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August 24, 2008 Sunday Sha'aban 21, 1429



Bumper rice crop of 6m tons likely this year



By Our Staff Reporter


ISLAMABAD, Aug 23: The Ministry of Food, Agriculture and Livestock (Minfal) is hopeful of crossing 5.9 million tons rice production this year, about 9 per cent more than last year.

The government has fixed this year’s rice production target at 5.5 million tons, but data collected by Minfal from its field officers and provinces show that Pakistan will be able to reach close to 6 million tons after harvest that is about to start in Sindh this month and will commence in Punjab in October-November.

The increase in the rice production is expected not due to surge in per acre yield, but around 8 per cent increase in the sowing area than the last year’s 5.7 million hectares. Last year, the per-hectare yield was 2,211 kg.

The increase in the sowing area was mainly due to an unprecedented hike in the price of rice in the international market and better pay back to local farmers.

According to official data, Punjab is expected to produce around 3 million tons of rice, followed by Sindh with 2.5 million. Around 500,000 to 800,000 tons rice is expected from the NWFP and Balochistan.

Rice Commissioner Inayatullah Khan told Dawn that recent rains had not damaged the rice crop and that farmers’ interest in the crop had increased after getting better price last year.

In response to a question, the rice commissioner said normally 45 per cent of the Pakistani rice was of fine type (Basmati) and 55 per cent coarse (Irri).

Meanwhile, the Rice Exporters Association Pakistan (REAP) expects this year’s rice export to touch the five million tons, way over the 3.33 million tons last year.

From the last year’s rice export, the country earned around $1.818 billion compared to $1.125 billion in the previous year when the country exported 3.129 million tons. The skyrocketing increase in the international market had enabled the country to see over 61 per cent value addition in the price of rice last year over the previous year.

But, a bumper crop this year is not believed to resolve the issue of the highest ever domestic rice prices. Domestic prices of the commodity have already doubled this year despite a good crop last season, as exporters took advantage of a tight global market.

Exports of basmati rice had increased by over 40 per cent to 1.28 million tons last year, while other varieties declined by nearly 7 per cent to 2.06 million tons.

But, amidst expectations of a high crop, there are also reports of hoarding. There are reports of massive stocks of rice lying in private godowns in Karachi and other areas of the country. These stocks are not being released in the domestic market in order to ease prices.







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