Poor Pakistan may face a big blow on the export front. This time the export of Pakistani mango seems to be decreasing by 30 percent. The biggest reason for this is the tension in the Middle East. Mango traders told AFP that they expect export sales to decline by at least 30 percent this year. The reason for this is the decrease in demand in main markets including the Gulf and increasing cost of shipping. Adding to the economic woes, local families struggling with rising inflation due to the regional crisis are avoiding buying mangoes, which has also reduced domestic sales.
In Tando Allahyar, the main mango-growing region, Mohammad Shakeel manages orchards of the golden-yellow 'Sindhiri' variety of mangoes. This variety is named after the province where it grows and is famous for its excellent taste and juicy pulp. They fear that their business will not be able to generate the income needed to meet the initial cost of the plantation lease. He said in the AFP report that some people have completely abandoned their contracts. Shakeel said that there has been so much loss that the contractors have even given up their advance money.
More than two dozen varieties of mango, which is called the “king of fruits” in South Asia, are grown in Pakistan. These generally generate international sales of about $110 million annually, making the country the fourth largest exporter in the world. The challenges posed by the Middle East war highlight the geopolitical weakness of Pakistan's economy. This economy is largely dependent on the agricultural sector, which is already struggling with the effects of climate change. Waheed Ahmed, chief patron of 'All Pakistan Fruit and Vegetable Exporters Association', told AFP that about 80 percent of mangoes are exported to the Gulf region, Iran and Afghanistan. He said that in recent months all these countries have been caught in the grip of conflict.
Ahmed said that the total mango export is expected to decline by about 30,000 tonnes to 80,000 tonnes this year as compared to last season. The border with Afghanistan is closed, there is a war going on in Iran… there is a situation of war in the entire Middle East. While he welcomed the initial agreement this week between the US and Iran to stop the fighting, the situation remains uncertain and the deal comes too late for this year's nearly three-month long mango season. He said that the main challenges still remain. The conflict with neighboring Afghanistan has also halted trade, and hundreds of trucks loaded with goods have been stuck at border crossings that have been closed for months. Ahmed estimates that last year the cost of shipping a container of 25 tonnes of mangoes was about $1,400. He said that this year the same fare has increased to $6,000 to $7,000.
The hopes that the huge arrival of mangoes in the local markets would compensate for the export losses were dashed as families struggled with rising inflation. The prices of many things had increased due to the war in the Middle East. At a crowded open market in Karachi, Pakistan's largest city, customer Muhammad Ashad looks at the mangoes being sold at shockingly low prices – now priced at around 200 Pakistani rupees ($0.72) per kilogram, half of last year's price.
He said that mangoes are very cheap this time compared to the last few years… because our exports have stopped. He said that I am seeing everywhere that mangoes are very good, but people are still not able to buy them. According to government surveys, Pakistan's inflation rate increased from 5.5 percent in the July-February period to 10 percent in the three months after the conflict began. Shakeel of the Fruit Export Association confirmed the impact on local sales. The price is low in the local market. But not everyone can afford to buy mangoes. Look at the situation of the country: expenses are increasing… income is less. Should they buy bread or our mangoes first?
