Rice exports lead recovery, while food imports rise by a modest 3.44% year-on-year
ISLAMABAD, October 18, 2026: Pakistan’s food exports recorded a strong recovery in the first quarter of FY2026-27, rising 25.31% year-on-year to $1.388 billion, primarily driven by a sharp increase in rice shipments, according to data released by the Pakistan Bureau of Statistics (PBS).
Food exports stood at $1.108 billion in July-September FY2026, reflecting a significant improvement following a weak performance in the preceding fiscal year. In FY2026, food exports declined 29.49% to $5.017 billion from $7.116 billion in FY2025.
Rice remained the principal driver of export growth during the quarter, with export value increasing 55.89% year-on-year. Basmati rice exports recorded an impressive recovery, rising 86.28% in value, while non-basmati rice exports grew 39.20%. Export volumes also strengthened, with basmati shipments increasing 80.21% and non-basmati volumes rising 43.55%.
To support exporters amid subdued international demand, the Ministry of Commerce extended the rice export subsidy scheme by another three months and increased the Duty Drawback of Local Taxes and Levies (DLTL) rate for non-basmati rice.
Several other food-related export categories also posted positive growth during the quarter. Tobacco exports increased 44.21%, followed by meat products at 21.09%, spices at 18.94% and fish products at 14.61%. Oilseed exports also recorded an increase. Meanwhile, the government has permitted the export of 200,000 tonnes of sugar during the current fiscal year.
However, the recovery remained uneven across product categories. Fruit exports declined 30.62%, while vegetable exports fell 20.48%, highlighting continued weaknesses in some segments of the country’s agricultural export sector.
On the import front, Pakistan’s food import bill increased by a relatively modest 3.44% to $2.330 billion in July-September FY2027, compared with $2.252 billion in the corresponding period last year. The resulting food trade deficit stood at approximately $942 million, reflecting the difference between food imports and exports during the quarter.
Palm oil remained Pakistan’s largest food import, followed by pulses, tea and soybean oil. Palm oil import value declined 2.30%, while import volumes fell 13.75%. Pulse imports decreased by 12.07%, while soybean oil imports remained negligible. In contrast, tea imports increased 25.54% and milk product imports rose 2.80%. The import bill for other food items collectively increased 24.19%.
The government has also approved plans to import wheat to address an anticipated shortfall in domestic production, highlighting continued pressure on the country’s food supply requirements.
Pakistan’s food trade performance in the opening quarter of FY2027 reflects a substantial improvement in export earnings, largely supported by the recovery in rice shipments. However, the persistent food trade deficit and the need for additional wheat imports underscore the importance of improving agricultural productivity, diversifying export markets and strengthening the competitiveness of domestic food producers.
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