In order to increase export
surplus, new techniques required to be introduced at the production level
By AMANULLAH BASHAR
Jul 17 - 23, 2000
While world production of rice is forecast to decline and demand for
rice is to increase at least by 24 million tonnes, the situation offers tremendous
opportunities for rice exporting countries.
Since rice export business is in the hands of the private sector, it's
a major challenge for the rice exporters as well as the growers to grab the opportunity.
Iran, a major buyer of Pakistani rice has already indicated to enhance
its rice imports from Pakistan. The Iranian officials gave this indication when a Pakistan
delegation led by Amjad Rafi; President of Karachi Chamber of Commerce and Industry (KCCI)
visited Iran last month. On the other hand Indonesia which is again a major rice consuming
country has decided to buy at least one million tonne of rice from Pakistan this year.
Indonesia has decided to buy Pakistani rice mainly due to low prices as against prices
offered by other competing countries.
According to Trade and Industry Minister Luhut Pandjaitan of Indonesia,
his government has decided to buy not only rice from Pakistan but also to shift purchase
of one million tonnes of wheat from Australia to Pakistan because Pakistan has offered
much lower prices. It may be mentioned that Indonesia is one of Australia's biggest buyers
of wheat and cotton. Australian figures put exports to Indonesia at $1.4 billion in 1998
led by cotton and wheat.
According to another report, Kenya has also opened vast opportunity for
Pakistani exporters by lifting 50 per cent suspended duty on the import of rice from
Pakistan.
Pakistani High Commission in Nairobi has informed Export Promotion
Bureau that the slashing of 50 per cent suspended duty has reduced prices of Pakistani
rice in Kenyan market. This situation has made Pakistani rice more attractive for Kenyan
importers creating tremendous opportunity for capturing the Kenya's market.
After reduction, the total duty on Pakistani rice will be 36 per cent
making the price even lower in comparison with those countries, which are currently
holding the Kenyan market. Kenya it may be noted produces around 60,000-70,000 tonnes of
rice against its consumption of over 180,000 tonnes per annum. This country import around
120,000 tonnes of rice and this time the situation has tilted in favour of Pakistani
exporters.
This international scenario of rice market seems to have paved the way
for Pakistani rice to grab a leading position in the rice exports.
Rice is the second largest staple food crop in Pakistan is a major
export item accounting for 6.1 per cent of the total export earnings over the last five
years. It accounts for 6.3 per cent in value added in agriculture and 1.6 per cent in GDP.
Production of rice during 1999-2000 estimated at 5156 thousands which is 10.3 per cent
higher than last year as a result of increase in the area, better yield, favourable
climatic conditions and less attack of insects, pests and diseases on the crop during the
year.
It was cultivated on an area of 2515 thousand hectares, which was 3.7
per cent higher as compared to last year.
The yield per hectare is also higher by 6.3 per cent. Area, production
and yield of rice for the last five years is given below:
AREA—PRODUCTION AND YIELD
OF RICE |
Year |
Area |
Production |
Yield |
| . |
(000
Hec.) |
(000 Ton) |
(Kgs/Hec.) |
1995-96 |
2162 |
3966 |
1835 |
1996-97 |
2251 |
4305 |
1912 |
1997-98 |
2317 |
4333 |
1870 |
1998-99 |
2424 |
4674 |
1928 |
1999-2000 |
2515 |
5156 |
2050 |
Local market
reports however indicate that the rice exports last year earned around $523.73 million
with a negative growth in terms of quantity and price. Despite a slight decline in
exports, the commodity still enjoys a leading position in exports and has the potential to
register a tremendous growth this year.
In order to increase export surplus, new techniques required to be
introduced at the production level. According to official sources, the research centers in
the agriculture business have demonstrated successfully a simple, labour and resource
saving technique for raising mat type rice nursery at the farmers field. They have
introduced rice transplanting with Chinese modified Rice Transplanted in major rice
growing areas of Punjab. Mechanically, transplanted rice gave 25 per cent more yields than
manual transplanting mainly because of maintaining higher plant population. Based on
bio-ecological studies, chemical control of rice leaf folder in shaded areas saved 76 per
cent insecticide in managing the pest, official sources observed.
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