Islamabad, March 15, 2026 – Pakistan’s rice exports have suffered a sharp 40% decline during the first eight months (July–February) of fiscal year 2025-26, compared to the same period last year, raising concerns of further contraction amid the ongoing Iran war.
According to data from the Pakistan Bureau of Statistics (PBS), rice exports dropped to $1.49 billion in 8MFY26 from $2.48 billion in the corresponding period of FY25. Analysts warn that escalating geopolitical tensions in the Middle East could further disrupt trade routes, especially shipping communications in the Gulf region, a key market for Pakistani rice.
Although rice exports were already showing signs of slowdown before the Iran conflict, the situation worsened after February 28, 2026, when the United States and Israel launched attacks on Iran. The war has significantly affected regional shipping lanes, making transportation of export goods to Gulf countries increasingly difficult.
Saquib Fayyaz Magoon, Senior Vice President of the Federation of Pakistan Chambers of Commerce & Industry (FPCCI), highlighted that the Middle East tensions have prevented several cargo vessels from docking at Pakistani ports, while ships scheduled for Gulf destinations are now rerouting, leaving large volumes of export containers stranded.
In a discussion with Rafiq Suleman, Convener of the FPCCI Standing Committee on Rice Exporters, Magoon emphasized that rice consignments were particularly vulnerable. He warned that forced offloading and re-transportation of containers would inflate logistics costs, further squeezing profit margins in an already tight market and potentially causing heavy financial losses for exporters.
Experts say if the Gulf conflict prolongs, Pakistan’s rice export sector could face unprecedented challenges, risking both revenue losses and market share in the global rice trade.