Agriculture Declared Priority Sector Under CPEC 2.0
Pakistan and China have taken a major step to strengthen agricultural cooperation. Private sector companies from both countries signed 78 memoranda of understanding worth $4.5 billion. The agreements were finalised at the Pak-China Agriculture Investment Conference.
The development marks agriculture’s formal inclusion as a priority sector under the second phase of the China-Pakistan Economic Corridor. Officials described the move as a shift toward long-term, sustainable economic collaboration.
Minister for National Food Security and Research Rana Tanveer Hussain briefed the media after the conference. He said the agreements would boost bilateral agricultural trade. He added they would attract investment in high-potential sub-sectors.
The minister said the focus was on modernising production systems. Processing capacity will also be upgraded. Commercial partnerships between private firms are expected to expand.
Wide-Ranging Cooperation Across Key Agricultural Sub-Sectors
The MoUs cover cooperation in 10 priority agricultural areas. These include agri-chemicals, agri-machinery, and food processing. Meat, poultry, dairy, and fisheries are also included.
Other areas include fruits and vegetables, animal feed, cold chain systems, and food-grade packaging equipment. Several agreements focus on advanced seed production technology.
The cooperation framework includes export of heat-treated beef and offal. Grain storage and warehouse construction are also part of the plan. Cheese production and export ties will be strengthened.
Improvement of local milk processing machinery is another focus. Projects include buffalo UHT milk and camel milk powder. Poultry machinery and feed mill equipment will be introduced.
Renewable irrigation technologies and bio-pesticides are included. Mango pulp, tea, and rice value addition are key export areas. Fruit processing and fish feed technology also feature prominently.
Pakistan and China will collaborate on citrus orchards. These include sweet and seedless Chinese citrus varieties. Exchange of premium citrus and mango varieties is also planned.
Out of the 78 agreements, 37 are business-to-business investment deals. Twenty-four are joint ventures. Fourteen are partnership agreements.
Export Growth, Policy Reforms, and Investment Facilitation
The government has announced steps to ensure effective implementation. Dedicated monitoring units will be set up in the food security ministry. A similar unit will operate at Pakistan’s embassy in Beijing.
The minister said agriculture cooperation would help increase exports. Pakistan currently exports agricultural goods worth $8 billion annually. The target is to double exports within three years.
He explained the conference was investment-focused. It was not a routine consultative event. Direct private sector engagement was prioritised.
A total of 116 Chinese companies and 165 Pakistani companies participated. Business-to-business matchmaking sessions were arranged. Pakistan presented investable projects and value chains.
Officials confirmed that a milk products export protocol with China has already been signed. More than 25 sanitary and phytosanitary protocols are planned for 2026.
The government plans to introduce a new seed policy. A national agricultural biotechnology policy is also under preparation. These reforms aim to allow regulated GMO seed development.
Proposals are also under review to export pesticides and fertilisers. These exports would target regional and African markets under strict conditions.
Conference participants were informed about Pakistan’s production capacity. Annual fruit production exceeds 10 million tonnes. Vegetable production is over 9 million tonnes. Domestic demand is rising by more than 5 percent each year.
