SEAFOOD INDUSTRY NEEDS URGENT MODERNIZATION…The Financial Daily 11/05/2020

The Union of Small and Medium Enterprises (UNISAME), the Pakistan Fish Exporters Association (PFEA) and prominent seafood exporters held a first preliminary meeting with the Small and Medium Enterprises Development Authority (SMEDA) on internet video conferencing link on Friday 8th May 2020.
Mukesh Kumar provincial chief SMEDA Sindh hosted and chaired the session with positive optimistic outlook to uplift a promising sector with vast potential. He endorsed the suggestions and promised to take up matter with SMEDA head office on priority basis to uplift and revive the handsome aqua culture. He agreed to submit a complete proposal based on facts and figures to be prepared jointly with the stakeholders.
President UNISAME Zulfikar Thaver said it is high time the fishing industry is modernized. It needs finance and facilities to come up to international standards. In fact it needs to partner with China under CPEC for revival as there is vast scope and sky is the limit. This sector can employ, give opportunities for handsome income generation and feed the masses with one of the best nutritional value food. Above all earn valuable foreign exchange. It needs to be financed, facilitated and supported with a strategic plan and policy. Thaver said we are knocking at the doors of SMEDA for advocacy of our cause with the government not to overlook our needs anymore and revive this promising sector on fast track.
Akhlaq Hussain a leading seafood exporter, Yasir Abbas Syed another exporter and expert and Zafar Kundi the chairman of PFEA demanded “ZERO-RATED Status be given to Seafood Export Industry” just like given to other five industries, including Sales Tax and Income Tax Refunds. They also emphasized the need for lower electricity tariff.
The meeting insisted on inclusion of correct HS Codes in the negotiated FTA-II with China. They said that we should have the same status like PATA with China which is our close friend.
They called for efforts at the highest levels to facilitate the hurdles in exporting to EU and to USA. Also efforts are required to get the ban released on exports to countries like Saudi Arabia.
They demanded allowance of minimum 5% Rebate on merchandise exports under Foreign Trade Policy of Pakistan. They said it is pertinent to note that our competitor countries give about 15% rebate on merchandise exports.
Resumption of freight subsidy allowance for frozen and fresh seafood exports just like live seafood was also discussed.
They lamented that seafood industry is closed since February due to Covid-19 and salaries are being paid to staff. This situation may last till September if COVID is eliminated as there is also a constitutional fishing ban in months of June and July.
The scheme of State Bank of Pakistan for giving loans for salaries and wages is not helpful and it is suggested to government to share 50% with the entrepreneurs as they have no capacity to give salaries without earnings for 05 months.
The seafood processing plants need to be provided loans on soft terms and subsidies to do balancing, modernization and replacement (BMR ) and up gradation for value addition.
The meeting took into consideration the effects of the pandemic Corona virus and the need of food security and the economic burdens to be faced by the country and the challenges for survival and urged SMEDA to ensure no stone is left upturned to support the SMEs.

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