashiq Hussain Kirmani has called on the federal government to allow the movement of produce through Iran to Central Asian markets and to strengthen marketing efforts in East Asia, the Middle East, and Africa. He said securing new export orders for potatoes and kinnows is necessary to support growers facing weak domestic prices.

Kirmani also urged the early issuance of export permits and improvements in quarantine clearance, noting that operational issues at the Department of Plant Protection in Karachi could be addressed by assigning experienced personnel. He proposed creating a Joint Coordination Committee linking federal and provincial authorities to share daily export data, market intelligence, and pricing trends. He warned the crisis could affect more than 687,966 hectares and over 350,000 farmers across nearly 10 districts.

Growers report that production costs remain high while prices have dropped sharply. According to the Potato Growers Society, cultivation costs are around US$2,100 per hectare, but prices have fallen to about US$3.60 per 50 kg bag. "The return is not meeting even 20% of the total production cost," said Chairman Chaudhary Maqsood Ahmad Jutt.

Jutt attributed the situation to oversupply, with production estimated at 18 million tons against domestic demand of 12 million tons. He said that while alternative export routes via Iran have been approved, high freight costs limit their impact. "The per-container transportation cost has surged to US$13,000 from US$4,000," he said.

Exporters have requested freight subsidies and the removal of a one per cent withholding tax. Waheed Ahmad, former chairman of the Fruit and Vegetable Exporters Association, said global potato oversupply and the closure of Pak-Afghan trade routes have further restricted exports. "Now we need to diversify geographical destinations for potatoes," he said.

Source: INP

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