Global Rice News

Agriculture Sector in Pakistan: Challenges and Promising Outlook

Farmers in Pakistan have been urged to pursue tea plantations on a commercial scale as part of the government’s plan to cultivate 25,000 acres of land for tea production within the next five years. The agriculture sector in Pakistan plays a critical role in the country’s economy, contributing around 24% to the GDP and employing approximately 42% of the total labor force.

Despite numerous challenges such as water scarcity, outdated farming techniques, and dependence on erratic weather patterns, there is an optimistic outlook for the future of agriculture in Pakistan. The government has recently taken initiatives to modernize the sector and promote agribusiness and value addition. These efforts aim to increase productivity, transform barren land into fertile ground, and achieve self-sufficiency in valuable crops like tea and olive plantation.

Government Initiatives and Investment

Under the Special Investment Facilitation Council (SIFC), Pakistan aims to attract investment worth $30-50 billion in the agriculture sector within the next four to five years. The SIFC has approved 28 projects in sectors including agriculture, livestock, mining, minerals, information technology, and energy. Gulf countries such as Saudi Arabia, the UAE, Qatar, and Bahrain have shown interest in investing in these projects.

The government’s Green Pakistan Initiative, which is part of the SIFC, aims to reclaim unused and barren government land for agricultural purposes. The initiative has made significant progress in regions like South Punjab, Khyber Pakhtunkhwa, and Sindh. It seeks to increase agricultural productivity, establish sustainable farming practices, and create job opportunities.

Promising Outlook for Agriculture

The agriculture sector in Pakistan has shown resilience and adaptability in the face of challenges. With continued government support and investment in modernizing the sector, experts predict sustainable growth and an increased contribution to the country’s economy.

Agricultural GDP in Pakistan is projected to increase to $65.7 billion by 2026, up from $58.3 billion in 2021. The sector is expected to register a 1.7% year-on-year average growth rate from 2021. The country is likely to achieve a 3.5% growth in the agriculture sector in the financial year 2023-24, contributing positively to the GDP growth target.

Focus on Value-Added Crops

Experts emphasize the need for diversification in agricultural production, with a focus on value-addition crops that reduce import bills and contribute to self-sufficiency. Tea cultivation is one such area of focus, with the government planning to bring 25,000 acres of land under tea cultivation in the next five years. Pakistan has vast tea-cultivable land and suitable regions for tea cultivation, offering the potential for significant cost savings on tea imports.

Olive farming is another area with immense potential in Pakistan. By harnessing the full potential of olive farming and millions of wild olive trees across the country, Pakistan can become self-sufficient in edible oil within a decade. Indigenous olive oil production could save billions of dollars spent on importing edible oil and create a thriving export market.

In addition to tea and olive cultivation, other high-value crops like kiwifruit have great potential in Pakistan. The country has seen successful trials of imported kiwi plants, and the planting area has reached 28,800 hectares. Kiwi production in Pakistan surpasses international standards, making it a lucrative crop for farmers.

With the government’s focus on modernization, investment, and diversification, Pakistan’s agriculture sector is poised for sustainable growth and increased contribution to the economy.

Source: Khaleej Times