ISLAMABAD: The agro-based industries in Pakistan have minimal direct linkages with small-scale farmers, and a paradigm shift in approach of the industrial sector has now become vital to cultivate relationship with the farming community which produce raw material for them, Minister for National Food Security and Research, Sikandar Hayat Khan Bosan said on Friday.

Speaking at the inauguration of ‘Pakistan Agriculture Conference and Exhibition 2015’, Mr Bosan emphasised that agro-based industries should be set up in major agricultural producing areas and the business and industry have to initiate formalised contractual arrangements with farmers to buy the commodities they grow.

At the same time, the industrial sector should also develop linkages with the agricultural research and development and play a role in transfer of technology and knowledge to the farming community, he said.

The minister said: “Pakistan has to make investment for setting up processing industries for commodities like potatoes, chillies and tomatoes to create opportunities for fair returns to the farm sector.”

He stated that under the prevailing situation when the returns of agricultural commodities do not commensurate the increasing cost of production, a vibrant industrial sector understanding of these challenges should come forward to support the farm sector.

He said that the government was currently focusing on developing mechanisms for minimising cost of production with a view to increase interest of farmers in agriculture and livestock.

As a policy matter, the government is committed to providing required infrastructure support to agro-processors with the aim to enhance value-addition and job opportunities for the growing young population, he added.

The minister said that the rural youth will be supported in acquiring the new skills for setting up agro-based businesses.

Under the prime minister’s loan programme, areas like livestock, horticulture and fisheries as well as non-farm sector would benefit and this result in turn around of overall economic betterment of rural masses, and generate raw material for the growing food industries.

Pakistan Agricultural Research Council Chairman Dr Iftikhar Ahmad said investment in agriculture sector would definitely reduce poverty. “One dollar generated through agriculture income is more effective in eradication of poverty than $2 to $3 earned from other sectors.”

He was of the view that when rural income increases by 5 per cent, the income in urban areas automatically goes up by 8 per cent. So proper attention be on development of agriculture sector, particularly the livestock to rid the country of the menace of poverty, he said.

USAID Pakistan Mission Director Gregory Gottlieb said during the past five years the US agricultural assistance had helped nearly one million farmers increase productivity and income. This assistance helped Pakistan directly generate over $45 million in domestic sales and $28m in export sales. The two-day exposition is showcasing the latest technological advances in the agriculture industry and providing government agencies and the private sector a forum to discuss agriculture engagement strategies.

Published in Dawn, February 28th, 2015

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