Department of Management Science

Topic: summary 5th chapter.

Submitted to:

Sir Mumtaz Kazmi sb

Submitted by:

Muhammad Kashif Akhtar

Roll no. 371

5th semester

Section: R2
 Summary
In the previous chapters, we discuss the development of agriculture but, now in this chapter we
focus on the change of crops during some duration.

There are five different subsector of sector of agriculture. major crops, minor crops, livestock,

Fisheries and forestry. Major crops have large GDP. Minor crops have less GDP. Also there are
two types of crops Rabi and kharif. In Rabi the main food crop grown is wheat, with tobacco the
largest cash crops. In kharif cotton and sugar cane, both cash crops, are cultivated along with
rice. If we compare the duration of 1949/50 to 2002/3 GDP down to 23.6 per cent. While in
1949/50 agriculture contribute more than half of GDP, today the service sector contributes half,
and is twice as large as agriculture. The total geographic area of Pakistan is 79.61 million
hectares, and the ‘reported’ area 2002/3 was 75 per cent of the total area. Total cultivated area
in Pakistan was 36.3 million acres in 1947 and 54.10 million acres in 2002/3. It was 32 per cent
of reported area in 1947 and now constitutes 37 percent. After that areas increased by coming
machinery and increase the cultivated area. Agriculture products more increase by new
technology at domestic and international level, and also agriculture production increase many
times. In 2002/3 our cultivated area was 37% for wheat 10%, for rice, 4% for sugar cane, 14%
for cotton, 35% for all others. The late 1970s and 1980s witnessed a return to an overall healthy
growth rate in agriculture despite a few noticeably bad years. Green resolution phase increase
the productivity and the use of chemical and fertilizer and introduced high yielding varieties
with responsiveness to inputs.

Now I discuss about agriculture pricing policy. Anything valuable is on the demand and supply,
but in agriculture the decision the of pricing is not on demand and supply. In any sector the
producer set the prices in which it should sell. But Agriculture goods is that goods in which
produces cannot set the prices of products in which buyer set the prices of goods, former can
just sell the products. Sometime government involves and set the standard prices of goods in
agriculture. Agriculture prices depended on production, if production increase the price will
decrease and if production decrease the price increase. There is a subsidy in which government
purchased the goods at high prices from people and sell at less price to public that is subsidy.
Government can give subsidy on input or output but there is on wheat. Government purchased
wheat at high price and sell in shape of floour to public. There is some objectives of subsidy, it
should help maintain stable food prices for consumer, and the price policy should help to
achieve and maintain equitable terms of trade for agriculture and support the income of
formers. And now there is some financial markets of rural areas but there are two sectors one
is formal sources of credit and informal source of credit which make the loans on agriculture
development. Agriculture development bank make the loan on tube well, pesticide, at lowest
interest rate. After that commercial banks avoid on agriculture loans. Many formers illiterate
therefore, they could not fulfill the condition of commercial banks. They move to informal
source of credit. Informal loans make the shopkeepers, person, landlord on fertilizer but the
interest rete if Informal’s are too much high. Cooperative committee charge the loan in group
shape in which group member are responsible for other member securities.

Now there is mechanization, mechanization was heavily biased against the smaller farmers in
favour of the large and very large producers. In which labor will unemployment in launch in
Pakistan therefore, tractor come late. After that allow to landlord that can be used the tractor.

Agriculture income tax the debate over whether agriculture should be taxed is a fascinating
one, and many reasons are given for and against imposing taxes on agriculture. But in the 1988
the report of the NCA is one of the better and more comprehensive documents produced by
the govt. of Pakistan.

And now, there is water crisis. There are some major issues identified in what constitutes
Pakistan’s water crisis; 1) Pakistan does not have adequate reservoir capacity in its irrigation
system to store water at peak flows where the country rivers are highly seasonal with 85 per
cent of annual flows in summer. As we show above, only 40% of water from the canal head
reaches the root zone, causing waterlogging and salinity, with a large proportion being wasted.

And there is the last topic of this chapter is land ownership, power and land Reforms. This rural
elite, which we argue is not feudal, has nevertheless, disproportionately large influence on the
social, political administrative structure of Pakistan.