Reasons of trade deficit in agriculture sector of pakistan agriculture is the major sector of economy

reasons of agriculture trade deficits of pakistan






Agriculture is the major sector of economy. It not only meets the food requirement of entire population but also supplements the foreign exchange recourses. The rural population constitutes about 60% of the total population .yet it has no organization of its own. Not even a chamber or to represent its views and protect interests. One of the interests of the farming community is to get the fair return of their produce in the market. But they are facing a lot of problems in the distribution and or marketing of their agriculture products.

                       Pakistan is an agricultural country, the people of Pakistan are hardworking and the soil is suitable for the cultivation. But   in spite of all these facts Pakistan is unable to show any reasonable productivity in the agriculture sectors. Agriculture sector is the mainstay to earn foreign exchange or to compensate the Pakistan’s foreign trade deficits, but the dilemma is that Pakistan is importing wheat from the foreign countries instead of cultivating in their own fields due to which Pakistan trade deficit is increasing day by day. Approximately a decade before Pakistan sector contribute ?th to GDP, provides 65% to export earning and provides 44.80% of labor force. But now this ratio is decreasing day by day due to the following problems.

                         In Pakistan cultivable land is under utilized; out of 80 million hectors only 25.2% is cultivated, but it is not fully utilized due to the lack of capital, lack of water and insufficient credit facilities. For agriculture land water is core component but there is a scarcity of irrigation water. It is due to the less rain falls, snow falls and water losses from water courses. The knowledge regarding the agriculture is also a big problem, because of the lack of knowledge agriculture researches are not taken place in our country and researchers are unable to produce any new crop by different biological methods.

                        Pakistan is facing problem in adequate supply of inputs like seeds, chemical fertilizer, pesticides, machinery, and credits. These all things fell short when required. It effects the yielding of the agriculture products. Beside all these problems water logging and salinity is main issue or threat to the agriculture sector. It has adversely effect the performance of agriculture lands. Farmers are facing problems while selling their agriculture products in the markets due the lack of transport facilities and intermediaries’ purchases crops from the farmer’s lands and they do not give the fair prices to the farmers and this price even do not compensate the actual cost of the farmers. Actually the middle man takes the advantage of farmer’s hard working due to which the farmers fad off the middleman system and minimize the productivity of crops.

                        Lack of agro-based industries is emerging problem in the agriculture sector of Pakistan. The agro-based industries like livestock, poultry, fisheries and dairy etc are limited. These industries depend on the agriculture product. If these industries are in abundance the demand of agricultural product will increase and consequently of agricultural crops as well. Another important problem is the lack transport facilities and infrastructure which is the big constrain of farmers to bring their agriculture product or crops in the main market. Ill planning in the agriculture sector creates many problems for the farmers in the productivity of crops.

                  Pesticides and chemicals rates in the market are very high and farmer could not effort these high prices pesticides due to which most part of their crops become the victim of insects and spoil the whole fields of crops.

                  Pakistan inherited feudalistic land tenure at the time of partition in 1947. About 7% of the land owners owned 53%of the total land. These land lords had little interst to cultivate all the land or to raise the productivity of their land. Need was felt to breakup the land assets and provide security of tenure to landless peasants. For this purpose different government have introduced t6he land reform in country like land reform proposals,  like land reform proposal of 1958,1959,1972 but in spite all these it did not bring any positive change for land period of time.

                    If the government of Pakistan take remedial steps to overcome theses problems in the agriculture sector. It may take boom in the agriculture sector due to which the government of Pakistan can earn a lot of foreign exchange and minimize the trade deficit of Pakistan. Agriculture sector compensate a reasonable part in the trade deficit of Pakistan if the government take the serious steps to eliminate these constraints in the development in the agriculture sector    

author ( muzammil hussain)

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