Reported by: Wijdan CRWE Newswire Middle East correspondent.

Pakistan possesses ninth largest market in the world with a population of 160 million; however, only 40 million people contribute in making up the market for processed and imported foods. As the general poverty level continues to rise, an active growth in market is also observed.

Prior to the natural disasters, it was safe to conclude that Pakistan economy was steadily growing, but after being struck with a major earthquake followed by the worst floods in history, Pakistan’s economy has been left in shambles. These two natural disasters affected more than two million people, the country’s infrastructure was badly obliterated, standing crops were destroyed, houses and precious things were lost, which ultimately resulted in pulling many well to do families below the poverty line in a matter of days.

Canada strengthened its trade relations with Pakistan by signing six agreements that were intended on improving services and lead to greater co-operation in areas such as environment, trade, agriculture, and justice. The signing of these mutual agreements expressed Canadian confidence in socio-political and economic setup of Pakistan.

Canada used to be one of the largest food suppliers to Pakistan averaging $30 million annual agricultural food exports to Pakistan. The trend, however, gradually declined largely due to the shifting requirement in the Pakistani market and diversification of Canadian exports. The import of traditional pulse ad oil seed from Canada was reduced but it moved towards other diversified products and monetary flow continued. In 2003, a large shipment of canola seeds worth $165 million, increased the export to $200 million that year.

There is a steady rise in Canadian imports from Pakistan in the last decade. Pakistan is the 4th largest supplier of rice to Canada, and more than 50 percent of Canadian agricultural food imports from Pakistan include different varieties of rice. Basmati is the main variety of rice imported to Canada. Pakistan and India are the only two countries which possess the intellectual property rights for growing this particular variety of rice, which is highly demanded variety across the globe, largely due to its taste and aroma.

In 2005, Canada established International Market Access Priorities which promoted the acceptance of wheat specifications and also provided financial and technical services to monitor and evaluate the Pakistani government’s agenda for infrastructure development.

Pakistan is an agricultural country with textile industry acting as the main stay of the economy. 68 percent of the exports are from textile industry and it employs 40 percent of the labor force. Canada is one amongst many countries who serve as a market for both raw cotton as well as finished goods from Pakistan.

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