Growers' organisations have expressed their dissatisfaction over the 2009-10 Federal budget 2009-10 announced on Saturday. They observed that it fell way too short from giving much needed incentives and facilities to this agriculture sector, which could help in increasing area under cultivation or per acre yield.
Talking to Business Recorder, Agri-Forum Pakistan Chairman Muhammad Ibrahim Mughal said the proposed budget was totally silent over Kalabagh Dam, efforts to decrease the prices of agricultural inputs or making the country self-sufficient in fertilisers and other inputs.
He was of the view that the steps announced in the proposed budget, would neither make any horizontal or vertical development in the agricultural sector. "The sector showed a growth rate of 4.5 percent during the current fiscal and the government had fixed the target for the next fiscal at 3.8 percent, which instead should have be fixed at eight percent," he observed. Mughal said the government hoodwinked the public by labelling on-going projects as new projects.
He observed that rupees eight billion had been earmarked for crop maximisation project and it had been shown as a new project, but factually it was a two-year-old project. Nevertheless, he appreciated the allocation for tractors under the Benazir Tractor Scheme for the small growers. He also said the government did not announce how much allocation had been made for agricultural credit. "Also, the government should have capped the prices of agricultural inputs and agricultural produce for next three years in order to control the menace of inflation," he added.
Director and Co-ordinator of Farmers' Associates Pakistan (FAP) Dr Muhammad Tariq Bucha said this budget was neither revolutionary nor provided any happiness to the people. "It was a very tight budget, but tried to show inclination of the government towards agricultural sector. The government should have announced measures to decrease the cost of inputs for agricultural sector, as increase in it would reduce the profitability," he added.
He said the government had not announced any measures for electricity power, and added: "We might see another budget for the masses in near future." He said the government did not announce the figure of allocation for agricultural loans or any step to reduce the mark-up on these loans. "At present, except for Zarai Taraqiati Bank, all other banks were extending loans to agricultural sector on commercial rates and the government should take some step in this regard," he added.
Bucha said that the government had announced a new fund of rupees eight billion for the agricultural development, but did not give any new definition. Allocation of Rs 500 million for agricultural infrastructure was also not sufficient, he added. Pakistan Muttahida Kissan Mahaz President Muhammad Ayub Mayo, in his brief reaction, termed the allocations for the agricultural and water sector as insufficient. He was of the view that the government did not announce any practical measures despite the fact that our country was an agricultural country.
He said the government should give subsidy directly to the growers. Head of Wheat Committee of the Farmers Associates Pakistan (FAP) Rasheed Baig, in his initial reaction, welcomed the budget, and said the government took good care of the farmers' community by not levying agricultural tax. He also welcomed the allocation made for watercourses, canal rehabilitation and small dams. He, however, hoped that the government would continue with the subsidy being given to agricultural tubewells.