Pakistan seeks to buy LNG spot cargoes after two long-term suppliers cancel 

A liquefied natural gas (LNG) tanker is tugged towards a thermal power station in Futtsu, east of Tokyo, Japan, on November 13, 2017. (REUTERS/File)
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Updated 19 February 2022
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Pakistan seeks to buy LNG spot cargoes after two long-term suppliers cancel 

  • ENI, Gunvor unable to fulfill March deliveries - Pakistan LNG
  • LNG spot prices have been too high for cash-strapped Pakistan

ISLAMABAD: Pakistan is seeking to buy liquefied natural gas cargoes from the spot market after two long-term suppliers weren’t able to fulfill commitments to deliver shipments in March, people with knowledge of the matter told Bloomberg. 

Pakistan LNG Ltd. has issued a tender for two cargoes to be delivered next month. Two suppliers, Eni SpAand Gunvor Group Ltd., recently informed the South Asian LNG importer about their inability to deliver cargoes scheduled for March, Pakistan LNG said in an emailed response to Bloomberg.

A global energy crunch has resulted in LNG spot prices surging to levels that are too high for cash-strapped nations like Pakistan. The South Asian nation purchased its most expensive LNG cargo ever in November after a similar cancelation, and has avoided additional purchases since then.

"Pakistan is 'carefully' analyzing its gas shortage, and will purchase cargoes depending on the prices they receive," Pakistan LNG said in its reply to Bloomberg. "It’s looking for the cargoes to be delivered between March 2 and March 3 and from March 10 to March 11 ... The offers are due on Feb. 22."

Eni’s LNG deliveries to Pakistan were disrupted after its supplier defaulted on obligations for an unspecified reason, the Italian company said in an emailed statement. 

“Eni is evaluating all contractual remedies, including legal actions,” the company said by email. 

Gunvor declined to comment.


At Gulfood expo, minister urges Pakistani firms to boost exports to end reliance on foreign debt

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At Gulfood expo, minister urges Pakistani firms to boost exports to end reliance on foreign debt

  • The Dubai expo brought together more than 8,500 exhibitors from 195 countries, showcasing over 1.5 million food and beverage products
  • Planning Minister Ahsan Iqbal says Islamabad is committed to promoting productivity, quality and innovation within the private sector 

ISLAMABAD: Planning Minister Ahsan Iqbal on Thursday urged Pakistani companies participating in the Gulfood food and beverage exhibition in Dubai to expand exports and focus on value-added products, saying it was the only way for Pakistan to end reliance on foreign debt.

Gulfood’s 31st edition, being held in Dubai from Jan. 26 till Jan. 30, has brought together more than 8,500 exhibitors from 195 countries, showcasing over 1.5 million food and beverage products across 12 sectors, making it one of the most influential platforms for global agri-food trade.

Pakistan has made its largest-ever showing at the world’s leading food and beverage trade exhibition, with a total of 142 Pakistani companies participating in the 2026 edition, according to a statement from the Ministry of Information released this week.

On Thursday, Iqbal visited toured various stalls and interacted with exhibitors at Pakistan Pavilion at the exhibition and encouraging them to focus on enhancing exports and value-addition, Pakistan’s Press Information Department (PID) said.

“If we are to permanently free ourselves from reliance on the IMF (International Monetary Fund) and foreign debt, there is only one way forward, promoting and expanding our exports,” he was quoted as saying. “I am particularly encouraged to see that Pakistani exporters are now focusing on value added products.”

Pakistan has struggled with boom-bust cycles for decades and secured 22 IMF bailouts since 1958. The country is currently navigating a long, tricky path to economic recovery under a $7 billion IMF program secured in Sept. 2024.

Pakistan has been increasingly using global trade exhibitions to promote value-added food exports, particularly to Gulf and Middle Eastern markets, which remain among the country’s largest destinations for rice, meat and processed food products.

Of the 142 Pakistani firms, 67 companies are participating under the Trade Development Authority of Pakistan (TDAP), while 75 companies are taking part independently, across four specialized pavilions covering rice, pulses and grains, world food, beverages, and meat and poultry. Notably, 30 rice exporters are participating under TDAP, underlining Pakistan’s position as one of the world’s leading rice suppliers.

Iqbal visited the Biryani Festival stall at Pakistan Pavilion and appreciated the initiative to showcase and promote Pakistani Basmati rice.
“We are committed to promoting productivity, quality, and innovation within the private sector so that ‘Made in Pakistan’ becomes a global symbol of quality, and Pakistani products are visible on every stall, in every shop, and on every shelf across international markets,” he said.