Agriculture is the strongest forte of Pakistan’s economy. Over the years, the sector has played a key role in achieving food security, boosting exports and ushering foreign direct investment in the country. It provides raw material to two of the large scale manufacturing industries i.e. textiles and clothing and sugar.
The sector contributes around 20%
to country’s GDP, accounts for more than 60% of total export-proceeds earned by
the country and provides employment to nearly 45% of the total labour force.
Pakistan ranks eighth worldwide in farm output - it is among the leading
producers of Wheat (7th), Rice (11th), Cotton (4th), Sugarcane (5th) and Mango
(4th).
The most important crops are
wheat, sugarcane, cotton, and rice, which together account for more than 75% of
the value of total crop output. Lately Pakistan joined the Club of wheat
exporting countries by achieving over 25 million tons of the staple food grain
per annum.
Over the years the government
introduced agriculture assistance policies, including increased support prices
for many agricultural commodities and expanded availability of agricultural
credit.
Much of the Pakistan's
agriculture output is utilized by the country's growing processed-food industry.
The value of processed retail food sales has grown considerably over the years.
Lately Pakistan joined the Club
of wheat exporting countries by achieving over 25 million tons of the staple
food grain per annum. During the outgoing financial year Wheat output was a
little below 25 million tons. Rice production was around 7.5 million tons.
Maize crop size was reported around 7.3 million tons. Cotton and Sugarcane
production remain below the target.
Wheat is staple food grain and
many bakery products are made from it. This year due to some issues faced
during wheat procurement, the quantity bought by the government remained below
target. However, private sector purchased substantial quantity. It is necessary
to point out that due to the shortage of modern gain storage silos; nearly 15%
of the wheat produced goes stale before reaching the market.
Rice is the second main staple
food crop and also another major exportable commodity. Pakistan produces
different verities of rice, but Basmati enjoys a unique preference because of
grain size and its aroma. Traditionally, Pakistan has been exporting rice in
bulk which used to fetch lower price. Lately, many brand of rice have attained
global recognition, but India continues to give tough competition in the global
markets.
Red Chilli is a major crop of
Pakistan as also exported in large quantity. Chilies are one of the largest
traded spices in the International market. In Sindh, Chilies are mainly grown
in Kunri, a small town of Umer Kot district. The area contributes around 85% of
Pakistan’s red chili production and it is also known as one of the largest
production centers for red chilies and also known as the red chilli capital of
Asia. Export of red chilli can help in earning substantial foreign exchange.
Maize is also an important crop
that can be cultivated on average quality soil. It is said that each and every
part of the plant is consumed by human beings and animals. Two of the most
consumed forms are oil and flour. It is also an important source of non-animal protein
for chicken feed. At an average the country produces about 7 million tons of
maize.
Soybean is an important source of
edible oil. Seed is processed to extract oil for human consumption and its meal
is a rich source of protein, primarily used as feed for poultry, dairy, beef
and fish industry. Currently, soybean cultivation in Pakistan is highly
negligible. Owing to its nutritional value and multiple uses, it is also called
the “Golden bean”. Interestingly, all the soil and climatic conditions of all
the four provinces are suitable for soybean. As the soybean can help cut edible
oil imports to a significant extent, the Ministry of National Food Security and
Research needs to launch a massive awareness drive at federal level in close
coordination with provincial agricultural departments.
The contribution of agriculture
in economy of the country can be further enhances by exercising better crop
management, containing post-harvest losses by constructing modern storage and
logistic facilities and achieving greater value addition. Developing a robust
rural economy will also contain influx of people in search of job to cities,
from rural areas.
Pakistan is among the top five
largest cotton producing countries of the world. Pakistan is also known as ‘Cotton
Country’. Cotton is the basic raw material for country’s largest industry,
Textiles and Clothing, which contributes more than 60% to Pakistan’s total
export proceeds. Bulk of the Textile and Clothing exports now comprises of
value added products. Major buyers of made in Pakistan Textiles and Clothing
are United States, European Union, China and some oil-rich Middle Eastern
countries. Cotton seed-oil contributes a significant quantity of total edible
oil produced in the country and oil-cake being used to feed mammals.
Sugarcane is the second largest
cash crop of Pakistan. It is being cultivated in Punjab, Sindh and KPK. There
are about 85 sugar mills operating in the country, producing over 4.2 million
tons sugar annually, sufficient to meet the local demand. Two by-products of
sugarcane are molasses and baggase. Bulk of the molasses is exported but lately
many mills have also started producing and exporting alcohol, which is used in
the production of biofuel. Baggase is commonly used in the production of chip
board, an efficient alternative for wood. It is also used as fuel in brick
kilns.