The federal government has increased the Duty and Tax Remission for Exports (DLTL) incentive for non-basmati rice exports from 3% to 5%, providing additional support to exporters facing growing competition in international markets.
The decision was approved during a meeting of the Export Development Fund (EDF) following recommendations from the Rice Exporters Association of Pakistan (REAP). Meanwhile, the existing 9% DLTL incentive for basmati rice exports will remain unchanged.
REAP had urged the government to increase the DLTL incentive for non-basmati rice to 9%, matching the rate offered for basmati rice, and to extend the scheme for both 90-day export periods. Although the government partially accepted the proposal, the association welcomed the increase, calling it a positive step toward strengthening Pakistan’s export competitiveness.
According to REAP, Pakistani rice exporters are facing intense competition from India, where both basmati and non-basmati rice are currently being offered at lower prices. The higher export incentive is expected to help local exporters secure more international orders and maintain their presence in key global markets.
The association also believes the revised incentive will encourage increased rice cultivation in the upcoming season, improve farmers’ incomes, and contribute to higher foreign exchange earnings for the country.
Rice remains one of Pakistan’s most important agricultural exports, making a significant contribution to the country’s export revenue and strengthening its position among the world’s leading rice-exporting nations.
