Opportunities for Agricultural Trade in the Context of the China-Pakistan Economic Corridor

Abstract

The CPEC provides new avenues for agricultural trade between Pakistan and China. In this context, this study aims to explore the opportunities for trade between Pakistan, China, and the Central Asian States. To this end, the study analyzed the structure of agricultural exports and imports of Pakistan with China and the Central Asian States. China’s share in the production of agricultural commodities is dominant in the world. China’s per acre yield of pulses has the highest position in the world. The structure of Pakistan imports revealed that Pakistan spends billions of rupees on the imports of agricultural commodities. China’s import structure revealed that it spends billions of dollars on the imports of maize, wheat, rice, horticultural fruits, and vegetables. The Central Asian states also import wheat, meat products, agricultural inputs, and horticultural commodities from neighboring countries. The export/import volume of China with the Central Asian states has an almost equal share. However, the results indicate that there is a large gap between China and Pakistan’s export and import shares. China has a higher share of imports while Pakistan has low export share with China. The study recommends to the policymakers that the volume of export should be increased with China as well as the Central Asian states.