Chairman Pakistan Kissan Ittehad (PKI), Khalid Khokar has said that food security was a major international issue and that the recent increase in electricity tariffs for tube wells would be disastrous for the agriculture sector. During a press conference at the local press club on Wednesday, he shared the agriculture's critical role in the country's economy, noting last year's 6.5% growth in the sector. He stated that out of the total $31.5 billion in exports, agriculture's share exceeds $24 billion. Khalid Khokar lamented that historically, electricity costs for agriculture were lower than for industry. He argued that agriculture was becoming unfeasible due to high tariffs and input costs, including fertilizers.

The chairman expressed concerns over agreements with Independent Power Producers (IPPs), particularly the high capacity charges, which he claimed amount to Rs 2200 billion. He called for revisiting these agreements, highlighting that payments to IPPs are made in Dollars which also put stress on the economy. Khokar also revealed a 21% decline in Urea fertilizer sales in June, warning that this could hurt per-acre production. He also hinted at a 30% drop in cotton cultivation area, which could damage the economy. If Pakistan produced 20 million cotton bales, it wouldn't need to take loans, he claimed.

Credit: Independent News Pakistan