Punjab’s Agricultural Potential Set to Drive $3 Billion Processed Food Trade Under CPEC, PCJCCI Reports

Lahore: The Pakistan-China Joint Chamber of Commerce and Industry (PCJCCI) today highlighted the significant role of Punjab’s food processing sector in boosting economic collaboration and export growth through the China-Pakistan Economic Corridor (CPEC). During a think tank session at the PCJCCI Secretariat, the potential for this sector to become a key contributor to the bilateral trade was underscored.

Nazir Hussain, President of PCJCCI, emphasized Punjab’s vast agricultural resources, advocating for increased Chinese investment and technology transfer. He noted that Punjab accounts for 57% of Pakistan’s total cropland, producing 80% of the nation’s wheat and a major share of citrus, guava, and mangoes.

Brig. Mansoor Saeed Sheikh (Retd), Senior Vice President of PCJCCI, stated that Punjab’s economy, contributing nearly 19% to the national GDP, is the largest in any Pakistani region. He pointed out the potential for significant growth in the food processing industry, driven by the province’s extensive agricultural output and strategic location. The CPEC’s infrastructural developments and access to Chinese technology and capital are expected to catalyze this expansion, fostering job creation and export diversification.

Zafar Iqbal, Vice President of PCJCCI, highlighted the presence of over 2,300 Chinese firms in Pakistan’s CPEC-linked sectors, reflecting strong investor confidence. He mentioned that CPEC Phase II will see enhanced cooperation in food processing, post-harvest handling, and mechanization. A notable development is the Chinese agritech company Sichuan Litong Food Co.’s plan to start a 1,000-acre pepper pilot in Multan, aiming for a $3 billion annual trade in processed food by 2026.

Salahuddin Hanif, Secretary General of PCJCCI, reiterated China’s interest in joint ventures within the food sector, focusing on technology transfer to minimize post-harvest losses and enhance exports. He identified opportunities in various areas such as fruit pulp, frozen concentrates, and vegetable canning. Hanif also advocated for leveraging Special Economic Zones like Sheikhupura’s Quaid-e-Azam Business Park to promote modern technologies and infrastructure improvements in the food sector.