Professional Documents
Culture Documents
Research Studies Completed I) - A Value Chain Analysis of The Meat Sector in Pakistan
Research Studies Completed I) - A Value Chain Analysis of The Meat Sector in Pakistan
ii). Fertilizer Use Assessment during Rabi 2008-09 in the Pothwar Region of Punjab, Pakistan
The main theme of this study was to assess the fertilizer use situation in Pothwar region of
Punjab, after, first – record high wheat procurement prices announced by the government
for the upcoming season that might enhanced fertilizer and other input use in the current
Rabi season, and second – high prices of both nitrogenous and phosphatic fertilizers from
the last Kharif season that might decreased fertilizer use.
This study was conducted in Pothwar region of Punjab which, account for about one quarter
of the total cropped area of the Punjab. This tract is one of the poorest and food deficit
areas of the province. The small farmers, especially those in dry parts of Pothwar, are on the
average deficit in all the subsistence products. Majority of the farmers (90%) operate below
subsistence land resources of less than 5 hectares.
So when this is the situation then the early described factors (high procurement prices of
wheat and high prices of fertilizers) are less important as compared with other so many
important factors. Important other factors like economic status of the farmers, timely
rainfall and moisture, soil structure and texture, and next best alternatives might affect the
use of fertilizer in this region.
However, results reveal that nearly a bag of Urea and DAP each along with substantial
amount of FYM was applied to wheat crop on per acre basis while rest of the crops are
grown with negligible quantity of organic as well as inorganic fertilizers.
It was also found through farmers’ perception that fertilizer use was reduced up to 50
percent this season as compared with previous season with the major argument of high
prices by more than two third sample farmers.
Other interesting results depicted that urea use is directly related with wheat area and
inversely with total cropped area. Also Urea use increases as DAP use and FYM use
increases.
So it is verified that high wheat procurement prices induce fertilizer use to wheat and high fertilizer
prices reduce its use. But at the same time timely rainfall and economic conditions of the farmers
supported this scenario. Therefore in rainfed conditions, where farmers get benefit at four months
early investment wit high uncertainty, fertilizer should be provided at low prices.
iii). Feasibility of Inorganic, Orgaic Open Pollinated and Hybrid Vegetables Seed Production
in Pakistan
Economic impact of hybrid vegetable production for the year 2010 to 2014 is estimated and
presented in table 2. During the year 2010, vegetable seed production will be carried out on
5130 acres at NARC and will produce hybrid seed production of 12.199 tons.
Vegetable seed production will be carried out on 10260 acres at NARC and will produce
hybrid seed production of 24398 tons during the year 2011, during the year 2012; vegetable
seed production will be carried out on 20520 acres at NARC and will produce hybrid seed
production of 48.796 tons.
Vegetable seed production will be carried out on 41040 acres at NARC and will produce
hybrid seed production of 97.592 tons during the year 2013.During the year 2014, vegetable
seed production will be carried out on 50675 acres at NARC and will produce hybrid seed
production of 109.49 tons. Hybrid Vegetable Seed Production by NARC with Contract
Growers will generate economic impact of Rs.8.07 billion.
This intervention will generate Rs.272.56 million, Rs.599.63 million, Rs.1319.18 million,
Rs.2902.20 million and Rs.4019.31 million during year 2010-14 respectively. Year wise
detailed economic impact of hybrid vegetable production is presented in table 11-15.
This enterprise will also generate social impact like job creation, improvement in education
and health as well as reduce man migration to city. An estimated job opportunity will be
created about 0.21 million people by implementing the activities of this project. Positive
environmental impact in the form of healthy and fresh air for the human population will
improve health and reduce expenditure on treatment. Man migration to city will be reduced
due to creation of new jobs and Agro based industry in the country side.
Under different activities of this project oxygen will be mitigated through excess utilization
of carbon dioxide. Production of the oxygen will be double which will improve the
availability of healthy and fresh air for human being. The silt of the reservoirs especially of
Mangla and Tarbela dams will be minimized thus increasing the consumable life because it
will reduce the run of soil of hills and mountains due to torrential rains and winds.
iv). Global Good Agricultural Practices for Export of Fruits and Vegetables: An Investment
Proposal
GAP project will generate number of socio-economic and environmental benefits. The main
beneficiaries would be citrus growers and traders.
Pakistan’s current export earnings from citrus fruit are estimated at US$ 40 million. Non-
compliance to emerging SPS issues may threaten the sustenance of even the existing levels
of exports what to speak of enhancement.
Therefore, the project will help assure compliance and will thus directly impact export
volume and values (ii) empowerment of the farming communities to make right site specific
decisions regarding crop management to meet challenges of world trade scenario (iii) the
BAP certified products will fetch premium price due to no risks to human health (iv) the
Project activities will provide foundation to organic production which enjoys a growing niche
market (v) a reduction of production costs will be achieved due to less use pesticides and
other synthetic chemicals(vi) sustained and improved produce quality and yields resulting in
improved farm incomes. Reduced negative impacts on soil fertility (vii) reduced probability
of resistance to pesticides.
Social impact will be (i) more & better crop management especially pest control options
available to farmers (ii) socio-economic up lift of farming communities through better
quality produce (iii) better understanding between farming communities and export market
(iv) increased knowledge and self confidence of farmers (v) more community initiatives (vi)
better image of the agriculture sector with other groups of the society.
Environmental impact will be (i) a generally more stable environment (ii) reduced danger of
biodiversity loss (iii) reduced degradation of natural resources (iv) protected natural habitats
(v) sustainability of the environment and reduction in health hazards to pesticides users and
consumers through rationalizing use of pesticides through developing awareness and
implementation of best agricultural practices.
v). Feasibility of Sugarcane Juice Manufacturing in Pakistan’s Punjab
The project cost estimates for the proposed “Sugarcane Juice Business” have been
formulated on the basis of discussions with industry stakeholders and experts.
The projections cover the cost of land, machinery and equipment including office
equipment, fixtures etc. The operations have been calculated for 300 days on annul basis.
The financial analysis reveals that sugarcane juice at the scale of 100 tones per day crushing
will yield 691.20 million rupees annually with total variable cost of 435.84 million per
annum.
The analysis further narrowed down on per pack level that yields Rs.3.00.
As about 90 % of the ingredients is sugarcane juice therefore the margin might be less as
compared with other fruit juices because fruit juice contain only 4% Fruit Pulp and 80 %
treated water while 10 -16 % Citric Acid, Fruit Flavor and Preservative.
vi). Pilot Tomato Value Chain Development Scheme in Punjab Province of Pakistan
The primary project outcome would be increased producer’s share in consumer rupees and
a shift towards export led tomato production.
The other associated outcomes would be increase in export earnings, farm household
incomes of farmers participating in tomato value chains, and employment in agro-
processing and agro-business enterprises.
The outcome indicators are linked directly to millennium development goals of sustainable,
diversified and export oriented economy that responds to market demands, particularly: (a)
positive contribution of sectors to GDP growth and (b) growth of exports. The outcome
indicators are:
Increase in production volumes through enhanced productivity and reduction in
post harvest losses;
Safe and hygienic quality tomato handling and marketing to the end users
Increase in value of tomato produce;
Increase in average income of small farmers linked to value chain project activities.
Increase in export volume at higher export price by meeting the SPS standards
Output indicators are linked to the intermediate results described in the results framework
and comprise mainly the following:
Increase in tomato productivity of small farmers linked to tomato value chain project;
Number of tomato farms who adopted GAP
Number of villages and farmers linked to the tomato value chain
Number of tomato farmers associations developed and sustained by decreasing the
project support.
Change in effectiveness and efficiency of services provided by tomato processing
industry and its related public and private institutes to stakeholders;
Volume of quality tomato produced and reached to the consumers through vertical
coordination in the value chain.
Pilot tomato value chain development scheme will ensure timely availability of quality
input to tomato growers at their doorstep which will provide opportunities for the adoption
of recommended input use. Capacity building and training on knowledge and skill transfer
will be empower growers for the adoption of modern tomato production, management and
harvesting and handling technologies.
These interventions will enhance tomato productivity and its quality and resultantly
will generate more income with higher yield and better tomato quality. The capacity building
and training on knowledge, skill, post-harvesting techniques, handlings, food safety and
standard, packing, processing to other chain stakeholders will improve their capacity for
reducing huge post-harvest losses and getting higher prices from export markets. So, other
chain stakeholders will also be benefited in the farm of more knowledge, skill, techniques
and more income from better prices from the export markets.
x). Relationship between Production, Procurement Prices and Volume of Procurement of Wheat
in Pakistan
There has been continuing debate about the role of procurement prices in the volume of
procurement of wheat in Pakistan. It has been argued that higher procurement prices would
secure higher level of procurement .In the present study on relationship between
production, Procurement prices and volume of procurement of wheat in Pakistan, the above
mentioned argument is statistically examined with historical view of the agriculture sector of
Pakistan.
The data used in the study has been collected from the secondary sources. The main source
of data is various issues of Agricultural Statistics of Pakistan. Published by Ministry of Food,
Agriculture and Livestock, Islamabad. The period selected for the study is from 1980-81 to
2006-07 (26 years), as the recent data available.
Wheat has the major share in foodgrain. The overall performance in the period of 26 years
under study 2.70 percent was the growth rate of coarse grain production and 2.76% for
wheat in Pakistan. In 2000’s wheat production increase was the highest 7.35% in Sindh and
NWFP was second in ranking with 7.21% increase over the ten years. Considering the overall
performance within the study period of 26 years rate of increase in wheat production was
the highest in Balochistan (5.12%) inspite of the fact that the area under wheat and its
volume of production was small as compared to other provinces.
At national level wheat production contributes from 70 to 76 percent to the total foodgrain
production Punjab is the major wheat growing province among the provinces which is
contributing from 50 to 58 percent of wheat share to the total foodgrain production.
The farmers are forced to part with their surplus produce soon after the harvesting when
prices are generally at the lowest level. In Pakistan the Government is playing effective role
to facilitate the farmers by fixing procurement price and procuring wheat from the farmers.
The Government has been procuring wheat through PASSCO and the Provincial Food
Departments for the past many years. Punjab is the major wheat growing province of the
country Therefore, the major share of the wheat is procured from Punjab. Wheat procured
from Punjab ranged between 70 to 80 percent. The overall increase in the procurement
price from 1980-81 to 2006-07 was 632.76% in the 26 years of the period under study which
facilitated the expansion in the production of wheat crop.
The performance of achieving targets of production was more or less satisfactory. The
country either achieved the targets or remained closer to it even in some years production
was achieved above the target. The quantity procured as percent of actual wheat
production ranged between 20 and 45 during the study period of 26 year from 1980-81 to
2006-07.
The procurement of wheat statistically has the inverse relation with procurement price and
closely linked with the production. The change in the production of previous year deeply
influence the procurement. The increase in the volume of procurement, procurement price
and production was the highest in the second decade of 1990’s. the spectacular increase in
wheat production owed to the massive switch over to HYV’s of wheat. The second factor
which added more to increase is the result of the use of the new technologies.
It is believed that procurement depends for more on volume of production and much less
on the procurement prices.
The storage capacity available with the public sector in 2007 was 5242 thousand tones. Out
of the total available capacity 82.77 percent is used for wheat storage. There is a felt need to
increase the storage capacity in public as well as private sector.
The procurement price has inverse relation with the volume of procurement as indicated by
its regression. Coefficient which is minus 0.11 with t-value 0.008 highly significant at one
percent level of significance.
Cost is involved in each system which is introduced for the growth in agriculture sector.
The existing agricultural marketing infrastructure in the country is inadequate to meet the
growing needs of an expanding wheat market. Problems of storage and transportation are
the fore most issues that require quick and well planned solution one striking difference in
Government procurement price and purchasing of wheat by beoparies is that the latter buy
in village or even at the farm.
There is a need to economize the costs involved in the procurement of wheat. The operation
costs involved in the operation of wheat procurement can be met by levying small cess on
the production sold by growers to these agencies.
However, the analysis is not intended to suggest that the procurement prices have no role to
play what so ever in increasing procurement.