Friday, August 24, 2012

The Production Has An Effect On Price Of Rice In Pakistan

Rice is produced by monocot seed and it is a staple food of South Asia. Most of the people from this area rely on this crop because 30% world's population meets the demand from this. The prices of Rice are different according to geographical area and this is caused by the fluctuation of currency rates in the world. The price of Rice in Pakistan also modifies with the passage of time and technology. The last monthly sales in October were made $584.74 per metric ton. Pakistan is the best country with respect to their natural resources, fertility of lands, and environment. It is very important for any country that if they want to grow more crops then it must have fertile land and availability of resources.

So Pakistan is one of the main country which has fertile land and that's why it produces enough quantity of Rice that is used for domestic purpose and rest for exports. It has 4th in number all over the world which grows best quality of Basmati. It is a cash crop after the wheat and cotton in the country. It is an annual crop which is produced in a plenty of water. In a last few decades, the association in Pakistan focuses on the promotion of the exports of rice and also tries its level best to meet the demand of a country.

There are different categories which are grown in the country and the names are; Super Basmati, Basmati Pk-385, Irri-6, and Irri-9 etc. The first two Basmati are well known all over the world due to their flavor and quality. It is labor intensive crop which required a liberal water to grow. In Pakistan, the prices have not same all over the year, it depends on the production of crop. If there is a dilemma in the supply of water and electricity, the quantity of crop declines sharply mean while there is a shortage of rice and the demand is increased. So there must be stability in the production of rice and then price will remain same.

If we look on the statistics, it shows that in April 2008, Pakistan has greatest exports $647.04 of last 5 consecutive years. Now a day the comparison shows that the sales of the Rice declines. Last year the price drops nearly 3 to 6 % due to the decrease in demand of foreign countries. There is also a huge stock available in the local market. When the condition of the environment and electricity better then the price is encouraging in the right of customer and sometimes there is an excess quantity which exports to earn a profit. Instead all of these, the people of Pakistan afford normal price against good quality of Rice.

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