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Pakistan likely to export 3m tons rice, despite floods

The country consumes about 2.2 million tons annually and is the world’s fifth largest exporter of the grain.

Published: September 9, 2010

Dealers say the stock situation is not so bleak.

ISLAMABAD: Pakistan will have up to three million tons of rice available for export this year despite the worst floods in its history that damaged nearly 28 per cent of the crop, traders said on Wednesday.

“The damage assessment is still ongoing, but even in the worst case scenario, we will have an output of between 4 and 4.5 million tons,” Malik Muhammad Jahangir, chairman of the Rice Exporters Association of Pakistan, told Reuters.

“The situation is not so bad, as we have stocks from the previous crop also. I think we can still export between 2.5 and 3 million tons.”

“Despite floods damage, we will be having a surplus of up to three million tons that has to be exported as it cannot be consumed here,” said Muhammad Azhar Akhtar, former REAP president and owner of Mazco Industries (Pvt) Ltd.

Floods have affected more than 708,000 hectares (1.7 million acres) of rice out of the total 2.64 million hectares, according to government estimates. Production losses are feared at around two million tons.

The government had set an output target of six million tons from the 2010-11 crop. The country consumes about 2.2 million tons annually and is the world’s fifth largest exporter of the grain.

Pakistan has about half a million tons of milled rice from the previous crop and mainly exports long grain Basmati rice to the Middle East, Europe and Asia.

A US Department of Agriculture attache report, issued on August 31, revised rice production estimates for Pakistan to 4.4 million tons from the 2010-11 crop. The report, which is not official USDA data, likewise reduced Pakistan’s rice exports for the year to an estimated 2.3 million tons.

Rice is Pakistan’s third biggest crop after wheat and cotton and contributes about 1.6 per cent to the gross domestic product. The country had a bumper crop of 6.7 million tons of milled rice in 2009-10 and exported about 4.5 million tons, traders said.

Published in The Express Tribune, September 9^th, 2010.

OA

Sep 9, 2010 - 11:45AM

Reply

Here’s a tip, instead of exporting this rice and importing tons of other food stuff to feed pakistani flood victims. Why doesn’t the govt. buy this surplus rice at the a price close to the export price and distribute it amongst the poor hence substituting some amount of possibly more expensive food stuff we would have to import for flood victims.Recommend
ramesh jeswani

Sep 9, 2010 - 11:08PM

Reply

in the my view crop damaged due to flood in pakistan about about 20 percent in lower sindh, 60 in upper sindh balochitan, 5 percent in punjab while some areas had ban to cost the crop by government due to shortage of water, which is the 7 to 8 percent of total crop. This year growers has expend the too much money on crop. They have purchase good hybrid seed, fertilizer include microneutrants, pesticides and land level equipment to achieve for good yield. i think present crop will be healthy and give good yield, which will recover about 12 to 15 percent of total crop. meanwhile total crop damaged and left is 40 percent. if we less recoverable crop 12 to 15 then it will be 25 to 27 percentageRecommend
Muhammad Shahbaz Yousuf

Sep 10, 2010 - 7:38AM

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From my point of view, this year the crop of rice will be at par with previous year or surplus. The reason is that we have many many rains during these last couple of months and we still have rains. Secondly our dams are full with waters, therefore supply of water for cultivation and irrigation is more. Beside the damages, there is more perceage of cultivation, therefore the crop will be even or at par with previous year or it will be bumper crop.

The reason behind showing damages is to get more prices of the crop in initial times whereas there will be plenty of supply which will reverse the price at later stages. If the crop is bumper then the prices will remain at lower side and traders and commission agent will not be able to take the advantage and benefits out of this situation.Recommend
Toheed Farooqui

Sep 12, 2010 - 4:20PM

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Punjab crop of rice is safe whereas sind has been badly dmaged leaving the irri-6 rice crop damage to the extent of approx 35%.if we could recover more than 65% that would have blend of yellow and damaged rice.This qualiy issue will force the farmer to sell the paddy at lower cost but again miller and exporter this year will make money at the cost of poor farmers.To start with, price will remain slightly higher for the fear of and due to hear-say regarding shortage but gradually as season proceeds and situation will start getting clearer, marke will correct itself coupled with last year stock.Recommend