Challenges and Opportunities in Pakistan's Agriculture Sector
undefined
Agriculture Sector
Lecture: 3
By: Zafarullah Siddiqui
10/3/2024
Agriculture Sector: Topic 3
1
Objectives
O
Global Agriculture Challenge.
O
Importance of Agriculture Sector in Pakistan.
O
The issues and challenges the sector faces.
O
Way forward for modernization of Agriculture sector.
O
Desired policy interventions and management options.
O
Research focus of Agriculture Program and research
activities including in Pakistan .
O
What type of policy intervention is needed to improve
agriculture sector productivity and food security
?
O
Donor funded Projects in Pakistan
.
O
Lessons and recommendations.
10/3/2024
Agriculture Sector: Topic 3
2
Global Agriculture Challenge
O
Developing more sustainable food systems
O
Using less land, water, nutrients & energy per
unit output – increasing productivity
O
Conserving biodiversity and improving
livelihoods
O
Decoupling economic growth from carbon
emissions
O
Adapting to an increasingly difficult climate
O
Shifting from fossil fuels to renewable energy
O
Doing all of this simultaneously.
10/3/2024
Agriculture Sector: Topic 3
3
The issues and challenges
O
Agriculture sector growth-rate in Pakistan is slow in the
region
O
Low per acre yield
O
Poor quality of seeds, water consuming crops
O
Industry influence called mafia i.e sugar industry
negatively impact in cotton crop in the southern Punjab etc
O
There is not great welfare improvement and poverty
remains high in the agriculture sector/rural economy (close
to 30%).
O
Food security is becoming a major issue.
O
Some 30% of the population is undernourished.
O
The livelihood of about 50% of the population still
depends on agriculture.
10/3/2024
Agriculture Sector: Topic 3
4
The issues and challenges
O
Stagnating crop yields with wide gaps between progressive and average
farmers
O
Poor quality and inadequate supply of inputs and lack of infrastructure
O
Under-performance of rural factor and input markets
O
High pre and post-harvest losses
O
Declining investment including in research, development and extension.
O
Frequent insect and pest attacks and high incidence of crop and livestock
diseases
O
Lack of capital and financial resources
O
Lack of international competitiveness of some agricultural commodities
O
Low crop diversification
O
Highly skewed distribution of farm size and low economy of size and
scale
O
Inadequate supply of water and the inefficient use of available water
resources .
10/3/2024
Agriculture Sector: Topic 3
5
Way forward for modernization
of Agriculture sector.
O
Development and adoption of new varieties
O
Better access to markets for inputs (seeds, fertilisers, farm
mechanization, credit, water) and outputs
O
Improved infrastructure including storage and cooling facilities
O
Reduction in post harvest losses
O
Greater investment in research, development and extension
O
Improved quality and fulfilment of quarantine requirements for
international markets and competitiveness
O
Greater diversification, especially minor but high value crops
O
Effort for greater selling/buying power and economy of size and
scale – cluster farming/structural adjustment
O
Enhanced water supply but more efficient water use through
better water management
O
Governance and institutional reforms in water sector
10/3/2024
Agriculture Sector: Topic 3
6
Desired policy interventions and
management options.
O
Good agricultural policies are fundamental to
progress in the economic, social and
environmental spheres.
O
Scientific and empirical evidence in policy
formulation is extremely important
O
It is generally a low cost process with high and
immediate beneficial impacts – Costs imposed by
poor decisions are reduced through decisions
which rely on rigorous and objective evidence.
10/3/2024
Agriculture Sector: Topic 3
7
Research focus of Agriculture and
research activities in Pakistan .
O
Commonly used agricultural policy alternatives
O
Impact of the increasing regional/globalisation of
trade and associated rules based approaches
O
Impact of domestic markets on supply, demand
and price
O
Impact of domestic market and trade-regulatory
developments
O
Impact of agricultural reform, land and water use
policy, forest policy and food security policy,
regulation and environmental-management
regimes and institutions
10/3/2024
Agriculture Sector: Topic 3
8
Policy intervention needed to improve
agriculture productivity and food security
O
Supply related policies
O
Rural infrastructure
O
Agricultural research and development, and extension
O
Institutions for agricultural resource management
O
Farm input and produce pricing
O
Demand related policies
O
Income, growth and development
O
Education and knowledge
O
Food price stabilization
O
Market related policies
O
Effectiveness of markets
O
Policies to insulate local markets from global markets
O
Access to local markets
10/3/2024
Agriculture Sector: Topic 3
9
Some Donor funded
Agriculture Projects
O
Policies and institutional reforms to improve
horticultural markets in Pakistan
O
Economic analysis of policies affecting pulses
(production) in Pakistan
O
Enhancing smallholders performance through
interventions and collaborative research: A case study of
horticulture in Pakistan
O
Enabling agricultural policies benefitting smallholders
in dairy, citrus and mango industries of Pakistan
O
Efficient participatory irrigation institutions to support
productive and sustainable agriculture in south Asia
O
Creating wealth in smallholders farms through efficient
credit systems in Pakistan
10/3/2024
Agriculture Sector: Topic 3
10
Recommendations
O
Political environment must realize the importance of agriculture
sector and food security issues.
O
Receptiveness of the policy work must be focused for the right
time
O
Donor / government Projects must be realistic with greater depth of
analysis and sufficient commitment
O
Projects should not be allowed to crowd-out economic policy
analysis
O
Learning curve and knowledge based project credibility in the
partner country
O
Sound analysis and credible with clear benefits
O
Policy analysis is relevant to the circumstances of the country
O
Policy analysis need to be effectively promoted throughout the
appropriate channels
O
The project must consider stake holderscapability and comparative
advantage.\
10/3/2024
Agriculture Sector: Topic 3
11
Agriculture Sector as an Industry
Agriculture and
industry are interlinked. Agriculture
and its subsectors e.g dairy, poultry, livestock, fishery,
orchards have become a full fledge industry. It draws
some raw materials, like chemical fertilizers, pesticides,
electric power,
agricultural
machinery and implements,
etc., from the
industry
.
Agriculture
is also dependent
on
industry
for the supply of materials for building up
social and economic overheads in the
agricultural
sector
.
Value addition opportunities in Agriculture
Value
-
added agriculture
may also refer to increasing the
economic
value
of a
commodity
through
particular
production
process, eg., organic
produce
, or
through regionally branded, graded and
packaged
products
that increase consumer appeal and
willingness to pay a premium over similar but
differentiated
products
.
The key benefits to a business of adding value include:
Charging a higher price.
Creating a point of difference from the competition.
Protecting from competitors trying to steal customers by
charging lower prices.
Focusing a business more closely on its target market segment.
Modernization in Agriculture Sector
Modernization
of
agriculture
is a process of
transforming
agriculture
from traditional labour-
based
agriculture
to technology-based
agriculture
. It
is one of the fundamental issues in
agricultural
policies,
particularly in countries, where
agriculture
is less
developed.
Agricultural modernization
is
the
important
foundation of national
modernization
,
the power source of sustained and healthy development
of the country and the long period of stability, which is
the fundamental way to change the backwardness in rural
areas and improve the farmers' poor life.
Pakistan's agriculture sector faces challenges such as low productivity, poor quality inputs, industry influence, and high poverty rates. The country also grapples with issues like stagnant crop yields, inadequate infrastructure, and water scarcity. To modernize the sector, initiatives like developing new varieties, improving market access, and enhancing infrastructure are crucial. Addressing these challenges and implementing effective policies can lead to sustainable growth and improved food security in Pakistan.
Download Presentation
Please find below an Image/Link to download the presentation.
The content on the website is provided AS IS for your information and personal use only. It may not be sold, licensed, or shared on other websites without obtaining consent from the author. Download presentation by click this link. If you encounter any issues during the download, it is possible that the publisher has removed the file from their server.
E N D
Presentation Transcript
Agriculture Sector Lecture: 3 By: Zafarullah Siddiqui Agriculture Sector: Topic 3 1 10/3/2024
Objectives O Global Agriculture Challenge. O Importance of Agriculture Sector in Pakistan. O The issues and challenges the sector faces. O Way forward for modernization of Agriculture sector. O Desired policy interventions and management options. O Research focus of Agriculture Program and research activities including in Pakistan . O What type of policy intervention is needed to improve agriculture sector productivity and food security? O Donor funded Projects in Pakistan. O Lessons and recommendations. Agriculture Sector: Topic 3 2 10/3/2024
Global Agriculture Challenge O Developing more sustainable food systems O Using less land, water, nutrients & energy per unit output increasing productivity O Conserving biodiversity and improving livelihoods O Decoupling economic growth from carbon emissions O Adapting to an increasingly difficult climate O Shifting from fossil fuels to renewable energy O Doing all of this simultaneously. Agriculture Sector: Topic 3 3 10/3/2024
The issues and challenges O Agriculture sector growth-rate in Pakistan is slow in the region O Low per acre yield O Poor quality of seeds, water consuming crops O Industry influence called mafia i.e sugar industry negatively impact in cotton crop in the southern Punjab etc O There is not great welfare improvement and poverty remains high in the agriculture sector/rural economy (close to 30%). O Food security is becoming a major issue. O Some 30% of the population is undernourished. O The livelihood of about 50% of the population still depends on agriculture. Agriculture Sector: Topic 3 4 10/3/2024
The issues and challenges Stagnating crop yields with wide gaps between progressive and average farmers Poor quality and inadequate supply of inputs and lack of infrastructure Under-performance of rural factor and input markets High pre and post-harvest losses Declining investment including in research, development and extension. Frequent insect and pest attacks and high incidence of crop and livestock diseases Lack of capital and financial resources Lack of international competitiveness of some agricultural commodities Low crop diversification Highly skewed distribution of farm size and low economy of size and scale Inadequate supply of water and the inefficient use of available water resources . O O O O O O O O O O O Agriculture Sector: Topic 3 5 10/3/2024
Way forward for modernization of Agriculture sector. O Development and adoption of new varieties O Better access to markets for inputs (seeds, fertilisers, farm mechanization, credit, water) and outputs O Improved infrastructure including storage and cooling facilities O Reduction in post harvest losses O Greater investment in research, development and extension O Improved quality and fulfilment of quarantine requirements for international markets and competitiveness O Greater diversification, especially minor but high value crops O Effort for greater selling/buying power and economy of size and scale cluster farming/structural adjustment O Enhanced water supply but more efficient water use through better water management O Governance and institutional reforms in water sector Agriculture Sector: Topic 3 6 10/3/2024
Desired policy interventions and management options. O Good agricultural policies are fundamental to progress in the economic, social and environmental spheres. O Scientific and empirical evidence in policy formulation is extremely important O It is generally a low cost process with high and immediate beneficial impacts Costs imposed by poor decisions are reduced through decisions which rely on rigorous and objective evidence. Agriculture Sector: Topic 3 7 10/3/2024
Research focus of Agriculture and research activities in Pakistan . O Commonly used agricultural policy alternatives O Impact of the increasing regional/globalisation of trade and associated rules based approaches O Impact of domestic markets on supply, demand and price O Impact of domestic market and trade-regulatory developments O Impact of agricultural reform, land and water use policy, forest policy and food security policy, regulation and environmental-management regimes and institutions Agriculture Sector: Topic 3 8 10/3/2024
Policy intervention needed to improve agriculture productivity and food security O Supply related policies O Rural infrastructure O Agricultural research and development, and extension O Institutions for agricultural resource management O Farm input and produce pricing O Demand related policies O Income, growth and development O Education and knowledge O Food price stabilization O Market related policies O Effectiveness of markets O Policies to insulate local markets from global markets O Access to local markets Agriculture Sector: Topic 3 9 10/3/2024
Some Donor funded Agriculture Projects O Policies and institutional reforms to improve horticultural markets in Pakistan O Economic analysis of policies affecting pulses (production) in Pakistan O Enhancing smallholders performance through interventions and collaborative research: A case study of horticulture in Pakistan O Enabling agricultural policies benefitting smallholders in dairy, citrus and mango industries of Pakistan O Efficient participatory irrigation institutions to support productive and sustainable agriculture in south Asia O Creating wealth in smallholders farms through efficient credit systems in Pakistan Agriculture Sector: Topic 3 10 10/3/2024
Recommendations O Political environment must realize the importance of agriculture sector and food security issues. O Receptiveness of the policy work must be focused for the right time O Donor / government Projects must be realistic with greater depth of analysis and sufficient commitment O Projects should not be allowed to crowd-out economic policy analysis O Learning curve and knowledge based project credibility in the partner country O Sound analysis and credible with clear benefits O Policy analysis is relevant to the circumstances of the country O Policy analysis need to be effectively promoted throughout the appropriate channels O The project must consider stake holderscapability and comparative advantage.\ Agriculture Sector: Topic 3 11 10/3/2024
Agriculture Sector as an Industry Agriculture and industry are interlinked. Agriculture and its subsectors e.g dairy, poultry, livestock, fishery, orchards have become a full fledge industry. It draws some raw materials, like chemical fertilizers, pesticides, electric power,agricultural machinery and implements, etc., from the industry.Agriculture is also dependent on industry for the supply of materials for building up social and economic overheads in the agricultural sector.
Value addition opportunities in Agriculture Value-added agriculture may also refer to increasing the economic value of a commodity through particular production process, eg., organic produce, or through regionally branded, graded and packaged products that increase consumer appeal and willingness to pay a premium over similar but differentiated products. The key benefits to a business of adding value include: Charging a higher price. Creating a point of difference from the competition. Protecting from competitors trying to steal customers by charging lower prices. Focusing a business more closely on its target market segment.
Modernization in Agriculture Sector Modernization of agriculture is a process of transforming agriculture from traditional labour- based agriculture to technology-based agriculture . It is one of the fundamental issues in agricultural policies, particularly in countries, where agriculture is less developed. Agricultural modernization is the important foundation of national modernization, the power source of sustained and healthy development of the country and the long period of stability, which is the fundamental way to change the backwardness in rural areas and improve the farmers' poor life.
