UAE turns to Pakistan to stave off food crisis

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FOOD CRISIS: The UAE is considering buying farms in Pakistan as it looks at alternative sources of food. (Getty Images)

The UAE is planning to buy farms in Pakistan in a bid to reduce the impact of export bans and spiralling food prices, it was reported on Monday.

According to the Emirates Society of Consumer Protection, talks with the Pakistani government were underway as it considers alternative sources of food to the country, UAE daily The National reported on Tuesday.

“We believe that if we get products directly from the farms, it will encourage market competition," an official said, adding that similar plans in other countries were also under study.

A Pakistani government official said the UAE was considering buying “large land holdings” and importing food items at 20-25% less cost.

“The talks [have been] going on between Pakistan government and UAE’s Ministry of Economy for some four months, however no concrete decision is made yet,” the official told The National.

The UAE’s 4.5 million population relies heavily on imported food, spending $3.5 to $4 billion annually on imports.

A string of retailers have agreed in recent weeks to fix the price of basic food items at 2007 levels as the Ministry of Economy attempts to rein in inflation.

Soaring food prices are a main driver of inflation across the world's biggest oil-exporting region, where most states, including the UAE, peg their currencies to the ailing dollar, which raises import costs.

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USER COMMENTS (6 COMMENTS)

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UAE Pakistan Food
Posted by Fiaz Taj, Doha, Qatar on 27 May 2008 at 10:48 UAE time


It is interesting to note the negative comments coming from Indians on the UAE proposal with Pakistan. Indians so dominate the gulf counteries in every aspect that any deviation from this infatuation has them scurring to pour water on the idea. There are large parts of Pakistan that are not currently used but a little bit of investment to convert them into viable arable land will benefit both counteries and inturn foster better relations to the dismay of others.

Agric. Development
Posted by Dr. M. Ali, Lahore, Pakistan on 26 May 2008 at 14:07 UAE time


Pakistan Govt should invest more in Agri development projects and utilise local resources to maximise production. We have hundreds of Agriculture related departments/organizations doing nothing for enhancing food production in the country. They should be asked to produce results within a time frame or get fired. Their honeymoon should be over by now as our people are crying rather dieing for food.

Sellig or leasing out our land is not at all a wise option.

Food Exports
Posted by S. Mukherjee, Doha, Qatar on 25 May 2008 at 22:10 UAE time


Pakistan is already a food deficit country and itself depends on food imports from time to time. Wit the burgeoning population, is it a good idea to pass on its fertile land to another country.

Pakistan Govt. has first responsibility to feed its own people

Extra land in Pakistan?
Posted by Skand Bhargava on 19 May 2008 at 18:16 UAE time


Surely, Pakistan government will utilise it's fertile land to feed it's own people first, before loaning out to UAE or any other country! Remember the riots in Pakistan this January over shortage of wheat flour ?

Think Again!!
Posted by taha on 6 May 2008 at 11:37 UAE time


what about the supplies for the pakistani people? please consider the impact of allocationg 20-25% of the land solely for another country. This will push our own resources to the limits.
Agreed we will get FDI in the agricultural sector but do you rterally think that is going to be enough to support the demands of a growing economy. with land i can always choose to increase the per acre yield of the crops but with money ill have to go into another market to buy what i can produce.
Secretary General of the UN has advised countries to be careful of exporting their commodities in order not to create a crisis situation.

Excellent Idea
Posted by Khalid Rahman, Dubai, UAE on 6 May 2008 at 11:02 UAE time


This will lead to a Win Win situation . UAE will be assured for getting the food supplies at reasonable cost . Pakistan will benefit from deploying the latest agricultual technology and know how to be provdied by UAE and also employment in the agricultural sector in Pakistan will get a big boost . Lots of barren land is available in Pakistan which can be converted to agriculture.

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