KARACHI: Collectorate of Customs Exports stopped export consignments of onion to comply with government decision to impose ban on the vegetable to meet local demand.
According to the details, a letter issued by Collectorate of Customs Exports on Friday to Pakistan International Container Terminal (PICT) read: “In compliance of directive received from the Headquarters, the loading of all the consignments / containers declared to contain ‘fresh onion’ falling under PCT 0703.1000 stopped immediately till further orders.”
The Economic Coordination Committee of the Cabinet in its meeting on February 19 decided to impose ban on export of onion till May 30, 2020 in order to meet local demand and stabilize prices.
Exporters claimed that due to immediate ban imposed by the customs authorities above 300 containers amounting $3.2 million were stuck up, where loading already allowed and about to load on vessel.
Earlier, on February 20 All Pakistan Fruit and Vegetable Exporters, Importers and Merchants Associations (PFVA) in an SOS to the Advisor to the Prime Minister on Commerce Abdul Razzak Dawood, said that the sudden stoppage would have serious repercussion.
The association said that the exporters on onion had already received advance payments from their foreign buyers for export of onion and with immediate ban, they would be unable to honor their business commitment which would not only put a question mark on their credibility, it would also terribly shake confidence of the foreign buyers.
It further said that the onion exporters had already procured quantity of onion according to orders from foreign buyers for processing the same in their pack houses and the sudden ban on export would lead to colossal financial losses to the exporters due to limited shelf life of the onion.