GPI critical for Pakistan’s economic sustainability: PBF

LAHORE, Sep 27 (APP):Agriculture sector still holds significant prospects and opportunities for investors to revitalize the ailing economy of Pakistan.
Green Pakistan Initiative (GPI), an effort under the newly formed Special Investment Facilitation Council (SIFC), would prove to be catalyst for the most attractive investment opportunity in Pakistan.
Pakistan Business Forum (PBF) President (Lahore Chapter) Momin Ali Malik told APP here on Wednesday that over the last couple of months, most of the local business groups which they met were all set to invest in corporate farming that means momentum and support for the initiative was very strong. PBF strongly believed the Green Pakistan Initiative was not only an opportunity but also critical for the sustainability of the domestic economy, he remarked. “In our opinion, triggered by Green Pakistan Initiative, the agricultural sector can be the eye catching theme in Pakistan over the next five to ten years,” he added.
Momin Ali Malik mentioned that government was targeting US $ 50 billion investment over the next five years and even if only a fraction of this could materialize, it would have a multiplier impact on the economy and the society, adding the agriculture was a scalable sector where Pakistan could have an inherent competitive advantage and could also be a source of dollar earnings which the economy needs.
“It is also encouraging to see that the government has shifted away from its perennial fascination with real estate and construction sectors into more productive sectors of the economy like agriculture, mining and technology,” he remarked.
The PBF President highlighted the most attractive investment opportunities in the sector including rice and meat exports, seed technology, olive plantation and forestry. Pakistan also had great potential in logistics, supply chain, agri-tech and water conservation. In the listed space, he said, food and agriculture related companies such as Guard Rice, Millat Tractors, The Organic Meat Company, Engro would also benefit from the structural growth in the sector. Pakistan had a total area of 79.6 million hectares out of this cropped area is 23 million and forests covered 4.6 million hectares. Pakistan’s agriculture sector annual income last year was US $ 38 billion (23 percent of GDP).
Momin Malik said that one should understand Pakistan was the 15th largest agricultural producer globally and amongst the world’s top ten producers of wheat (7th), cotton (5th), sugarcane and mango (6th), and dates, kinnow oranges and rice (10th). Despite this fact, he said, over the last few years, it had become a net importer of wheat. Climate change and water scarcity had created a threat to food security.
The PBF strongly believed the Green Pakistan Initiative was not only an opportunity but also critical for the sustainability of the domestic economy, he concluded.