Pakistan has raised serious concerns with Indonesia over potential losses to its seasonal kinnow exports, citing delays in the issuance of import quotas and a recent, sharp increase in food testing requirements that are adding significant costs and processing time for exporters.
According to an official report today, the issues were highlighted during a detailed discussion between Federal Minister for Commerce Jam Kamal Khan and Indonesian Ambassador Chandra Warsenanto Sukotjo, convened on the directions of Prime Minister Shehbaz Sharif to advance bilateral economic ties.
The Commerce Minister warned that without the timely allocation of quotas, Pakistani growers and exporters could face substantial financial setbacks. He also expressed concern over a new mandate increasing the number of tests for Pakistani kinnow from eight to twenty-four, a move that inflates costs and lengthens the export process. Pakistan’s Department of Plant Protection is reportedly engaged with its Indonesian counterparts to resolve the matter.
A primary focus of the dialogue was the revival of a government-to-government (G2G) framework for rice sales. Officials noted that a previous Memorandum of Understanding (MoU) for the supply of up to one million metric tons of rice annually, signed in 2015, had expired in 2019. Pakistan has since submitted a revised draft and is seeking its early finalisation to institutionalise long-term cooperation in the staple commodity.
Minister Jam Kamal Khan briefed the ambassador on Pakistan”s evolving trade strategy, emphasising rice as a key export priority. He acknowledged that global price competition, particularly from major producers, has created challenges but affirmed the government is developing mechanisms to improve price competitiveness without compromising the internationally recognised quality of Pakistani rice.
Beyond agriculture, the commerce minister invited Indonesian investors to establish Pakistan as a regional hub for palm oil storage, processing, and re-export to markets in Africa, the Middle East, and Central Asia. He promoted Pakistan’s strategic location and its expanding port and logistics infrastructure, which is operated by leading international firms.
Further avenues for collaboration were explored in the energy, biodiesel, minerals, and infrastructure sectors. Opportunities within Special Economic Zones and the potential for friendly nations to participate in CPEC-linked projects were also presented.
Ambassador Sukotjo welcomed the proposals, acknowledging the positive momentum from recent high-level exchanges. He assured the minister that the concerns raised, particularly regarding rice, agricultural market access, and trade facilitation, would be conveyed to Jakarta for prompt consideration, adding that Indonesia has a strong interest in food security and diversified sourcing.
Both parties agreed to accelerate institutional engagement, including convening the Joint Trade and Development Committee, and to utilise virtual consultations to maintain progress. They reaffirmed their mutual commitment to translating their longstanding friendly relations into tangible economic outcomes through structured and timely dialogue.