Pakistan’s rice exports rebounded strongly in December 2025, rising 14% month-on-month from November, largely driven by a more than 50% jump in Basmati shipments, according to Dawn.

The surge allowed Pakistan to surpass Vietnam and become the world’s third-largest rice exporter for the month, trailing only India and Thailand.

Trade data showed Pakistan exported 489,000 tonnes of rice in December (excluding shipments to Iran), compared with Vietnam’s 387,000 tonnes, marking its best-ever monthly performance.

The UAE remained the top buyer, importing 74,897 tonnes, including 16,850 tonnes of Basmati.

China followed closely with 74,685 tonnes.

Smaller shipments went to Oman, the US, and Canada.

A notable development was Pakistan’s growing presence in Central Asia.

Exports to Kazakhstan surpassed 17,000 tonnes, including 10,300 tonnes of Basmati, while shipments to Uzbekistan reached 10,382 tonnes.

Experts said this reflects a structural shift, with Pakistan now exporting directly to Central Asian countries instead of routing shipments through Afghanistan.

Despite the strong performance, exporters face ongoing challenges. Shipments to Iraq and Turkiye remain negligible, limiting access to major regional markets.

Prime Minister Shehbaz Sharif has directed authorities to develop a comprehensive strategy to boost rice exports and reduce the trade deficit.

Analysts say that global competition, high output from India, rising freight costs, inconsistent policies, and border disruptions have historically hurt the sector.

However, there are positives. Demand from Bangladesh remains strong, and Central Asia is emerging as a promising market.

Additionally, a 50% US tariff on Indian rice has improved Pakistan’s competitiveness in the US market.

In Iran, foreign exchange shortages have shifted import responsibility to local buyers, benefiting Pakistan due to proximity.