Pakistan Greenlights Donkey Meat Exports to China Amid Trade Tensions

Export Approval Amidst Trade Challenges

In a significant development, Pakistan has authorized the export of donkey meat to China following a warning from the Hangeng Trade Company about potential operational shutdowns. This intervention came directly from the Prime Minister's office.

The Hangeng Trade Company, which operates in Gwadar—a key port city for China-backed initiatives—faced delays in export approvals that raised concerns over bureaucratic hurdles impacting foreign investments in Pakistan.

This decision by the Pakistani government coincides with Prime Minister Shehbaz Sharif's upcoming visit to China for an investment forum.

The Hangeng Trade Company is involved in the slaughter and export of donkey meat and hides to China, where these products are utilized in traditional medicine, often marketed as a remedy for blood and skin ailments.

Pakistan exports approximately 216,000 donkeys annually for meat and hides, predominantly to China, with the sector projected to generate around USD 300 million each year, according to government estimates.

On May 1, the company publicly announced that it might have to cease operations in Pakistan due to non-market factors and operational challenges, warning employees about potential factory closures.

The company also cautioned other businesses to evaluate policy execution issues and institutional uncertainties before making investments, noting that their shipments had been stalled despite compliance with export standards and three months of communication with Pakistani authorities.

The delays were primarily due to pending approvals from the Ministry of National Food Security and the Animal Quarantine Department, which oversees livestock exports.

Following the company's statement, Tauqir Shah, an adviser to the Prime Minister, escalated the issue to the Prime Minister's Office.

The Prime Minister's Office intervened on Friday, initiating a swift approval process.

Subsequently, Pakistan's cabinet approved the export of donkey meat the next day, leading to the issuance of necessary permissions by the Animal Quarantine Department.

A senior official from the Cabinet Division confirmed that all procedures were adhered to, noting that decisions made by the Economic Coordination Committee, which reviews financial matters, are sometimes ratified in stages.

The official also mentioned that the export summary was ratified on Friday, although it was noted that the company had not fully complied with the agreed conditions, including breeding standards necessary for international-quality exports.