ISLAMABAD, Feb 02 (ABC): Pakistan’s olive oil industry is stepping up efforts to attract Chinese investment as entrepreneurs pitch large joint ventures to boost production, create jobs and open new export routes to China’s vast food market.
Local producers say cooperation with Chinese firms can help scale up farming, processing and exports. They believe the partnership can turn olive oil into a high-value agribusiness sector.
Large-scale estates planned with Chinese partners
Shaukat Rasool, founder of the internationally award-winning brand Loralai Olives, said his company is in advanced talks with Chinese firms to sign memoranda of understanding.
He said the discussions gained momentum after the recent Pak-China Agri Investment Conference.
“We are proposing three corporate olive estates spread over 3,000 acres, with a total investment of about $20 million,” Rasool told Wealth Pakistan.
He added that the projects could create more than 3,000 direct jobs. Within six to seven years, they may generate olive oil worth $18–20 million annually.
China seen as natural export destination
According to Rasool, China offers a strong market for Pakistan’s olive oil exports. The country imports more than $300 million worth of olive oil each year. At the same time, its middle class is becoming more health-conscious.
“Olive oil is medicine for a healthy life,” he said. “China is the most populous country in the world, and people are increasingly aware of healthy food choices. Pakistan can meet this demand.”
He noted that Pakistan also offers Chinese investors lower land costs and improving logistics under the China-Pakistan Economic Corridor (CPEC).
“This is an ideal and win-win opportunity for Chinese companies,” he added.
Existing supply chain links with China
Rasool said Loralai Olives already works closely with Chinese suppliers. The company sources its packaging and bottling materials from China.
Future cooperation may include extraction machinery, bottling plants and harvesting equipment. This, he said, will improve efficiency and reduce costs.
Global recognition boosts credibility
Pakistan’s olive oil industry has started gaining international recognition. Last year, Loralai Olives won a silver award at the New York International Olive Oil Competition (NYIOOC).
The contest featured more than 1,200 brands from traditional olive-producing countries.
The NYIOOC is widely regarded as the world’s largest olive oil competition. Judges evaluate quality, flavour and aroma. Rasool said the company plans to compete again this year.
Domestic demand rising
Although exports remain limited and mainly target Gulf markets, domestic demand is increasing.
Pakistan imports more than $12 million worth of olive oil annually. However, consumers are gradually shifting toward locally produced brands due to better quality and growing awareness of health benefits.
Industry activity is also expanding. Rasool said more than 80 olive-related startups now operate across farming, processing and marketing.
Wide cultivation potential across Pakistan
Experts say olives can grow in many parts of Pakistan. Suitable regions include Balochistan, Khyber Pakhtunkhwa, Punjab and Sindh. Arid areas such as Cholistan and southern Punjab also show strong potential.
“Olive is a complete value chain,” Rasool said. “It is not just oil. We can produce tea, cosmetics, medicines and many other value-added products.”
New pillar of Pakistan-China cooperation
Rasool recalled that imported brands once dominated the local market. However, international awards helped change perceptions.
“When we started, few people trusted local olive oil,” he said. “Global recognition built confidence and pride among consumers.”
With Chinese investors now showing interest, stakeholders expect the Pakistan olive oil industry to enter a new growth phase. Analysts say stronger cooperation with China could make olive oil exports a fresh pillar of Pakistan-China economic ties, linking agriculture, health and trade.