According to newspaper reports, the agriculture sector has been showing a bleak performance for the last couple of years, as crop production has registered a negative growth of 0.19 percent and in monetary terms, it suffered a loss of Rs 1 billion in one year. Experts believe it would also have ripple effects on the economy provided the government comes up with a concrete plan to save this sector which contributes approximately 20 percent to the gross domestic product and employs overall 42 percent of the workforce in the country. Pakistan is predominantly an agriculture economy and a major source of income for the population living in the rural areas. Other than the crops, the country has the vast potentials to invest in fisheries, livestock and forestry to develop the rural economy. At least 65 percent of the country’s population lives in rural areas and it needs better conditions to stop their migration to urban centers.
According to reports of the international lending institutions, the prices of agricultural products have been declining in the international market for the last four years and it has also affected Pakistan’s agriculture sector. If this trend continues, it will add to further pressures on the economy as limited opportunities in rural areas will speed up the process of migration to urban centers. The use of synthetic substitutes has increased in the industry and its will cut the prices of agricultural products in the country. Pakistan needs to introduce modern technology in the agriculture sector to get better yield and lower the cost of production. The population of the urban centers is likely to increase four times in 15 years if mass migration is not stopped. The only way to put a stop on the migration is to encourage participation of the corporate sector in the rural economy. The government will have to give tax relief for the agriculture industries to bring the economy of the rural areas at par with the urban centers.
Cotton crop has so far remained the main earning sector in the country, but its production is also dwindling and Pakistan had to import cotton from India last year to cater to the need of the textile industry. According to experts, the cotton sowing has registered a decline of 15 percent this year as compared to the last year though per acre yield in Pakistan is still better than India. It has been cultivated on 2.86 million hectares this year against its proposed target of 2.9 million hectares. The government has to start concerted efforts to develop the blend of cotton and other crops to save this sector from deterioration.
