ZAHID BAIG

LAHORE: Rice Exporters of Associations of Pakistan (REAP) has proposed trade with Iran in Chinese currency through Chinese Banks in the wake of absence of a strong banking channel between Iran & Pakistan.

REAP Chairman Samee Ullah Naeem terming the unavailability of banking channel as the only barrier for low rice trade between Iran and Pakistan, floated this proposal during a meeting with Mojtaba Mousavian, Director General of Foreign Trade, Ministry of Industries, Mine and Trade Promotion of Iran. Samee is currently leading a 16-member strong rice exporter’s delegation to Iran.

Samee said that Chinese Banks are already carrying out the trade of oil in Yuan through Iranian Banks. While the State Bank of Pakistan (SBP) had also notified trade with China in Yuan. ‘State Bank of Pakistan should allow routing of documents of rice exports in Yuan through Chinese banks and thereon to Iranian Banks till absence of a strong banking channel,’ he said and added REAP considers unavailability of banking channel the only barrier for the drop in trade.

Leader of the delegation also had a meeting with the Governor SBP some one week ago and discussed arrangements on the part of the Pakistani government for establishing a strong banking channel.

According to information received here through REAP sources, the Pakistani delegation will hold meetings with the Iranian Ministry of Health regarding GMP issues, Ministry of Commerce and other departments concerned for buying Pakistani rice through government tenders.

The delegation will also hold meetings with the Iranian rice importers and attend a luncheon reception arranged by the Iranian rice importers. Iran used to import some 800,000 tons of Basmati rice until sanctions were imposed in 2010 and Pakistani exports drastically fell to barely 60,000 tons per annum only.

Pakistani rice exporters will also hold a ‘Biryani Festival’ to promote Pakistani aromatic rice among Iranians who are fond of Basmati rice. The Delegation also includes Chaudhry Shafique as Deputy Leader and Ali Hussam Asghar as Convener besides various other top basmati exporters.