Digital revolution in Pakistan’s agriculture sector: some key principles

The agricultural sector plays a crucial role in the economic landscape of Pakistan, serving as a significant source of employment for more than half of the nation’s populace.

Based on the findings of the Pakistan Economic Survey (2022-23), it has been determined that the aggregate cultivated land area amounts to 22.50 million hectares, thereby constituting a significant 22.9 percent share of the nation’s gross domestic product. In addition, it should be noted that this particular sector accounts for 37.4 percent of the total employed population.

The agricultural sector in Pakistan encounters various challenges, including the presence of small and fragmented land holdings and the potential vulnerability to climate change.

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Since it employs 39.2 percent of the population, this sector has great potential for growth. Digital transformation is necessary to maximise its potential. Notably, several agricultural revolutions have enhanced efficiency, productivity, and revenue.

The industry is currently going through a digital revolution to satisfy the needs of a growing population, which might reshape Pakistan’s agriculture sector.

To maximise its potential, agriculture requires access to market and weather data. Farmers can make decisions with real-time input, commodity, and weather data. Weather and soil data also help minimise irrigation inefficiencies and boost agricultural output.

Thus, mobile applications will assist farmers in planning production and eliminate distorted markets. As per a study published in 2017 on Kenya by Baumüller, introducing the M-Farm mobile app changed Kenyan farmers’ crop patterns, raising agricultural output prices. On the other hand, the EMA-I app by the Food and Agriculture Organization (FAO) provides a platform for real-time reporting of livestock diseases.

This app is currently being used in six African countries, with positive impacts evident in the livestock sector.

The introduction of digital technologies has significantly improved agricultural value chains in recent years. For example, Telenor Velocity has established an agri-tech startup in Pakistan with three platforms: Good Earth for farm machinery and tractor sharing, Pak Agri Market for a digital agriculture directory, and Pak ZarZameen for satellite multispectral imagery.

However, these endeavours have some limitations. They were developed sporadically with limited scale, are not linked to institutional systems, and need to provide viable methods to scale up and scale out the services.

The utilisation of the ‘Internet of Things (IoT)’ in the agricultural sector, commonly called Precision Agriculture, has grown in importance. Farmers can realise significant financial benefits by employing guidance systems throughout the planting and fertiliser application processes.

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These savings encompass decreased expenditures on seed, fertiliser, tractor fuel, and shortened working hours on the field. Drones (UAV) and Variable Rate Technologies (VRT) can also aid in reducing labour and resource expenses, as well as water and pesticide consumption. Adopting such farming practices can unlock several benefits for Pakistan’s agriculture sector.

AI technology is also revolutionising agriculture on a global scale. It assists companies in monitoring every stage of the production cycle, improving resource utilisation, providing early decision-making assistance, and maintaining 24/7 monitoring systems. For instance, ‘MyCrop: Complete Farm and Farmer Management System’ is a collaborative platform that combines technology, innovative business models, and human effort to empower smallholder farmers.

Furthermore, Blockchain technology also has several benefits, including the ability to detect low-quality food and provide customers with original information. Walmart uses blockchain technology to track lettuce and spinach from farm to store, and suppliers are required to contribute to a database that quickly identifies contamination. Zauq Group is the only company in Pakistan that offers Food Traceability solutions.

They utilise various technologies like RFID and mobile computing platforms to enable traceability throughout the supply and distribution chain.

It is undeniable that integrating digital innovations and technology can significantly improve the lives of smallholders involved in agrifood systems. Mobile technologies, remote sensing, and distributed computing have grown.

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This breakthrough has improved small-scale farmers’ access to data, inputs, markets, financing, and education. It has offered chances to incorporate these farmers into a digital agrifood system. With real-time access to reliable information, digital technology effectively overcomes issues of remoteness and exclusion, making it a game-changer for the agri-food industry.

Digital technology is already revolutionising the agrifood sector, but the current transformation needs to be more systematic. To realise its full potential, all stakeholders in the value chain must collaborate. This includes the private sector, government, and other agencies involved in the agrifood industry.

Consequently, to ensure the success of startup initiatives, the government should provide financial assistance, policy changes, and a conducive environment for innovation.

Reducing the digital gap and transforming smallholder farming should be priority goals, particularly government capacity development. The Pakistan Agricultural Technology Transfer Activity (PATTA) improved smallholder farmers’ access to markets, financing, and tech.

By promoting cost-effective and affordable agricultural technologies, PATTA empowered smallholders to increase their incomes and generate employment. Supporting such initiatives can unlock the full potential of Pakistan’s agriculture sector and propel it into the modern age.

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Therefore, unlocking the full potential relies on affordability through open-source solutions, interoperability for integrated farm management, and data transparency to empower informed decision-making. Embracing these principles is essential for agricultural transformation in Pakistan.

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