Rice-driven food exports jump 20pc

ISLAMABAD: Pakistan’s raw food exports increased by 19.58 per cent to $3.15 billion during July-November FY25 from $2.64bn mainly owing to increased rice exports.

Raw food exports have risen for the past 16 consecutive months despite unprecedented food inflation in the country’s history. As a result, consumers nationwide are paying higher prices for food items because of supply and demand gaps.

On Thursday, representatives from the Rice Exporters Association of Pakistan (REAP) met with Commerce Minister Jam Kamal and Minister for Food Security Tanveer Hussain to seek government help to maintain rice exports.

Rice has played a significant role in boosting overall food exports. In the first five months of FY25, rice exports surged by 35.40pc year-on-year to $1.52 billion. Notably, the quantity of basmati rice shipments rose by 34.64pc and its value by 51.34pc. Exports of non-basmati rice increased 35.67pc in value and 35.92pc in quantity in 5MFY25.

An official announcement said the ministers assured exporters of resolving their concerns and ensuring smooth operations for the sector. Mr Kamal praised rice exporters for maintaining their market position despite India’s reopening rice exports and lifting price control limits.

Average basmati price surged to Rs400 per kg from Rs150 in two years

Mr Tanveer assured the exporters that the government would immediately address legislative or compliance-related issues hindering exports. The commerce minister pledged that with interim measures all export orders would be fulfilled by Jan 15, 2025 while long-term legislation is finalised.

Due to a sustained surge in export figures over the past two years, the average price of basmati rice has surged to Rs400 per kg from Rs150, restricting buying from domestic consumers.

According to the PBS data, in the first five months, sugar exports reached 353,530 tonnes, compared to 33,101 tonnes in the same months last year, showing an increase of 968pc. Millers have mainly exported sugar to Afghanistan.

Meat exports increased by 2.80pc in 5MFY25 compared to the corresponding period of the previous year. The opening of new markets, participation of new companies in meat exports and approvals for additional slaughterhouses have contributed to this growth.

Meat prices in the domestic market have experienced an unparalleled surge in recent years. In the past three years, the average cost of buffalo meat has jumped from Rs700 per kg to Rs1,400. The price of chicken has also experienced an unprecedented surge, reaching its highest level over the last three years.

Exports of vegetables, especially onions, have recorded growth of 24.88pc in July-Nov FY25 from a year ago. The export of fruits increased by 3.47pc during the months under review. The export of fish and fish products record a paltry growth of 0.21pc during the months under review.

Published in Dawn, December 20th, 2024