District-wise production data showed that Multan contributed 3,95,251 bales, Lodhran 2,70,083 bales, Khanewal 7,70,489 bales, Muzaffargarh 3,40,313
bales, Dera Ghazi Khan 2,64,053 bales, Rajanpur 3,54,444 bales, Layyah 1,99,852 bales, Vehari 7,72,976 bales, Sahiwal 5,29,278 bales, Pakpattan 2,58,090 bales, Okara 42,631 bales, Kasur 27,550 bales, Toba Tek Singh 2,94,450 bales, Faisalabad 106,460 bales, Jhang 1,78,232 bales, Mianwali 1,85,428 bales, Bhakkar 1,32,100 bales, Sargodha 44,400, Rahim Yar Khan 8,38,630 bales, Bahawalpur 7,95,179 bales, and Bahawalnagar 7,40,420 bales. Sindh's district-wise production figures were: Hyderabad 1,74,820 bales, Mirpurkhas 1,33,457 bales, Sanghar 6,53,369 bales, Nawabshah 1,47,425 bales, Naushero Feroze 1,68,159 , Khairpur 1,85,512 bales, Ghotki 2,18,891 bales, Sukkur 2,66,571 bales, and Dadu 22,727 bales, Jamshoro 74,483 , Badin 26,995.Balochistan added 37,782 bales to the total. PCGA claimed that 2 million bales were destroyed in recent floods in Sindh. Policy-makers may hope that bumper cotton crop will help the government make deficiency in other areas, taking the annual growth rates to over 7 percent. The chairman PCGA reiterated demand to the government to announce relief and bail out package for 250 cotton ginning factories of flood-hit areas. The report said that the ginners pressed 90,12,361 bales. Only 3,42,959 bales were exported by commercial exporters (who mostly purchased from Punjab), and merely 1,70,559 bales were purchased from Sindh.The textile industry purchased 72,69,048 bales and 20,38,095 bales were available with ginners as unsold stock. They told that cotton trading remained firm amid strong physical price and higher cottonseed prices.
President Asif Ali Zardari turned down the request of Pakistan Cotton Ginners Association (PCGA) for calling Trading Corporation of Pakistan (TCP) to intervene as second player to support cotton prices in the country.Sources in the Ministries of Finance and Textile Ministry said on Friday during a Video Conference with the members of the PCGA, Zardari asked them to revive their market strategies and common goals to benefit textile sector of the country.“How can the government help the lint sector with more than Rs 300 billion worth besides it is running affairs on its own as an independent entity in the country,” the president questioned.
“We are here to serve the industry and common man in a manner to provide them maximum benefits,” he asserted.
President asked, “When ginning sector of the country was enjoying the highest ever price of cotton some months back, they did not bother how the textile sector will bear such high prices for their value addition.”
He said the government has no additional funds to support falling prices through TCP as second buyer.
The cotton prices went on record high when they touched above Rs 14,500 per maund in the country. A spokesman of PCGA said the body demanded the government to announce support price like wheat in order to safeguard the interests of ginners and growers.
He said the ginners have more than 4 million cotton bales to offer as the payment to farmers and growers to the tune of billions of rupees has been stuck up with the ginning sector. He said in hard times, ‘States’ interventions start in China and India in order to support cotton prices besides to bring stability in their respective markets.
Commenting on the situation, fibre analyst at Karachi Cotton Association said the stand of President Zardari was in the interest of textile sector, which caters around 63 percent of the total foreign exchange earning for the country.
Ahmad said on the other hand the IMF conditions are relevant in taking decision by the government for lifting any soft commodity including cotton through TCP.
“The Planning Commission has submitted a report to Prime Minister, Syed Yousuf Raza Gilani on implementation programme on the directives of IMF, in which support price for commodities including cotton is out of sight,” he added.
He said there are reports that government would keep trading open and would probably not involve in providing support to cotton and other agriculture sectors.
Today the physical prices of cotton have declined up to Rs 3,000 per maund in wake of plentiful influx of cottonseed besides grade issue, which was not acceptable to textile sector, in need of fine lint for quality value addition exports, Ahmad added.
The country is heading towards a bumper crop in crop season 2011-12 to around 14.8 million bales.
There are reports a joint meeting of Textile Ministry, Ministry of Food and Agriculture and Commerce Ministry will be held to look into the matter.
A second meeting of Cotton Crop Assessment Committee held on November 23, in consultation with the relevant stakeholders.
“We are here to serve the industry and common man in a manner to provide them maximum benefits,” he asserted.
President asked, “When ginning sector of the country was enjoying the highest ever price of cotton some months back, they did not bother how the textile sector will bear such high prices for their value addition.”
He said the government has no additional funds to support falling prices through TCP as second buyer.
The cotton prices went on record high when they touched above Rs 14,500 per maund in the country. A spokesman of PCGA said the body demanded the government to announce support price like wheat in order to safeguard the interests of ginners and growers.
He said the ginners have more than 4 million cotton bales to offer as the payment to farmers and growers to the tune of billions of rupees has been stuck up with the ginning sector. He said in hard times, ‘States’ interventions start in China and India in order to support cotton prices besides to bring stability in their respective markets.
Commenting on the situation, fibre analyst at Karachi Cotton Association said the stand of President Zardari was in the interest of textile sector, which caters around 63 percent of the total foreign exchange earning for the country.
Ahmad said on the other hand the IMF conditions are relevant in taking decision by the government for lifting any soft commodity including cotton through TCP.
“The Planning Commission has submitted a report to Prime Minister, Syed Yousuf Raza Gilani on implementation programme on the directives of IMF, in which support price for commodities including cotton is out of sight,” he added.
He said there are reports that government would keep trading open and would probably not involve in providing support to cotton and other agriculture sectors.
Today the physical prices of cotton have declined up to Rs 3,000 per maund in wake of plentiful influx of cottonseed besides grade issue, which was not acceptable to textile sector, in need of fine lint for quality value addition exports, Ahmad added.
The country is heading towards a bumper crop in crop season 2011-12 to around 14.8 million bales.
There are reports a joint meeting of Textile Ministry, Ministry of Food and Agriculture and Commerce Ministry will be held to look into the matter.
A second meeting of Cotton Crop Assessment Committee held on November 23, in consultation with the relevant stakeholders.
District-wise production data showed that Multan contributed 3,11,907 bales, Lodhran 2,09,530 bales, Khanewal 6,50,208 bales, Muzaffargarh 2,56,653
bales, Dera Ghazi Khan 1,96,550 bales, Rajanpur 2,73,573 bales, Layyah 1,40,664 bales, Vehari 6,67,740 bales, Sahiwal 4,64,396 bales, Pakpattan 2,11,880 bales, Okara 36,500 bales, Kasur 21,400 bales, Toba Tek Singh 2,56,148 bales, Faisalabad 95,500 bales, Jhang 1,60,870 bales, Mianwali 1,43,600 bales, Bhakkar 1,07,500 bales, Sargodha 39,650, Rahim Yar Khan 6,33,460 bales, Bahawalpur 6,30,084bales, and Bahawalnagar 5,78,757bales. Sindh's district-wise production figures were: Hyderabad 1,65,528 bales, Mirpurkhas 1,20,368 bales, Sanghar 6,19,308 bales, Nawabshah 1,25,385 bales, Naushero Feroze 1,46,741, Khairpur 1,64,760 bales, Ghotki 1,64,760 bales, Sukkur 2,31,455 bales, and Dadu 15,727 bales, Jamshoro 69,365 , Badin 26,177.Balochistan added 31,091 bales to the total. PCGA claimed that 2 million bales were destroyed in recent floods in Sindh. Policy-makers may hope that bumper cotton crop will help the government make deficiency in other areas, taking the annual growth rates to over 7 percent. The chairman PCGA reiterated demand to the government to announce relief and bail out package for cotton ginning factories of flood-hit areas. The report said that the ginners pressed 72,78,950 bales. Only 2,44,982 bales were exported by commercial exporters (who mostly purchased from Sindh), and merely 1,14,988 bales were purchased from Punjab.
The textile industry purchased 57,83,360 bales and 19,40,477 bales were available with ginners as unsold stock. They told that cotton trading remained firm amid strong physical price and higher cottonseed prices.
Sindh's district-wise production figures were: Hyderabad 3,56,100 bales, Mirpurkhas 4,02,118 bales, Sanghar 15,85,583 bales, Nawabshah 3,45,568 bales, Naushero Feroze 1,94,458 bales, Khairpur 2,08,542 bales, Ghotki 2,20,037 bales, Sukkur 2,99,702 bales, and Dadu 1,17,977 bales.
Balochistan added 24,118 bales to the total. The arrivals figures recorded so far are the lowest Pakistan ever had. PCGA claimed that 2 million bales were destroyed in recent floods in Punjab and Sindh. Policy-makers may hope that bumper cotton crop will help the government make deficiency in other areas, taking the annual growth rates to over 7 percent.The spokesman PCGA reiterated demand to the government to announce relief and bail out package for cotton ginning factories of flood-hit areas and survey of such area should be completed shortly. The report said that the ginners pressed 1,16,95,416 bales. Only 5,40,630 bales were exported by commercial exporters (who mostly purchased from Sindh), and merely 95,281 bales were purchased from Punjab. The textile industry purchased 1,09,37,581 bales and 2,19,955 bales were available with ginners as unsold stock.
Experts said that estimates will set a future course for cotton prices in both in the international and domestic market, which hit their peaks during 3Qin FY11. Since then prices have fallen mainly owing to slowdown in Chinese mill demand and in anticipation of improved supply next year.
According to the latest estimates published by United States Department of Agriculture (USDA), world cotton output is forecasted to jump by 9 percent to 123.8mnbales in FY12. If materialized it will be the highest ever production, exceeding the previous record of 121.8m bales in FY07. Also, it is noteworthy that the world consumption is projected to augment to 119.5mn bales in FY12 (versus 115.5m bales in FY11) driven by global economic recovery along improved production outlook.
On the domestic front, Ministry of Food and Agriculture has set an ambitious cotton production target of 15m bales for FY12 against last year’s production of 11.7m bales which was affected by the floods. The expected jump in cotton output is mainly because of an anticipated increase in area under cultivation, forecasted to rise by 8 percent to 8.5m acres. Experts view it as an optimistic target as water constraints continue to exist along with likely hood of Leaf Curl Virus and other pest attacks. In experts view, 13-13.5m bales seem to be a more achievable target.
FY11 witnessed cotton prices rallying to all time peaks internationally and domestically on the back of limited supply and escalating demand. However, prices globally took a breather in April, predominantly owing to slowdown in demand by mills (mainly in China) and expectation of better crop in the coming season.
With the cotton prices predicted to stabilize in FY12, the profitability of the stand alone spinning units will be affected the most as they will not be able to make wind fall gains as a result of continuously rising prices and supply concerns.
Though both foreign countries have expressed interest in importing the delicacy from Pakistan if quarantine conditions are fulfilled by exporters from Islamabad, the export of mango has not started this year as the country is yet to invest in appropriate infrastructure. While the export of the important fruit started last month, the quality issue of local mango remains outstanding and hampers export to various lucrative markets including Japan and Australia. Though a little quantity of mango is being presently exported to China, the world famous fruit is yet to make a visible impact in foreign markets.
It is worth mentioning that Japan approved the entry of Pakistani mangoes last year, provided that they undergo VHT testing before they are imported into the country. VHT uses hot saturated water vapour to heat the fruit slowly, treating against possible pests such as fruit flies.
But an investment of around $2.5 million was required to install the facility in the country, sources pointed out. Though, under the signed agreement between the two countries, the required plant would be imported from Japan, in the absence of the demanded facility, it is not possible for exports to begin. According to sources, a negligible quantity of mango was currently being sent to Japan for testing and treatment purposes in order to examine how the quality standards in the foreign country could be met to commence exports. Sources in All Pakistan Fruit and Vegetable Exporters, Importers and Merchants Association (PFVA) said that the association was coordinating with the concerned authorities in the country to examine the functionality of a plant made available by Japanese government to Pakistan in 1999.
However, the plant was of limited capacity and was unable to process large quantities to Japan as clearing quantities in terms of kilogrammes. It is planned VHT trials will begin this month with the arrival of Japanese inspectors. Despite the inherent limitation and insufficient capability of the plant, it will ensure the start of mango exports during this season, sources said.
Sources in PFVA claim that once the trial has been made and approval granted, different varieties of Pakistani mangoes will be sent to the embassy of Pakistan in Japan by early July. Limited quantity of mangoes will be sent to Japan for promotional purposes. The commercial department of Pakistani embassy in Japan will be in charge of marketing and distributing the mangoes.
On the other hand, Pakistan was also interested to have VHT plant, the phyto-sanitary requirement of mango, at Tokyo’s port, as Islamabad lacks the facility to start mango exports during this season.
Without the VHT facility, Pakistan, while ensuring the quarantine requirements for packing place in order to prevent invasion by the group of oriental fruit fly species, would not be able to export mango to Japan.
Earlier a Japanese agriculturists’ delegation belonging to foreign country’s renowned agriculture cooperative organization (JA) had assured the concerned authorities in Islamabad that the best quality of Pakistani mangoes would reach Japanese markets from the next season.
The understanding made by the two countries, the Ministry of Agriculture, Forestry, and Fisheries of Japan was to investigate inspect and to test of machine before allowing the import of mango. The quarantine officials would also thoroughly investigate and inspect the plant facility and the machine performance besides conducting an inspection on building facility, process flow of operation and the packing facility.
Besides, Japan, Australia was another country which has also shown its intention to import the juicy fruit while making an announcement to change its regulatory policy to accommodate the import of mango from Pakistan.
Australia had last year announced the commencement of a non-regulated analysis of existing policy for import of mangoes from Pakistan.
However, the Pakistani side which was to arrange the visit of an inspection team Australia to verify the data provided to it by the Islamabad and inspect the farms and production areas here, was yet to do the job even after lapsing the whole year.
The relaxation in the regulatory policy was made by Australia after it was noted that the issue of mango quarantine and pest issue was also present in the case of India, Taiwan and Philippine where no such restrictions were in place in the import of fruit, the sources said. The only condition which was set by the Australian government was the removal of quarantine issue before starting import of mango from Pakistan. The issue was also to be addressed through installing a VHT plant of international standard in the country. According to sources, the issue of VHT plant was also raised during the previous visit of President Asif Ali Zardari to Japan but no progress has so far been made.
The VHT facility, they said, was not only needed to have captured the lucrative markets in the two foreign countries but it was also important to tap various markets across the country.
It is worth mentioning here that the country was likely to enjoy almost 30 per cent growth in the production of mango this year with the expected production of almost 1.7 million tonnes. This rise will help Pakistan export mangoes worth $48 million.
The demand of mangoes from the European countries had also increased, while other countries like Russia, Japan, USA, Poland, Ukraine and Australia demanded around 60,000 to 70,000 tonnes of the country’s mangoes.
The house expressed deep anger, frustration and concern over exclusion of role of Mango Growers Cooperative Society Limited MGCSL and Mango Growers Association MGA in the Board of Management (BoM) of Agro Food Processing Facilities (AFP) Multan by Federal Ministry of Industries in blatant violation of the vision and regulations accentuated in PC-I of the project. Members of MGCSL and MGA, which played a pivotal role from conceptual to completion stage of AFP, have been callously ousted from the newly formed BoM AFP. The house emphatically demanded restoration of role of MGCSL in AFP being the major stakeholder and sponsor of the project..
Apart from discussing various Mango Industry related issues the august house took stock of the present hype about the blind acknowledgement of the IMF and World Bank dictates and its consequences on the current federal budget 2011. The house categorically rejected the imposition of proposed RGST on agriculture inputs and agriculture implements as this will cause unprecedented hardships to the growers who are already distressed at the exorbitant hike in prices of diesel, fertilizer and electricity charges. The members were of the opinion that any such adventure will increase inflation and decrease productivity which would further rural poverty.
The members of MGCSL demanded that MINFA and agencies related with horticulture promotion should facilitate mango growers to acquire certifications for Good Agriculture Practices and global access to Mango instead of abetting donors for mandatory compliance of these requirements who have a very limited agenda. The members were of the opinion that Government should work closely with Mango Growers Associations and Mango Growers Cooperative Society to understand and address real issues of productivity and On-Farm infrastructure development for large segment of small and medium mango growers who represent 95% of the mango industry.
The house demanded that completion of a modern Cargo Complex at Multan airport should be prioritized to enable commencement of direct exports of mango from the mango city of Pakistan-Multan.
The growers, unanimously with anguish had the same opinion about 40% lesser crop of mango this season in comparison to last year due to inclement weather conditions and various fungal diseases.
The meeting was also addressed by Malik Tariq from Mango Research Station Shujabad and Asif Qureshi from PHDEC on mango productivity and GlobalGAP issues.
Countrywide, there is expected to be a small fall in poppy cultivation this year due to slightly lower cultivation rates in the fertile southern Helmand and Kandahar provinces, focus of ongoing foreign-led military operations.
But in its annual winter opium survey released Monday, the UN Office on Drugs and Crime (UNODC) said the price of dry opium had tripled and predicted a strong rise in the amount grown in the northern provinces of Badakhshan, Baghlan and Faryab.
Steep increases were also predicted in Herat and Ghor in the west and in the central province of Kapisa. All bar Badakhshan were free of poppies in 2010. Afghanistan produces around 90 percent of the world’s opium.
Poppy cultivation is still a lucrative source of income for the Taliban despite some eradication efforts and crop replacement schemes in place to clamp down on cultivation. The poppy harvest in many areas coincides with the start of spring in Afghanistan around March and April, when fighting between Taliban and NATO-led coalition and Afghan forces also heats up.
Some 87 percent of total opium production comes from southern provinces. “The winter assessment in the north and northeast of Afghanistan predicts a strong increase in opium cultivation for 2011,” the survey said. “However, overall cultivation in the whole country is expected to decrease slightly.”
When asked why farmers were growing opium, 73 percent of local elders cited the high price of the drug. The price of dry opium increased 306 percent to $281 per kilogram this year, according to the survey, after a blight hit last year’s harvest. A further 15 percent said it was because of a lack of support from the government.
Some 56 percent of villages which cultivated opium this year had not received agricultural assistance from the government in the previous year, the survey added
Addressing the officers of Eleventh Mid Career Management Course from National Institute of Management, Government of Pakistan, Karachi, here on Saturday, he said that it was because of large fragmented constituency of mango and larger number of Small and Medium growers that Pakistan failed to capitalize on the significance of this exotic fruit, which can become a major foreign exchange earning produce. Zahid Hussain Gardezi briefed the officers of the Mid Career Management Course regarding the production, harvesting and marketing of mango and the interventions required for the establishment of a value chain. Zahid Hussain Gardezi said that a Modern State of Art Mango Pulp Plant has also been established in Multan on the behest of Mango Growers Association Pakistan and soon Pakistan will be able to mesmerize global connoisseurs with high quality mango Pulp.
Speaking on the occasion the Director General National Institute of Management Karachi Mr Tauqir Ahmad thanked the president Mango Growers Association Pakistan for giving a detailed insight of the Mango Industry in Pakistan which has immense potential to transform the economy of the Country. He asked the visiting officers to insinuate proposals in line with suggestions of Mango Growers Associations Pakistan to make growers prosperous and alleviate poverty.
Chief Instructor National Institute of Management Mrs Nighat Mehroze took keen interest in the production of Mango Pulp in Multan and suggested road map for export.
culture
The deteriorating economic situation of the country can be judged from the fact that after the industrial sector the performance of the agricultural sector has now been seriously affected and the State Bank has acknowledged that production targets of most major crops could not be achieved. Rather production of these crops will be even lower than last year.
According to the State Bank's second quarterly report, Pakistan will not be able to achieve production targets in cotton, sugarcane and rice. However, the major crop, wheat, may attain its target. The expected rise in production of major crops has been put at: cotton 9.4 percent, rice 13.6 percent and sugar cane 0.1 percent during the current financial year.
During the last financial year, rice production was 6.883 million tons which during the current financial year is likely to slide down to 5.949 million tons though the target was set at 6.048 million tons. Similarly cotton production may be down to 10.17 million from last year's 10.29 million. However, the production of sugarcane is expected to slightly go up from 40.9373 million to 40.94 million tons. Wheat is expected to achieve its stipulated target.
Agricultural experts are of the opinion that the shortage of manure and seeds and their sale in the black market are the reasons behind this fall in the agriculture sector. The crops were also affected by the weather.
According to the State Bank's second quarterly report, Pakistan will not be able to achieve production targets in cotton, sugarcane and rice. However, the major crop, wheat, may attain its target. The expected rise in production of major crops has been put at: cotton 9.4 percent, rice 13.6 percent and sugar cane 0.1 percent during the current financial year.
During the last financial year, rice production was 6.883 million tons which during the current financial year is likely to slide down to 5.949 million tons though the target was set at 6.048 million tons. Similarly cotton production may be down to 10.17 million from last year's 10.29 million. However, the production of sugarcane is expected to slightly go up from 40.9373 million to 40.94 million tons. Wheat is expected to achieve its stipulated target.
Agricultural experts are of the opinion that the shortage of manure and seeds and their sale in the black market are the reasons behind this fall in the agriculture sector. The crops were also affected by the weather.
Pakistan Agriculture Research Council’s Employees seems very much concerned about the future of institution under the new management, as they believe that it is being destroyed and three of the key position-holder employees have written letter to high ups to save the institution.
It has been reliably learnt that Mohammad Azhar Qureshi who is working as consultant with PARC has written a letter to President and also has sent a copy to Prime Minister with the consent of other employees of the department.
Especially the consultants are of the view that PARC will be totally destroyed under the current management as it is closing all-important projects without any reason.
Along with Azhar Qureshi three other consultants have also written letters to President and PM telling them about the worst situation of the institution.
The letter reads, “Currently, there is an extremely pathetic state of affairs at the organization. Almost all the research and development projects of great economic importance have been recklessly bulldozed on the pretext of budgetary constraints. As for example, the Pak-China hybrid cotton collaborative project, Establishment of Benazir Bhutto Agricultural Research Station, Neelibar Agricultural Research Station, Bheera Agricultural R&D Station, On-farm research & development and value addition of the dates, Gender and Social Development Directorate, Benazir Bhutto Directorate of Cottage Industry, Establishment of PARC TV Channel for farmers and almost all the farmers’ linked field based activities have been irresponsibly thrashed”.
It is pertinent to mention here that Pak-China hybrid cotton was a very important project and was going to impact country’s economy by $10 billion per annum. It has also earlier reported that the project was scrapped just to benefit some blue-eyed companies.
At present an environment of looking busy and doing nothing has been created at PARC in the name of so-called National Research Agenda as an invention of the Acting Chairman, reads the letter written to country head. It is also mentioned in the letter that selling of 63 animals of rare breed from Bajuar and Swat merely for Rs 1.8 million by the acting management is another eye opener and indicator of the disorganization, mismanagement and corruption causing huge losses to the Organisation.
It has been reliably learnt that Mohammad Azhar Qureshi who is working as consultant with PARC has written a letter to President and also has sent a copy to Prime Minister with the consent of other employees of the department.
Especially the consultants are of the view that PARC will be totally destroyed under the current management as it is closing all-important projects without any reason.
Along with Azhar Qureshi three other consultants have also written letters to President and PM telling them about the worst situation of the institution.
The letter reads, “Currently, there is an extremely pathetic state of affairs at the organization. Almost all the research and development projects of great economic importance have been recklessly bulldozed on the pretext of budgetary constraints. As for example, the Pak-China hybrid cotton collaborative project, Establishment of Benazir Bhutto Agricultural Research Station, Neelibar Agricultural Research Station, Bheera Agricultural R&D Station, On-farm research & development and value addition of the dates, Gender and Social Development Directorate, Benazir Bhutto Directorate of Cottage Industry, Establishment of PARC TV Channel for farmers and almost all the farmers’ linked field based activities have been irresponsibly thrashed”.
It is pertinent to mention here that Pak-China hybrid cotton was a very important project and was going to impact country’s economy by $10 billion per annum. It has also earlier reported that the project was scrapped just to benefit some blue-eyed companies.
At present an environment of looking busy and doing nothing has been created at PARC in the name of so-called National Research Agenda as an invention of the Acting Chairman, reads the letter written to country head. It is also mentioned in the letter that selling of 63 animals of rare breed from Bajuar and Swat merely for Rs 1.8 million by the acting management is another eye opener and indicator of the disorganization, mismanagement and corruption causing huge losses to the Organisation.
The Food and Agriculture Organisation (FAO) said Wednesday that Pakistan can expect a good wheat harvest despite severe flooding last year as seeds distributed to flood victims begin to ripen.“FAO spent $54 million of international donor funding buying and distributing quality wheat seeds as part of its emergency intervention that began last August,” the Rome-based UN agency said in a statement.
“Once the harvest is completed, this donation will have produced a crop worth almost $190 million in wheat flour, the main staple” and provide “enough food for half a million poor rural households,” it said.
“Farmers will be able to save the seeds from this year’s harvest to plant again later this year,” said Daniele Donati of FAO’s Emergency Operations Service.
More than 18 million people in Pakistan were affected by last summer’s severe flooding, which caused extensive damage to housing, infrastructure and crops, the food agency said.
FAO received 92 million dollars from donors such as Australia, Belgium and Sweden which enabled it to shore up the smallholder agricultural system in the four Pakistan provinces affected by the flooding.
The agency also said it saved almost a million livestock by supplying temporary shelter and enough de-worming tablets and dry animal feed for almost 290,000 families.
“The livestock interventions really paid off. It costs ten times more to buy a new animal, which often represent a family’s lifetime savings,” Donati said.
FAO is working with the government of Pakistan to priorities recovery measures for the next two years, including increasing crop, livestock, fishery and agro-forestry production as well as improving diets and nutrition.
“These core objectives will significantly reduce the vulnerability of the populations in question, improve food production and income generation, and increase affected communities’ resilience to future shocks,” Donati added.
With regards to major fertilizer manufacturers, FFC’s and Engro’s urea offtake declined by 2 percent and 9 percent, respectively in February. FFBL’s offtake on the other hand, rose by 69 percent to 27k tons during the same period. Bilal Qamar, a fertilizer sector expert, said that this was mainly due to an early turnaround this year owing to gas load management by the government.While urea demand remains relatively inelastic, DAP sales going forward are likely to come under pressure because of higher prices. According to the latest numbers released by the NFDC, DAP offtake registered a decline of 1 percent in February to stand at 69k tons. Encouragingly, despite closure of FFBL’s DAP plant during the earlier part of the month; total DAP sales increased by 17 percent MoM. Company wise break-up show that FFBL registered a production of 53k tons and sold 47k tons (up 76 percent and 63 percent) while Engro’s offtake stood at 20k tons (down 51 percent and 21 percent) tons of DAP in February. The total consumption of DAP is around 35 million bags in the country, sources said and added that 20 million bags are used in rabi season in Sep-Oct while 15 million bags are consumed in kharif season in Feb-Mar. They stated that around 30 percent of DAP is made locally while 70 percent of the production is imported. And whenever the prices are increased in the international market the local prices are also surged but this time increase is made without any excuse, sources said and aim is only to loot the farmers.They said that currently 8 million acres of land is under cotton cultivation, 6 million acre of land is under rice cultivation while 2.2 million acre of land is under sugarcane cultivation which amount to 70 percent of the total Pakistan export. Agri President of Anjuman Kashtkaran Punjab (AKP) Peerzada Abdul Ali Zakir Usmani said that the surge in fertilizers and DAP rates is actually a conspiracy of the fertilizers companies against the national export.He said pesticide companies are befooling the farmers and stressed need for taking stern action against them. He rejected the withholding tax on agri produce, urging the government to mention weight and price on urea sacks. He said around 200 million bags are sold annually in the country but neither the price nor the weight is mentioned on any sack of DAP or urea. He demanded the government to direct all public sector banks to issue agri loans on soft terms for the enhancement of agri production in the province. He demanded of the government to review its agriculture policy through comprehensive debate and consultation with the stakeholders to ensure the food security in the larger interests of the progress and prosperity of the country.
Cotton and textile account for about two-thirds of the country's exports and a healthy cotton crop is vital to economic growth, which is expected to slip to around 2.75 percent in the current financial year to June, because of flood damages.
The world's fourth-largest cotton producer had hoped to produce 14 million bales in the 2010/11 crop year before the devastated summer floods last year reduced the output to about 11.70 million bales.
Pakistan achieved record cotton production of 14.6 million bales in 2004/05, but output has been falling since then.
"We are targeting cotton output this season between 15 and 15.5 million bales this year," said Khalid Abdullah, Cotton Commissioner at the food ministry.
"Financial gains made this year are encouraging farmers to grow more cotton and we have penetration even in non-traditional rain-fed areas this season."
Key New York May cotton futures hit a record high of $2.195 per lb on March 7 on supply concerns.
Some U.S. investors, however, expect cotton futures to decline in the weeks ahead with planting of the fiber on the rise around the world.
Cotton spot-rates in Pakistan have tracked U.S. levels higher, touching a peak of 14,000 rupees ($164) per 40 kg this season, from levels above 6,000 rupees per 40 kg last year, said Naseem Usman, chairman of the Karachi-based Cotton Brokers Forum.
A committee of the food ministry tasked to increase output is targeting a sowing area of 8.01 million acres, up 8 percent from the last year, and is working out a plan to prevent pest and virus attacks and ensure seed availability, officials said.
Sowing has already started in the main cotton growing areas of Sindh and Punjab provinces for the new crop year that runs from April to March.
"More and more farmers are seen switching to cotton as both domestic and global prices remain high which is a big incentive for them," Usman said.
Cotton acreage in Pakistan's neighbouring India, the world's second-biggest producer, is seen up 15 percent in 2011/12, according to the Cotton Association of India.
High cotton output this year in Pakistan could help cut reliance on import to feed its textile industry. Annual consumption fluctuates between 14 million bales and 16 million bales.
Pakistan imported 1.45 million bales between July-February, nearly 40 percent up from the same period last year, according to the official Federal Bureau of Statistics.
Industry officials say the total import would reach two million bales by end-June, when supplies from the new domestic crop start trickling in.
As per a press release publicized by Pakistan Textile Mills Association (PTMA), Prime Minister Yousuf Raza Gilani’s untiring efforts bore a fruit in form of a deal of cotton export with Uzbekistan government.
The association’s chairman Gohar Ijaz told media Uzbekistan is a ‘chief importer’ of Chinese cotton and for such imports; the former is in habit of making 80pc payments in advance.
However, he said that he was pleased with Uzbek government as Pakistan has been exempted from condition of advance payment for cotton import.
