Q1. Main feature of agriculture. Major rabbi and kharif crops.

Problems and performance

Agriculture
The word ‘agriculture’ has been derived from two Latin words ‘ager’ means land or field and
‘cultura’ means cultivation. So agriculture means the production of crops.

Agriculture in Pakistan and its features

Agriculture is the lifeline of Pakistan because it accounts for 19.5% of the total GDP of Pakistan.
Out of total 79.6 million hectares area 21.2 million hectares is cultivated and almost 80% of the
area out of the cultivated area is irrigated. It plays a significant role in national development,
food security and poverty reduction because it employees 42.3% population of Pakistan. Food is
the first in necessities of the life, the agriculture sector is the sole provider of all type of food like
wheat, rice, corn, sugarcane vegetables and fruits. Agriculture sector is the main source of
foreign exchange (forex) earning which is used to import capital goods. Total forex resources of
Pakistan is $ 17.1 billion out of which share of agriculture is $2007.3million. Agriculture sector
is a source of revenue for Government of Pakistan because taxes are imposed on pesticides and
insecticides and government implies duties on technologies imported for farming. In Pakistan
agriculture sector provides raw material for the industrial sector for example cotton is a raw
material for textile the industry.

Major Rabbi and Kharif Crops:

Rabbi crops: The crops which are sown in winters (October-December) and harvested in
spring (April-May). Some of the major Rabbi crops are:
1. Wheat
2. Pulses
3. Tobacco
4. Barley
5. Mustard
Kharif crops: the crops which are sown from April to June and are harvested in the time
period of October to December. Some of the major Kharif crops are:
1. Rice
2. Sugarcane
3. Cotton
4. Maize
5. Bajra and Juwar

Major Problems in agriculture Sector:

  Limited cultivatable area: The total area of Pakistan is about 79.6 million hectares,
out of which only 23.7 million hectares (28%) area is used for agricultural purposes.
About 8 million hectares area is idle and un-utilized.
 Old methods of production: mechanization of agriculture is increasing in Pakistan,
but in most of the areas, the old implements are still being used for agricultural
production. Old and orthodox techniques of production cannot increase the production
according to international levels.
 Low cropping intensity: Cropping intensity means the number of crops grown on a
piece of land in one year. At the present stage of our development, there is low level of
cropping intensity as compared to advanced countries
 Scarcity of high yielding seeds: poor farmers have to use lower quality seeds due to
non-availability of High Yielding Variety (HYV) seeds. On the other hand, if seed is
available they cannot be purchased due to low income. Agricultural production is badly
affected because of inferior quality of seeds.
 Shortage of agricultural loans: Agricultural credit facilities are not sufficient in
Pakistan. Rate of interest on agricultural credit is high and loan is not provided in time.
 Consumption oriented: farmers have no proper records of their incomes and
expenses. Mostly, they spend more when they have more due to illiteracy

Current Performance:
 During 2016-17, growth of agriculture sector was 3.46% against the target of 3.5%and
last year’s meager growth of 0.27 percent.
 During 2016-17 cotton production increased by 7.6%.
 During 2016-17 sugarcane production increased by 12.4%.
 During 2016-17 rice production increased by 0.7%
 Wheat being the major crop produced in Pakistan, its production only increased by 0.5%.
 Maize production during 2016-17 showed the highest increase which was 16.3%.

Q2. Explain money laundering process and its stages.

Money laundering : Money laundering is a process of making dirty money clean. Money is moved
around the financial system again and again in such a manner that its origin gets hidden. It is the process
by which large amounts of money obtained illegally is given the appearance of it originated from
legitimate sources.

It takes place in three stages i.e.

Placement- entry of funds in the banking system,

Layering- distancing of funds from the point of entry,

Integration- usage of funds.

Placement, being the first stage is the means by which funds derived from a criminal activity are
introduced into the financial system, either directly or through using other retail businesses. This can be
in the form of large sums of cash or a series of smaller sums. Funds are laundered close to the under
lying criminal activity. Large amounts are split into small sums and are deposited into bank accounts or
are used to buy instruments in the name of front men and collected through accounts at other
locations.

Layering:

The aim of the second stage is to disguise the transaction through a succession of complex financial
transactions with the purpose of erasing as quickly as possible all links with its unlawful origin. The funds
may be converted into shares, bonds or any other easily negotiable asset or may be transferred to other
accounts in other jurisdictions. Conversions or transfers to distance funds from source can be by
purchasing assets (often real estate) in the name of launderer’s front men, a series of fund transfers
through accounts at various banks across the globe, use of scattered bank accounts for money
laundering, disguising fund transfers as payment for goods or services giving them a legitimate
appearance.

Integration: Complex integration schemes then place the laundering funds back in to the economy
through real estate, business assets, securities and equities in such a way that they re-enter the financial
system appearing as normal business funds that have been legitimately earned by investing them in real
estate, luxury assets, businesses etc.

Q3. . Explain the strength and weaknesses of mining and manufacturing sector of Pakistan.

Manufacturing sector is the backbone of Pakistan’s economy and constitutes the second largest
sector of economy contributing 13.5 percent to Gross Domestic Product (GDP) and generating
biggest number of industrial employment with technology transfer. During FY 2017, it recorded
an impressive growth of 5.3 percent against 3.7 percent of last year which helped overall
industrial sector to improve by 5.0 percent against 5.8 percent last year.

The industry specific data shows that Iron & Steel products recorded highest growth of 16.58
percent (compared to -7.48 percent),

Electronics 15.24 percent (compared to -5.69 percent last year),

Automobiles 11.31 percent (compared to 23.51 percent last year),

Food, Beverages & Tobacco 9.65 percent (compared to 3.77 percent last year),

Pharmaceuticals 8.74 percent (compared to 6.85 percent last year),

Non Metallic mineral products 7.11 percent (compared to 10.28 percent last year),
Paper and Board 5.08 percent ( compared to -2.93 percent last year),

Engineering Products 2.37 percent (compared to -14.04 percent last year) ,

Fertilizers 1.32 percent (compared to 15.92 percent last year), Textile 0.78 percent (compared to
0.66 percent last year) and Rubber Products 0.04 percent (compared to 9.17 percent last year).

The Iron & Steel sector recorded a growth of 16.58 percent during Jul-March FY 2017 compared to
negative growth of 7.48 percent in the same period last year. The performance of cement remained
encouraging and recorded a growth of 7.19 percent which pushed up nonmetallic mineral product to
7.11 percent during July-March FY 2017 despite negative growth of 1.58 percent recorded in glass plates
& sheets.

Mining is an important industry in Pakistan. Pakistan has deposits of several minerals

including coal, copper, gold, chromite, mineral salt, bauxite and several other minerals.
There are also a variety of precious and semi-precious minerals that are also mined.
These include peridot, aquamarine, topaz, ruby, emerald, rare-earth minerals
bastnaesite and xenotime, sphene, tourmaline, and many varieties and types of quartz.
[1]

Khyber Pakhtoonkhwa is rich in gems. Most of the mineral gems found in Pakistan
exist here. Apart from oil, gas and some mineral used in nuclear energy purposes which
comes directly under federal control mining of other minerals is provincial issue.
Currently around 52 minerals, are mined and processed in Pakistan.[2]
Mineral Salt:
Salt is mined at Khewra in an underground area of about 110 square kilometres (42 sq mi). Khewra
salt mine has an estimated total of 220 million tons of rock salt deposits. The current production from
the mine is 325,000 tons of salt per annum.

Copper and Gold:

An initial production of 170,000 metric tons of copper and 300,000 ounces of gold a year. The
project may produce more than 350,000 tons a year of copper and 900,000 ounces of gold.[3] There
are also copper deposits in Daht -e- Kuhn, Nokundi, Located in Chaghi district.

Gems and other precious stones: A number of precious stones are mined and polished for local
as well as export purposes. The centre point of this operation is Khyber-Pakhtoonkhwa and most
recently Gilgit-Baltistan.The export earned from these gems is more than 200 Million dollars