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HomePakistanPakistan’s olive oil industry eyes China for next phase of growth

Pakistan’s olive oil industry eyes China for next phase of growth

By Azeem Ahmed Khan
ISLAMABAD, Feb 02: Pakistan’s fast-growing olive oil industry is intensifying efforts to attract Chinese investors, as local entrepreneurs push joint ventures to expand production, create jobs, and enter one of the world’s largest food markets.

Industry leaders say cooperation with Chinese firms can help Pakistan emerge as a competitive olive oil supplier. They also see it strengthening broader agribusiness ties between Islamabad and Beijing.

Joint ventures proposed with Chinese firms

Shaukat Rasool, founder of the award-winning brand Loralai Olives, told Wealth Pakistan that his company is holding advanced talks with Chinese firms to sign memoranda of understanding for large-scale projects.

He said the recent Pak-China Agri Investment Conference offered a timely platform for presenting proposals to potential partners.

“We are proposing three corporate olive estates across 3,000 acres, with total investment of about $20 million,” Rasool said.

He added that the projects could create more than 3,000 direct jobs. Within six to seven years, they could generate olive oil worth $18–20 million annually.

China seen as key export destination

Rasool said China offers a natural export market due to its heavy reliance on imports and its expanding health-conscious middle class.

He noted that China imports more than $300 million worth of olive oil each year, creating strong demand for new suppliers.

“People are becoming more aware of healthy diets,” he said. He added that Pakistan’s climate and soil suit olive cultivation.

Cost advantages and logistics support

Rasool told Wealth Pakistan that Pakistan offers Chinese investors several commercial advantages. These include lower land costs and improving logistics infrastructure under the China-Pakistan Economic Corridor.

“These factors make investment commercially viable and mutually beneficial,” he said.

Loralai Olives already maintains close supply-chain links with China. Rasool said the company sources all its packaging and bottling materials from China.

He added that future cooperation could include olive oil extraction machinery, bottling plants, and harvesting equipment.

International awards boost confidence

Pakistan’s olive oil gained global attention last year when Loralai Olives won a silver award at the New York International Olive Oil Competition.

The competition attracted more than 1,200 brands from traditional olive-producing countries.

Industry experts regard the competition as the world’s most prestigious platform for extra virgin olive oil. Judges assess entries on quality, aroma, flavour, and overall excellence.

Rasool said the company plans to compete again internationally this year.

Domestic demand and startups grow

Exports remain limited and mainly target Gulf markets. However, domestic demand continues to rise.

Pakistan imports more than $12 million worth of olive oil each year. Consumers are increasingly shifting to local brands due to health awareness and international recognition.

Rasool said more than 80 olive-related startups now operate across farming, processing, and marketing.

Wide cultivation potential across Pakistan

Farmers can cultivate olives across large parts of Pakistan. These include Balochistan, Khyber Pakhtunkhwa, and areas of Punjab and Sindh.

Arid regions such as Cholistan and southern Punjab also show strong potential.

“Olive offers a complete value chain,” Rasool said. “Beyond oil, producers can develop cosmetics, medicines, and health products.”

Sector poised for Pak-China cooperation

Rasool said international recognition changed market perceptions.

“When we started, imported brands dominated the market,” he said. “Global awards helped build trust in Pakistani olive oil.”

With rising Chinese interest in joint ventures, Pakistan’s olive sector now stands poised to become a new pillar of Pakistan-China economic cooperation.

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