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quality of raw material at home may be controlled not bydisturbing the interests of

farmers but providing them cheapfertilizers, seeds, machinery and water.

Enhanced productivity and lower costs of production,including possibly through poli


cy measures, such as lowerenergy surcharges.Globalisation, therefore, presents a
potential opportunity for Pakistan'stextile export sector. To realize the inherent
potential, however, and
competewith the likes of China and India, which also stand to gain Pakistan'smanufa
cturing sector, needs to become substantially more efficient. Withoutthe requisite
gains in efficiency, the fate of Pakistan's textile sector, will likelydepend upon
transient fortuitous factors, such as an unusually good cottoncrop.
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All that where Pakistan needs to do foremost, which will also help
inpoverty alleviation and enhancement of textile industry and export isagriculture
the backbone of Pakistans economy. This sector is really sickand
no special attention has been paid to it. The infrastructure and thehuman resource
development situations are poor and creating hurdles in theway to get ready
for competition. Pakistan must use 10 per cent of theagricultural income, that
comes to about 2.5 per cent of the GDP (agriculturecontributes 24 per cent in the
GDP), to get rid of these problems. On its
part,the government of Pakistan should be focussing on building theinfrastructure,
the human resource development, quality enhancement andthe research. The focus
should be to invest in the infrastructure building, thedisease control, the HRD, and
the research to help the farmers in the WTO

Regime.
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Now, we have a look at some of the trends and issues of
globalization,which may cause some impact on the economy of Pakistan. Capitalmo
vement is one such trend. In the absence of barriers, the investors moveand invest
the capital to more profitable and secure place. Pakistan is a riskyplace for the
investors, due to law and order situation and danger of
terrorattacks. The investment attracted even then has been concentrated inindustri
al sector or IT. Agriculture sector is deprived of it. The capital flowtowards the
country will have to be increased with special attention onagriculture
sector. The second trend is movement of people. Globalisation liberates theskilled
experts, professionals and labour to move from one country to theother to find
better employment. This transfer of human capital causes
adearth of skilled talent in the poor countries. Experts belonging to thescientific

community, high class professionals, economists and doctoratelevel scholars and


educationists, do not find proper salaries, environment,
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Shaghil Ahmad and Iffat Ara,
Dawn Economic & Business Review,
January 31-February 6, 2005 p. vi.
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Irfan Shahzad, WTO and the Challenges Facing Agriculture,
Dawn Economic &Business Review,
November 25- December 1, 2002 p. iii.

attitude of society and infrastructure in Pakistan, resulting in brain drain. Inorder to


survive in the period of globalisation, the measures to stop braindrain will have to
be
adopted. Third sector is globalisation of education which makes it easier foreducatio
nal institutions to expand across border and for students to
movemore freely overseas to choose the institutions of their choice. Thisphenomeno
n is dangerous for poor countries because with the globalizationof education, it is
the norms, values, scientific and knowledge products of theWest that ultimately will
prevail. In this regard, Pakistan is going to copyChina which allows foreign
universities to operate in the country, as long asthey agree to be partner with a
local university. Pakistan will have to adopt
acareful policy in this regard, keeping equilibrium among the educationalneeds,
ideological and national interest and economic necessities. Foreignuniversities
excelling in providing scientific and technical education, must
beattracted to establish their campuses or share with the institutions inPakistan und
er some safeguards to economic and social issues. While insocial studies where Paki
stani scholars and institutions, can match theinternational standards, Pakistan
should create the environment to exporteducation. There are many obstacles in the
way. Pakistan faces many problems,such as debt and low commodity prices, and
weak infrastructure and
capacityto develop industrial exports. It also faces the threats of local firms andfarm
ers being overrun by foreign products and companies as it
liberalises.But to tackle the issue, there is no need either to support or opposeglobal
isation. It is a reality that will have to be dealt with all through lifetime. Therefore,
the best course is to chart out a way, in which future can be
madesecure and comfortable. To face the challenges posed by globalisationfollowin
g measures, as a whole, will have to be adopted.

Macroeconomic stability to create the right condition forinvestment and saving.


Investments are not attracted solely
bydebt relief or the foreign exchange reserves. Regional anddomestic peace which i
s beyond the economic sphere alsoinfluences the investment. Moreover, investment
should be inthe form of a partnership in the development and expansionprocess and
not neo-imperialistic in character.

Outward-oriented policies to promote efficiency, throughincreased trade and


investment.

Structural reforms to encourage domestic competition. Cost of production in


Pakistan is high, so is the cost of doing business.Excess of corruption and excessive
doses of red tapism are thecauses of such inflated costs. That will have to be
controlled.

Tremendous improvement of infrastructure and law and orderhas to be improved va


stly. Strong institutions and goodgovernance to promote socio-political stability are r
equired.Balochistan be made truly peaceful and Gawadar elevated to the

status of a well developed, modern port. The country has tohave enough energy
and water resources to meet the currentneeds.

Education, training and research to promote productivity.

External debt management to ensure adequate resources forsustainable


development.

Increased opportunities to include issues of sustainabledevelopment, capacity


building and environmental matter in theagenda.

Provide unrestricted market access for all exports. In the


pastyears, Pakistan produced more than enough cotton but itsstandard did not
compete in the international market.

In agriculture, the cooperatives must be encouraged. With theassistance of


machines, the latest knowledge and quality

inputs,private firms can increase the production and the generalcondition of the rur
al people. These firms will buy big landholding to practice mechanized farming.
They must go for thenon-traditional crops to increase the exports as well as
employthe latest methods and adopt all the relevant variables with aview to
increasing yield in respect of the traditional crops. Thesefirms must have access to
the new knowledge and must impartit to the people.
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In short, a large scale of revolution in society, government andeconomy is the call
of hour. Globalization has brought us on a turn of historywhere we may either get a
lot or lose everything. Under the principle of survival of the fittest, either
we shall gain or lose. It depends upon ourpolicies and efforts.