The plane crashed in the Sabzazar area of Mianwali, some 350-kilometre from Lahore, on Tuesday.
According to a statement issued by the Air Force's media wing, the pilot of the aircraft lost his life as he failed to eject at the time of the crash.
"Wing Commander Mohammad Shahzad was flying an F-7 aircraft when it encountered a technical fault and crashed near the Sabzazar area of Mianwali, some 350-km from Lahore, late on Tuesday," it said.
According to an eyewitness, the fighter jet crashed in a forest just after take-off from M M Alam airbase (Mianwali).
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He said soon after the incident the air force personnel reached there and cordoned off the area.
According to reports, some 10 F-7PGs/FT-7PGs (aircraft) have crashed during the last 10 years or so.