Latest news with #PakistanKissanIttehad
Business Recorder
7 days ago
- Business
- Business Recorder
Farmers warn govt against GST imposition on agri inputs
LAHORE: The Pakistan Kissan Ittehad (PKI) has warned the government against imposing general sales tax (GST) on agricultural inputs in the upcoming budget, stating that such a move would deal a final blow to the already struggling agricultural sector and further damage the national economy. 'The government should instead take immediate steps to reduce the cost of agricultural production,' said PKI President Khalid Mahmood Khokhar during a press conference on Monday. Khokhar accused the current leadership of pursuing policies that serve their political interests at the expense of farmers, causing irreparable damage to the sector and contributing to a sharp decline in crop production. 'Around the world, agriculture and food security are considered top priorities by governments. Unfortunately, in Pakistan, the sector is being undermined due to pressure from international financial institutions,' he said. Flanked by fellow PKI members, Khokhar highlighted the country's rapid population growth, warning that Pakistan is adding hundreds of thousands of mouths to feed every year. 'If we fail to stabilise and strengthen our agricultural system, we are heading toward catastrophe,' he warned. He further criticised the imbalance in taxation, noting that while there is no tax on imported cotton, locally grown cotton is subject to 18% GST. 'As a result, cotton production has plummeted from 14.7 million bales to just 5 million,' he said. He added that the country's import bill continues to swell due to the increasing reliance on imported food, while exports of key crops like mangoes, kinnow, and maize have halved in the past year. The PKI representatives emphasized that they are not seeking charity - only fair returns for their produce in line with international standards. 'Farmers should be able to earn a reasonable profit for their hard work,' they insisted. Khokhar painted a grim picture of farmers' current conditions, saying many are in rags and unable to apply adequate amounts of fertilizer or other inputs to their fields, resulting in declining per-acre yields. 'Farmers don't even have enough money to meet household expenses. Some have even had to postpone their daughters' weddings due to poor returns on their wheat crops,' he lamented. The PKI also rejected the Rs 15 billion relief package announced for wheat growers, calling it grossly insufficient against the estimated Rs 1,600 billion in losses. Khokhar urged the Punjab agriculture minister to fulfill his responsibility and work actively to improve the livelihoods and well-being of farmers. Copyright Business Recorder, 2025
Business Recorder
03-06-2025
- Business
- Business Recorder
Farmers warn govt against GST on agricultural inputs
LAHORE: The Pakistan Kissan Ittehad (PKI) has warned the government against imposing general sales tax (GST) on agricultural inputs in the upcoming budget, stating that such a move would deal a final blow to the already struggling agricultural sector and further damage the national economy. 'The government should instead take immediate steps to reduce the cost of agricultural production,' said PKI President Khalid Mahmood Khokhar during a press conference on Monday. Khokhar accused the current leadership of pursuing policies that serve their political interests at the expense of farmers, causing irreparable damage to the sector and contributing to a sharp decline in crop production. 'Around the world, agriculture and food security are considered top priorities by governments. Unfortunately, in Pakistan, the sector is being undermined due to pressure from international financial institutions,' he said. Flanked by fellow PKI members, Khokhar highlighted the country's rapid population growth, warning that Pakistan is adding hundreds of thousands of mouths to feed every year. 'If we fail to stabilise and strengthen our agricultural system, we are heading toward catastrophe,' he warned. He further criticised the imbalance in taxation, noting that while there is no tax on imported cotton, locally grown cotton is subject to 18% GST. 'As a result, cotton production has plummeted from 14.7 million bales to just 5 million,' he said. He added that the country's import bill continues to swell due to the increasing reliance on imported food, while exports of key crops like mangoes, kinnow, and maize have halved in the past year. The PKI representatives emphasized that they are not seeking charity - only fair returns for their produce in line with international standards. 'Farmers should be able to earn a reasonable profit for their hard work,' they insisted. Khokhar painted a grim picture of farmers' current conditions, saying many are in rags and unable to apply adequate amounts of fertilizer or other inputs to their fields, resulting in declining per-acre yields. 'Farmers don't even have enough money to meet household expenses. Some have even had to postpone their daughters' weddings due to poor returns on their wheat crops,' he lamented. The PKI also rejected the Rs 15 billion relief package announced for wheat growers, calling it grossly insufficient against the estimated Rs 1,600 billion in losses. Khokhar urged the Punjab agriculture minister to fulfill his responsibility and work actively to improve the livelihoods and well-being of farmers. Copyright Business Recorder, 2025
&w=3840&q=100)
First Post
25-04-2025
- Business
- First Post
MSP scrapped, Indus Water Treaty paused: How Pak farmers are real losers of Islamabad's terror policy
Pakistan's long-standing policy of funding, supporting terrorism against its rivals in the region is now coming back to haunt its food security read more Farmers in Pakistan's largest Punjab province are livid at the government. The reason? The cash-strapped Pakistan government has scrapped the long-standing policy of setting a minimum support price for wheat purchase, leading to a crash in prices. This has angered the farmers as they aren't getting a fair price for their wheat crop. Now, they're forced to sell to private buyers at lower rates. The Pakistan Kissan Ittehad (PKI), which represents many farmers, warned that if this doesn't change, many may stop growing wheat next year, possibly leading to food shortages. STORY CONTINUES BELOW THIS AD All in all, decisions made by Islamabad out of economic compulsions may lead to food crisis in the country, which reflects a deepening crisis in Pakistan's agricultural sector. The problem started last year when the government suddenly pulled out of the wheat market. This was part of efforts to meet conditions under the IMF programme. But the move was unplanned and poorly managed, leaving farmers unprepared. But problems for Pakistani farmers don't end there. The growing tensions with India in the aftermath of the deadly Pahalgam terrorist attack, which killed 26 people, forced New Delhi to pull the plug on the Indus Water Treaty. The Indus Waters Treaty (IWt) is a deal brokered by the World Bank between India and Pakistan on September 19, 1960. Signed in Karachi by then Prime Minister Jawaharlal Nehru and then Pakistan President Ayub Khan, it determines the distribution of the waters of the Indus and its tributaries — Ravi, Beas, Sutlej, Jhelum, Chenab and Kabul. Now, this move by India came as another significant blow for the farmers. According to experts, the rivers that fall under the purview of the IWT are vital to Pakistan for its agricultural purposes. In fact, data reveals that Pakistan relies on the Indus River and its tributaries for approximately 80 per cent of its irrigated agriculture, which contributes 21 per cent to its GDP and supports 45 per cent of its workforce. STORY CONTINUES BELOW THIS AD By pausing the IWT, India is effectively halting the flow of 39 billion cubic metres of water annually, threatening the neighbouring country's water availability. A disruption in the water supply, especially in the summer months, will not only affect Pakistan's agriculture but also have an effect on its trade, employment and food prices. It's a double whammy for Pakistani farmers. On the one hand, they feel the heat of Pakistan's economic crisis; on the other, of security crisis. Pakistan's long-standing policy of funding, supporting terrorism against its rivals in the region is now coming back to haunt its food security.
Express Tribune
23-04-2025
- Business
- Express Tribune
Cabinet moves to appease farmers
In a bid to defuse mounting unrest among Punjab's farming community, the provincial cabinet, chaired by Chief Minister Maryam Nawaz Sharif, rubber-stamped a series of interventions during its 25th meeting on Wednesday. Yet farmer leaders dismissed the package as too little, too late, warning that the measures would do little to alleviate growers' profound financial losses. Highlighting the session's marquee decision, the cabinet approved an amendment to the Food Grains (Licensing Control) Ordinance, 1957. Under the new rules, all licenced flour mills must purchase at least 25%? of their wheat requirements directly from registered farmers. Mills failing to comply face revocation of their operating licenses. Simultaneously, the government moved to deregulate wheat procurement, lifting previous restrictions on private sector buying in an effort to widen market access for growers. To address the perennial liquidity squeeze at harvest season, the cabinet endorsed implementation of an Electronic Warehouse Receipt (EWR) system. Farmers will be able to deposit their wheat in certified warehouses and obtain bank loans up to 70% of the stored grain's value. The provincial government will underwrite initial storage charges, allowing growers to defer sales until market prices improve. The CM underscored the need to translate agricultural research into tangible benefits. She directed that all outstanding payments under provincial water supply and irrigation schemes be disbursed without delay, warning that farmers' productivity hinges on reliable irrigation infrastructure. The government's interventions, however, drew criticism from Punjab's principal farm lobby. Pakistan Kissan Ittehad President Khalid Mehmood Khokhar lamented the absence of a guaranteed support price. "Our core demand has always been a minimum purchase price that at least covers our cost of production," he said. "With no floor price announced, farmers have been forced to sell much of their wheat at rates far below cultivation expenses. This package arrives after the damage is done." Khokhar put the sector's cumulative losses for the current season at Rs1,106?billion, declaring, "By the time these measures take effect, the harvest is gone. Growers will not trust Punjab's leadership again next year." He also accused ruling party legislators of remaining silent on the crisis, describing the cabinet's proposals as politically motivated but practically ineffective. Agriculture was only one item on a sweeping agenda. The cabinet authorized funding to convert the Children's Library Complex in Lahore into an early-education centre named after Nawaz Sharif, and approved the deployment of eco-friendly electric buses in major Punjabi cities. Environmental initiatives included merging the Environment Policy Centre with the Environment Technology Centre to form a Climate Policy and Technology Centre. Infrastructure approvals ranged from jeepable tracks in the Koh-e-Sulaiman area to new lodging facilities at Nishtar Park Sports Complex. A reserve-price auction framework for placer gold along the Indus River in Attock was also endorsed. Labour and social welfare reforms featured prominently: the assembly ratified amendments to the Punjab Motor Vehicle Rules to regulate rickshaw operations, expanded social security coverage under the Punjab Workers Social Security Ordinance, and delegated Additional Sessions Judges the powers of consumer courts. A draft Punjab Labour Code 2024covering construction, agriculture, and allied sectorsreceived cabinet approval, while funding was allocated for tertiary care hospital equipment and medicines across the province. In a bid to boost crop yields, the cabinet approved an MoU between Punjab's Ayub Agricultural Research Institute and China's Anhui Academy of Agricultural Sciences. The agreement will facilitate introduction of hybrid rice seeds suited to local conditions. Amendments to the Police Station Computerization Project and other digital-governance schemes were also ratified. With the wheat procurement measures now enshrined in law, the government faces a critical test: translating policy into timely payments and reliable markets for Punjab's farmersand winning back their confidence.
