Wheat target, support price kept unchanged

Published October 22, 2015
The decision is take in view of surplus stocks, difficulties in export caused by depressed international prices.—Reuters/File
The decision is take in view of surplus stocks, difficulties in export caused by depressed international prices.—Reuters/File

ISLAMABAD: The government decided on Wednesday to maintain last year’s wheat production target of 26 million tonnes for the 2015-16 Rabi season in view of surplus stocks and difficulties in export caused by depressed international prices as well as enhanced supplies.

At the same time, the government has conveyed to the provinces its intention not to increase support price for wheat from last year’s Rs1,300 per 40kg, according to officials of the food ministry.

Decisions pertaining to the Rabi crops were taken during a meeting of the Federal Committee on Agriculture (FCA), presided over by Minister for National Food Security and Research Sikandar Hayat Khan Bosan.

Addressing a news conference, the minister suggested that in view of surplus stocks of conventional crops like wheat, rice and cotton the farmers should enter into the arena of non-conventional crops like cereals and pulses.

The country is facing a serious deficit of mash and masoor and importing these pulses.

The minister said farmers should increase the production of the two pulses to ensure profitability.

He said a mechanism was under consideration to introduce minimum support prices for farmers to produce pulses and cereals after consulting the provincial governments.

The minister urged the provinces to allocate adequate funds for agricultural research.

The federal government used to allocate Rs30 billion to Rs32bn in the budget but this level of amount was not in the provincial budgets after devolution of departments, he said.

Bosan said the cost of crop production in Pakistan was higher as compared to other countries, particularly the neighbouring country which gave maximum subsidies to farmers.

He said the government could not afford to give enough subsidies and for this reason the farmers had been advised to grow other crops too.

Bosan said the ministry would table a plant breeders’ rights bill before the National Assembly in its next session. It had taken 11 years to get enforced the seed bill, he said, adding that seven varieties of maize from the private sector had been approved.

The federal committee reviewed the performance of Kharif crops and was informed that the sugarcane production this year was estimated at 65.4m tonnes from 1.1m hectares and rice production at 6.6m tonnes from 2.7m hectares.

About 25.48m tonnes of wheat was produced over 9.18m hectares.

The production level declined by 1.9 per cent from the previous year’s 25.98m tonnes because of severe rains at the harvesting time.

A strategy prepared to achieve the target for the coming season envisages increased loan facilities, availability of quality certified seeds, timely availability and supply of fertilisers and promotion of their balanced use, and increase in supply and use of herbicides.

The government has allocated Rs100m for giving loans to farmers.

Farmers who do not own collateral property will be the main beneficiaries of the facility.

The committee was informed that irrigation water availability for the current Rabi season was estimated at 25.27m acre-feet, while the average usage was 23.67m acre-feet. Overall, no shortage is anticipated for the current season from the Indus basin system.

The committee was informed that availability of certified wheat seed would be 26.1pc of the requirement.

Published in Dawn, October 22nd, 2015

On a mobile phone? Get the Dawn Mobile App: Apple Store | Google Play

Follow Dawn Business on Twitter, LinkedIn, Instagram and Facebook for insights on business, finance and tech from Pakistan and across the world.

Opinion

Money and man

Money and man

There is no ambiguity about whether very high inflation devastates society; but economists are not entirely sure how much influence high interest rates hold in controlling inflation.

Editorial

Another approach
Updated 01 Jun, 2024

Another approach

Conflating the genuine threat it poses with the online actions of a few misguided individuals or miscreants seems to be taking the matter too far.
Torching girls’ schools
01 Jun, 2024

Torching girls’ schools

PAKISTAN has, in the past few weeks, witnessed ill-omened reminders of a demoralising aspect of militancy: the war ...
Convict Trump
01 Jun, 2024

Convict Trump

AFTER a five-week trial saga, a New York jury on Thursday found former US president Donald Trump guilty of ...
Uncertain budget plans
Updated 31 May, 2024

Uncertain budget plans

It is abundantly clear that the prime minister, caught between public expectations and harsh IMF demands, is in a fix.
‘Mob justice’ courts
31 May, 2024

‘Mob justice’ courts

IN order to tackle the plague of ‘mob justice’ that has spread across the country, the Council of Islamic...
Up in smoke
31 May, 2024

Up in smoke

ON World No Tobacco Day, it is imperative that Pakistan confront the creeping threat of tobacco use. This year’s...