Pakistan, China to sign multi-million dollar MoUs for joint venture investments in agriculture

Pakistan and China are set to sign multiple memorandums of understanding (MoUs) for private-sector joint venture investments worth millions of dollars in agriculture, following the Pakistan-China Agricultural Investment Conference held in Islamabad on Monday. The agreements will span ten key sectors, including agriculture, food processing, livestock, fisheries, agri-inputs, farm machinery, renewable energy, logistics, technology, and value-added exports.

The conference saw significant participation, with 119 Chinese companies and 191 Pakistani companies attending, reflecting the growing interest in bilateral commercial ties. Agriculture has been designated a priority area of cooperation under the second phase of the China-Pakistan Economic Corridor (CPEC).

The ten priority sub-sectors identified for investment include agro-chemicals, agricultural machinery, food processing, meat and poultry, dairy products, fruits and vegetables, fisheries, cold chain logistics, and food-grade packaging.

The Ministry of National Food Security and Research also outlined plans to sign more than 25 sanitary and phytosanitary (SPS) and export protocols with key trading partners, including China, throughout 2026.

Despite Pakistan’s fertile land and low labor costs, the country faces a significant productivity gap of $95 billion due to low technology adoption and inadequate infrastructure. Minister for National Food Security and Research, Rana Tanveer Hussain, reaffirmed the government’s commitment to facilitating Chinese investments, ensuring smooth regulatory processes, and fostering coordination with relevant departments.

Prime Minister Shehbaz Sharif, speaking at the conference, emphasised Pakistan’s untapped potential in agriculture. He stressed that the sector could be transformed within months, not years, through modern technologies, improved productivity, and strengthened ties with China. 

The PM underscored the importance of developing value chains, enhancing cold storage, and focusing on value addition to make Pakistani produce globally competitive. He praised China’s achievements in agriculture, technology, and manufacturing, and urged Pakistan to generate an agricultural trade surplus by focusing on higher yields, competitive pricing, and superior quality with the support of Chinese expertise.