Global Rice News

Lahore: Rice Exports from Pakistan Reach Record-breaking $3.6 Billion

In the fiscal year 2023-24, Pakistan’s rice production reached an unprecedented high of 9.9 million tons, leading to a surge in exports. According to the latest data, the country’s rice exports soared to US$3.6 billion, surpassing expectations and making rice the top commodity in the food group for external trade.

During the interim setup’s export advisory council meeting, Pakistan projected its rice exports to be $3.5 billion for the current fiscal year. However, if the export momentum continues, the figure could reach $4 billion, nearly doubling the amount from the previous financial year, which was less than $2.5 billion.

Within the first nine months of the fiscal year 2023-24, rice exports already broke previous records, earning a staggering $3 billion. This substantial increase in rice exports can be partly attributed to the ban imposed by India on rice exports. In the July-March period of FY24, Pakistan earned $2.939 billion, compared to $1.6 billion during the same period last fiscal year.

The non-Basmati sector has played a significant role in boosting export earnings, thanks to the private sector’s exceptional performance in hybrid seed research and development, supported by China.

With an ambitious plan to increase annual rice exports to $10 billion by 2030, Pakistan is working towards a fourfold rise from its current $2.5 billion export revenue. The country aims to expand its export range and explore new markets.

Pakistan Rice Export Projections

Shehzad Ali Malik, Chairman of Punjab Rice Research Board and CEO of Guard Agricultural Research & Services, expressed the industry’s projections for external rice trade. These projections are crucial in developing a precise roadmap to elevate rice exports to the significant figure of $10 billion.

Malik emphasized Pakistan’s potential to increase rice exports by adopting high-yielding hybrid rice varieties and enhancing the quality of processed grains. He projected that Pakistan’s rice exports could reach $3.5 billion annually in the current fiscal year by implementing stricter quality controls and focusing on global brand management.

Furthermore, Malik projected that annual rice exports could reach $5 billion within three years from the current $2.5 billion. By 2029-30, he anticipates the value to double, reaching the desired $10 billion mark. Meeting the quality standards of various markets, including the European Union, is crucial for achieving these targets. Malik highlighted the need to address issues related to EU alerts on pesticide matters and maximum residue levels (MRL).

International Promotion and Branding

Malik stressed the importance of developing strategies to establish Pakistani rice brands in the global market, especially to compete with major rivals like India. He suggested providing listing fees and shelf rentals through the Trade Development Authority of Pakistan (TDAP) in supermarkets from the Export Development Fund (EDF) to support FMCG brands in the food category and achieve this objective.

Source: The News