Pakistan Economic Problems as Concern With Agriculture and Manufacturing

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  • 8/7/2019 Pakistan Economic Problems as Concern With Agriculture and Manufacturing

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    Pakistan Economic problems as concern with Agriculture and manufacturing :

    AGRICULTURE:Introduction

    Pakistan is an agricultural land

    Total geographical area of Pakistan (Sq.kms) is 796,096 (Punjab-205,344; Sindh-140,914; NWFP-

    74,521; Balochistan-347,190, FATA-27,220 and Islamabad Federal Area-906), corresponding to

    80.0 mha, and (20.60 mha; 14.10 mha; 10.20 mha; 34.67 mha of the four provinces of Pakistan,

    respectively). Most of the areas in the Punjab and Sindh provinces are plain land, formed by the

    River Indus. Pakistan is known for its excellent network of canals and rich agricultural lands,

    with three major reservoirs-Tarbela, Mangla and Chashma, 23 barrages, 12 huge interlink

    canals, 62,800 kilometers canals length, 106 kilometers water courses and 107,000 nos. of

    channels. The Northern Regions of Pakistan is famous for its high mountain ranges, the

    Himalayas and Karakorams. The highest peak in the area is Godwin Austin (K-2), which is

    8610.60 meters above the sea level. This is the second highest peak in the world. The southwestern part of the country is a plateau with an average height of about 609.6 meters above

    the sea level. The Province of NWFP comprises of both hilly areas and fertile valleys.

    Balochistan, the biggest province of Pakistan is mainly an arid region with promise of mineral

    wealth. The hot summer months extended from April to June and the winter months are

    effective from December to February of the year. The climate in some areas of the country

    varies from -0[degrees]C to over 50[degrees]C.

    The Agriculture sector continues to play a central role in Pakistans economy. It is the second

    largest sector, accounting for over 21 percent of GDP, and remains by far the largest employer,

    absorbing 45 percent of the countrys total labor force. Nearly 62 percent of the countrys

    population resides in rural areas, and is directly or indirectly linked with agriculture for their

    livelihood. The Agriculture sectors strong linkages with the rest of the economy are not fully

    captured in the statistics. While on the one hand, the sector is a primary supplier of raw

    materials to downstream industry, contributing substantially to Pakistans exports, on the

    other, it is a large market for industrial products such as fertilizer, pesticides, tractors and

    agricultural implements.

    Problems in Agriculture

    Despite its critical importance to growth, exports, incomes, and food security, the Agriculture

    sector has been suffering from secular decline (Table 2.1). Growth in the sector, particularly in

    the crop sub- sector, has been falling for the past three decades. Productivity remains low, with

    yield gaps rising (Table 2.2). Critical investments in new seeds, farming technology and

    techniques, and the water infrastructure are not being made. Without major new investments

    in Agriculture, it is unclear how prepared Pakistan would be to tackle emerging challenges such

    as declining water availability, and climate change.

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    Table 2.1: Historical growth performance

    Agriculture Growth

    Years Percent

    1960's 5.1

    1970's 2.4

    1980's 5.4

    2000's 3.2