Agriculture, the biggest sector of the economy, is under serious threat as gradual sale and lease of large patches of lands to foreigners is been carried out in a very quick and secretive manner, the Pakistan Economy Watch (PEW) said. The idea of corporate farming has evoked more fears than hopes. Many think that corporate farming will have negative impact on rural livelihood and will transform Pakistan into a more unequal country.

Despite opposition, some important persons seem determined to allow foreigners to own an unlimited amount of land in any part of Pakistan. The development is bound to hurt environment, water resources, forests, wildlife and above all the farming community. Millions of farmers will become jobless while thousands of acres of fertile land will become barren because the corporate farms would be given preference in provision of canal water, seed, pesticides, fertilizers and other inputs, said Dr. Murtaza Mughal, President PEW.

Political unrest may follow as rights of farmers are being neglected and nation is not being taken into confidence. Alternative arrangement for poor peasants seems not to be a consideration at all; rather a force would be raised to help foreigners carry out their activities in a smooth manner.

Industrial privatization was carried out to retire the debt. In the process we lost many profitable unite and the country was pushed to brink of bankruptcy. Now fertile lands are being privatized in the name of technological advancement and attracting foreign investment.

Foreigners have only one think in mind while investing outside their country, to gain maximum in minimum of time and leave. “Wealthy countries have controlled global trade, now they are eying over one trillion dollar agricultural output of underdeveloped countries,” said Dr. Murtaza Mughal.

Rich countries have already bought large farms in many countries like Congo, Sudan, Zambia, Myanmar, Laos, Uganda, Cambodia, Mozambique, Madagascar, Ethiopia, Angola, Nigeria, Tanzania, Brazil and Central Asia. They are expanding attracting unrest and riots. It seems that now it is our turn.

Corporate farming will push some cultivators to commit suicide while others may prefer crimes. A good number may develop extremist tendencies that will have a heavy political price. -PEW

ISLAMABAD: The 53rd Authority meeting of PEMRA Friday granted five (05) licenses for satellite TV channels which includes first ever satellite TV channel targeting Agriculture sector in Pakistan. The Authority also approved the licensing regime for satellite TV channel distribution at various public places such as airports and railway stations, a PEMRA statement said.

One license to SZABIST for establishing FM Radio station on non-commercial basis was also granted by the Authority. Besides, 395 licenses for cable TV and one permission for Landing Rights was conferred by the Authority in its 53rd meeting. The Authority also revoked six (06) licenses of cable TV and one (01) for satellite television.

The Authority also approved the proposal for capacity building of PEMRA officers, so that broadcast media in Pakistan could be regulated and promoted in befitting manner. The meeting was concluded with the resolve to take initiatives for the growth and stability of broadcast media in Pakistan.

The meeting was presided over by the Chairman, PEMRA. Other members of the Authority, present in the meeting were the Chairman FBR, Secretary for Ministry of Information & Broadcasting, Secretary for Ministry of Interior, Chairman PTA, Chairman NEVTECH, Executive Member, PEMRA. NNI

Islamabad: Ambassador of Hashemite Kingdom of Jordan in Pakistan Dr Saleh Ahmed Al-Jawarneh on Tuesday said people of Pakistan have been gifted with special abilities and they can transform country into a great economic power.

Pakistanis have proved surpassing excellence and strength of character in every corner of the world and that the future of country is very promising. A Free Trade Agreement (FTA) between Jordan and Pakistan will be materialised soon, which will not only bring us closer but also help people of the two brotherly countries, he said.

“Presently bilateral trade is 50 million dollars which is disappointing, increasing it to 300 million dollars in my mission,” the Ambassador said. He said that Pakistani surgical instruments, textiles and pharmaceuticals are in great demand in Jordan while we can export fertilizer to help Pakistan agriculture sector. Many parties have expressed interest in importing fertilizer from Jordan, he informed.

Although desert covers most of my country, rainfall in the northern plateau, combined with modern farming techniques, creates suitable conditions for agriculture and Pakistanis can consider investment there to accomplish food security, he said.

Taking to Dr. Murtaza Mughal, President PEW, Dr. Saleh said, “We have Qualified Industrial Zones where Pakistani businessmen can invest in any sector with 100 per cent ownership rights and zero taxes.” He hoped that the leadership of Pakistan will soon overcome problems employing their wisdom and unleash a new era of development.-PEW

ISLAMABAD: Islamabad Chamber of Commerce and Industry President Mian Shaukat Masud has said that the exports of dairy products were negligible as milk production is the least commercialized enterprise in our agriculture sector.

In a meeting at ICCI, he said that in these difficult times of global recession and economic meltdown, the best option of enhancing foreign exchange earnings is to bring significant diversification in exports other than textile to get legitimate share in the international dairy products markets.

Mian Shaukat Masud said there is much scope for Pakistan to capture a big share in international market for dairy products. He said currently many Islamic countries, especially countries of middle east, are exporting milk and other dairy products from Denmark and Holland and these countries can be our potential markets. He stressed for the need of luring foreign investors with technical expertise and funds to invest in Pakistan to further develop our dairy sector so that export of milk by-products could be increased either in fresh or in powered form.

He said Pakistan has also good potential to provide ample Halal meat to Muslim countries as the country has a huge land bank, plenty of cattle heads like sheep, goats, cows, buffaloes and camels as well as the manpower to meet the potential needs of investors and entrepreneurs.

He said for this purpose, government should provide support and incentives to foreign investors to invest in animal husbandry farms as joint ventures. He said there is a need to establish large milk processing plants for enhancing the production of processed milk as much of the traded milk is marketed unprocessed. He called for active participation of public/private enterprise in dairy sector to ensure competitive and sustainable dairy products exports.

ICCI President urged upon the government to take immediate steps to resolve dairy sector problems as this sector holds high promise as a dependable source of livelihood for the majority of the population.

He said by improving quality of dairy products at affordable cost, country can greatly enhance their acceptance in international markets. He said for establishing and maintaining a level playing field for all stakeholders in dairy sector, government should properly coordinate and regulate the activities of various organizations engaged in dairy development.

He said given the country’s rich and diverse landscape, Pakistan has good potential to serve the GCC and Middle East at large and exploit export potential of its agro-based sector. He said comparative advantage in agriculture will give Pakistan an edge in the development of agro-based industry, value-addition chains and processing and packaging of products and offer huge potential for growth and investment.-SANA

ISLAMABAD: The challenges faced by agriculture sector can be met only by making the farmers aware, their incomes & welfare as the main focus of planning, said Mr. Shamoon Sadiq Chief Executive Officer, Pakistan Horticulture Development & Export Board (PHDEB)

Addressing the inaugural ceremony of 2nd batch of “Agribusiness Management Training”, he said, there is need to support intuitional and infrastructural development by the state and build as economic climate for farmers investments.

According to a press release issued by BHDEB, Agriculture is the back bone of our economy and agricultural development is central to all strategies for planned development. Progress in agriculture provided the relief in the form of the country being able to meet its minimum needs for agricultural commodities, he added. Mr. Razak Ahmed Malkana , Manager HPU welcomed the participants and expressed his views about the project and its objectives and training activities

PHDEB has signed an MOU with the relevant authorities of these colleges, under which, these colleges will conduct agribusiness related courses for the entrepreneurs from their areas. The Bard through the project will further support the colleges in strengthening the lab facilities and shall also provide finances to cover the costs of these trainings. It is expected that under this project, 3600 entrepreneurs will be trained in subjects of agribusiness during the project life.

This is the third course of the series designed for training the instructors of the commerce colleges. This program of training for the instructors of commerce colleges will be completed by February, 2009 and then the trainings for the beneficiaries will be held at these selected colleges.

Agribusiness Development & Diversification Project (ADDP) is a project of the Ministry of Food and Agriculture (MINFA) and PHDEB is an implementation partner in the project. The objectives of the project are to develop an environment, conducive for agribusiness through policy initiatives, capacity building of the entrepreneurs and other stakeholders in agribusiness supply chain and financial support to business through Agribusiness Support Fund (ASF).

Under capacity building component, the instructors forum 20 commerce colleges will be trained as trainers in various areas of Agribusiness, like; supply chain management, export procedure, WTO regulations. These colleges have selected from all over Pakistan, where the potential for horti-business development exists.-SANA

Islamabad: The farmers of NWFP have rejected the conditions of IMF and amendments in the Seed Act terming it in the interest of multinationals and against the poor farming community. They have vowed to resist every move aimed at suffocating the already ailing sector. The growers say that they would not accept any decision until the powerful agri-mafia is eliminated and they are provided level playing field.

A delegation of Ittehad-e-Zamindaran-wa-Kashtkaran NWFP comprising its SVP Haji Bashir Khan, VP Ishfaq Khan Omarzai, GS Zahir Khan, Information Secretary Dr. Khail Muhammad Khial and others met Dr. Murtaza Mughal, President, Pakistan Economy Watch at his office.

To resist every move until mafia is eliminated, WTO’s slavery unacceptable
They said that agriculturally illiterate officials are taking wrong decisions. Faulty statistics and incorrect surveys are adding to the problems. Amendments in the Seed Act 1976 have been planned while keeping supreme the interests of powerful companies operating in several nations, they alleged. We reject slavery in the name of WTO.

Haji Bashir said central and provincial governments have ignored NWFP and peasants are being cheated in the name of new policies, products and subsidies. There is nothing on ground and the rural community is completely on the mercy of ruthless and greedy private sector.

Whole agricultural chain and sub sectors have been hijacked by middlemen who have emerged as decision makers in almost all the important matters. These sharks have paralysed whole system.

Scarcity of water, spurious insecticides and pesticides, high-price of urea, fertilisers and other inputs, unabated smuggling and deteriorating law and order situation have proved to be fatal blow for the community. There is no difference between present and former government and the situation may force hapless peasants to carry weapons, they warned.

During meeting, Dr. Murtaza Mughal said that the policies framed in the name of farmers have proved to be a good income generating resource for officials, intermediaries and industrialists. “Every government raises attractive slogans for farming community but later exploitation reins,” he said adding that our experts have never demonstrated ability or interest in agriculture or its sub sectors.-Pak Economy Watch

Islamabad: The Pakistan Kisan Ittehad (PKI) on Friday warned that country is being pushed towards worst kind of wheat crisis. Lethargy will leave masses high and dry and eat up precious forex stocks. Jan Nisar Khalil, President, PKI, representing 200 associations of farmers across the stretch of country, said that fertiliser mafia and their patrons have snatched billions of rupees from poor growers and deposited the money in foreign banks. Like India, farmers in Pakistan have started committing suicides.

This he said while leading a delegation who met Dr. Murtaza Mughal, President, Pakistan Economy Watch at his office. He said three percent people are holding over sixty per cent of land and resources in a sector that employs nearly forty per cent of whole workforce. Khalil said that government will fail to achieve wheat target due to lack of water and fertiliser. “It will be an extra burden on the pockets of public and government.”

He lamented that the mafia was allowed to carry almost whole stock of DAP and Urea to sell it in black market. Similarly, he said, the hidden hand has again delayed import of the fertiliser to the advantage of profiteers.

Khalil told Dr. Mughal that the prices of DAP has been receded by 320 per cent in international market while the price of urea has seen a slide of 150 dollars per tonne but the impact was not transferred to end users. The millers would increase prices if there is a slight upward trend in international market but would give lame excuses if it’s otherwise.

During the meeting, Dr. Mughal said it is unfortunate that private sector has been allowed to play havoc with agriculture, the backbone of economy without any proper balancing mechanism. We lack opportunities for those who want to invest in industry, trade or agriculture but there are ample chances for hoarders, profiteers and middlemen.

The successive policies have turned agriculture into the weakest segment of economy and the private sector as well as officials involved in hurting economy for their petty gains does not deserve any relaxation, he said.-Pak Economy Watch

Islamabad: The Pakistan Economy Watch on Sunday said the human assets of country are facing a major threat which can prove more blasting than environmental degradation, economic slowdown, terrorism and wars.

The unjust demands of donors will further aggravate the already deteriorating situation. A compromise on living standard of masses amounts to arriving at a compromise on the future of Pakistan. “We have been violently and needlessly disturbing resources since long and now our most valuable asset is in the red,” said Dr. Murtaza Mughal, President Pakistan Economy Watch.

Steps are being taken to avoid drop in value of currency, agricultural and industrial out put but the fall in the human output is ignored which is taken as criminal by many, he said. Not even the lip service is deemed necessary for the degrading human resources which are more important than any other thing. How can a country progress or maintain its economy when the workers start compromising on food, health, education and other essentials due to increasing cost of living, he questioned.

The present trends in society due to prices rocketing out of sight has triggered many unhealthy trends in the society. Dr. Murtaza Mughal said Pakistan is far more better than many countries as far as the human resources is concerned but their potential has never been tapped.

Pakistan lacks proper social security and safety system for poor and claims regarding welfare are limited to media glare only, he lamented. He said that demands of the donors will not only hurt all components of the economy but will have a catastrophic affect on the human assets of the country.-SANA

MULTAN: Foreign Minister Makhdoom Shah Mehmood Qureshi on Sunday said that the political wing of the ISI was disbanded and termed it a positive development. While talking to the media persons at the local airport Sunday, Qureshi pointed out that ISI is a precious national institution and it wants to focus fully on counter-terrorism activities.

He said that the government was making all out efforts for repatriation of Dr. Aafia Siddiqui from US to Pakistan and expressed the hope that these efforts would bear fruit. He announced that her son has already been brought back to Pakistan.

He dispelled the impression that agriculture income tax was among the conditions for IMF bailout plan, neither was it a condition nor this tax was under consideration these days, FM said adding that this tax was a provincial subject. He said that IMF package was meant to fill the immediate resource gap and to pursue an economic stabilization plan. He reiterated resolve to improve ties with India saying that his visit to the neighboring country will help remove misunderstandings between the two countries.

He said that he would meet his counterpart Pranab Mukherjee and Indian leadership and bilateral issues will be discussed during the interaction. He hoped that his visit to India will help bridge the gulf and end trust deficit between the two countries and will prove fruitful in strengthening ties with India.
Foreign Minister said that it is our desire that both countries should live like friendly neighbors. He said that he will talk to the Indian leadership on water issue and added that Kashmir issue, already being a part of the composite dialogue between the two countries, will also be discussed.

About the Indian cricket team’s forthcoming tour to Pakistan, he said that the government wishes that Indian cricket squad should visit Pakistan. He added that government wants to improve people-to-people contact with India and exchange of delegations such as cultural delegations and sports teams will help improve relationships. He said that intellectuals, authors and sports persons of the two countries should have frequent interaction through exchange of delegations. Chief operating officer PCB Saleem Altaf said that Chairman Pakistan Cricket Board (PCB) Ijaz Butt will visit to India this month.

To a question, Qureshi categorically said there was no possibility of martial law in the country stating that the government, the parliament and the armed forces have unanimity of views on national issues. People may have this view but we do not agree with it, FM said adding that we are moving forward to combat challenges with consultations and understanding.

Mehmood Qureshi disclosed that after the Jan 13-16 expert level meeting scheduled to be held in Islamabad, he will invite FoDP Foreign Ministers to Pakistan in February next to move ahead with the plan to combat economic and security challenges confronting Pakistan.

About the IMF bailout package that is expected to be approved on Nov 24, Shah Mehmood Qureshi said its approval will pave the way for more assistance from other international financial institutions like World Bank, Asian Development Bank (ADB), Islamic Development Bank besides the Friends of Democratic Pakistan (FoDP) Group and other countries.

It was interesting and heartening to note that our home-grown plan prepared by 16-member panel of country’s economic experts headed by Dr. Hafeez Pasha that has also been discussed by the federal cabinet and the talks with IMF had similarities in approach and experts believe it was the best suitable option Pakistan could avail under the given conditions, FM said.

He said that Rupee was gaining strength against dollar and capital flight has stopped and hoped that capital flight phenomenon will soon witness a reverse trend with the arrival of foreign remittances. FM said that an expert level meeting will be held in Islamabad from Jan 13 to Jan 16 during which projects will be identified and discussed in four sectors with the assistance promised by FoDP in its Nov 17 meeting in Abu Dhabi.-SANA

Government has accomplished the peak of interest rate hikes by revising it for the four times in the current year and any further increase will be devastating for the economy, Pakistan Economy Watch said Friday. The downward trend in prices is because of economic slowdown and there is nothing on the credit of administrative measure, said Dr. Murtaza Mughal, President, Pakistan Economy Watch.

He said that there are complaints of lack of coordination between authorities and central bank. This is leading economy on polices that have no logical or meaningful connection. There is a serious lack of insight into the problems, it is generally believed. “We have highest interest rates in Asia which is hurting all sectors including industry, services and agriculture; it has barred investments and increased fears of bankruptcies,” he said.

Banks have taken an additional sum of around Rs70 billion out of the pockets of borrowers due to rate hikes, he added. Nevertheless, he said that sometimes central banks are left with no option but rate hike to tame inflation and control other related matters.

The circumstances demand to keep an eye over all local and international developments and cut rates to support growth targets. International Financial Institutions hate rules and regulations; and love privatizations as well as restructuring. The lenders push the loan recipients for rate hike that are not in the national interest.

“The international meltdown has cut demand and now Pakistan’s economy is not under such strain as it was few months back and a cut in rates will help economy prosper,” said Dr. Mughal. Other issues including that of refinancing and discount rates can also be reviewed for possible trimming.