Potato growers in India face heat as Pakistan slaps import tax

Potato growers in India are staring at a glut in the market and rock bottom prices after Pakistan imposed an import tax that has virtually stopped exports to the neighbouring country, traders said today.

Pakistan this week imposed a 25 per cent tax on the import of Indian potatoes in order to help local farmers to get better prices.

“Potato exports to Pakistan has come to a complete halt after Pakistan levied the high duty on Indian potatoes,” said Rajdeep Uppal of Narin Exim Corporation in Amritsar.

Potato exports to Pakistan so far in 2008-09 (April-March) have risen by more than 50 per cent to 58,500 tonnes on the back of a bumper crop.