With 3,000 cups of imported tea downed every second, Pakistan experiments with local plantations

A vendor makes tea at his stall in Karachi on September 17, 2018. (AFP/ File)
Short Url
Updated 28 May 2021
Follow

With 3,000 cups of imported tea downed every second, Pakistan experiments with local plantations

  • Pakistan has identified 64,000 hectares of land in northwestern districts after evaluating soil and climatic data
  • Pakistan spent $533 million to import 221,319 tons of tea between July 2020 and April 2021

KARACHI: Tea-thirsty Pakistan is looking to reduce its dependency on the import of the country’s favorite drink, and successful research and experiments with tea plantations in the northwest have proven that it is possible to drastically increase local production, officials and tea traders told Arab News on Thursday.

Consumption per second of tea in Pakistan is estimated at 3,000 cups, according to Dr. Abdul Waheed, director National Tea and High Value Crops Research Institute. With an estimated annual per capita consumption of more than 1 kg, Pakistan remains among the largest importers of tea in the world.
Black tea is imported from 19 different countries, with the largest chunk-- 80 percent-- from Kenya. The country also imports a substantial chunk of green tea from China, Vietnam and Indonesia.
“We have done some research to increase local production of tea in the country and reduce its dependence on imports,” Dr.Waheed told Arab News. “Successful tea plantation was demonstrated at the institute along with a few fields in potential tea growing areas of Khyber Pakhtunkhwa and Azad Kashmir.”
“The results,” he continued, “are very encouraging. We have developed about 12 varieties of tea through local planation in Khyber Pakhtunkhwa’s Shinkiari town [in Mansehra district]. The yield potential and quality has been assessed to determine its economic viability. We have also identified the extent of the plantation area.”
Over the next 20 years, Pakistan hopes to substitute about 70 percent of imported tea with locally produced brands.




In this undated photo, a tea garden is shown in Mansehra Pakistan. (Photo courtesy: social Media)

The country imported 25,709 tons of tea in the last month which cost it $59.68 million.
According to the Pakistan Bureau of Statistics, the country spent $533 million to import 221,319 tons of tea during the current fiscal year between July 2020 and April 2021.
Pakistan has identified about 64,000 hectares of land in Mansehra and Swat to grow tea. It earmarked the area after a comprehensive evaluation of topological, soil and climate data.
Pakistani tea importers say local tea production is currently too low in the country to substitute imports in any major way.




Harvesters pluck tea leaves through a machine in Shinkiari, Pakistan on July 23, 2018. (Photo courtesy: Social media)

“The local production is very low, and it can’t instantly substitute our imports,” Muhammad Aman Paracha, chairman Pakistan Tea Association, told Arab News.
“But its price will decline if the tea production area is increased. Local production will also help the country save foreign exchange. Apart from that, tea importers are currently paying about 53 percent taxes which will be reduced.”
Tea importers say the government needs to think long-term in order to attract investment for local production of the commodity.
“The government must resolve issues related to land acquisition, remove hurdles that are likely to be created by local residents in the identified areas, allow duty-free import of machinery and give required subsidies,” Zeeshan Maqsood, who deals with tea trade at the Federation of Pakistan Chambers of Commerce and Industry, told Arab News.
“This needs a long-term vision, at least until 2040, since tea plants can take up to 10 years to grow,” he continued. “If all things go well, the country may be in a position to replace about 70 percent of its imports in a 20-year period.”
Stakeholders said that ultimately, local production of tea could earn precious foreign exchange if the country managed to make enough to sell some of its indigenous brands abroad.


Pakistan terms climate change, demographic pressures as ‘pressing existential risks’

Updated 06 December 2025
Follow

Pakistan terms climate change, demographic pressures as ‘pressing existential risks’

  • Pakistan has suffered frequent climate change-induced disasters, including floods this year that killed over 1,000
  • Pakistan finmin highlights stabilization measures at Doha Forum, discusses economic cooperation with Qatar 

ISLAMABAD: Pakistan’s Finance Minister Muhammad Aurangzeb on Saturday described climate change and demographic pressures as “pressing existential risks” facing the country, calling for urgent climate financing. 

The finance minister was speaking as a member of a high-level panel at the 23rd edition of the Doha Forum, which is being held from Dec. 6–7 in the Qatari capital. Aurangzeb was invited as a speaker on the discussion titled: ‘Global Trade Tensions: Economic Impact and Policy Responses in MENA.’

“He reaffirmed that while Pakistan remained vigilant in the face of geopolitical uncertainty, the more pressing existential risks were climate change and demographic pressures,” the Finance Division said. 

Pakistan has suffered repeated climate disasters in recent years, most notably the 2022 super-floods that submerged one-third of the country, displaced millions and caused an estimated $30 billion in losses. 

This year’s floods killed over 1,000 people and caused at least $2.9 billion in damages to agriculture and infrastructure. Scientists say Pakistan remains among the world’s most climate-vulnerable nations despite contributing less than 1 percent of global greenhouse-gas emissions.

Aurangzeb has previously said climate change and Pakistan’s fast-rising population are the only two factors that can hinder the South Asian country’s efforts to become a $3 trillion economy in the future. 

The finance minister noted that this year’s floods in Pakistan had shaved at least 0.5 percent off GDP growth, calling for urgent climate financing and investment in resilient infrastructure. 

When asked about Pakistan’s fiscal resilience and capability to absorb external shocks, Aurangzeb said Islamabad had rebuilt fiscal buffers. He pointed out that both the primary fiscal balance and current account had returned to surplus, supported significantly by strong remittance inflows of $18–20 billion annually from the Middle East and North Africa (MENA) and Gulf Cooperation Council (GCC) regions. 

Separately, Aurangzeb met his Qatari counterpart Ali Bin Ahmed Al Kuwari to discuss bilateral cooperation. 

“Both sides reaffirmed their commitment to strengthening economic ties, particularly by maximizing opportunities created through the newly concluded GCC–Pakistan Free Trade Agreement, expanding trade flows, and deepening energy cooperation, including long-term LNG collaboration,” the finance ministry said. 

The two also discussed collaboration on digital infrastructure, skills development and regulatory reform. They agreed to establish structured mechanisms to continue joint work in trade diversification, technology, climate resilience, and investment facilitation, the finance ministry said.