Ambitious target set for wheat output

Published October 22, 2008

ISLAMABAD, Oct 21: The federal committee on agriculture (FCA) on Tuesday set some ambitious targets for the Rabi season, including the fixation of 25 million tons target for the next wheat crop against last year’s production of 23.3 million tons.

According to figures presented at the meeting, Pakistan missed cotton and sugarcane crop targets for the Kharif season but surpassed the production target for rice.

Food Minister Nazar M. Gondal said the new and increased guaranteed minimum price for the next wheat crop (Rs950 per 40kg) would serve as an incentive to farmers.

In reply to a question whether the target was achievable keeping in view around 40 per cent water shortage for Rabi and a 14 per cent shortage of certified seed, Mr Gondal said the new support price and a Rs32 billion subsidy on fertilisers would help achieve the target.

Officials told the meeting that various factors like disease were responsible for the decrease in cotton production, while sugarcane output was affected by delays in payment to growers by sugar mills.

The decline in cotton output for the fourth year in a row, however, did not affect textile-based exports. The industry was able to sell $10 billion worth of products abroad last year, accounting for more than half of the country’s total annual exports of over $19 billion.

The FCA meeting estimated the cotton output at 12 million bales, against a target of 14.1 million tons.

Surprisingly, at a time when the country experienced unprecedented surges in sugar price, the sugarcane production declined to 53 million tons against a target of 56.5 million tons. The 3.5-million-ton shortfall might have been greater had the government not allowed its export despite the not-so-good prospects for the new crop.

Higher prices in the international market and better payback ensured to growers enabled the country to surpass the rice output target of 5.72 million tons, achieving 6.54million tons.

The target for maize, which was 3.28 million tons, has also been surpassed with an output of 3.34 million tons.

Mr Gondal said that cotton production figures showed that the output had surpassed the previous year’s yield of 11 million bales.

He said there was no shortage of sugar and that this year’s sugarcane production was enough for domestic consumption.

The minister said if the government felt there was a gap in sugar supply and demand, it could release stocks held by the Pakistan Agriculture Storage and Supplies Corporation (Passco), adding that if there was further need it could be imported because its price in the international market was quite low.

He said 990,000 tons of DAP was available for Rabi season. The requirement was 820,000 tons.

The crop insurance policy would also benefit farmers and improve wheat production, the minister hoped. Arrangements were also under way to supply 200,000 tons of urea required for the season.

The targets for gram, potato and onion were set at 650,000, 6.2 million and 2 million tons.

PUNJAB BAN: Federal and provincial agriculture authorities were able to influence the Punjab food authorities to lift the ban on inter-provincial movement of wheat seed after Sindh warned that the government could not achieve the target because the province, second after Punjab in production, was experiencing a shortage of quality seed.

The FCA was also informed that 326 FIRs had been registered against people involved in the sale of sub-standard fertilisers.

The government had seized sub-standard pesticides and herbicides valued at Rs260 million in Punjab, the minister said.

He said the federal government would follow the example of Punjab by giving a subsidy of Rs200,000 on the sale of tractors so that farming could be mechanised.

Banks will provide Rs250billion in agricultural loans to farmers this year. The FCA formed five sub-committees to promote the production of high-value crops like pulses and vegetables and to modernise livestock and horticulture.

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