Tuesday, September 13, 2016

Eid ul Azha Economic Activity in Pakistan Estimated at $3.5 billion in 2016

Pakistanis are spending about $3.5 billion on Eid ul Azha this year, according to analysts. This includes $2.8 billion worth of livestock and another $700 million on clothes,  shoes, jewelry and various services. This amount represent a huge transfer of wealth from urban to rural population in the country.

Animal Sacrifice:

Eid al Adha commemorates the willingness of Prophet Ibrahim (Abraham) to sacrifice his most beloved son Ismail (Ismael) when asked to do so by God. It follows Hajj, the annual pilgrimage of Mecca by Muslims from around the world each year. Muslims believe that God had angels remove Ismael from under the knife of blindfolded Abraham and had him replaced by a lamb.

Economic Activity: 

The commemoration includes sacrifice of cows, goats, lambs and camels on Eid al Azha. This year, the media reports indicate that 4 million goats, 2.7 million cows, 800,000 lambs and 30,000 camels are being slaughtered in Pakistan on the occasion.

Using a conservative average price of $600 per cow, $200 per goat or lamb and $800 per camel, the total cost of animals adds up to $2.8 billion. Various services offered by, transporters, butchers and slaughter houses are in addition to this amount.

Apparel Purchases:

The Eid celebration includes buying and wearing new clothes and shoes as well as women's jewelry and other accessories that add up to another $700 million spent in Pakistan.


Animal hides and significant amounts of meat are donated to various charities and the poor on Eid. Charities like Edhi Foundation are big beneficiaries of this largesse.

Rural Economy:

Rural residents who raise animals for sale on Eid bring in billions of dollars into the rural economy. These inflows help provide livelihoods and alleviate rural poverty.


Eid al Azha this year represents a $3.5 billion worth of economic activity that is generating jobs and helping the charities and the rural residents of the country.

Related Links:

Haq's Musings

Pakistan Among Top Meat Consuming Nations

Livestock Revolution in Pakistan

Pakistan's Rural Economy

Strong Eid Sales in Pakistan

Happy Eid-ul-Azha: Good Hygiene and Humane Treatment of Animals

Ho Kya Raha Hai - Impact of Eid-Ul-Adha on Our Economy - 12th September 2016


Anonymous said...

A study by trade organizations puts the total value of Eid shopping this year at Rs 1000 billion (US $ 10 billion).

This trend coincides with a rise in the prices of clothes, shoes and fashion accessories. The prices have registered a 20 percent increase as compared to the previous year.

Economists attribute these trends to both traditional surge in prices and uptick in economic activity related to industrial, services, infrastructure development, domestic tourism, and growth of modern IT sectors. Only this week, Pakistan has found its way back into the category of emerging economies on the back of expanding GDP, robust performance of Karachi Stock Exchange, foreign remittances inflows, and macroeconomic stability.

Discussions with traders and entrepreneurs reveal that the trends bode well for the country, which has to pull large populations in far-off areas out of poverty.

In addition to conventional shopping like clothes, citizens are also purchasing new furniture and home appliances during the Eid season.

Except for high-end brands and the imported commodities, prices are generally stated to be slightly above last year’s level. But the children’s garments are expensive due to rising demand and traditional profiteering on part of sellers.


Abu_Talha said...

Yes things are positive & the economy is recovering, thanks to the army action & the CPEC project.

MRC said...

This is 3.5 billion spent by affording and goes into pockets of poor...cattle herders poor farmers...
Thats good..

This is one thing our surkhas will never understand...u have to make people work and pay them...a world where every one sits at home.. smokes hashish and unlimited sex on government handouts ...does not work

Majumdar said...

Bakkkis shud celebrate every day as Bakrid. USD 3.5 billion * 365, voila you have a trillion dollar economy.


ZB said...

جانوروں کی قربانی: سعودی عرب کے بعد پاکستان کا دوسرا نمبر
12/September/2016, 07:39 hamariweb

کراچی (صباح نیوز) مناسک حج کا اہم رکن قربانی کا فریضہ بھی ہے، اسلامی دنیا میں جانوروں کی قربانی میں سعودی عرب پہلے پاکستان دوسرے نمبر پر ہے۔ دنیا بھر کے آٹھ کروڑ سے زائد خاندان جانوروں کی قربانیاں کرتے ہیں۔ پاکستان میں ہر سال ایک کروڑ بائیس لاکھ افراد قربانی کا فریضہ انجام دیتے ہیں۔ ایک رپورٹ کے مطابق انڈونیشیا میں ایک کروڑ آٹھ لاکھ چالیس ہزار افراد قربانی کرتے ہیں۔ بات کی جائے بھارت کی وہاں ایک کروڑ سے زائد جبکہ بنگلہ دیش میں اسی لاکھ بہتر ہزار مسلمان قربانی کرتے ہیں۔ مصر میں 62 لاکھ 23 ہزار، ترکی میں 48 لاکھ 20 ہزار اور ایران میں 21 لاکھ گھرانے قربانی کرتے ہیں۔ افغانستان میں 2 لاکھ 10 ہزار خاندان، ازبکستان میں ایک لاکھ مسلمان گھرانے اور شام، کویت، ملائیشیا، تیونس اور یمن میں تقریباً ایک، ایک لاکھ خاندان جانوروں کی قربانیاں دیتے ہیں۔ قربانی

1 crore 22lakh people do qurbani on Eid in Pakistan

Riaz Haq said...

The Federation of Pakistan Chambers of Commerce and Industry (FPCCI), while quoting some estimates, has said that Rs200 billion to Rs300 billion has flown from urban centres to rural areas of the country during the recent Eid festival, which will prove a boon to the farmers and backward regions.

“Some estimates suggest that around Rs200 to 300 billion has been shifted from urban centres to rural areas during Eidul Azha, of which 85% was spent on the purchase of sacrificial animals,” said FPCCI President Abdul Rauf Alam in a statement on Thursday – the third day of Eid.

Over 1,800 land in hospitals in Punjab due to overeating during Eid holidays

He pointed out that Eidul Azha generated great economic activity around the Muslim world and its ballooning size was a very positive indicator for Pakistan’s economy, particularly for the rural economy.

Cattle traders in Pakistan mostly come from rural areas to sell sacrificial animals in big and small cities after rearing cattle for months and even more than a year. “Rural residents, who raise animals for sale on Eid, bring billions of rupees to the rural economy and help alleviate poverty and unemployment,” he said.

“It (Eidul Azha) creates millions of temporary jobs, benefits the jobless, transporters, tanners, textile manufacturers, social and religious groups as well as others.”

It promotes the livestock sector which accounts for 58.5% of the agricultural sector and over 12% of the national economy.

“Crops are going down but the livestock sector is growing 3.6% per year; a little focus can help the country export a significant number of cattle to Saudi Arabia, which will give a boost to the rural economy and bring foreign exchange to the country,” Alam said.

How do Americans and non-Muslims view Eidul Azha?

Saudi Arabia is a huge market for cattle as besides regular consumption in households, hotels, wedding ceremonies and other occasions, millions of animals are sacrificed during Hajj every year.

Pointing out that Pakistan had become world’s fourth largest milk producer, he lamented that lack of value addition was preventing the country from capitalising on livestock sector’s potential.

The FPCCI president was of the view that a large number of people were willing to spend more liberally on the purchase of animals and price movements had failed to deter them. Apart from this, the production of cattle is increasing in the country.


Riaz Haq said...

How about virtual #Hajj2020 amid #COVID19 ? Even without the #pandemic, a vast number of #Muslims can’t journey to #Mecca for financial or medical reasons. Virtual hajj technology would let them see inside the city. #VR #technology #Hajj #Pakistan https://www.wsj.com/articles/software-developers-look-to-offer-virtual-hajj-as-a-viable-alternative-for-pilgrims-11595325600 via @WSJ

The annual hajj that brings more than 2 million pilgrims to Saudi Arabia’s Mecca has been drastically scaled back this year due to the coronavirus pandemic, but virtual software developers are hoping to let Muslims experience what it’s like to worship at the city’s holy sites from far away.

Social-distancing measures by the Saudi government to fight the new coronavirus mean only a limited number of pilgrims already in the country can participate when this year’s hajj begins July 28. The decision is a blow for those hoping to fulfill their once-in-a-lifetime obligation to perform hajj in 2020.

Some see the news as a boon for virtual hajj software, but some Muslims question whether holy pilgrimages can be replicated virtually.

“Unfortunately, tech acceptance in the Islamic world has been a bit slower than our ambitions, with the result that specific segments of the population are unable to see the future benefit that virtual hajj can provide,” said Mohammed Alsherebi, founder of Centillion Inc., a company that advises companies expanding in the Middle East. “By focusing only on the inconvenience of the present moment, many of us are unable to see the incredible opportunity that lies ahead of us.”


“We don’t believe there can be a substitute to an in-person hajj experience,” said Mr. Maqbool. “However, if we can bring some measure of spiritual and emotional peace to Muslims world-wide during these tough times, then we will have met our goals.”

Mr. Alhaddad, the iUmrah.World chief executive, said he is confident that a virtual hajj or umrah will one day be considered as legitimate as the real thing. The company, which Mr. Alhaddad hopes to take public in 2022, is also developing an iVatican product.

“Yes, it’s better to go yourself,” said Mr. Alhaddad. “But can you get the same experience or fulfillment by watching a pilgrimage being performed? Yes, I believe you can.”

Riaz Haq said...

Bilal I Gilani
About 15 million Households take part in Eid Qurbani (Eid ul Azha)

Half say they sacrifice goat or sheep

Half take a share in cow

That's about 7.5 million goats/ sheep

About 1 million Cows sacrificed

(Rs) 280 billion (US$1.35 billion) on goats and (Rs) 100 billion (US$480 million) on cows spent


Riaz Haq said...

As one of the most important occasions in Pakistan, Eid al-Adha generated an estimated revenue of over 1.74 billion U.S. dollars in sacrifices and related economic activities, with the sales of sacrificial animals and decorations witnessing a rise this year.


According to the latest statistics from Pakistan Tanners Association, Eid al-Adha generated estimated economic activity to the tune of 329 billion rupees (1.15 billion U.S. dollars) in 2022 in the country from sacrifices alone, with the amount surpassing 500 billion rupees (1.74 billion dollars) if related economic activities are included.

Talking to Xinhua, Mushtaq Malik, an animal trader at a make-shift animal market in eastern Rawalpindi district, said that a large number of buyers with their families are visiting the market and showing keen interest in sacrificial animals while indulging in hard bargaining and negotiations.

"We raised these animals with love and affection. They (customers) try to choose the best animal to sacrifice on this special occasion. Some affluent people don't care too much about the prices as their focus is to buy the best," Malik said.

He said that the price of each animal depends on age, weight and health, adding that the animal with the right weight and health would be sold at a higher price, and buyers know all about their options before purchasing the animals.

As the hustle and bustle is gradually increasing at cattle markets, some of the buyers seem rather unhappy about the unrealistically high prices of the animals, complaining that the prices have gone up substantially compared to last year.