Business
Saffron sector suffering as 50% of exporters close down
Chamber of Agriculture and Livestock officials said Wednesday that 50 percent of the saffron exporting companies in the country have stopped operating due to a number of reasons including the COVID-19 pandemic and the economic turmoil in Afghanistan.
Chamber officials have appealed to the Ministry of Agriculture and Livestock to take measures to help farmers cultivate saffron and grow the export sector.
The Minister of Agriculture, Irrigation and Livestock (MoAIL) says that they have started the process of distributing saffron bulbs to farmers and that they are committed to supporting the sector.
Saffron is considered one of the most important agricultural products of the country, but in recent years, producers and exporters have faced many problems.
Industry experts said the pandemic had a huge impact on export volumes as did the political developments in the country.
According to the Agriculture and Livestock Chamber, although the country’s saffron is world famous, the situation is getting worse every day and half of the export companies have stopped operating.
“Our country’s saffron has a good name and good buyers in the international markets, and we hope that the sector ministries will pay serious attention to saffron,” said Mirwais Hajizada, the deputy of the Chamber of Agriculture and Livestock.
According to him, the number of active export companies in this sector was once 70, but now only 35 are still operational. Hundreds of people have also lost their jobs.
“Our problem is related to the last four years, and we are currently facing problems for export, and our production has also decreased. We must pay serious attention to this sector,” said Mohammad Naser Faizi, a member of the Saffron Exporters Association.
Ministry officials said they have expanded their efforts to develop the saffron sector and have started the process of distributing saffron bulbs to farmers in some provinces.
“We are trying to provide more facilities in the field of saffron cultivation, production and export so that we can have our customers in the international markets like before,” said Mawolavi Mesbahuddin Mustaeen, the ministry’s spokesperson.
Experts have said that with the ban on poppy farming, saffron could be a good alternative for these farmers.
Pakistan’s kinno exports remain far below potential as regional tensions, high freight costs and weak government support continue to choke the citrus trade.
Despite being a leading global citrus producer, Pakistan is expected to export just 400,000–450,000 tonnes of kinno in the 2025–26 season, compared with an estimated capacity of 700,000–800,000 tonnes.
Exports in 2024–25 stood at around 350,000–400,000 tonnes, mainly to Russia, the UAE, Saudi Arabia, Afghanistan, Indonesia and Central Asia. While better fruit quality this season has raised hopes, persistent crossing disruptions—especially with Afghanistan—and transport bottlenecks have offset gains.
Growers say prices have collapsed sharply, forcing panic sales. Rates for large kinno have fallen from over Rs120 per kg early in the season to as low as Rs75, while smaller fruit is selling for Rs35–40 per kg amid weak demand.
Industry leaders warn the crisis is crippling processing units and jobs. More than 100 factories reportedly failed to open this season, with dozens more shutting down as exports stall. Cold storages in Sargodha are nearly full, putting fruit worth millions of dollars at risk of spoilage, while growers fear losses of up to Rs10 billion.
Exporters are urging the government to urgently resolve issues, subsidise logistics, and help access alternative markets, warning that prolonged inaction could devastate farmers, workers and the wider economy.
Iranian President Masoud Pezeshkian has said that Tehran will facilitate trade and economic exchanges with Afghanistan, including easing procedures at customs and local marketplaces.
He made the remarks during a televised interview following his visit to South Khorasan province, which shares a border with Afghanistan.
Pezeshkian, in a separate event addressing local business leaders, highlighted the province’s strategic advantages, citing its rich mineral resources, proximity to neighboring countries such as Afghanistan and Pakistan, and access to the ocean via the Chabahar port. He described the region as “a golden opportunity not found everywhere,” emphasizing its potential for economic growth and cross-border commerce.
A Kazakh delegation led by the Deputy Minister of Finance of Kazakhstan met with Sediqullah Khalid, First Deputy Governor of Da Afghanistan Bank, to discuss ways of strengthening banking and economic cooperation between the two countries.
According to a statement issued by Da Afghanistan Bank, Khalid said the central bank is keen to establish regular and effective banking relations with Kazakhstan as part of broader efforts to expand bilateral trade.
He noted that enhanced banking cooperation would help facilitate trade, investment, and wider economic interaction between Afghanistan and Kazakhstan, while also contributing to financial stability at the regional level.
Members of the Kazakh delegation also emphasized the importance of developing banking and economic ties and expressed their readiness to expand joint cooperation.
The two sides further agreed to establish technical committees from both countries to hold expert-level discussions and advance practical steps for cooperation.
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