ISLAMABAD: Pakistan commemorates its inaugural shipment of dried red chillies to China, marking a significant breakthrough in bilateral trade relations.
Pakistan, the 5th most populous country globally and 41st largest economy, has sustained a steady economic growth averaging 2.89 percent over the last five years. The nation’s economic landscape is primarily driven by the services sector, contributing 58.6 % to the GDP, followed by agriculture (22.9 %) and industry (18.5 %).
Agriculture, accounting for 23 % of Pakistan’s GDP and employing 37.4 % of the national labor force, remains a pivotal sector. The country’s agricultural eminence is underscored by its position as the world’s 4th largest exporter of rice, now expanding its exports to include dried red chillies to China.
Recent years witnessed a decline in Pakistan’s dried red chilli exports, prompting strategic collaborations under the China Pakistan Economic Corridor (CPEC). The successful implementation of a 2021 pilot project testing chilli cultivation in Pakistan laid the foundation for this remarkable achievement.
Federal Minister for National Food Security and Research, Dr. Koasar, hailed this move as a crucial step in fortifying trade ties between the two nations and enhancing global food security.
China’s involvement in contract farming, employing modern technology, and providing training to local farmers, has helped in unlocking the potential for high-quality chilli production in Pakistan. The project’s success on model farms, yielding 700 tons of dried chillies, underscores the promising prospects of this collaboration.
Minister Dr. Gohar Ejaz, Minister of Commerce and Industries, emphasized this breakthrough’s potential to surpass $20 billion in agricultural exports to China in the coming years. Leveraging the Pakistan-China Free Trade Agreement, Pakistan stands to gain substantially with zero tariffs, boosting its competitiveness in the region.
With both governments endorsing signed protocols, Pakistan is set to emerge as a significant supplier of high-quality chillies to the Chinese market, fostering further collaborations and economic growth.
Mr. Zheng Xiaohui, Development Manager at Sichuan Litong Food Co., Ltd., extended gratitude to Dr. Allah Ditta Abid, Director-General, Department of Plant Protection, acknowledging exceptional leadership and professional capabilities in supervising the entire process. Special appreciation was offered to Muhammad Sohail Shahzad, Director Technical DPP, and Mahwish Aziz, Entomologist Quarantine DPP, for their dedicated efforts in initiating and finalizing the protocol with the General Administration of Customs of China (GACC), crucial in expediting the chili exports.
For Pakistan, this milestone signifies not merely an export achievement but heralds its agricultural products’ prosperous journey into the international market as the inaugural shipment sets course for China.
Good news, but question
“steady economic growth averaging 2.89 percent over the last five years”
Does this take into account population growth ?
If not no per capita growth in last five years ? Or maybe 0.5% ?
Good news
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