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Pakistan’s trade statistics at the close of FY26 reveal a worrying trend. Despite being an agrarian economy, the country’s trade deficit in food products has increased significantly. Food exports declined by 29.5 per cent, falling from $7.1bn in FY25 to $5.02bn in FY26, while food imports increased by 12pc, rising from $8.2bn to $9.15bn.
Nearly all of Pakistan’s major food exports — including rice, fruits, vegetables, maize, and sesame —registered a decline during FY26. Although the export volumes of tobacco and spices increased, their export earnings fell because of lower international prices. However, meat and fish exports registered positive growth.
This disappointing performance reflects a combination of structural, policy, and market-related weaknesses.
Pakistan’s agricultural production is primarily geared towards meeting domestic demand rather than serving export markets. Consequently, agricultural exports remain largely surplus-driven, with commodities exported only when production exceeds domestic requirements. Wheat (in surplus years), sugar, maize, and sesame are among the most prominent examples of this pattern.
