Karachi, May 1, 2025 – Pakistan’s rice exporters have called on the government to offer tax incentives to strengthen the rice sector and boost foreign exchange earnings.
In a meeting held at the Federation House, former Chairman of the Rice Exporters Association of Pakistan (REAP) and Convener of FPCCI’s Standing Committee on Rice, Rafiq Suleman, discussed these demands with Finance Minister Senator Muhammad Aurangzeb.
Suleman told the finance minister that while rice exports have grown compared to last year, there is still significant potential for improvement. He stressed that if the government reduces the tax burden on exporters, Pakistan’s rice industry could expand even further, resulting in increased export volumes and valuable foreign exchange inflows.
He also urged the inclusion of the rice sector among the government’s specially supported export industries. Currently, five other export-oriented sectors benefit from special facilities, while the rice exporters, despite contributing substantially to the national economy, have not received the same level of support.
Suleman highlighted the benefits of adopting modern farming practices. He suggested that if Prime Minister Shehbaz Sharif encourages provincial governments to promote mechanical farming, it could lead to a 50–60% increase in crop yields. Improved productivity would not only help local farmers but also increase rice exports, strengthening Pakistan’s position in the global market.
Additionally, Suleman proposed removing taxes on the import of agricultural machinery used in the rice sector, including silos and dryers. He pointed out that proper storage facilities with temperature control can reduce spoilage of crops like wheat, maize, and rice, thereby improving food security and supporting economic stability.
The finance minister responded positively, acknowledging that rice exporters are playing a key role in earning foreign exchange for the country. He assured the delegation that the government would carefully consider their suggestions, especially ahead of the upcoming budget.
Aurangzeb also reaffirmed his earlier promise to visit the REAP House and meet more members of the rice exporting community soon. He emphasized that resolving issues related to the rice sector would be treated as a priority by the government.
This development has raised hopes among exporters for a more favorable policy environment that will allow Pakistan’s rice industry to flourish further on the international stage.