Pakistan’s Exports to China Reach $1.3 Billion, Surging to New Heights
Published on: December 18, 2023.
Filed under:
During the initial five months of the fiscal year 2023-24, Pakistan has witnessed a remarkable surge of 72.78% in exports to China compared to the previous financial year. This significant growth is primarily attributed to the China-Pakistan Free Trade Agreement and favorable prices in the Chinese market.
According to the latest statistics from the Trade Development Authority of Pakistan (TDAP), Pakistan recorded $1.31 billion in exports to China from July to November in the fiscal year 2023-24. This reflects a significant increase compared to the $756.98 million exports registered during the same period in the previous fiscal year.
One of the key contributors to Pakistan’s export growth is the rice industry. During the first five months of the fiscal year 2023-24, Pakistan has exported rice worth $1.4 billion to various countries, including China. Pakistani rice, including wholly milled and broken rice, has become popular in the Chinese market. In 2022, Pakistan exported rice worth over $455 million to China, and this year, exporters are aiming for an even greater share of the Chinese market.
In addition to rice, Pakistan has seen an uptick in exports of cotton yarn and refined copper. In the initial five months of the fiscal year 2023-24, exports of cotton yarn increased by 49.77% to reach $480.01 million, while refined copper exports surged by 49.89% to total $300.56 million. These commodities have been in high demand in China due to the Free Trade Agreement and favorable prices.
Sesame seed exports to China have also experienced significant growth. Over 80% of Pakistan’s sesame exports are now going to China. In the first quarter of the fiscal year 2023-24, sesame seed exports to China reached $148 million, showing a quarter-on-quarter growth of 405.8%. In November, sesame seed exports to China reached an unprecedented high of 64,711 tons valued at $113.66 million.
Pakistan’s meat exports have also seen a positive trend. In the last fiscal year, meat and by-product exports totaled $427 million, and in the first quarter of the fiscal year 2023-24, it increased by $20 million to $113 million. The approval from the General Administration of Customs of the People’s Republic of China for exporting cooked/heat-treated frozen beef to China opens up significant opportunities for the Pakistani meat industry.
Furthermore, the inclusion of handmade carpets in the China-Pakistan Free Trade Agreement presents new opportunities for the significant handmade carpet manufacturing sector in Pakistan.
Overall, Pakistan’s exports to China have been thriving, thanks to the Free Trade Agreement and favorable market conditions. The rice, cotton yarn, refined copper, sesame seed, meat, and handmade carpet industries have experienced significant growth in exports to China.
Source
