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Agriculture Growth Rising but May not Sustain

Agriculture growth rising but may not sustain

Agriculture growth rising but may not sustain

According to a report released by Islamabad-based International Food Policy Institute, Pakistan's agricultural output and productivity are continuing to rise, but the increase is continuing due to unsustainable patterns of input rather than technological change. Agriculture is still the foundation of the Pakistani economy, but both structure and composition are changing. The share of total national output and the capacity to drive growth and development are declining.

Also, because of its large share in GDP, it is extremely difficult for Pakistan to achieve high overall growth with little agricultural growth. Agriculture is no longer the largest sector of the Pakistani economy, but it remains a major source of income for the rural poor and an important driver of the rural nonfarm economy, which has no potential for the poor to grow. The IFPRI report entitled 'Agriculture and Rural Economy of Pakistan: Issues, Prospects and Policy Priorities'.

Researchers David J. Spielman, Sohail J. Malik, Paul Dorosh, and Nuzhat Ahmad have looked at what they can do to stimulate the country's agricultural sector and rural economy in the light of macroeconomic policy changes and weather-related shocks.

The challenge for Pakistan's development strategy is to promote smooth spatial and structural changes in the overall economy by exploiting opportunities to continuously increase agricultural productivity and income, the publication said.

Economist Dr. Ashfaque Hassan agreed that agriculture is no longer the largest sector in the Pakistani economy. Its falling growth indicates that this sector is not in the government's radar, he said.

The economy grew at an average rate of 2.1% in eight years, with a growth rate of 1.6%. The sector is being ignored in the absence of the public sector, and the government 's support is focused exclusively on subsidies and subsidies, he said.

Hassan worried that the neglect would cause a huge blow to the rural population and widen the gap between rich and poor.

The report shows that the growth of rural infrastructure, transportation networks and urban agglomeration will reduce the time, effort and cost of linking production and consumption, but diversification of agricultural products that contribute to urban demand is limited.

Public policy clearly plays an important role in addressing this paradox, but interest in agricultural policy after independence is closely related to changes in agricultural growth rates in Pakistan.

Agriculture has not been able to fully exploit its potential and function in low productivity traps. While there is scope for technological change, the benefits associated with the Green Revolution have long disappeared, suggesting the need to double efforts to introduce farmers to new technologies and practices that improve productivity.

While there is scope for diversification, current policies do not explicitly recommend moving to low-value crops and livestock, where food and agricultural climate conditions with low agricultural value and market infrastructure are helpful in different ways.

Moreover, continuing fragmentation of economically viable medium-sized farms into crops that are cut down to small, ineffectual farms is a landmark to protect vulnerable institutions and high transaction costs or large-scale landowners found in the local land market.

On the other hand, Senator Shed Muzafar Hussain Shah, chairman of the National Food Security Research Committee, sees the revival of the agricultural sector in the near future. He has recently taken government action, including the recently approved Seed Act Bill and Plant Breeders Bill, including fertilizer price cuts, support prices and farmer lending growth. He also expected international seed companies to enter Pakistan now.

About Shahzad Memon

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