Pakistani Expert: Analysis of Food Ingredients Industry in Southeast Asia

Pakistani export Abdul Rahim Chughtai is the president of Punjab Dyes & Chemicals Merchants Association (PDCMA). He introduced Pakistani food ingredients industry from raw-materials, ingredients processing and food safety. At the same time, Mr. Abdul Rahim Chughtai interpreted the market preference trans-border cooperation based on the local market situation.

I.Overall market analysis

In Pakistan, there is a well-positioned market for food ingredients in terms of the value of the ingredients stream and sustainability of food supply chain.

Specialty ingredients are the foremost important products that guarantee the wellbeing of the vast range of processed foods. These range from a wide variety of macro ingredients such as fibers, carbohydrates, fats & specific proteins to minerals, vitamins & enzymes, all typically enhance the diet quality and taste.

II.Transnational cooperation

In Pakistan, multinationals have been very active aggressive mergers and acquisitions to enhance their product portfolios to cater to the changing consumer preferences.

There is a strong co-relation seen between the trends of the global Specialty Food Ingredients Market and the global processed food and beverage markets in our region. The key aspect for this co-relation is the role played by the specialty food ingredients' applications in Pakistan’s food consumption cycle.

Many Pakistani companies have technical collaboration arrangements with some of the leading international food ingredients manufacturers including the largest companies from China, Japan, Germany, UK, Turkey, and many others.

The interest of foreign investors in this industry appears to be due to the fact that most of these companies began their operations in Pakistan as importers and traders of food ingredients which were manufactured by their principals in the home country.

III.Food safety and regulation

The strict legislative and regulations with respect to food safety and shelf-life, implied that processing industries are keen on getting the right formulation to present the best food product to the consumer.

Because of the flexible government policy and the rising demands, foreign investors in this industry are welcomed and join hands with Pakistani local companies.

IV.Driving forces

The main driving forces for the growing market are the advanced technology, nutrition and taste convergence, rise in convenience food sector and growing end users applications.

The beverage sector is greatly influenced by consumer preference for healthy beverages which is a major driver for functional beverage ingredients.