Key Points
- Pakistan faces surplus potato production due to expanded cultivation and carryover stocks
- Commerce minister rules out artificial price controls, prioritises direct farmer support
- The government considers time-bound freight facilitation to improve export competitiveness
- Focus on Central Asia, the Middle East, and the Asia-Pacific markets for diversification
ISLAMABAD: Pakistan is considering a calibrated export push and targeted support measures for farmers after a surge in potato production led to a domestic glut and falling farm-gate prices, officials said following a high-level meeting chaired by Commerce Minister Jam Kamal Khan on Tuesday.
The meeting reviewed updated production estimates, domestic market conditions, export performance, and logistics bottlenecks. Senior federal and Punjab government officials attended, along with Rana Ihsaan Afzal Khan, coordinator to the prime minister, and Commerce Secretary Jawad Paul.
Officials noted that a significant expansion in cultivation area, combined with carryover stocks from the previous season, has resulted in surplus availability. The excess supply has placed downward pressure on farm-gate prices at a time when global market conditions remain challenging, limiting immediate export absorption.
The commerce minister observed that farmers were bearing the brunt of depressed prices and stressed that any support framework must prioritise direct relief to growers rather than artificial price interventions that could distort market signals. He said sustainable solutions must remain market-aligned and fiscally responsible.
Participants examined export competitiveness, particularly in Central Asian markets, where Pakistan has sought to strengthen agricultural trade links. The meeting also discussed emerging opportunities in the Middle East and Asia-Pacific region as part of a broader diversification strategy.
Officials agreed that a targeted, time-bound freight facilitation mechanism could be evaluated to help exporters manage elevated logistics costs. Any such measure, the minister directed, must be subject to fiscal feasibility and clear performance benchmarks to avoid long-term distortions.
The minister further instructed authorities to intensify business-to-business engagements with buyers in key destination markets. Strengthening direct commercial linkages, he said, would help expand export volumes and reduce reliance on a narrow set of markets.
Coordination between the federal government and the Government of Punjab was identified as critical, given Punjab’s central role in potato production. Relevant departments were directed to compile updated data on production, export trends and logistics costs to prepare a comprehensive policy proposal.
Jam Kamal Khan reiterated the government’s commitment to safeguarding farmer incomes and supporting exporters through balanced policy measures, aiming to stabilise the agricultural sector and maintain competitiveness in international markets.
