Pakistan Among World's Largest Food Producing Countries

[Riaz Haq]

Pakistan's agriculture output is the 10th largest in the world. The country produces large and growing quantities of cereals, meat, milk, fruits and vegetables. Currently, Pakistan produces about 38 million tons of cereals (mainly wheat, rice and corn), 17 million tons of fruits and vegetables, 70 million tons of sugarcane, 60 million tons of milk and 4.5 million tons of meat.  Total value of the nation's agricultural output exceeds $50 billion.  Improving agriculture inputs and modernizing value chains can help the farm sector become much more productive to serve both domestic and export markets.  

Top 10 Countries by Agriculture Output. Source: FAO

Pakistan has about 36 million hectares of land under cultivation. Wheat and rice are grown on more than half of it. Fruits and vegetables each account for only about 3% of the cultivable land.  Since year 2001, the country's cereal production, mainly wheat, corn and rice, has grown about 45% to 38 million tons. Pakistan produced 6.64 million tons of vegetables and 5.89 million tons of fruits in 2001. 

Pakistan is the world’s 4th largest exporter of rice. The country's domestic production is estimated to surge 13.6% to an all-time high of 8.4 million tons in the year end June 2021, according to Bloomberg.  

Vegetable production rose to about 10 million tons and fruit production increased to nearly 7 million tons in 2015.  A little over 60% of Pakistan's agriculture consists of livestock. Pakistan produces 60 million tons of milk and 4.5 million tons of meat.  Fish production adds up to about 575,000 tons. 

Pakistan's Rising Rice Exports. Source: Bloomberg

Share of Land For Various Crops in Pakistan

Crop yields in Pakistan are low, mainly due to poor quality inputs like seeds. In addition to fertilizer and water, seed is the basic input for agriculture sector and has a major role in enhancing agriculture productivity. This needs to be a key area of focus for Pakistani policymakers working on agriculture. 

Other critical area is post-harvest handling, particularly storage and transportation that is in desperate need of improvement. Post-harvest losses in fruits and vegetables due to mishandling of the perishable product, poor transportation, and inadequate storage facilities and market infrastructure account for about 30%–40% of total production, according to experts at Asian Development Bank.  

World's 5th Largest Population of Chicken in Pakistan

Improvements in agriculture inputs and modernization of post-harvest process require significant financing and investment. Growers get only a small fraction of value of what they produce, making it difficult for them to make these investments. Middlemen finance farmers and take the lion's share of profits in the value chain.  

Source: FAO via Kleffmann Group

Most of the farmers sell their produce to wholesalers via middlemen called arthis, according to an ADB report. Farmers contract out fruit orchards during the flowering stage to the middlemen (arthis), commission agent, and/or wholesalers who provide loans to the farmers over the course of production. Vegetables and fruits are transported by the same cart or truck from farms to the main markets in the absence of specialized vehicles for specific products. The same vehicle is used for many other purposes including animal transportation. Recently however, reefer (refrigerated) trucks have been introduced on a limited scale in some parts of Pakistan. In the absence of direct access of carrier vehicles to the farms, farmers gather their products in a convenient spot along the roadside for pickup. When middlemen or contractors are involved, it is their responsibility to collect and transport the produce. The unsold produce in one market is sent to other markets in the same locality. 

Date Palms in Sindh, Pakistan. Photo: Emmanuel Guddu

Investments in modernization of the agriculture production process and farm-to-market value chain will require major reforms to ensure growers get a bigger share of the value. The extraordinary power of the middlemen (arthis) as financiers needs to be regulated. This can not happen without legislation in close consultation with the growers. Improving agriculture inputs and modernizing value chains can help raise the productivity of the farm sector for it to serve both domestic and export markets better.  

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[Riaz Haq]

Pakistan may limit onion exports – what impact could it have on the markets of Europe and Central Asia? • EastFruit


https://east-fruit.com/en/news/pakistan-may-limit-onion-exports-wha...

According to EastFruit analysts, persistent rumors that Pakistan plans to limit onion exports have not yet been officially confirmed. However, the likelihood of such restrictions, formal or not, remains quite high. And this could have a significant impact on the market because Pakistan is among the top 5-7 global onion exporters in the world, according to EastFruit.

With this, Pakistan could join the long list of countries that have imposed bans or restrictions on onion exports in the past 12 months. Among these countries: Egypt, Turkey, Uzbekistan, India, Tajikistan, Kyrgyzstan, Kazakhstan, and others.

The main reason for possible restrictions on fresh onion exports from Pakistan is the rise in domestic prices for this vegetable, which remains one of the main products in the consumer basket. However, it must be taken into account that, firstly, onion prices are still lower than last year’s, and secondly, the local currency continues to devalue against the US dollar, which affects prices much more than the situation with supply and demand.

Read also: Catastrophic price situation for German onions

The main onion markets for Pakistan are Malaysia, Sri Lanka, and the UAE. In general, Pakistan is one of the main exporters of onions to the Gulf countries. Annually, fresh onion exports from Pakistan range from 300 to 450 thousand tons. In 2022, due to floods, a significant part of Pakistan’s onion crop was lost, so the country became a net importer, buying almost 500 thousand tons of onions, mainly from Afghanistan, Iran, and Egypt.

Although mutual onion trade between Pakistan and Europe and ex-USSR Central Asia is relatively small, the impact of this ban on the market could be quite significant. A possible restriction on onion exports could lead to a further increase in onion prices in the Middle East. Already, Pakistani onions are sold in bulk in the UAE at prices of more than $1 per kg. A further increase in onion prices in this region will lead to an increase in onion imports from the EU countries and will make onion exports profitable even from Uzbekistan to the UAE. Accordingly, if the decision is made, it may become decisive in supporting the rise in onion prices in Europe and Central Asia.

[Riaz Haq]

India’s pain is Pakistan’s gain in global maize market as exports drop to a trickle - The Hindu BusinessLine


https://www.thehindubusinessline.com/economy/agri-business/indias-p...


Pakistan has gained at India’s cost in the world corn (maize) market, particularly South-East Asia, as domestic prices are ruling higher than the global prices, exporters and traders said. This is in view of demand from the poultry and starch sectors besides for ethanol production amidst drop in the coarse cereal’s production this crop year to June.


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“India’s loss is Pakistan’s gain in the Asian market. It is selling maize at $240-50 a tonne. In contrast, our prices are over $300,” said M Madan Prakash, President, Agri Commodities Exporters Association.

In the domestic market, the weighted average price of maize is currently ₹2,132 a quintal compared with ₹2,039 a year ago.

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July-December 2023-24: Exports of agro and food products increase by 64pc - Business & Finance - Business Recorder



https://www.brecorder.com/news/40281972


KARACHI: During the first six months of the financial year of 2023-2024, exports of agro and food products from Pakistan has been increased by 64 percent as compared to the same period during 2022-2023. In the month of December only, there is growth of 118 percent, as $882 million of food product export was exported in comparison of $404 million in same month in 2022-23.

In the current fiscal year 2034-24 major increases were in export of Sesame seed (278pc), Maize/corn (208pc), Ethyl alcohol (497pc), Meat (23pc), Rice (96pc), Fruits and Vegetables (15pc), Spices (10pc) and Tobacco(34pc).

Pakistan exported sesame seed worth $364 million during July-December 2023-24 as compared to $98 million during July-December, 2022-23 showing a positive growth of 278 percent. The reasons for increase of sesame seed is the increased production in 2023 (2022 crop was destroyed by flood) and higher demand/rate from China, Korea, Japan etc.

Similarly the exports of Maize were $262 million during July-December, 2023-24 as compared to $85 million in July-December, 2022-23 showing a positive growth of 208 percent. Pakistan’s maize exports have increased manifolds in value, as global prices of food commodities have increased due to the outbreak of Russian- Ukraine war. The major markets for are Vietnam, Malaysia, Korea and Oman.

Pakistan exported ethyl alcohol worth $259 million during July-December, 2023-24 as compared to $43 million during July-December, 2022-23 showing a positive growth of 4 percent. The reason for increase is the high global demand.

In meat sector, Pakistan exported worth $239 million during July-December, 2023-24 as compared to $195 in July-December, 2022-23 showing a positive growth of 23%. The reasons for positive growth of meat sector is due to opening of new markets (Jordan, Egypt, Uzbekistan), and participation of many new companies for exporting meat to UAE, KSA & GGC Region.

Additionally three more slaughter houses were approved for exporting/processing by Malaysia. Moreover, two meat exporting companies also got market access for exports of heat treated meat to China who have recently shipped heat treated meat to China.

The exports of rice from were $1645 million during July-December 2023-24 as compared to $841 million in July-December. 2022-23 showing a positive growth of 96 percent. The reason for increase is due to India’s rice export ban and increased production of rice in Pakistan. Pakistan exported fruits and vegetables worth $285 million during July-December, 2023-24 as compared to $248 million in July-December, 2022-23 showing a positive growth of 15 percent. Similarly, exports of spices shows growth of 10 percent.

[Riaz Haq]

Banana production reaches 154,935 tons on 34,830 hectares - Pakistan Observer

The cultivated area of banana in Pakistan has exceeded 34,830 hectares and the production has exceeded 154,935 tons, with Sindh producing 127,426 tons and Punjab producing 9,573 tons.

According to media reports, Agriculture and Fruit Economist Ari Faisalabad Ishaq Javed, high varieties of banana can be cultivated very successfully in hot humid areas where there is no haze and the plants are protected from hot weather.

https://pakobserver.net/banana-production-reaches-154935-tons-on-34...

Rainfall up to 2,500 millimeters, temperatures between 16 to 18 degrees Celsius in winter and 21 to 24 degrees Celsius in summer can produce excellent banana production.

Javed said that since the roots of the banana plant go to a shallow depth, it needs enough water and fertile soil that has the ability to absorb water well. He said that the growth of banana can be done from rhizome pieces and rootstocks. He said that gardeners should keep the distance between plants from 1.5 to 2.5 meters and the number of plants per acre should be kept from 676 to 764. He said that gardeners should consult agronomists for further guidance.

[Riaz Haq]

Pakistan onion exports amounted to $210 million In first 10 months of FY2023-24

https://www.freshplaza.com/asia/article/9628959/pakistan-onion-expo...


In the first 10 months of FY2023-24, Pakistan achieved onion exports amounting to $210 million, as reported by local media. The All Pakistan Fruit and Vegetable Exporters Association anticipates this figure to escalate to $250 million by the closure of FY24. Despite the flourishing export figures, the local populace has been subjected to elevated prices for onions, a fundamental kitchen staple. An association representative attributed the price hike to market dynamics rather than the export activity itself, noting a discrepancy between wholesale and retail prices.

Overall vegetable exports during this period reached 1.044 million tons, generating $371 million in revenue, marking an increase in the average price per ton from $233 to $354, attributed to stable currency rates. Onions constituted a significant portion of these exports, alongside potatoes and other vegetables.

The export landscape was also influenced by the import of onions from Iran and Afghanistan and the exploitation of an Indian export ban by Pakistani exporters. Despite efforts to regulate the market, including setting a minimum export price for onions at $1,200 per ton in January 2024, domestic prices have remained high, benefiting exporters significantly. Pakistani onions have found their way to various international markets, notably in the Far East, with potential growth hinging on resolving trade issues with countries such as Indonesia, the Philippines, and Thailand.

[Riaz Haq]

Economic Survey 2023-24: Agriculture’s ‘best performance’ in two decades helps drive economic growth - Business - DAWN.COM

Cotton, rice and wheat grow by 108.2 pc, 34.8pc and 11.6pc, respectively

https://www.dawn.com/news/1839339


LAHORE: Notwithstanding the challenges of lack of finance, quality inputs, efficient market systems, research and development, and extension services, the agriculture sector grew 6.3 per cent in 2023-24 compared to 2.3pc last year, driven by healthy growth in important crops, reveals the Pakistan Economic Survey 2023-24 released on Tuesday.

Rallied by a significant growth of 16.8pc in the production of wheat, cotton, and rice crops, the sector improved its share in gross domestic production from 23.2pc in FY23 to 24pc in FY24.

The agricultural sector growth of 6.3pc was the highest in 19 years, according to the research firm Arif Habib Ltd.

Wheat output witnessed a record growth of 11.6pc from 28.2 million tonnes last year to 31.4m tonnes this year, the survey said. Cotton, severely damaged by floods and rains last year, recorded 10.2m bales compared to 4.9m bales last year, growing by 108.2pc. Rice output also saw a significant increase — up by 34.8pc — reaching 9.9m tonnes compared to 7.3m tonnes.



Cotton ginning, with 0.3pc share in the GDP, grew by 47.2pc due to the significant increase in cotton production.

Sugarcane and maize, however, declined by 0.4pc and 10.4pc, respectively, mainly due to a drop in acreage. Sugarcane production came down from last year’s 88m tonnes to 87.6m tonnes, and maize came down from 11m tonnes to 9.8m tonnes. Though the sugarcane production area decreased, its yield increase (kg per hectare) is encouraging, highlighting the optimal agriculture policy mix.

Other crops have also shown a 0.9pc growth compared to a decline of -0.92pc last year. There was 8.4pc growth in fruits, 5.8pc in vegetables, and 1.5pc in pulses.

The survey reveals that water availability during Kharif 2023 increased to 61.9 million acre-feet (MAF) from 43.3 MAF in Kharif 2022 (flood year), meeting crop requirements. For Rabi 2023-24, water availability was recorded at 30.6 MAF, showing an increase of 4.1pc over Rabi 2022-23.

Overall domestic production of fertilisers during FY24 (July-March) increased by 17.3pc to 3.25m tonnes compared to 2.77m tonnes in the same period of FY23. Fertiliser imports also increased by 23.7pc, reaching 524,000 ton­nes. Consequently, the availability of fertilisers increased by 18.1pc to 3.77m tonnes.

The total offtake of fertiliser nutrients also saw an 18.7pc increase, reaching 3.95m tonnes. This was attributed to the extraordinarily low offtake during the previous year due to floods. Although gas prices for urea plants increased, the rise in average prices of urea and other nitrogen-containing fertilisers was disproportionately high compared to the increase in gas prices.



Agricultural lending during July-March FY24 went up by 33.3pc from Rs1.22 trillion disbursed during the same period last year to Rs1.63tr. It achie­ved 72.7pc of the annual target.

The outstanding portfolio of agricultural loans increased by Rs105.8 billion to reach Rs818.7bn by March 2024, compared to Rs712.9bn at the end of March 2023, reflecting a 14.8pc growth.

Livestock, which accounts for 60.8pc of the agricultural sector and 14.6pc of GDP, grew by 3.9pc in FY24, up from 3.7pc last year.

The forestry sector, contributing 2.3pc to agricultural value addition and 0.56pc to GDP, flourished by only 3.05pc compared to a significant 16.63pc growth last year.

The fishing sector, which claims 1.30pc of agricultural value addition and 0.31pc of GDP, grew by 0.81pc, up from 0.35pc the previous year.

During July-April of FY24, total fish production reached 720.9m tonnes, comprised of 410.9m tonnes from marine fisheries and the remainder from inland waters fisheries. The major fish buyers included China, Thailand, Malaysia, the Middle East, Sri Lanka, and Japan with 207,000 tonnes of fish and fish preparations exported, earning approximately $534.22m.

[Riaz Haq]

Pakistan's fruit exports up 17.85% in first ten months of current fiscal year

https://www.freshplaza.com/asia/article/9629192/pakistan-s-fruit-ex...

Pakistan's fruit exports experienced a 17.85% rise in the first ten months of the current fiscal year compared to the corresponding period of the previous year. This increase is documented by the Pakistan Bureau of Statistics (PBS), highlighting an escalation from 232,700 million dollars to 274,227 million dollars during July-April (2023-24). Furthermore, a significant 29.32% year-on-year growth was observed in April 2024, with exports reaching 8.161 million dollars against the 6.311 million dollars recorded in April 2023.

Despite the annual growth, a month-on-month comparison shows a 58.51% decrease in April 2024 from 19.629 million dollars in March 2024. Additionally, Pakistan's overall merchandise exports saw a 9.10% increase during the first ten months of the fiscal year 2023-24, totaling 25.280 billion dollars as opposed to 23.171 billion dollars in the same timeframe of the previous year.

[Riaz Haq]

Pakistan exports first shipment of cherries to China | Article | Fruitnet

https://www.fruitnet.com/asiafruit/pakistan-exports-first-shipment-...


Pakistan has shipped its first consignment of fresh cherries to China marking the opening of Asia’s largest market for the industry.

The Trade Development Authority of Pakistan (TDAP) announced the shipment was dispatched to China on 5 June. It said under the phytosanitary agreement with China over 100 orchards have been registered with China’s General Administration of Customs.

According to a report from Dawn, the first shipment contained 6 tonnes of cherries and was transported by refrigerated truck over the border. The cherries were grown in key the key production region of Gilgit-Baltistan, which produces approximately 5,000 tonnes a season.

Following the initial shipment Pakistan hopes to ramp up supply and send 260 tonnes of cherries to China by the end of the month.

The Pakistan Horticulture Development & Export Company (PHDEC) has been working with the local cherry industry on development, helping to educate growers on producing popular varieties.

PHDEC chief executive Athar Hussain Khokhar said by producing the required varieties of cherries, the country can capture a slice of the China market.

“Proximity and growing demand for the fruit in the Chinese market are a major competitive advantage to Gilgit-Baltistan growers,” Khokhar said.

[Riaz Haq]

Pakistan is the world's third largest producer of goat meat after China and India.

Pakistan ranks 3rd with 532 million kg of goat meat produced in 2023

China tops with 2.5 billion kg, followed by India with 550 million kg.

https://www.tridge.com/intelligences/goat-meat/production

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Pakistan opens the Jordanian meat market - Euromeatnews.com

https://euromeatnews.com/Article-Pakistan-opens-the-Jordanian-meat-...

Pakistan is tapping the Jordanian meat market, as three slaughterhouses are already approved to export bovine, camel, sheep and goat meat to Amman. For the last few years, Jordan has imported constantly around 150,000 tonnes of halal meat, worth $464 million. According to the Ministry of National Food Security and Research data, the total volume of meat production in Pakistan was 4,708 tonnes in 2019-20. Of this, 2,303 tonnes was beef, 748 tonnes was mutton and 1,657 tonnes was poultry. Pakistani meat exporters are facing intense competition in the halal meat market from other countries like India, Brazil, Australia and Africa. However, the country wants to focus on camel meat exports. "Pakistan has recently become a top exporter of camel meat in the world", mentioned Ismail Suttar, President of Employers Federation of Pakistan. The global halal meat market is projected to reach a value of $3.2 trillion by 2024. Nevertheless, top exporters in this market are Brazil, Australia and India. "Not even a single Muslim country falls in the list of top five global exporters of halal products", commented Ahmad Jawad, former chairman of agriculture committee for the Federation of Pakistan Chambers of Commerce and Industry.
Major importers of halal meat are represented by Saudi Arabia, Malaysia, the United Arab Emirates, Indonesia and Egypt.

[Riaz Haq]

Pakistan stands as the world’s 5th largest mango producer

https://www.freshplaza.com/latin-america/article/9642058/pakistan-s...

Pakistan stands as the world's 5th largest mango producer, offering 24 unique varieties. The mango season, active from May to August, is centered in Punjab and Sindh, home to the Sindhri and Chaunsa varieties. Despite its global standing, Pakistan exports only 6 to 7% of its mango production, facing challenges in production, processing, transportation, and compliance with international standards.

This year, production declined due to pests and climate issues, yet the country continues to meet domestic demand and export. The majority of exports, about 75%, target GCC countries via sea, air, and land. Efforts to improve air shipment logistics are in progress to maintain quality and competitive pricing.

Enhancing branding and packaging is vital for competing internationally. Unlike Mexico and India, Pakistani mangoes lack a strong global brand, affecting their pricing abroad. Streamlining regulatory compliance and export procedures is also crucial for smoother market access.

Strategic initiatives aim to strengthen marketing, upgrade processing facilities, and explore new markets in Europe, Africa, Iran, and China. These efforts are expected to diversify export destinations and support the sector's sustainable growth.

With targeted efforts to address challenges and seize opportunities, Pakistan aims to boost its mango exports, contributing to economic growth and its global trade footprint.

[Riaz Haq]

As climate change threatens Pakistan mango exports, surge in Middle East demand offers some hope

https://www.arabnews.pk/node/2545171/pakistan

ISLAMABAD: The All Pakistan Fruit and Vegetable Exporters Association (APFVEA) said on Sunday that Pakistan might not meet its target of exporting 100,000 metric tons of mangoes this year due to adverse effects of climate change on its production, with officials pinning their hopes on a surge in demand from the Middle East.

Pakistan is the world’s fourth-largest mango producer and the fruit export generates millions of dollars in revenue annually, according to the APFVEA. Additionally, mangoes serve as a cultural symbol and a diplomatic tool that help the government strengthen international connections.

Pakistan has faced mango export challenges in recent years due to adverse weather, and pest and fruit fly infestation, with production declining for the third consecutive year in 2024.

The country produces around 1,800,000 metric tons of mangoes annually, with 70 percent grown in Punjab, 29 percent in Sindh and one percent grown in Khyber Pakhtunkhwa.

“We had set a target of exporting 100,000 metric tons of mangoes this season, but it seems unachievable due to the pronounced negative impact of climate change on Pakistan’s mango orchards resulting in less production and a lack of export-quality mangoes,” Muhammad Shehzad Sheikh, the APFVEA chairman, told Arab News.

Due to the weather this year, he said, mango production was down by up to 40 percent in Punjab and 20 percent in Sindh, reducing the overall production by around 600,000 metric tons.

He said the APFVEA reduced this year’s target because it could not achieve the export target of 125,000 metric tons last year and exported only 100,000 metric tons of mangoes in 2023.

“With the export of 100,000 metric tons of mangoes during the current season, if achieved, a valuable foreign exchange of $90 million would be generated,” Sheikh said.

Expressing grave concerns, the APFVEA chairman said the effects of climate change on fruit cultivation, particularly mangoes, as well as on the larger agricultural sector were intensifying with each passing year.

“Extended winters, heavy rains, hailstorms and subsequent severe heatwaves have altered disease patterns throughout the seasons,” he explained, stressing an urgent need for research-based solutions to mitigate these effects and warning that failure to promptly do so could further jeopardize mango production and exports.