According to the sources, it has been reported that Pakistan’s estimate to export 4.5 million tons of rice which may be fetching approximately $2.0 billion for the year 2016-17 as experts pin hopes on higher hybrid production as well as pro-agriculture and pro-export measures announced by the government.The office of Global Analysis USDA has raised Pakistan’s exports forecast by 0.1 million tons to 4.5 million tons on a stronger pace of trade. Further, the USDA projects around 20 percent larger purchases by Saudi Arabia and Azerbaijan from Pakistan. As per information available, it has also been indicated that Saudi Arabia would import around 1.6 million tons of rice during the period.
According to the data on Pakistan’s rice exports, it has been revealed that the country has crossed 4.0 million ton mark in the past, and there is sufficient demand in the international market too. Further, if the country’s production during the year comes to 7.0 million tons, the rice exports will surely surge to 4.5 million tons. In this matter, Mr Mahesar narrated that there were some concerns pertaining to hybrid produce, but the positive point is that China, which is a big market, likes hybrid produce. According to Pakistan Bureau of Statistics (PBS), the country exported 3.946 million tons of rice fetching $1.7 billion during July-May 2015-16. While, for the year 2016-17, USDA Grain Report forecasts global production at a new record, primarily due to a larger crop in the United States. However, global trade forecast lower, with reduced imports and consumption in Bangladesh, Iran, and Nigeria.
Furthermore, in this context, it has been explained by Mr Ahsan Mehanti, Director at Arif Habib Commodities, that the Government had announced several incentives for the promotion of agriculture as well as exports, which would be reflected in overall agro-based production. However, the higher production of any commodity cannot guarantee higher exports. In case, if rice production numbers grow northwards globally, and competitors offer better rates, then the Pakistan’s exports might take a hit as it has been stated by Mr Mehanti. Further, it has also been told that the Middle East and Africa were the primary markets for Pakistani rice, while Thailand, Vietnam and India were competing producers. It has been revealed in the report that India’s rice export quotes were lower than Pakistan in last year, and the concerned authorities should note and focus on better marketing accordingly.