Karachi, July 23, 2025 – Pakistan’s rice export sector has taken a major hit during fiscal year 2024-25 (FY25), witnessing a sharp 15% decline in overall export value.
According to the latest data released by the Pakistan Bureau of Statistics (PBS), rice exports dropped from $3.93 billion in FY24 to $3.36 billion in FY25—a fall of 14.7%.
This downward trend in rice export is being attributed to multiple factors, including weak global demand, falling international prices, and a controversial two per cent additional tax imposed on exporters. Experts have cautioned that this policy shift is affecting Pakistan’s ability to remain competitive in the global rice market.
Rafiq Suleman, former chairman of the Rice Exporters Association of Pakistan (REAP) and convener of the Rice Committee of the FPCCI, strongly criticised the new tax regime. “Had the export policy been formulated in consultation with REAP, we could have not only improved export figures but also secured much-needed foreign exchange for the country,” he stated. He added that rice exporters had shown resilience despite systemic challenges, including delays in plant protection approvals that brought rice export activities to a standstill for nearly a month.
In terms of volume, Pakistan exported 5.8 million metric tonnes (MMT) of rice in FY25, down from 6 MMT the previous year—a decline of 3.7%. Non-Basmati rice, which accounts for more than 85% of the country’s total rice export, suffered the steepest losses. Its export value fell by 17.4% to $2.52 billion, with volume slipping by 4.7%.
Basmati rice performed relatively better in terms of quantity, with exports increasing by 3% to 797,000 tonnes. However, earnings dropped by 5.2%, reaching $832 million—down from $877 million in FY24. The average export price per kilogram also dropped significantly, falling 9.1% from Rs320.8 to Rs291.6.
The month of June 2025 saw the most dramatic slump, with rice export revenue plunging by 40.6% from May and 37.1% on a year-on-year basis. Only $150 million worth of rice was exported in June.
As a result of this decline, rice’s share in Pakistan’s total exports fell from 12.8% to 10.5%, raising alarms among exporters. The situation demands immediate policy review and government support to revive rice export performance and protect this vital source of foreign exchange.