For most Pakistanis, the China-Pakistan Economic Corridor (CPEC) has long been associated with highways, power plants and large infrastructure projects.
That was the most visible face of CPEC. But CPEC 2.0 points to something deeper. It suggests that the next phase of CPEC will be judged not only by roads and energy, but by whether it can strengthen the productive sectors of the economy. In that shift, agriculture deserves to be at the centre.
This is not simply an economic question. Agriculture remains deeply woven into Pakistan’s social and economic life. It contributes 23.5 percent to GDP and employs more than 37 percent of the labour force, making it central to food security, rural livelihoods and economic stability. Yet the sector has long been held back by low productivity, outdated farming methods, weak storage, poor transport, limited processing and growing climate pressure. Pakistan has the land, the farming experience and the crop diversity. What it has lacked is a consistent push toward modernization and value addition.
That is why the agricultural focus emerging under CPEC 2.0 matters so much. The recent Pak-China Agriculture Investment Conference offered a strong signal of intent. The signing of 78 memorandums of understanding worth 4.5 billion dollars showed that agriculture is no longer being treated as a secondary area of cooperation. It is becoming part of a broader strategy to improve productivity, strengthen supply chains and support export growth.
The logic behind this shift is clear. Pakistan and China are moving beyond connectivity alone and toward sectors that can create lasting economic returns. In agriculture, that means better seeds, improved irrigation, modern machinery, climate resilient farming, stronger logistics and greater investment in processing and agribusiness. These are the practical building blocks of a more competitive agricultural economy.
Rice offers a useful example of what this transformation could look like. Pakistan has a long history of rice cultivation and has built an important position in both Basmati and Non Basmati rice. Basmati, in particular, has earned international recognition because of its quality and aroma, while other varieties have helped maintain export volumes and foreign exchange earnings. Over time, the sector also moved from a more state led framework toward stronger private sector participation.
The figures show that Pakistan already has strengths worth building on. In 2023 and 2024, rice exports crossed 6 million metric tons and earned close to 4 billion dollars. In 2024 and 2025, exports remained strong at around 5.8 million metric tons, generating roughly 3.35 billion dollars. These numbers matter because they show that Pakistan already has agricultural sectors with established export potential.
This is where CPEC 2.0 could make a real difference. Pakistan’s agricultural problem has never been limited to what happens in the field. A large part of the loss occurs after harvest. Weak warehousing, poor cold storage, underdeveloped logistics and limited processing mean that too much value disappears before products reach domestic or international markets. Investment in storage, transport, food processing and farm to market systems can help change that. Such improvements would not benefit rice alone. They could also strengthen dairy, halal meat, horticulture, cotton related value chains and processed food exports.
That is why rice should be seen as an illustration, not the whole argument. The larger story is about the future of Pakistan’s agriculture as a whole. CPEC 2.0 offers the possibility of moving beyond a pattern in which Pakistan exports raw produce and imports higher value products at greater cost. If the country can improve processing, packaging, branding and quality control, it can retain more value at home and compete more effectively in regional and global markets.
Corporate farming is one part of this wider discussion. Its supporters argue that it can bring scale, technology, investment and more efficient management. That may be true, especially in a sector where fragmentation and weak organization often hold back productivity. But reform must be handled carefully. If modernization benefits only large investors while small and medium farmers are left behind, the result will be deeper inequality rather than wider progress. Modernization must be inclusive.
This is also why youth and vocational training deserve much more attention. A modern agricultural economy needs more than land and machinery. It needs skilled people who can work in irrigation systems, farm management, food processing, storage, logistics, export marketing and agricultural services. Pakistan has a young population, but too many young people still see agriculture as a sector of hardship rather than opportunity. Practical education in agribusiness, machinery use, crop management, processing and supply chain operations can help build a stronger rural workforce and open new paths to income and dignity.
The benefits of such a shift could be far reaching. Farmers could gain from better yields and better returns. Exporters could benefit from improved logistics and stronger quality standards. Rural communities could see more jobs and steadier incomes. Investors could find opportunities in seeds, irrigation, processing, storage and farm technology. Most importantly, Pakistan could begin to build an agricultural economy that is more productive, more resilient and less dependent on low value exports.
Still, none of this will happen through agreements alone. Pakistan must address water stress, climate risks, infrastructure gaps and policy inconsistency if this promise is to become reality. The real test of CPEC 2.0 will not be how many announcements are made, but whether farmers and rural families actually feel the change in their daily economic lives.
CPEC 2.0 gives Pakistan an opening that should not be wasted. If used wisely, it can help turn agriculture into a stronger source of jobs, exports and long term stability. The real success of this new phase will be measured in whether Pakistan finally gives agriculture the strategic attention it has needed for decades.
