Pakistan is looking to increase exports of oranges, especially Kinnows, to Indonesia but importers from the country warn that they will face stiff competition from China.
A press statement from the Pakistani Embassy, made available to The Jakarta Post, states that consignments of the Pakistani Kinnows have started arriving in Jakarta, and are currently being sold in many major grocery chains, including Carrefour, Ranch Market, Hypermart and Giant.
“The Pakistani Kinnow made its entry into the Indonesian market at New Year and the Chinese New Year, to make them more joyous occasions. Last year, Pakistan’s exports of Kinnow oranges to Indonesia amounted to US$23 million and this figure is expected to grow significantly in 2017,” the press statement read.
Indonesia has a preferential trade agreement (PTA) with Pakistan, which began in 2013, and Pakistan’s Kinnow oranges are allowed access through the country’s main port in Tanjung Priok, North Jakarta.
Following the PTA, imports of Kinnow oranges from Pakistan reached $19.3 million in 2014, from $3 million in 2013.
“The Kinnow, for example, can be very cheap to import from Pakistan to Indonesia. Sometimes 10 kilograms of Kinnows can be imported for only $5 to $6. Compared to oranges from Medan, for example, it is difficult to compete with those prices,” he told the Post.
Indonesia imported $666.37 million worth of fruit and $558.08 million worth of vegetables in 2015, according to data from Trade Map.
source: thejakartapost.com
