INP-WealthPk

Pakistan needs to work on farmers empowerment

July 05, 2023

Arooj Zulfiqar

Advancing equitable livelihoods and value distribution in Pakistan's agriculture sector is a multifaceted endeavour that requires comprehensive and coordinated efforts. Inequality and power imbalances at household, community, national and global levels consistently constrain food systems' ability to deliver poverty reduction and sustainable, equitable livelihoods.

“Pakistan's agricultural sector plays a critical role in the country's economy, employing a significant portion of the population. However, ensuring equitable livelihoods and value distribution within the sector remains a key challenge,” Faiz Rasool, Senior Policy Adviser, Global Alliance for Improved Nutrition, told WealthPK.

“Equitable livelihoods are essential for sustainable development, poverty reduction, and social stability. Small-scale farmers, farm labourers, and agribusinesses all need equitable livelihoods to prosper,” he stressed.

“However, Pakistan's agriculture faces several challenges related to value distribution. Firstly, smallholder farmers often struggle to access resources such as land, finance, technology, and markets, which restricts their ability to improve productivity and earn a fair income. This disparity perpetuates poverty and income inequality within rural communities,” he continued.

Secondly, he said there were imbalances in the distribution of value along the agricultural supply chain. He added middlemen and intermediaries often captured a significant portion of the value, leaving farmers with a smaller share of the profits. “This situation can be attributed to the lack of market transparency, inadequate market infrastructure, and limited bargaining power of individual farmers.”

Hence, Rasool said, “Strategies like strengthening farmers' organisations, access to finance and inputs, market links and value addition are needed to overcome these challenges.” He elaborated that promoting and strengthening farmer organisations and cooperatives would empower smallholders by enhancing their collective bargaining power. “These organisations can facilitate direct market access, reduce dependence on intermediaries, and enable farmers to negotiate fair prices for their produce.”

Rasool further said ensuring small-scale farmers’ access to affordable credit, crop insurance, and other financial services was crucial to enable them to invest in improved inputs, such as quality seeds, fertilisers, and modern farming equipment. Moreover, promoting sustainable farming practices and providing training on their adoption can enhance productivity and reduce input costs, he added.

“Strengthening linkages between farmers and markets through efficient value chains can increase the share of value captured by farmers,” he noted, adding that this could be achieved by supporting agribusinesses that provide technical assistance, market information, and value-added services to smallholder farmers. Rasool said encouraging the establishment of farmer-owned processing units and promoting value-added agricultural products could also enhance farmers' income.

“These measures will not only benefit individual farmers but also contribute to the overall economic growth and social development of the country,” he said.

Credit: INP-WealthPk