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Wednesday, December 12, 2012
Policy risks to agriculture
By Ahmad Fraz Khan
Ideally, it should be a temporary phase and the provinces, especially Punjab and Sindh, should quickly develop the capacity to plan and execute their own agricultural priorities. The problem, however, is that agriculture, as a sector, is yet to appear on provincial policy radar. The budgetary allocations reflect the level of neglect that the sector faces by the provinces. Punjab, which is considered to be the food basket of the country, allocates only Rs3-3.5 billion for the sector each year. To put the things in context, it has allocated Rs50 billion for police this year.
The cane crop is sprinting towards marketing failure and wheat would be the next one. The cane crop, which is hugely healthy, has seen delayed start of the crushing season and price sliding. The millers, fully aware of the crop size, are making up to 25 per cent deductions in price on excuses like quality. If crop is short, the millers never mention the quality issue. But now, they are doing so with full fiscal ferocity.
On the other hand, farm temperatures have dropped much below the zero degree, injuring the crop from within. Both these factors are hurting the farmers. Cane has overlapping harvesting and sowing activity; on the one hand, it is harvested, and on the other, sown. If farmers don’t get proper returns, the sowing would immediately suffer.
The wheat failure is also feared, not because of production but procurement, as is the case with cane. The country is currently holding close to ten million tons of wheat, with a clogged debt of around Rs300 billion. Servicing this debt is costing the country around Rs6 billion per month. The State Bank has warned everyone that they would get as much loan as they retire.
Thus, money would severely be in short supply when the government needs it the most four months down the line
Both crops, if they fail as much as the farmers fear, can take the entire crop cycle down next year. If farmers do not get money from one crop, their investment would naturally drop on the next one. The fertiliser crisis has already taken a toll on wheat this year. Punjab is still lagging 600,000 acres behind its target, which it would, most probably, miss this year because temperatures have already dropped in the country to a level that make germination impossible.
Third fear factor is prices of inputs, especially fertiliser. In the last one year, urea prices have doubled and that of DAP increased by more than 50 per cent. It has already reflected in their off-take; urea consumption in Rabi has dropped by more than 15 per cent so far and DAP by 40 per cent.
The fourth factor is the federal attitude. After lobbing the sector in provincial lap through the 18th Amendment, it seems to have abandoned even those decisions it can take. Like, export of agriculture commodities and imports of inputs. The country is still holding huge wheat stocks because it failed to export wheat due to federal fears and delayed decisions. Its import of fertiliser got dangerously delayed because the federation took time to get fully convinced.
Courtesy: The DAWN
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Courtesy Business Recorder
Cotton market: prices firm amid modest trading
December 05, 2012: Rates moved up cautiously on the cotton market on Tuesday after the short fall in phutti arrivals in the Pakistan Cotton Ginners Association (PCGA) fortnightly report, dealers said. Official spot rate was unchanged at Rs 5,900, they said. Above, 1300 bales of cotton finalised between Rs 5650 and Rs 600, they said.
Courtesy Business Recorder
Graps in Sindh By: M.H. Panhwar
Pakistan: high value early maturing grapes varieties for monsoon rain fall region of Punjab
Pakistan Agricultural Research Council (PARC) Scientists are striving hard for developing modern technologies by identifying crop varieties that are more productive, profitable and environment friendly.
According to a press release issued from National Agricultural Reserch Centre Planning and Monitoring Research Cell, Scientists engaged in research activities at the National Agriculture Research Centre (NARC), Fruit and Vegetable program have recently identified three high value early maturing varieties of grapes for monsoon high rain fall region of Punjab.
Grape is one of the most remunerative summer fruit crops, native to warm, temperate zone between 34oN and 49oS latitude. In Pakistan, grapes are grown over an area of 13,000 ha with annual production of 49.0 thousand tones. Its crop require long, warm, dry summers and cool winters for best development. Mountainous and sub-mountainous areas up to 2000m altitude or more are suitable for its cultivation.
Monsoon rains result in fungal diseases and rottening of grape berries. Therefore, it was imperative to select those varieties that escape the summer monsoon rain and mature before the monsoon season.
Recent developments in its production technology by Pakistan Agricultural Research Council (PARC) scientists have made it possible to grow this crop in monsoon rain fall region of Punjab. On the basis of encouraging results obtained in terms of fruit production and quality a complete package of production technology has been developed for production. The Scientists evaluated varieties at NARC and revealed that Flame Seedless, King’s Ruby and Perlette are early in maturity, and can be grown on commercial scale successfully in monsoon rain fall region of Punjab.
Now monsoon season can not produce harmful effects to spoil the grape crops. The technology developed by the NARC Scientists had a special significance because early crop harvest would bestow higher returns to farmers luckily due to off season. The spokesman of the NARC assured, if the technology is adopted by the farmers properly then one can expect that this will help to bring radical changes for alleviating poverty in monsoon rain fall region of Punjab.
Source: onlinenews.com.pk