Pakistan’s industrial conglomerate IMGC has officially opened a 2,000‑square‑metre sesame‑processing plant, signalling a deliberate move to export not just raw seeds but refined sesame products such as oil and roasted kernels to the booming Chinese market.

Background

Sesame has long been a staple of Pakistan’s agricultural basket, with the country ranking among the top five global producers. Historically, the bulk of Pakistani sesame has been shipped as unprocessed grain, fetching modest prices on international markets. Over the past few years, demand from China—a major consumer of sesame oil for cooking and food‑processing—has surged dramatically, turning the country into Pakistan’s single largest importer of the commodity.

Recognising the earnings gap between raw grain and finished products, IMGC invested in a state‑of‑the‑art processing line spanning 2,000 sqm. The facility is equipped with Chinese‑made machinery, a strategic choice that ensures compatibility with the specifications preferred by Chinese buyers and reduces the learning curve for the new processing operations. The plant is designed to produce cold‑pressed oil, toasted kernels, meal and other premium derivatives that can command significantly higher unit prices than raw seeds.

What it means

For Pakistani sesame growers, the shift toward value‑added processing promises better farm‑gate prices. As processors like IMGC require higher‑quality, consistently graded seed, farmers are likely to receive incentives to adopt improved agronomic practices, which can raise yields and overall income in rural communities.

At the macro level, converting raw exports into finished goods helps plug the trade‑deficit gap. Export earnings from processed sesame products are expected to outpace those from raw grain, strengthening foreign‑exchange inflows. Moreover, the new plant creates direct employment—engineers, technicians, quality‑control staff—and indirect jobs in logistics, packaging and marketing, contributing to the broader goal of industrialising Pakistan’s agricultural sector.

Strategically, the initiative deepens Pakistan‑China trade ties beyond traditional commodities such as cotton and rice. By supplying China with processed sesame that meets its quality and safety standards, Pakistan positions itself as a reliable upstream supplier in the Chinese food‑manufacturing chain, potentially unlocking preferential treatment under existing bilateral agreements.

What happens next

The success of IMGC’s facility could spur other agribusinesses to invest in similar processing capacities, prompting a gradual restructuring of the sesame value chain within the country. Government bodies may respond with supportive policies—such as tax incentives for value‑addition, streamlined export licensing, and technical training programmes—to accelerate this transition.

However, scaling up will require addressing bottlenecks in storage, cold‑chain logistics and certification. Meeting Chinese food‑safety standards, including HACCP and traceability requirements, will be essential for sustained market access. If these challenges are managed effectively, Pakistan could evolve from a raw‑seed exporter to a regional hub for premium sesame products, enhancing both farmer livelihoods and national export revenues.