FPCCI concerned over WFP report on food crisis

18 Apr, 2008

The president, Federation of Pakistan Chambers of Commerce and Industry (FPCCI), Tanvir A. Sheikh, has shown serious concern over the World Food Program (WFP) report on food shortage in developing countries, including Pakistan. He laid emphasis on immediate measures to tackle the expected crisis.
It is notable that World Food Program (WFP) - the world's largest humanitarian agency, headquartered in Rome - has issued an "extraordinary emergency report" on the world food crisis.
According to the report, a rapidly escalating global food crisis has reached emergency proportions and threatens to wipe out seven years of progress in the fight against poverty. He called for short-term emergency measures in many regions to meet urgent food needs and avoid starvation and urged longer-term efforts to significantly increase production of food grains. The international community needs to take urgent and concerted action in order to avoid the larger political and security implications of this growing crisis.
According to the FPCCI research department, it was observed that industrialised and developing countries are managing inventories of food and grains to avoid any possible crisis in future. The world inventories of rice and wheat have significantly increased in the last months and the demand and imports of storable food items is also increasing rapidly.
Tanvir Sheikh has also recommended the long-term planning to smooth and frictionless functioning of the economy and socio-political conditions in the country. It is notable that the agriculture sector is considered as a major part of the real sector economy. He said the share of agriculture in GDP has declined from 60 percent in 1951 to 21 percent in 2007. It is an indicator that now Pakistan is no longer an agricultural economy. The lower productivity in agriculture sector and the migration of rural population to urban centers are the major causes of the declining share of agriculture sector in the economy.
It is important fact that the share of rural population in Pakistan has reached 67 percent according to the last census, while this share was more than 82 percent in 1951.
The FPCCI chief has mentioned that agriculture development is necessary not only for the overall economic growth and balance development of the economy; but it is also necessary for the industrial development as many important industries in Pakistan depend on the agriculture sector. Textile, sugar, tobacco, fertiliser, food and beverages are those industries, which are largely dependent on the productivity and development of agricultural sector, he added.
Tanvir Sheikh proposed that Minfal, the Planning Commission, and the ECC should jointly prepare an action plan to avoid the possible impact of expected crisis and a long-term strategy is also required to increase the agricultural productivity.
He assured the private sector co-operation and participation in every strategy of national cause and importance. Tanvir Sheikh mentioned that the FPCCI research department is preparing a comprehensive report on the severity and incidence of the food shortage crisis in developing countries and its possible impacts on Pakistan. The report will highlight the possible solutions in alternative scenarios. The report will be released next weak.

Read Comments