India: Mango prices shoot up on short production

Mango eaters are paying higher prices for the most popular fruit owing to short production in Sindh this year. However, exporters and the government are confident of achieving the 100,000 tons target despite economic crunch in the buyer countries.

However, there were divergent views about the size of the Sindh mango crop and its impact on the retail prices. Wholesalers in the Fruit Mandi at Super Highway believed that there was 40-50 per cent fall in mango production and the prices were 20-30 per cent higher over the last year. They feared further increase in prices in case of rains.

Retailers are charging Rs35-60 per kg depending on size and quality. However, they said that the consumers were buying low quality Sindhri as high and good qualities of the fruit was being exported to various western countries.

A retailer at Burns Road said he was selling average size and quality Sindhri variety at Rs45-50 per kg as compared to Rs35-40 last year.

Member Executive Council of All Pakistan Fruits and Vegetables Importers and Exporters Association Matin Siddiqui told Dawn that the Sindhri variety was selling Rs5 to Rs6 per kg higher over the last year.

‘We will achieve the overall 100,000 tons mango export target this year despite low production in Sindh. Exports are going normal,’ he said, adding that the PIA had reduced the freight rate for the UK to Rs100 from Rs115 per kg but it would not make any significant impact.

Pakistan Horticulture Development and Export Board (PHDEB) Chief Executive Officer Shamoon Sadiq said the mango production in Sindh dropped 20 per cent this year as against the total production of 350,000 tons last year.

‘The country produces 1.6-1.7 million tons mango every year of which Punjab share stands somewhere between 1.3-1.4 million tons. There are reports of bumper crop of the fruit in Punjab,’ he said.

He added that bad weather and pest attacks damaged the Sindh crop which pushed up mango prices this year. On fixing higher export target of 100,000 tons despite low Sindh crop and falling purchasing power worldwide, he said Pakistan exported 50-60 per cent of total mango exports to the UAE, Saudi Arabia and other Middle East countries where low and medium priced mangoes were in high demand.

He however ruled out any drop in mango exports to these traditional markets this year despite global economic slowdown and financial crunch.

About 15 per cent of the total mango exports shipped to the United Kingdom where consumers demand fine varieties. ‘We have some other European countries where high quality mangoes are shipped in small quantities,’ Shamoon added.

‘We expect to earn over $40 million from 100,000 tons mango export this year as compared to $27-30 million (87,000 tons) last year,’ he said.

Pakistan has explored new markets like China, Iran, Germany and Jordan which will make it easier to achieve the target. ‘Mango is also exported to Canada,’ he added.

There is also no fear from India as its exports get underway from February and ends in May, while Pakistani exports starts from May and concludes in September.

India produces 13.1 million tons of mangoes every year while Pakistan ranks third in production and holds fourth position in export in the world.

Shamoon said that the PIA had reduced the freight for the UK but it should also announce cut in freight for overall mango export markets.

Source:www.dawn.com

Publication date: 6/3/2009