The recent wheat procurement debacle in Punjab has reinforced farmers’ perceptions, already developed during the previous PML-N government’s tenure (2013-18), that the party has distanced itself from the long-standing national belief that agriculture is the backbone of Pakistan’s economy.
However, the party has yet to clearly articulate whether it envisions the manufacturing or service sector as the potential new growth engine of the economy.
Many economists still believe that industrialisation in Pakistan, like in several other countries, can lead to agricultural growth by creating a robust market for agricultural raw materials and food products, thereby propelling the country’s overall economic development.
Under this premise, the textile sector was strategically nurtured and promoted as a ‘lead sector’, albeit at the expense of farmers, who had no choice but to supply cotton at rates below international prices for several decades.
Not to delve too deeply into history, even last year, most farmers sold their cotton at Rs6,000 to Rs7,000, far below the announced support price of Rs8,500 per 40 kilograms.
All indicators highlight that the textile sector has not yet achieved, nor is it in a position to achieve, the envisioned objectives. These include the country’s sustainable and swift economic growth, a rapid increase in exports akin to Bangladesh, and the provision of wage employment to low-skilled labour on a large scale, thereby alleviating poverty.
The government must pursue long-term policies to enhance crop yields and address food inflation instead of short-sighted myopic ones
Nonetheless, challenges such as higher energy costs, declining cotton cultivation in the country due to climate change, low sector........