PR No. 86 Islamabad: October 10, 2019

The High Powered Federal Committee on Agriculture (FCA) meeting for Rabi (2019-20) was held on 10th October, 2019 at the Committee Room, P Block Auditorium under the Chairmanship of Sahibzada Mahboob Sultan, Federal Minister for National Food Security & Research. The meeting had participants from Provincial Agriculture Departments, State Bank of Pakistan, ZTBL, National Fertilizer Development Center (NFDC), Pakistan Meteorological Department, Indus River System Authority and senior officers of the Ministry of National Food Security & Research. Chairman PARC, D.G. NARC and heads of Ministry’s attached department viz., Agri. Policy Institute, Federal Seed Certification & Registration Dept., Pakistan Oilseeds Development Board, Department of Plant Protection, Federal Water Management Cell and Pakistan Agricultural Storage and Services Corporation (PASSCO) also participated in the meeting. The Committee reviewed the performance of the Kharif crops (2019-20) and production plan for Rabi crops (2019-20). The Committee also discussed the situation of agricultural inputs for Rabi crops (2019-20). The Committee was informed that sugarcane production for 2019-20 is estimated at 64.77 million tons from an area of 1060 thousand hectares. The Rice production for 2019-20 is estimated at 7.7 million tons from an area of 3036 thousand hectares. The area and production is increased 5.5% and 3.6% respectively from the target fixed by previous FCA. The Maize production for 2019-20 is estimated at 6.9 million tons from an area of 1386.46 thousand hectares. The area and production is increased 4.95% and 10.05% respectively from the target fixed by last FCA. Production achievements of major and minor crops like wheat, Mung, Mash, Gram, Potato, Lentil, Onion, Tomato and chilies were also discussed in the meeting. The Committee has fixed the production target for Rabi (2019-20). The target for wheat was fixed at 27.0 million tons on an area of 9.2 million hectares. The FCA also proposed that provinces should focus on oilseeds and pulses cultivation to reduce the import bill. For Rabi 2019-20, IRSA Advisory Committee has anticipated a shortfall of 15%. During the Rabi season provinces are allocated 31.44 MAF of water. Prevailing weather conditions are supportive and shortage is manageable. IRSA has sensitized the FCA regarding wastage of water in country. The IRSA informed that our storage capacity in 1976 was 15.7 MAF against 13.7 MAF today despite Mangla raising from 1976 to date, we have annually lost 28.5 MAF D/S Kotri every year on an average. The economic cost of one MAF of water in Pakistan is 0.5 billion, US dollars. Thus from 1976 we have lost a resource into the sea unutilized worth over 600 billion dollars. He further explained that Pakistan had an annual GDP growth of over, 6% from 1970 to 1990 mainly because of reservoirs mainly Mangla & Tarbela. After 1976, India raised its storage potential upto 250 MAF and because of this, its GDP growth has been very healthy after 1990. If Pakistan wants to develop economically, it must construct new reservoirs of about 20 MAF, allowing 8.5 MAF downstream Kotri to cater for environmental flows downstream Kotri and also to check seawater intrusion in the Indus delta. Metrological Department informed that summer monsoon rains from July- September 2019, remained normal and well distributed allover the country. Significantly, above normal (46%) rainfall was observed in over Sindh province. On the other hand, Gilgit Baltistan, AJK and KPK received 24%, 22% and 14% slightly below normal rainfall. Due to rainfall received in late September and early October, sufficient amount of soil moisture is available for sowing of Rabi Crops. Weather outlook for the period October – December 2019 suggests that amount of rainfall will remain normal in agricultural plains of all the provinces of Pakistan. During the Financial Year 2018-19 banks achieved the target of Rs.1,174 Billion against target of Rs.1,250 billion. Total 4.012 million borrowers were served during Financial Year 2018-19 by 50 agriculture lending institutes including commercial, specialized, microfinance, Islamic banks and other microfinance institutes. The State Bank of Pakistan (SBP) has approved the provisional indicative annual target of Rs.1,350 billion for agri. Credit disbursement for Financial Year 2019-20. As of August the agri. lending institutes have disbursed agri. loans of Rs.163.0 billion which is 12.1% of the annual target of Rs.1,350 billion. Urea and DAP fertilizers availability during the Rabi 2019-20 seemes comfortable. All the Urea manufacturing plants are operational including the plants located at SNGPL network. These plants are running on subsidized LNG. There will be no shortage of Urea during coming Rabi Season The prices of Urea in domestic market have gone up due to the increase in gas prices, inflation and GIDC issue (Restoration of GIDC). DAP fertilizer will also be available in the market. Its requirement is mainly met through imported supply which is in handed by of private sector. Price trend is also on the rise. At present Urea price is Rs.2020/- per bag and DAP but sold at Rs.3720/- per bag. At the end it was informed to the FCA that generally, the availability of food commodities in the country is satisfactory and Kharif crop production was better as compared to previous years.

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