ISLAMABAD:
India is the world’s largest rice exporter accounting for more than 40% of global shipments. Its ban on non-basmati white rice exports, which accounts for about 25% of its total rice exports is aimed at curbing domestic inflation and ensuring adequate availability of rice in the Indian market. However, this decision will create a supply shortage and drive-up international prices, which have already been hovering close to a five-year peak.
Pakistan is the fourth largest rice exporter in the world and one of the major rice producers and consumers. Pakistan’s rice production is approximately 8.9 million tonnes, and its exportable surplus is at 4.8 million tonnes. The country mainly exports non-basmati varieties of rice to low and middle-income countries in Africa, Asia, and the Middle East. Therefore, India’s ban on rice export can potentially benefit Pakistan’s rice sector in several ways. Demand for Pakistan’s rice exports will increase as buyers of Indian rice will turn to Pakistan as an alternative source of supply. This will boost the competitiveness and profitability of Pakistan’s rice sector, which has been facing challenges from climate change, pests, diseases, and input costs.
Pakistan can diversify its export markets and products by exploring new opportunities in high-value markets as well as promoting basmati rice as a premium product with unique characteristics. This will enhance the value and quality of Pakistan’s rice exports. Pakistan should invest in research and development to improve its rice productivity and quality, especially in hybrid varieties that have higher yield potential and resistance against climate change, pests, and diseases. This will allow Pakistan to achieve food security, self-reliance in rice production, and cope with future shocks and uncertainties. The Pakistani government must take advantage of this opportunity and support the rice sector with appropriate policies and incentives.
Published in The Express Tribune, July 31st, 2023.
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