Global Rice News

A combination of effective policies, an improved regulatory framework, and a favorable business environment are expected to double Pakistan’s exports in the next two years. To support this goal, the government has established an export advisory committee that includes representatives from various sectors, including agriculture. By removing obstacles and reducing bureaucracy, sectors outside of textiles can increase their exports without subsidies.

Recent months have seen a significant increase in the exports of sheet glass and cement, as non-subsidized facilitations were provided to manufacturers in these industries. Pakistan’s agriculture exports have also grown by 30 percent in the first four months of this fiscal year, while imports have decreased. Jewelry exports have seen a 30 percent increase during the same period.

Textile exports, however, registered a negative growth of -6.3 percent from July to October 2023, although there was a slight increase in October. Efforts to facilitate the IT sector are anticipated to result in $10 billion in exports over the next two years, with this year’s exports projected to reach $3 billion.

Many experts believe that Pakistan can achieve its export targets by tapping into the country’s non-textile potential. Agriculture is a key sector in this regard. Shahzad Ali Malik, chairman of the Pakistan Hitech Hybrid Seed Association (PHHSA), states that agricultural growth in various crops has declined over the past three decades. However, there has been significant growth in the yields of coarse rice and maize due to private sector entrepreneurs providing high-quality hybrid seeds and guidance to farmers.

Regions cultivating coarse rice and maize have seen a notable reduction in poverty, as the farmers are now able to obtain much higher yields. To further support this growth, hybrid rice seed production has been established in Pakistan, meeting 50 percent of the country’s needs. Additional entrepreneurs have signed joint ventures to produce hybrid rice seed, and maize importers are also planning to establish their own plants.

China, which previously provided hybrid rice technology to Pakistan, is slowly phasing out its agricultural involvement. Recently, a Chinese company agreed to provide hybrid chili seeds to Guard Agriculture, which will distribute them to farmers and export the resulting produce to China. Guard Agriculture will also receive technology from the Chinese company to produce hybrid chili seeds in Pakistan. Furthermore, a Chinese company has partnered with the Karachi-based Techno group to process chili produced from Chinese seeds and export the resulting chili powder.

While the government has set an ambitious target of $100 billion in exports over the next two years, achieving this goal may prove challenging. However, progress is anticipated, and it is hoped that the country can surpass the $35 billion export mark by the end of this year.

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