April 30, 2007

USDA: Pakistan to increase oil seed production in 2007/2008

Pakistan's production of oilseed, meal and oil are seen to increase marginally in marketing 2007/2008 due to enhanced local supply as well as its expanding poultry sector, the US Department of Agriculture said in its Pakistan Oilseeds and Products Annual 2007 report.

Oilseed production is expected to grow slightly by three percent due to anticipated growth in cotton, sunflower and rapeseed area and productivity. For the past years, oilseed production has relied heavily on imports to support its solvent extraction industry. As government tries to improve its local production, it aims to capture the value-added benefits of imported oilseeds and pass it on to domestic meal and oil producers.

Soybean meal production is seen to surge by 4 percent due to abundant supply of local and imported oilseeds as well as the growing poultry industry after the avian influenza outbreak last year. Local processors had been importing soybeans meal to meet the increasing demand for mixed-feed formulations.

On the other hand, oil imports are expected to jump by six percent due to growing population and mounting health awareness regarding substitution of vegetable oils from animal fats. Palm oil remains the primary imported oil.

For the full USDA report, please click here