Pakistan and Bangladesh Strengthen Trade Ties Through Rice Exports

Pakistan is exporting 100,000 tonnes of rice to Bangladesh in a demonstration of improved bilateral trade relations. This major export follows enhanced government-level trade starting earlier this year. If successful, it could boost Pakistan's declining rice export sector, which faces competition and regulatory challenges.

Pakistan is set to export 100,000 tonnes of rice to Bangladesh, marking a significant step in improving trade relations between the two nations following political changes in Bangladesh last August.

The Trading Corporation of Pakistan (TCP) issued a tender last week for this export, which represents the largest shipment from Pakistan to Bangladesh yet. This follows the export of a 50,000-tonne batch earlier this year as the countries initiated government-level rice trade.

Waqar Ahmed, a leading rice exporter, noted that increased trade with Bangladesh would benefit the Pakistani economy, which suffered a 28% drop in rice exports in early fiscal year 2025-26. Complications from government barriers, competition from India, and recent policy changes have contributed to this decline. However, opportunities exist to expand exports to new markets like the U.S., where tariffs on Indian goods provide a competitive advantage for Pakistan.

(With inputs from agencies.)