ISLAMABAD: A parliamentary panel, on Monday recommended the government to fix minimum support price (MSP) of wheatat Rs 2,200 per 40kg to ensure proper rate of return to local farmers, food security, and bring an end to wheat imports.
The recommendation was jointly endorsed by all the members of the National Assembly Standing Committee on National Food Security and Research, which met here under the chairmanship of Rao Mohammad Ajmal.
The chairman committee, during the meeting, said that at present, the government was importing wheat from international market at Rs 2,250 per 40kg, while local farmers are being paid Rs 1,800, which is a significant difference.
He added that instead of wasting such amount of foreign exchange on imported produce the government must increase the minimum wheat support price for the local farmers, which will not only rid the country of food insecurity but also help save millions of dollars being spent on imports.
The committee said that over the past three years, input costs have significantly gone up, while rate of return for the farmers have significantly reduced as a result, farmers are shifting on other crops such as maize and sugarcane.
The committee, after discussing "The West Pakistan Pure Food (Amendment) Bill, 2021" introduced by Nusrat Wahid MNA in detail, passed the bill unanimously with some amendments.
The committee discussed, "National Food Safety, Animal and Plant Health Regulatory Authority Act, 2021", introduced by Rai Muhammad Murtaza Iqbal, in detail, and decided that the mover and the ministry will mutually finalise the proposed legislation and the final draft will be presented in the next meeting.
While expressing serious concern over the declining cotton production in the country, the committee also constituted a sub-committee consisting of Mian Muhammad Shafiq as convener, Muhammad Ibrahim Khan, Syed Javed Ali Shah Jillani, and RiazulHaq "to look into the reasons of decrease in production of cotton in the country and to propose recommendations".
The panel unanimously recommended the government to provide sufficient incentives to local farmers for the increase in cotton production, saying that the government was allowing textile industry to import raw cotton without any duties for at least five months of a year, if the government provides same financial incentives, it will not only help save import bills but will also increase local production.
The committee noted that input cost including seeds, fertilisers and fuel witnessed manifold increases and make cost of production higher as compared to the previous period. The panel was informed that due to increase in input cost, per-acre wheat cultivation costing above Rs 62,000 and increasing minimum support price would help to compensate local farmers with proper rate of their produces and encourage them to bring more area under wheat cultivation to get rid of swelling import bills.
The chairman committee said that the government was benefiting Rs 450 per 40kg to the Ukrainian farmers by importing wheat and the same amount could be paid to the local farmers could encourage farmers to bring maximum land under wheat cultivation that create food safety and security in the country.
The chairman of the committee also asked for expediting research in order to produce climate smart, heat, drought and disease tolerant varieties of wheat, rice, maize, and cotton for the uplift of the national economy.
The committee expressed concern over the waste of garlic seeds cultivated on National Agricultural Research Centre's research plot and asked to submit a report about negligence within two weeks.
He stressed that need to upgrade research and development standards as according to international standards for achieving the required results for maintaining food safety and security to tackle with increasing demand.
The panel was informed that in 2018, urea fertiliser was available at Rs 1,100 per bag, which now has crossed Rs 3,000 mark, the DAP fertiliser was available at Rs 2,800 per bag, which now has crossed Rs 7,200 per bag level, and diesel was available at Rs 78 per litre, which now has reached Rs 138 per litre level.
Under such a situation, doing agriculture is not profitable for farmers especially with small land holdings; therefore, the government needs to come up with proper solution of the problem.
Secretary Ministry of National Food Security and Research Khursheed Anwar apprised the meeting that the modalities for fixing minimum support price of wheat were finalised and would be submitted in the next meeting of the Economic Coordination Committee of the Cabinet for approval.
He said that the government was also providing Rs15 billion subsidy on agriculture inputs during current season to achieve the fixed targets of various crops.
He told the meeting that cotton intervention price was also announced by the government to protect cotton growers, adding that farmers were also provided Rs9.7 billion subsidy to purchase inputs. Food Security Commissioner Dr Waseem informed the meeting that Plant Protection department was revamped in order to make strict compliance of international standards.
The committee also expressed its concerns over the closing of research institutes including Ayub Agriculture Research Institute, Faisalabad and Agriculture Research Institute, Multan, and providing research land to develop South Punjab, Secretariat.
Copyright Business Recorder, 2021