Global Rice News

Bumper Crops of Cotton and Rice Expected to Boost Pakistan’s Economy

According to the Sindh Abadgar Board, an organization advocating for farmers’ rights, Pakistan is set to benefit from bumper crops of cotton and rice. These crops are expected to contribute $3 billion to $5 billion to the country’s foreign exchange reserves, while reducing the need for imports and increasing exports.

The board, led by Vice President Mahmood Nawaz Shah, made this hopeful projection during a meeting in Hyderabad. The farmers anticipate a significant increase in cotton production, with estimates of nearly 12 million bales in 2024, compared to 4.7 million bales in 2023.

In addition to cotton, the growers also anticipate a substantial increase in rice exports during the current fiscal year. This growth comes after a challenging year in which crops were severely affected by heavy rains and floods.

Despite their optimism, the farmers expressed concerns about the lack of support from the government. They highlighted issues such as inflation, black market activities, and low prices for their produce. The hoarding of pesticides and fertilizers was also mentioned as a problem that affects their livelihoods.

Challenges Faced by Farmers

The farmers emphasized the skyrocketing prices of urea, a key fertilizer in Pakistan, due to black market activities. They pointed out that the official price of a bag of urea has increased from Rs1,650 to Rs3,400, while hoarders charge farmers up to Rs4,200 per bag.

The shortage and subsequent manipulation of Calcium Ammonium Nitrate (CAN) prices were also highlighted as concerns. The Sindh Abadgar Board has been continuously engaging with the government to address these issues, but meaningful actions are yet to be taken.

Additionally, the farmers discussed the exploitation they face from millers and middlemen. Despite the government setting a price of Rs8,500 per 40 kilograms of cotton, farmers are receiving as low as Rs5,000 in the market. Similarly, the price of rice has dropped from Rs4,200 per 40 kg to Rs2,800 and is expected to decline further to Rs2,600. The cotton and rice millers were accused of making illegal deductions from the farmers.

Importance of Government Intervention

Amidst these challenges, the farmers appealed to the government to take immediate action against black market activities and illegal deductions. They also urged the authorities to address their grievances and regulate the prices set by middlemen.

Furthermore, the Sindh Abadgar Board recommended that the Trade Development Authority of Pakistan (TDAP) organize exposure visits for export-oriented farmers to target countries. They believe that Pakistan has significant opportunities in horticultural exports.

It is crucial for the government to respond seriously to the concerns raised by the farmers and support them in overcoming these challenges. By doing so, Pakistan can capitalize on the booming cotton and rice sectors, enhancing its national economy and strengthening its foreign exchange reserves.

Source: Tribune