It was complete chaos after a notification from authorities in the United Arab Emirates (UAE) quietly announced that Pakistan will not be allowed to export fresh or chilled meat via sea to the UAE up until the 10th of October at least.
So what in the world is going on?
Put very briefly, the UAE does not trust the Pakistani meat industry and possibly for good reason. To make things very clear this does not mean Pakistani meat can no longer be exported to the UAE or anywhere else in the Gulf. It simply means that the export of fresh meat from Pakistan has been banned and that too through sea routes.
How the ban came about
Early in the month, a fungal contamination was detected in a shipment of meat from Pakistan to the UAE. Within a country’s domestic market this would be considered a case of a bad batch and simply disposed of. The problem in exporting is that host countries bringing in food items from foreign countries need to be very careful.
Fungi that could have originated from Pakistan might be entirely new in an area like the UAE. This would mean resistance to this fungus in the Emirates would be next to nothing and it could have dire implications for the food supply in the country. This is why export quality food products need to be packaged in very particular ways and in line with international regulations and standards.
As detailed in a notification dated September 19, 2023, by the UAE Ministry of Climate Change and Environment, fresh or chilled meat from Pakistan is now required to adhere to specific packaging standards.
These include vacuum-packing or modified-atmosphere packaging and a prescribed shelf life of 60 to 120 days from the date of slaughtering to qualify for import.
The meat consignment in question had been sent by a Karachi-based company by sea and the whole shipment was destroyed by the UAE authorities, while a ban was imposed on all further imports of frozen meat from Pakistan through maritime channels at least up till Oct 10.
Meat exports by air will continue without any break. Pakistan exports meat worth around $144 million per year to the UAE of which, $12 million worth is transported via sea routes.
Pakistan’s current meat production stands at approximately 49 lakh tonnes, with only around 2 percent (equivalent to 95,991 tonnes) destined for export. The principal export destinations encompass Gulf Cooperation Council (GCC) states and select Far East countries.
Over recent months, various Pakistani companies have effectively secured export agreements with China, Egypt, and Indonesia.
A total of 18 Pakistani companies have received endorsement from the UAE Ministry of Climate Change and Environment for the import of fresh and frozen meat. These approved companies include Zenith Associates, P.K. Livestock and Meat Co. (Pvt) Ltd, Organic Meat Co, Tata Best Foods, K&N Food Co, Big Bird Foods. Pvt. Ltd, Halal Meat Processing, Al Shaheer Corporation (Private) Limited, Fauji Meat Limited, Hamza Meat and Poultry, Al–Rahim Farming Meat, Tazij Meats and Food Co, Abedin International Pvt. Ltd, Asia Livestock and Meat Company, Pakistan Food Products, Meat World Pvt. Limited, and Hamza Halal Food.
However, because of the one consignment, the entire meat industry is facing the ban.
A recent report published by Salaam Gateway, a Dubai-based news and insights platform specializing in the global Islamic economy, underscores that the global halal food and beverage industry is presently valued at $415 billion. The top 10 exporters of halal meat collectively account for a total trade value of $14.04 billion. Notably, the top three halal meat exporting countries—Brazil, Australia, and India—are non-Muslim-majority nations. In contrast, Pakistan ranks 19th among the world’s largest meat exporters, with annual exports exceeding $400 million.
Due to its geographical proximity to the Middle East, Pakistan stands poised to capitalize on the Halal meat industry, offering significant potential to enhance the country’s overall economic security. However, several challenges have restrained Pakistan from fully harnessing this sector’s potential.
Despite notable progress, Pakistan trails behind, holding only a 0.4 percent market share in global Halal meat exports. The majority of Pakistan’s Halal meat exports are destined for UAE, Saudi Arabia, Uzbekistan, and Kuwait, with beef constituting over 80 percent of these exports.
The industry’s response
Pakistan’s meat industry already exports very little and much of this is because foreign markets have a trust deficit in doing business with Pakistan. The opportunity, as we’ve illustrated, is huge. Meat producers are now worried that this one bad consignment could have detrimental effects on their fledgling industry.