COMPETITIVENESS IN AGRICULTURAL TRADE OF PAKISTAN WITH UNITED ARAB EMIRATES

United Arab Emirate is the trading partner of Pakistan with 10.9 percent share of total trade in 2012. Export share of Pakistan to United Arab Emirates was 8.5 percent and Import share of Pakistan from United Arab Emirates is about 12 percent in 2012. Major agricultural export products of Pakistan to UAE are rice, meat (beef & mutton), and cotton yarn. Major agricultural products, which are imported include dried vegetables, sugar and milk and cream. Objective of the study was to elaborate the trade of major agricultural products between Pakistan and United Arab Emirates, and their competitiveness. Competitiveness in agricultural trade was estimated by nominal protection coefficient (NPC). The results exhibited that Pakistan was losing its competitiveness in basmati export. NPC of beef remained less as compared to Mutton that means beef is more competitive as compared to mutton. It is concluded that Pakistan should focus more on beef for its exports growth as compared to mutton. Pakistan has competitiveness in the cotton yarn but it is not a strong as comparative to its products. Pakistan has strong competitiveness in milk and cream but still is not able to export milk and cream. There is need to make more growth in dairy sector and government should give more attention toward this sector. Value of NPC of sugar more than unity is showing that Pakistan has no competitiveness in sugar. Pakistan is an exporter of fresh vegetables but at the same time Pakistan is also importer of the dried vegetables. There is lack of value addition in vegetables.