Committed to PEOPLE'S RIGHT TO KNOW
Vol. 5 Num 1040 Sun. May 06, 2007  
   
Business


Vegetable exporters seek policy support to up export


Bangladesh can earn Tk1,000 crore a year by exporting fruits and vegetables if the government increases cash incentive and the number of air cargo flights for the exporters and reduce freight charges, said the leaders of fruits and vegetables exporters' association.

Presently the country is fetching Tk600 crore a year from fruits and vegetables export, they said.

Bangladesh Fruits, Vegetables and Allied Products Exporters' Association (BFVAPEA) urged the government to increase cash incentive for the exporters from the existing 20 percent to 30 percent in the next budget and also demanded release of their due cash incentive immediately.

The leaders of the association also urged that the government intervene in implementing its decision regarding lifting cargo-handling charges at airports for the private air cargo operators.

Biman Bangladesh Airlines should also increase the number of air cargo flights as the fruits and vegetables exporters are facing acute space scarcity in air cargo flights, they suggested.

They were speaking at a news briefing organised by the association in Dhaka yesterday.

BFVAPEA President SM Jahangir Hossain said around 500 members of the association have been exporting fruits and vegetables to around 15 Middle East and European countries for the last two and a half decades.

Forty-five percent of the total exports go to Europe while the rest 55 percent to Middle East.

Jahangir said the government gives 20 percent cash incentive on free on board value which is very insignificant, as the exporters have to pay 75 percent of their earnings as freight charges.

"Besides, the freight charge in our country is also higher than that in such neighbouring countries as India, Pakistan, Sri Lanka, Nepal and Thailand. On the Kolkata-London route freight charge is US$1.80 per kg while the charge on the Dhaka-London route is $2.20," he said.

"If the government does not reduce the freight charge, we will not be able to compete with the neighbouring countries and will ultimately lose our market share," he added.

The association recommended that the government should take initiative for setting up a fruits and vegetables export zone within the 30 kilometre area of Dhaka, arranging cool chain system, providing packaging facilities and developing infrastructure required for boosting export of fruits and vegetables.

The vegetables and fruits that Bangladesh export include bitter gourd, snake gourd, bean, okra, ridged gourd, wax gourd, eggplant, green chili, cucumber, bottle gourd, kidney bean, potato, banana, papaya, jackfruit, mango, litchi, black berry, guava and pineapple. The Bangladeshi community and the Asian people are the main consumers.

BFVAPEA General Secretary Mohammad Monsur, Vice President Mozibul Haque, Joint Secretary Masudur Rahman, Treasurer Monzur Rahman and former vice president Mahbubul Alam were present at the press briefing.