PM Shehbaz Sharif announces relief package for farmers

Prime Minister Shehbaz Sharif on Monday announced Rs1,800 billion relief package for farmers for the revival of the agriculture sector and to restore the livelihoods of farmers in the flood-affected areas.

Addressing a press conference alongside other federal ministers, PM Shehbaz Sharif said the government would provide loans worth Rs1800 billion to the farmers for the ongoing fiscal year 2022-33.

“Pakistan’s economic progress is 100% linked with agriculture growth,” he stressed. “We have decided to offer a package to farmers with a focus on small scale cultivators.”

He also announced loans worth Rs50 billion to youngsters living in rural areas – who are willing to become professional farmers. “The loans to youngsters would be provided on a markup less than the market rate and the government will set aside nearly Rs6.5 billion for this venture,” he added.

“The di-ammonium phosphate (DAP) fertiliser plays an important role in enhancing per acre yield of crops and it is made through provision of subsidised gas to fertiliser plants,” he said. “We held negotiations with the suppliers and they agreed to reduce the per bag price by Rs2,500 to Rs11,250.”

He also added that 1.2 million bags of certified wheat seeds will be given to farmers to ensure food security in the country. Pakistan will import 2.6 million tons of wheat in the ongoing fiscal year.

PM also expressed concern that tractor prices were out of reach for a common farmer.

“Till today, tractors could not be imported but now, we permit the import of second-hand tractors up to five years old,” he said. “Moreover 50% rebate on import duty will be allowed on tractors that are exactly 5 years old and 36% on 3-year old tractors.”

He stated that farmers in Pakistan had 300,000 electricity-run tubewells.

“We will give such farmers interest free loans to install solar system for their tubewells which will reduce prices,” he said.

He further said, “We are fixing electricity cost at Rs13 per unit for farmers. We will give as much relief to farmers as possible despite all difficulties.”