July 25, 2011
 

Pakistan wheat exports pass 1.7 million tonnes in 2010/11

 

 

Pakistan's wheat exports crossed 1.7 million tonnes during the 2010/11 fiscal year due to a bumper crop and rising demand in the international market, but falling wheat prices in the world market may slow exports this year.

 

Exporters said Friday (Jul 22) that "cheap and easy" availability of wheat on the domestic market allowed exports to rise to that level, after a lifting of a wheat export ban.

 

Pakistan banned wheat exports in 2007 after shortages and high prices in the domestic market. The ban was lifted in December 2010.

 

This is the second time on record that wheat exports have crossed 1.7 million tonnes, with 1.8 million tonnes exported in the 2001/02 fiscal year, supported by a government subsidy in the "millions of rupees", according to exporters.

 

The wheat exported in the 2010/11 fiscal year was not subsidised by the Pakistan government, according to exporters, who added that the country has earned US$587 million in the 2011 fiscal year compared with US$0.735 million in the 2010 fiscal year, an increase of 79,776%.

 

However, wheat prices on the international market have been falling with the arrival of the new crop and the reintroduction of Black Sea grains.

 

Wheat had been exported at US$330-340 a tonne, which has dropped to less than US$300, slowing exports.

 

Pakistan had earlier aimed to export nearly three million tonnes of wheat by mid-July.

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