Significance of Value Addition Highlighted in Agri Products Industry
Published on: January 8, 2024.
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FAISALABAD: Faisalabad Chamber of Commerce & Industry (FCCI) Urged to Provide Viable Suggestions for New Industrial Policy
Faisalabad Chamber of Commerce & Industry (FCCI) has been called upon to present feasible suggestions for a new industrial policy. Muhammad Alamgir Chaudhry, CEO of the National Productivity Organization (NPO), emphasized the importance of FCCI submitting proper applications to get the facility of APO/NPO experts and conducting study missions to learn from best practices in their respective sectors.
During a meeting with Dr. Sajjad Arshad, Acting President of FCCI, Chaudhry stated that the NPO would provide printed material in a digital format regarding the facilities offered by the organization to be disseminated among the industrial community. He stressed the need for value addition in agricultural products, citing his recent visit to Thailand where he observed the successful dehydration of fruits and vegetables.
Chaudhry highlighted that Thailand even imports frozen strawberries to prepare chips for export, demonstrating the potential for value addition in the agricultural sector. To raise awareness among local farmers, workshops on this facility are being organized by the NPO at the provincial level. Chaudhry suggested that a workshop could also be arranged in Faisalabad.
He further emphasized the need to reduce post-harvest losses, which have been estimated to be around 35-40%. By focusing on value addition and developing the processing industry, losses can be controlled. Chaudhry provided examples of the potential value addition in tomatoes, where their value could be increased from Rs. 10 per kg to Rs. 250, and apricots from Hunza, which after receiving dehydration skills from the Agha Khan Foundation, are now being sold at Rs. 2,000 per kg.
Chaudhry also discussed the potential of the mango industry, specifically the “Chunsa” mango. He highlighted the establishment of a pilot project for mango pulp in Multan, which has led to the successful operation of 7-8 units in the field. Chaudhry expressed that Pakistan’s mangoes are of superior quality compared to those from India, which currently supplies 80% of the world’s demand for mango pulp. He suggested utilizing Pakistani mangoes for the production of various derivatives such as jam and squash.
In addition to agriculture, Chaudhry emphasized the importance of addressing electricity production and wastage. He urged industrialists to avail of the NPO’s facilities to control electricity wastage in their units.
Dr. Sajjad Arshad, Acting President of FCCI, echoed Chaudhry’s sentiments on value addition in agriculture products. He emphasized that increasing production without value addition may be detrimental to the growers. Dr. Arshad mentioned the decrease in the price of maize, despite a bumper crop, causing losses for the farming community. He stressed the need to save farmers from such losses through value addition.
Dr. Arshad also highlighted the potential for rice exports, stating that Pakistan currently exports rice worth $2.5bn, which could be increased to $5bn by 2025 and $10bn by 2030. He expressed concern over the reduction in textile exports from $14bn to $11bn and declining foreign remittances. Dr. Arshad attributed this decline to the failure to adopt new technologies due to inconsistent and uncertain government policies.
Regarding the poultry sector, Dr. Arshad praised the quality of Pakistani products, which he said is on par with the United States due to the non-interference of the government in this sector. He called for similar efforts in promoting the dairy sector, which offers multiple opportunities for value addition and progress.
Dr. Arshad emphasized the need for practical steps to enhance productivity instead of simply identifying problems and engaging in blame games.
Engineer Ahmad Hassan, convener of FCCI’s Standing Committee on R&D, highlighted the organization’s efforts to increase productivity. He emphasized the importance of declaring energy wastage as a criminal offense rather than leaving it solely up to entrepreneurs’ discretion.
At the end of the meeting, Dr. Sajjad Arshad presented an FCCI shield to Muhammad Alamgir Chaudhry, CEO of the NPO.
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