ISLAMABAD-Despite being an agricultural country, Pakistan’s food import bill has surged by 52.16 percent in first six months (July-December) of the current fiscal year, putting pressure on the country’s overall import bill.
The country has imported food commodities worth $3.91 billion in July-December period of the year 2020-21 as against $2.57 billion in same period of the previous year, showing an increase of 52.16 percent, according to the latest data of Pakistan Bureau of Statistics (PBS). Pakistan has imported food commodities to overcome the shortage in the country. In last few months, the country has faced shortfall of wheat and sugar, which resulted in massive increase in commodities prices.
The government has imported wheat, sugar, pulses and other commodities in the period under review. Pakistan has imported wheat worth $661 million in six months of the ongoing financial year, showing an increase of 100 percent. The government had not imported wheat in corresponding period of the previous year. The government has imported sugar worth $126.6 million in July-December period of 2020-21 as compared to $1.5 million in same period of the last year. Meanwhile, import of pulses has shown an increase of 17.06 percent to $287.5 million in first six months of the present financial year.
The PBS data showed that import of soyabean oil, palm oil, tea, dry fruits and milk has also shown an increase in the period under review putting pressure on the country’s overall import bill. The latest data of PBS showed that Pakistan has imported goods worth $24.52 billion in first half of the ongoing fiscal year, which were at $23.2 billion in same period of previous year. Import bill of the country has enhanced by 5.72 percent.
Pakistan’s oil imports has declined by 22.32 percent in first half (July to December) of the current fiscal year. The country’s oil imports were recorded at $4.77 billion in July to December period of 2020-21 as compared to $6.14 billion in corresponding period of the last year, showing decline of 22.32 percent, according to the latest data of PBS. Meanwhile, the oil import bill has declined by over 20 percent to $824.6 million in the month of December last year.
The reduction in oil imports is helping in easing pressure on the country’s overall import bill. The PBS data showed the breakup of oil imports bill as petroleum product imports declined by 16.3 percent in the first half of the ongoing financial year. Meanwhile, import of crude oil had gone down by 25.31 percent. Similarly, import of liquefied natural gas fell by 35.33 percent. However, liquefied petroleum gas (LPG) imports increased by 48.79 percent in value in July-December. Meanwhile, machinery imports went down 4.34 percent to $4.24 billion in the first six months from $4.43 billion. The decline in imports was recorded for almost all kinds of machinery except mobile phones. Import of mobile phones had increased by 52.37 percent in six months and recorded at $938.8 million. Import of other apparatus fell by 5.20 percent. The overall transport group has witnessed growth of 35.34 percent. An increase of 70 percent was seen in imports of textile group — raw cotton, synthetic and artificial silk yarn. 
Meanwhile, the country’s exports have surged by 4.98 percent to $12.1 billion in July to December period of the year 2020-21 as compared to $11.5 billion in corresponding period of last year. Therefore, the trade deficit has widened to $12.42 billion in July to December period of 2020-21.