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BRIEF CONTENTS

INTRODUCTION

DEFINITION

OBJECTIVE OF RURAL DEVELOPMANT

RURAL DEVELOPMANT CONTENTS

AGRICULTURE

FISHING

IRRIGATION

WATER SUPPLY

ELECTRICITY SUPPLY

ROADS

PAKISTAN LAND DISTRIBUTION

PUNJAB

SINDH

BALOCHISTAN

NWFP

AGRICULTURE PRODUCTION

AGRICULTURE GROWTH

AGRICULTURE FINANCING

COMPANIES ASSOCIATED WITH AGRICULTURE

RECOMMENDATIONS

REFERRENCES

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INTRODUCTION
Rural development is a complex phenomenon and despite a long history of efforts claimed by a
number of government or related agencies, visible changes in the rural areas. In Pakistan
attempts at rural development have been going on for the last three decades. The purpose of
this report is to point out the functions of rural development, objectives, problems, scope,
agriculture system in rural development etc.

Pakistan after gaining independence during 1947 inherited a vicious cycle of poverty. The
people were living in the scattered and interior villages with low subsistence level. The problem
of reviving of rural life came into picture due to mass poverty, population, increase in
agricultural production neglect of various social services, wide gap in the income distribution
and non-adopting trend for modern technology.

The rural sector contains a predominant proportion of our total population which is deprived
of basic necessities of life as health, better a higher education, transportation and
communication facilities healthy drinking water and electricity etc.

The availability of these facilities vary significantly resulting economic base of labour specially
rural youth in productive manner. Thus if we want to develop Pakistan then development of
rural area has to be considered at all cost.

Over four-fifths of the population of Pakistan lives in rural areas. Their per capita income is
much lower than those who live in urban areas. But there is shortage of capital in the country
and development has to be through those projects, which need a smaller proportion of capital
and more labour. Such projects can be accomplished in rural areas because surplus labour
power is available there, particularly during the less busy seasons. The aim of rural
development is to frame projects of local importance and tocomplete them with the help of
the surplus labour available in the villages. The projects usually consist of building village,
roads, improving pathways, and village streets to build the village school and the common
meeting place, to improve suppy for irrigation and for drinking to construct small bridges and
agriculture.

Women are already playing a vital role in the family. In the rural families, their role is significant
even economically as they help the men in farm activities. The main factor is that women
deserve to be attented for their participation in rural development process, because this
should be something substantially more than only improving their present role in the house-
hold economy.

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RURAL BACKGROUND
The domestication of cattle, primarily sheep and goat was visible in rural areas. Earlier
residents lived in mud brick houses, stored their grain in granaries, fashioned tools with local
copper ore, and lined their large basket containers. They cultivated six-row barley, wheat,
jujubes and dates, and herded sheep, goats and cattle.

Residents of the later period put much effort into crafts, including tanning, seed production,
and metal working.

Irrigation was developed in the Indus Valley Civilization. The size and prosperity of the Indus
civilization grew as a result of this innovation, which eventually led to more planned
settlements making use of drainage and sewers. Sophisticated irrigation and water storage
systems were developed by the Indus Valley Civilization, including agriculture development.

DEFINITION
In the research on sustainable rural development it is used the following definition for the
Food and Agricultural Organization in Pakistan:

Defined as:

“Sustainable development is the management and conservation of the natural resources base,
and the orientation of technological and institutional change in such a manner as to ensure the
attainment and continued satisfaction of human needs for present and future generations”.

Such sustainable development in the agriculture, forestry and fisheries sectors conserves land,
water, plant and animal genetic resources, is environmentally non-degrading, technically
appropriate, economically viable and socially acceptable."

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OBJECTIVE OF RURAL DEVELOPMANT

There are some objectives that must cover the core factors of rural development. It needs to be
done to fill the blanks in rural areas in pakistan. Some are as follows:

Objectives
 To improve the quality of life of rural people.
 To improve the rural economy and the living conditions in the villages.
 To provide the community essential services which an urban is enjoying.
 To provide better education system, health sanitation, drainage, pure drinking water
and job facilities.
 To provide neccessities and the modern tehnology for the development of agriculture,
indudtries, irrigation and proper heigenic environment.
 To improve the roads and the pathways and streets to be get paved.
 To provide human rights to women in villages where women being cruelt.
 To increases per capita income.
 To increase in the exporting efficiency of the country.
 To develop pakistan as a nation.

Rural Development
The main objective of agriculture development is to achieve self reliance in agriculture
commodities, ensure food security, improve crops and livestock productivity and promote
sustainable development.

Although efforts were made since independence (1947) to improve the educational standard.
The high rate of population growth over weighs our gains, besides 50 per cent of our children
dropout of the school system, by the time they reach Class V. The masses are required to be
taught to read, write and learn skills. This will reduce the wide gap of literacy and illiteracy.
Based on the lessons and mininial impact on the rural economy of the previous national rural
development programme. it was realized that the majority of the rural population was still
poor and illiterate.

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The Allama lqbal Open University is determined to reach and teach the rural people living in
45000 villages through the cooperation and coordination of field workers of various
departments and agencies. It is observed in rural societies of Sindh that family cohesion plays
an important role in personality development. There are, however, special economic problems
of rural areas of Punjab which need immediate attention, with a view to transforming rural
economy. So these are the main objectives of the rural development report.

RURAL DEVELOPMENT CONTENTS

The important branches of agriculture engineering are as follows:

The agricultural engineering includes a large number of subjects besides simple farm power
and farm machinery. Following are a few examples of important fields.

STORAGE OF GRAINS
It is another important agriculture engineering technology. This is not being given sufficient
thought and presently some silos having concrete structure have been constructed. The civil
engineers designing such structures have idea of the exact requirements of the agricultural
produce to be stored and maintenance of silos with regard totemperature, circulation f air,
humidity control and protection against insects pests, fungus etc.

AGRICULTURE
The agriculture engineering not only applies to agriculture but also to animal husbandry,
fisheries, dairy industry and food preservation. In any of these fields and specially in fish
farming, dairy industry, animal feed, food processing, meat processing, cold storage for food
products etc. 95% of the costs involved are engineering in nature and only trained engineers wo
uld be able to handle the job.

The agriculture development and the crops includes the following fields:

 Tractors and implements.

 Farm electrification.
 Drying and storing of grains and crops and ventilation.
 Plant protection equipment.
 Farm buildings structures and silos.
 Environmental engineering as applied to rural areas.
 Farm waste management engineering.

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 Livestock equipment and structures.

 Poultry housing and equipment, handling and transport.
 Forage harvesting, handling, treatment and conservation,
 Horticultural engineering.
 Aqua cultural environment management and structures.
 Agricultural engineering instrumentation and control.
 Refrigeration and cold storage as applied to agricultural produce preservation.
 Food and feed processing engineering.
 Agro -industry.

FISHING
Fish is also a part of rural areas. It is included in the basic factors of development of rural area.

Fish play a major role in low cost fish farming as the energy conversion rates are high and the
feeds are easily available at low cost. Therefore, in adapting developing low cost fish farming,
the introduction of zooplankton feeding fish is very important. This type of farming is generally
integrated with animal husbandry and horticulture which provide the wastage needed for fish
production readily and economically.

Present-scale production is very small compared to market demand. Harvesting and marketing
activities of demonstration pond production should be carried out by the Directorate of
Fisheries.

Extension services should be developed in order to make the rural farmers aware of the
potential of fish culture. The extension personnel should try to motivate the farmers by
distributing simple articles or pamphlets on fish culture as well as through audiovisual media.

Farmer's Contribution

The farmer should be responsible for the cost of:

 Pond construction
 Manure
 Labor

IRRIGATION
Pakistan's agriculture is almost wholly dependent on irrigation, irrigated land supplies more
than 90 percent of agricultural production, with gross commanded area of 16 million hectares.

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The annual agricultural growth rate of 6 percent has been estimated to reverse the trend of
deficits in food, fiber and edible oils.

To enhance crop production and productivity through a considerable change in production

system by putting irrigation system on sustainable development path.

The irrigation Department's responsibility ends as soon as water is supplied at the head of
water course from a canal, branch canal or minor canal. The field irrigation which play
important role has never come up in Pakistan and is little understood. Lining of watercourses is
just one simple application of field irrigation. How about sprinkler irrigation, trickle irrigation,
drip irrigation, precision irrigation, leaving aside ditch and furrow irrigation? It would save
water from something like 40% to 80% by proper irrigation techniques.

WATER SUPPLY
Although some drainage was installed, little attention was paid to the growing water logging
and salinity problems. In 1959 a salinity control and reclamation project was started in a limited
area, based on public tube wells, to draw down the water table and leach out accumulated
salts near the surface, using groundwater for irrigation. By the early 1980s, some thirty such
projects had been started that when completed would irrigate nearly 6.3 million hectares. By
1993 the government had installed around 15,000 tube wells. Private farmers, however, had
installed over 200,000 mostly small tube wells, mainly for irrigation purposes but also to lower
the water table. Private Wells probably pumped more than five times as water as public wells.

The maintenance of existing canals and watercourses, on farm improvements on the farms
themselves including some land leveling to conserve water, and on drainage and salinity in
priority areas was done.

The intention is gradually to raise water charges to cover operation and maintenance costs.
Considerable time and money are needed to realize the full potential of the irrigation system
and bring it up to modern standards.

ELECTRICITY SUPPLY
Rural electrification was based on the belief that affordable electricity would improve the
standard of living and the economic competitiveness of the family farm. But electric power
alone was not enough to stop the transformation of farm communities. Rural electrification
did not halt the continuing migration of rural people from the country to the city. Nor did it
stop the decline in the total number of family farms.

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A number of electric power generation projects are also being carried out in rural area and in
its surroundings. The Quetta Electric Supply Company, a subsidiary of the Wapda, has geared
up the work for building the power transmission line. It is expected to be completed soon.

ROADS
The roads are the major factors in the development of any area. The urban area developed
because the roads are maintained and streets are paved. The rural area is developing now by its
roads, the government policies are now also focusing on the rural development and the roads
to the very edge of the town are developed since 2003.

PROBLEMS IN THIS SECTOR

The environmental problems being faced by country with the stage of development, the
structure of the economy and the environmental policies. In Pakistan, the sources of pollution
include saline drainage effluent, sewage, industrial waste, and agro-chemicals.

Water availability for the future has been estimated at 108.7, 107.3 and 126.6 (if 3 dams namely
Kalabagh, Basha and Dassu are constructed) in years 2000, 2013 and 2025 respectively. Without
requisite water supply, food and fiber deficits would be irrecoverable.

Water pollution damages fisheries, and water logging and Stalinization of the soil lowers crop
yields. There are over 16.00 million hectares of irrigated land in Pakistan. Productivity on about
42.5 percent of this land area or 6.9 million has declined significantly due to salinity and water
logging. These forms of environmental degradation are associated primarily with surface of
irrigated agriculture affect the physical, chemical and biological components of the economic
system.

No substantial increase in the water supply is possible in the short run by year 2000 because no
dam can be built even if there are no political or other bottlenecks.

The basic need of the modern technology that can help Pakistan prevent from the problems
and issues occur in the development of rural areas. Pakistan has the best irrigation system but
the modern technology is still lacking.

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PAKISTAN LAND DISTRIBUTION

Land use
Pakistan's total land area is about 803,940 square kilometers. About 48 million hectares, or 60
percent, is often classified as unusable for forestry or agriculture consists mostly of deserts,
mountain slopes, and urban settlements.

Some authorities, however, include part of this area as agricultural land on the basis that it
would support some livestock activity even though it is poor land. Thus, estimates of grazing
land vary between 10 percent and 70 percent of the total area.

Government officials listed only 3 million hectares, largely in the north were forested. About
21.9 million hectares were cultivated. Around 70 percent of the cropped area was in Punjab,
followed by perhaps 20 percent in Sind, less than 10 percent in the North-West Frontier
Province, and only 1 percent in Baluchistan.

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PUNJAB
Situation in the Punjab was more scope for development of sweet ground water. The
Agricultural Engineering section in the Punjab therefore was tube-well oriented. Bahawalpur
had been copying the Punjab had been using the example of Sind for soil conservation with the
help of bulldozers. The Punjab had used some wheel type tractors received from Australia
under Colombo Plan for plough.

SINDH
Sind followed the example of Bombay, very strictly, as they had the maximum amount of field
equipment in terms of crawler machinery and recruited only qualified mechanical engineers.

There were certain activities of the agriculture department in which agriculture engineers
could have played a better role from the beginning but this was denied to them due to lack of
foresight, for example plant protection equipment was introduced in Sind.

BALOCHISTAN
Baluchistan had been using the example of Sind for soil conservation with the help of
bulldozers. Bahawalpur, Baluchistan and Frontier had done the same but all of them showed
poor results as tractors were needed only during the two plough seasons, which were limited
to about six weeks each and during the rest of the nine months of year, tractors were idle.

Bahawalpur recruited a one year diploma-holder in civil engineering for drilling operations.

NWFP
The NWFP agriculture engineering section was virtually nonexistent except one officer to run
some wheel type tractors.

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RURAL POVERTY
Poverty in Pakistan for 2001-02, the results indicates that absolute poverty in Pakistan implied
by the official poverty which is 38.07 percent in 2001-02. Incidence of rural poverty was far
greater than the urban poverty. The results suggest that 42.97% population in rural areas and
26.04% population in urban areas were poor in 2001-02. This implies that 55 million individuals
out of 145 million were poor in Pakistan and 37.4 and 17.6 million individuals were located in
rural and urban areas, respectively.

Poverty estimates at the province level suggest the highest incidence of rural poverty in Sind at
48.79 percent followed by NWFP at 48 percent and Baluchistan at 42 percent. Although rural
poverty in Punjab was the lowest among the provinces in terms of ranking but the headcount
was still considered to be substantial at 39% in 2001-02.

Headcount by province and region using poverty line official 748.56 per adult in 2001-02

Urban Rural Overall

Punjab 26.92 39.27 35.71

Sind 22.73 48.79 38.63

NWFP 34.21 48.00 45.98

Baluchistan 28.57 42.07 39.72

Pakistan 26.04 42.97 38.07

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AGRICULTURE IN PAKISTAN
The following are described to achieve the objectives.

The productivity of the farmers having more than 20 hectares of land is less than those having
less than 20 hectares of land. It is therefore proposed that land reforms may immediately be
introduced and the maximum land holding may be fixed at 20 hectares.

Each provincial government may fix annual targets in respect of each agriculture extension
unit, keeping in view the productivity of equipment. The performance of each unit may be
monitored on monthly basis.

The agriculture research has to be demand driven. Scientists must develop new cotton and
tobacco varieties to improve productivity.  The certified seed based on research may be made
available to farmers without passing through bureau tic channels.

The water storage capacity is decreasing due to sedimentation. In order to increase production
to meet food requirements of the growing population, additional water has to be provided.
The additional water reservoirs may therefore be started immediately.

The commercial banks may be encouraged to provide credit to small farmers in addition to
Zarai Tarqauati Bank.

Exports and maintenance

Pakistan has a great potential in export of fruits. The Export Promotion Bureau in collaboration
with Agriculture Department and Banking System may:

 Provide better and improved quality of plants to farmers.

 Introduce sprinkle irrigation in orchards.
 Train farmers to have maximum output.

Develop cold storages at the farms, markets and airports through Bank financing by the private
sector.

Develop appropriate international packing facilities.

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The exporters may be encouraged to advertise in international magazines and electronic media
to market Pakistani fruit in the world market.

Export Promotion Bureau may facilitate participation of exporters in trade fairs abroad.

AGRICULTURE GROWTH
Pakistan is a net food exporter, except in occasional years when its harvest is adversely
affected by droughts. Pakistan exports rice, cotton, fish, fruits (especially Oranges and
Mangoes), and vegetables and imports vegetable oil, wheat, cotton, pulses and consumer
foods. The country is Asia's largest camel market, second-largest apricot and ghee market and
third-largest cotton, onion and milk market.

The economic importance of agriculture has declined since independence, when its share of
GDP was around 53%. Following the poor harvest of 1993, the government introduced
agriculture assistance policies, including increased support prices for many agricultural
commodities and expanded availability of agricultural credit. From 1993 to 1997, real growth in
the agricultural sector averaged 5.7% but has since declined to about 4%. Agricultural reforms,
including increased wheat and oilseed production, play a central role in the government's
economic reform package.

Much of the Pakistan's agriculture output is utilized by the country's growing processed-food
industry. The value of processed retail food sales has grown 12 percent annually during the
Nineties and was estimated at over $1 billion in 2000.

The Federal Bureau of Statistics provisionally valued major crop yields at Rs.504, 868 million in
2005 thus registering over 55% growth since 2000, while minor crop yields were valued at
Rs.184, 707 million in 2005 thus registering over 41% growth since 2000.

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AGRICULTURE FINANCE
MCB is financing agriculture sector since 1973. Due to large branch network and specialized staff
posted in the branches, MCB caters to the financing requirement of the farming community
spread throughout the country and facilitates in achieving increased productivity.

All types of financing are available for short, medium and long term depending upon farmer’s
choice and the nature of finance. MCB gives top priority to small & medium size farmers.

Zarai Taraqiati Bank Limited (ZTBL), Agricultural Development Bank of Pakistan (ADBP) is the
premier financial institution geared towards the development of agriculture sector through
provision of financial services and technical knowhow. The restructuring of former ADBP is
being carried out with the aim to uplift the agriculture and rural sector by raising farm
productivity, streamlining the institutional credit and increasing income generating capacity of
the farming community. ZTBL was incorporated as a Public Limited Company on 14th
December, 2002 through repeal of ADB Ordinance of 1961.

ADBP
The Bank, under the Agricultural Financing Scheme, decided by the State Bank Of Pakistan,
extends short, medium and long term, farm and non-farm loans. The farm loans are
extended for production inputs and development purposes. Non-farm credits are allowed
for livestock (goats, sheep, and cattle), poultry and factories including social forestry and
fisheries island and marine, excluding deep sea fishing. Defined as follows:

Farm Loans
Production loans

Inputs like seeds, fertilizers, pesticides, herbicides, labor charges, water charges,
vegetables, floriculture, etc.

Development Loans

Improvement of agricultural land, orchards, etc.

 Construction of Goo downs

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 Tractors, Machinery & other equipments

 Tube wells
 Farm Transportation

Non-Farm loans

 Livestock
 Poultry
 Fisheries

ADBP Real life example

TOBA TEK SINGH, Nov 14: The Agricultural Development Bank of Pakistan (ADBP) has not been
issuing loans for purchasing tractors and developing dairy and livestock farms for the last two
months.

This was complained by a large number of farmers who have been visiting various bank
branches for the purpose.

An ADBP source said on Wednesday farm loans for the purchase of seeds and fertilizer were
being issued under one-window operation. Loans for other schemes have been stopped on the
instructions of the federal government.

He said the ADBP had issued Rs150 million farm loans under one-window scheme from July to
September 2001. It had recovered Rs120 million so far. Unless the remaining outstanding
amount was recovered, no fresh loans would be issued.

He said the federal government has directed to speed up recovery of the remaining amount.
From this recovered sum, 10 per cent should be sent to the head office and the remaining
amount should be disbursed as loans for the purchase of seeds and fertilizer, he added.

However, he said, it was expected that the bank would achieve the recovery target within a
fortnight and then loans would be issued for the purchase of tractors and setting up of farms.

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COMPANIES ASSOCIATED WITH AGRICULTURE

Pacific Exporters      

Exporters of rice, Pulses, Fennel Seeds, Fenugreek seeds, Cumin Seeds, Red Chili, Dry Dates etc.
we have been working for since 1998 in this field. We want to extend our business to all over
the world. By Qamar Zaman Rana.

Malka Food and Oil Mills      

Malk Food deals in agriculture, grain items and various varieties of oils. It has years of
experience in this field and only provide quality products at reasonable prices.

Faisal Rice Processing Mills      

Faisal Rice Processing Mills is one of the oldest rice processing mills of Pakistan. Their brands
are considered to be a quality symbol and have a heavy demand in European, Asian and
American markets. With years of experience in the field of rice processing and exporting, they
make sure that their customers are satisfying either.

Rice co Industries     

Rice co Industries an experienced miller and exporters of full range of excellent quality Rice
from Pakistan. Today Rice co is well recognized locally and internationally as quality producers
and distributors providing highest value to its customers globally.

Mr .Qamar Zaman Aamir Zaman Fertilizer Dealers     

Company profile
It’s a family owned Business. Its main business activities like distributing, marketing Agro
produces, Consulting & Turnkey Projects and Agriculture cultivation. Contracts cultivation for
Organic farming, Vegetables, Spices, herbs etc. The company has well established its name.

Imtiaz Enterprises     

Imtiaz Enterprises are one of the leading Exporters of Fresh Fruits & Vegetables from Pakistan.
They supply their quality products to worldwide at very competitive prices. Prime Products are
Onion, Potato, Mango, Kin now, Mandarin, Apple, Grapes, and Pomegranate.

Al Baasit Technology Group     

Al Baasit is the local Business Partner of Avaya Communications USA in Pakistan. They provide

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the Equipment, Software & Services.

Decent Exports    

It deals in much kind of several Products e.g. Wine Bags, Leather Items, Coin Bags, Promotional
Items, Stationary, Terry Products, and Aprons.

RECOMMENDATIONS
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Agricultural Land in Pakistan

Provincial Agriculture Department may guide the farmers in adoption of alternate farming in
view of water shortage. This may be widely circulated through electronic and print media. The
production of vegetables and flowers may be encouraged to improve the farmer’s income.

The support price of different commodities may be announced on yearly basis at the time of its
sowing and the small farmers may be given priority in purchase of crops.

All the revenue record is computerized to get rid from the existing colonized system.

Exploit livestock potential trough education of farmers to adopt scientific practices and
provision of health care facilities at the farmer’s doorsteps.

Each agriculture officer may be given target of area under each crop. The farmers may be
encouraged through credit and seed, appropriate quantity of fertilizer and pesticides. The top
ten agricultural officers from each province based on their performance may be awarded
certificates along with a cash award of Rs.5 lacks on yearly basis.

Technology has generally been thought of as a measure of increasing production through new
or improved physical inputs. Technology should be available to the majority of the rural
community and should be understood and controlled by the users. Institutional credit is viewed
as a necessary adjunct to efforts of increasing agricultural production on the assumptions that
farmers need credit to take advantage of technology and it will be adopted if credit is received
in Pakistan agriculture continues to be the major labor absorbed and accounts for 54.0 per of
the total employment.

For creating the rural development, possibility for creating self employment opportunities
based on cottage industry and Small Enterprises based on On-Farm income generating
activities needs to be explored and envisaged in a most strategic way. The Allama lqbal Open
University is determined to reach and teach the rural people living in 45000 villages through
the cooperation and coordination of field workers of various departments and agencies.

REFERRENCES

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PROPER JOURNALS AND ARTICLES

 M. H. Panhwar, Development of Agriculture engineering in Pakistan. Sind

 Ministry of food, agriculture and livestock, government of Pakistan Islamabad. 2007
 A.Talat, Sarfraz K. Qureshi and A. Hammad. Landlessness and Rural Poverty in
Pakistan
 Asian development bank, Boluchistan Fisheries development project.
 Mirza B. Baig & Nowshad Khan. Rural Development in Pakistan: From Vision to Action
 Kruik and Leeuwen (1985), Changes in Poverty in Pakistan, Pakistan Development
Review.
 M. Musarat, Economic review. July 1998.

 Muhhammad Afzal. Managing water resources for environmentally sustainable

irrigated agriculture in Lahore.
 Anwar, T. (1996), Structural Adjustment and Poverty: The Case of Pakistan, Pakistan
Development Review.
 CRPRID (2002), Human Condition Report 2002, Centre for Research on Poverty
Reduction and Income Distribution (CRPRID), Islamabad.
 Ercelawn, Aly (1990), Absolute Poverty in Pakistan, Mimeo, Applied Economics
Research Centre, Karachi.

WEB SEARCH

 http://www.fao.org/
 http://www.aghakhandevelopmentnetwork.com /
 http://www.adbp.pk/
 http://www.wikipedia.com/

ECONOMIC OF PAKISTAN