MoUs Worth $4.5bn Signed for Pak-China Agricultural Investment

Jan 21, 2026 | Economy

ISLAMABAD: Pakistan and China have signed 78 memoranda of understanding (MoUs) worth $4.5 billion in agricultural investment, marking a major step in elevating agriculture as a priority sector under the second phase of the China-Pakistan Economic Corridor (CPEC 2.0).

The agreements were signed at the conclusion of the Pakistan-China Agriculture Investment Conference, with private sector entities from both countries formalising partnerships aimed at boosting bilateral agricultural trade, modernising production systems and expanding investment across key sub-sectors.

Briefing the media on Tuesday, Minister for National Food Security and Research Rana Tanveer Hussain said the conference would help strengthen commercial ties between Pakistani and Chinese companies, improve processing and value addition, and support the development of modern agricultural infrastructure. He noted that enhanced cooperation would also play a critical role in increasing Pakistan’s agricultural exports.

Of the 78 MoUs, 37 were business-to-business investment agreements, 24 joint ventures, and 14 partnership agreements, reflecting strong private sector engagement. The agreements cover 10 priority sub-sectors, including agri-chemicals and inputs, agricultural machinery, food processing and value addition, meat and poultry, dairy products, fruits and vegetables, animal feed, fisheries and aquaculture, cold chain systems, and food-grade packaging and equipment.

The scope of cooperation spans a wide range of activities, such as seed production technology, heat-treated beef and offal exports, construction of grain storage and warehousing facilities, cheese production, milk processing machinery, buffalo UHT milk and camel milk powder, poultry technology, bio-pesticides, feed mill equipment, renewable irrigation technologies, mango pulp and tea value addition, fish and shrimp feed, fruit processing, rice value addition, soya milk packaging, and the development of sweet and seedless Chinese citrus orchards in Pakistan.

The minister said agriculture has now been formally included as a priority area under CPEC 2.0, underscoring its growing importance in bilateral cooperation. To ensure effective implementation of the MoUs, dedicated follow-up units are being established within the ministry and at the Pakistan Embassy in Beijing.

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Mr Hussain highlighted that Pakistan currently exports agricultural products worth $8 billion, with the government aiming to double exports over the next three years. He added that the conference was designed as a targeted, investment-focused platform, emphasising direct business-to-business matchmaking rather than general consultations.

According to official documents, Pakistan plans to sign more than 25 sanitary and phytosanitary (SPS) and export protocols with key partners, including China, in 2026. The government is also preparing a new seed policy and a national agricultural biotechnology policy to facilitate the use of GMO seeds, while proposals are under review to allow pesticide and fertiliser exports to regional and African markets.

Conference participants were informed that Pakistan’s annual fruit production exceeds 10 million tonnes, while vegetable output is over 9 million tonnes, with domestic demand rising by more than 5 per cent annually.

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