ISLAMABAD: The Ministry of National Food Security and Research (MNFS&R) came under heavy criticism from parliamentarians, particularly agriculturalists, on Tuesday for its failure to protect the agriculture sector from the IMF’s stringent condition of ‘no subsidy/ support price.’ This condition has led to a significant reduction in the sowing areas of wheat and cotton, which will result in increased imports.
This was the central issue discussed in a meeting of the National Assembly Standing Committee on National Food Security and Research, chaired by Syed Hussain Tariq. Officials from MNFS&R acknowledged that under the recent agreement with the IMF, the government is prohibited from announcing support prices for agricultural commodities, including cotton.
Committee members, including its Chairman, expressed concerns over the substantial reduction in the sowing areas of cotton and wheat, and questioned the Ministry’s leadership in failing to persuade the Prime Minister and the Cabinet to increase sowing areas by offering better incentives.
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Secretary of MNFS&R Ali Tahir informed the Committee that an inter-stakeholder meeting had been held to address issues related to the tax on locally grown cotton, the duty-free import of cotton, problems faced by ginners, and the need to improve the quality of cotton seed. He added that all stakeholders had presented their positions, and it had been decided to hold another meeting next week to finalise recommendations.
Secretary Tahir agreed with the concerns raised by Committee members regarding the agriculture sector, specifically the reduced sowing areas of cotton and wheat. He informed the Committee that the Ministry had proposed extending the support price for cotton and wheat, but the government did not act on these recommendations. The Federal Board of Revenue (FBR) was not included in the consultations with stakeholders.
The Committee Chairman pointed out that Pakistan’s cotton production has dropped from 14 million bales to just 6 million bales, a decrease of over 200%. He compared this with global cotton production, which has risen from 8 million bales to 37 million bales, highlighting the dire situation. “We need solutions, not just discussions,” he emphasised, expressing dissatisfaction with the Ministry’s performance. Committee Member Kesoo Mal Kheal Das also criticised the Ministry’s leadership for failing to implement the Prime Minister’s vision and decisions, which, according to him, had led to the suffering of the people.
Copyright Business Recorder, 2024
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