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Chapter 1 Introduction Agriculture development strategy of KPK based on the agriculture policy KPK 2005 supplemented with the report of the National Task Force on food security published by planning commission in Feb 2009. A livestock development plan has already approved. Agriculture is critical for KPK, as over 75% of the populations are at least partly dependent on agriculture for their livelihood. In addition, the high levels of poverty in rural areas mean that agriculture growth is very effective way of reduction in poverty. There are just 1 million agricultural farms with 60% comprising less than 2.5 acres and 37% less than 1 acre, about 16.6% of land is cultivatable of which over half is already irrigated. About 15% used for rain fed crops and about 30% as fallow. Nearly 40% of the KPK area is uncultivated but used productively, mainly for livestock. A further 12/6% forested while remaining is wasteland. Crops account for about 70% of the agriculture production by value with the most important crop being wheat (22% of the total value) Maize 18% Sugarcane 13% and Tobacco 9% Livestock accounts for the remaining 30% with Cattles, Buffalos, milk, and egg having roughly equal importance. Although the advances in agronomy in recent years have not matched those of the green revolution, there are still many opportunities to improve agriculture production. In the province progressive farmers achieve yields that are roughly double the national average for wheat and maize and four times the average of sugarcane–key technical solutions to bridging this gap include the increased use of certified seeds , balanced used of fertilizer, farm mechanization ,water use efficiency and expansion and increased live stock productivity. 1 1. Background: (Silent features of KPK agriculture) 1.1 Topographical condition of the province: The northwest frontier province now called Khyber pakhtunkhwa is situated between 31 to 37 and 70-74 degree. The Hindu Kush mountains in the north and Afghanistan in the northwest, while Baluchistan to its Southwestern boundaries the province is bounded on the north east by GiIgit-Baltistan and Azad Kashmir. Punjab province is lying towards southeastern and southern frontiers. The southern tips is only 250 meters above main sea level while in the north elevation rises quickly reaching high mountains of Hindu Kush and Karakorum within a few hundred kilometers. On an average, these mountains are 3000 meter high. Thirch Meer in Chitral district is the highest at 7708 meters. 1.2.Land utilization statistics: Total geographical area of KPK is 10.7 million hectares. Total cultivated area is 1.85 million hectares while 1.21 million hectares are culturable waste. Table no 1: S.no Types of area Million hectares 1 Geographical 10.7 2 Reported 8.3 3 Forest 1.36 4 Not available for 3.92 cultivation 5 Culturable waste 4.86 (including Barani area) 6 Cultivated area 1.85 2 1.3.Agro ecological condition: The province has highly diversified landscape and environment containing lofty snow clad mountains, valley plains, piedmont plains, and loess plains where variation in the soils forming factors are quit common. The KPK provinces has additional advantage of having extremely diversified agro-climate conditions including the soil type which provided congenial conditions for production of various varieties of crops, fruits and vegetable throughout the year. 1.4.Soils: The northern region of the province consists of two distantly different landform divisions, each with its own typical pattern. The mountain slopes are occupied by residual colluvial shallow loamy soils with numerous rocks fragments. The organic matter content is generally high depending upon parent rock type, local climate, type of vegetation and soil age. The piedmont plain region of the province is made up of alluvial sediments brought down from the adjoining mountains by the torrents and deposited in depressions at their front. These soils have developed to moderate depth with weak structure. They are moderately to strongly calcareous and are slightly saline under virgin conditions. The salinity easily eliminated by irrigation. On higher areas, the soils are well drained but in lower areas, they are poorly drained. There is a variation from coarse textural soils near the mountains to silty loam to silt clays at the fronts of the slopes. The soils are very low in organic matter and nitrogen content. The soils of Peshawar valley are predominantly silty clays and silty clay loams. Similarly, in the wet mountainous zone the soils of the plains vary from silty to silt loams to silt clay loam. The soils are generally moderately deep. The windtransported silt-sized particles deposited in the loess plains occur in the northern and central parts of the province. 1.5.Land use: The geographic area of NWFP is 10.17 million, of which 1.85 million hectare (18.19%) was cultivated. Over 50% of the cultivated area is rainfed and over 1 3 million hectare of cultivable area is lying as wasteland. However, the total cropped area increased due to increase in cropping intensity as is evident from a decrease in area under current fallow and an increase in the areas multi-cropped. Although the total cultivated area of the provinces is about 8.4% of the total cultivable area of Pakistan, the province is the country, largest producer of maize, tobacco, sugar beet, barley, soya bean. Garlic, pears and plums and is the second largest producer of apples, apricots, peaches, almonds, guava, turmeric, groundnuts, mash, moong and sun hemp. 1.6.Farm structure: The agriculture in KPK is primarily a small farm activity and the farming community in the province can categorized into small farms having an area of less than 5 hectare. Medium farms having area between 5-10 hectare; and large farms having area over 10 hectares. Small farms are 41% of the total farming area, which is 87% of the total number of farms. Medium farms are 17% and large farms are 42% of the total farm area, which is 5% of the total numbers of farms. The bulk of the marketable surplus is produced from medium and large farm holders who cultivate nearly 60% of the total cultivated area of the province and can afford costly inputs, use of farm machinery and adopt improved production technology. Occupants of small farms mostly conduct subsistence farming, using family labor. 1.7.Land tenure: The land tenure system in KPK can be classified into three categories, land cultivated by owners, land cultivated partly by owners and partly bytenants, and land cultivated by tenants alone. Owners operated farms account for 69% of the total number of farms and occupy 58% of total farms area. About 16% are owners-cum-terants and occupy 27% of the farm area and about 15% farms are operated solely by tenants and occupy 15% of the total farms area. 1.8.Population of the province: According to the 1998 census, the population of the KPK was 17.55 million with an annual growth rate of 2.28% and a population density of 230 persons/ km. The 4 highest population density of 917 persons/ km2 was in the Peshawar district, while the lowest density of 61 persons/km2 were in Kohistan district. 1.9.Major crops: Due to great diversity of climate and soils, the province grows over 42 crops, the major one beings wheat, rice, barely, maize, sugarcane, sugar beet, tobacco, rape and mustard, groundnut, pulses, vegetables and fruits. Gram is the dominant pulse crop grown, while potato is the main vegetable and apples and citrus are the most important fruit crops. The major crops occupy nearly 90% of the total cropped area in the province. The area and production of important Kharif and Rabi crops are given below. 5 Table- 2: Area and production of different crops season wise in KPK for irrigated and un-irrigated area. (Area in 000 Hec) (Production in 000 Tones) 2010 Name of Crops Irrigated Area Production Un-Irrigated Total Area Production Area Production KHARIF CROPS Maize 214 424 277 345 491 769 Rice 55 112 --- --- 55 112 Jower 3 2 6 3 9 5 Bajra 0.8 0.6 5 2 6 3 Sugarcane 102 4813 0.8 26 103 4839 Cotton 0.3 0.1 0.004 0.007 0.3 0.1 Sesamum 0.1 0.06 0.7 0.3 0.8 0.4 Ground Nuts 0.8 2 12 18 13 20 Kharif Fruits 32 375 --- --- 32 375 Kharif 15 152 --- --- 15 152 0.1 0.08 1 0.5 1 0.6 Vegetables Kharif Pulses 6 Table – 3: Area and production of different crops season wise in KPK for irrigated and u-irrigated area. (Area in 000 Hec) (Production in 000 Tones) 2010_2011 Name of Crops Irrigated Area Production Un-Irrigated Total Area Production Area Production RABI CROPS Wheat 283 570 416 385 699 955 Gram 5 3 56 15 61 18 Barley 9 13 15 15 24 28 Potato 1 15 0.6 5 2 20 Onion 8 124 0.4 2 8 126 Rape 2 1 15 7 17 8 8 68 --- --- 8 68 12 163 --- --- 12 163 0.03 0.02 0.09 0.2 0.1 36 80 --- 36 80 Spring seed & mustard Rabi Fruits Rabi Vegetable Rabi 0.2 Pulses Tobacco --- 7 1.10. Horticulture in KPK: The KPK has a comparative advantage over the other provinces having an enormous range of agro-ecological condition ranging from temperate, and sub –tropical to tropical, which are highly suitable for the production of all kinds of horticultural crops, Along with hydel power and minerals, horticulture presents the greatest potential source of economic growth in the province. It represents an opportunity to distribute benefits of increased income and employment opportunities to high proportion of the province population including that situated in relatively remote areas. The high value per unit area character of horticulture lends itself particularly well to those areas where the cultivable areas are limited in relation to the level of population. It was due to this reason that provincial government has always given priority to this important area.PHP has played a significant role in the development of horticulture sector in the province. It not only provided on farm training to the farmers but also provided guidelines for development of relevant site-specific crop management packages. 1.11. Scope of the study Agriculture is important to KPK province economic and social development goals. The recent study of the World Bank and others indicate that more than 42% of the population is below the poverty line, this mean that more than 42% people in KPK can be defined poor. The studies also conclude that 85% of the population is living in rural areas and 70% of the rural population is poor. They depend on agriculture for their livelihood. This implies that improvement in farm income of the majority of the rural population is a pre-condition for reduction of rural poverty in KPK. 2ndly food insecurity is often a manifestation of poverty. The food security indicate satisfactory indicators at national level may mask severe food insecurity at household and at individual levels largely due to lack of access to food, poor nutritional quality and biases in intra-household food distribution. Current estimates are that around 42% of the households regularly have in-adequate 8 food. Localized food insecurity and hunger are common and reflects inadequate resources endowments at the household level. These factors suggest that any strategy to address food security must involve actions to improve agriculture livestock production and farm income to ensure availability and access to food respectively. Agriculture has been the largest single contributes to GDP and Foreign Exchange Earnings, because of these factors agriculture remains the engine of economic growth in the economy of KPK province. Accordingly, Agriculture Development is the key to the province, overall economic development now and in the near future. Its potential in this regard considered substantial. 1.12. Objective/ Purpose of the study The need for an agriculture sector development strategy derives from three considerations. First, it is an integral component of the ongoing macro-economic and structural reforms. Those are being supported in KPK multilateral and bilateral partners. Some of these reforms including that are being supported under the poverty alleviation and livelihood program of (USAD, IUCN, and WFO). Such programs are expected to have a significant impact on the welfare of the rural poor in general small crops and livestock producers in particular. Accordingly, government will choose interventions to compliment these reforms with sector specific actions to enhance the impact on farm income and poverty reduction in the rural areas. Secondly, strategy as viewed as instrument for guiding public and private efforts towards broadly shared sectors objectives and specific inputs and outputs. Implementation of the proposed local government reforms program (LGRP) and at transferring responsibility for formulating implementing and monitoring agriculture development programs and projects to the district and gross root communities. Thus, development program will provide basis for action by both public and private sector to meet agreed or specified inputs and outputs in the agriculture sector at provincial and district level. Thirdly and most importantly, the agriculture sector development is critical to rural poverty reduction. The present government strongly believes that strengthened agriculture sector is 9 properly assisted will have strong forward and backward linkage and a positive impact on the farm incomes and rural poverty reduction. The development in agriculture is remained focus of all previous governments and a result yields have been increased, prices of the produce have been increased, mechanized farming has been started but all these positive phenomena did not translated into prosperity of farming communities. This study will identify the issues and will give recommendations for solving these issues through well thought strategic actions. 1.13. Research Methodology Total population of KPK is 17.55 Million. The KPK government has established 23 numbers model farm services centers one in each district Head quarter. Total member all the model farm service centers (70,000) who are the true representative population of farming community because all of them are involved in crops and fruit & vegetables growing. Each grower/farmer has livestock poultry for commercial and home use. Government has provided building to each centre where president Farm Service centre has his own office, stores and training hall. Representative of all department have their office in the same building. Total registered Farmers member in all Model Farm Service centers = 70,000 Chosen three location on the basis of agro-ecological condition. One Model Farm service was select at swat. One Model Farm Service was select at Nowshera. One Model farm service was select at Dera Ismail Khan. Total numbers of member in MFSC Swat = 6474 Total numbers of member in MFSC Nowshera = 3214 10 Total numbers of member in MFSC Dera Ismail Khan = 1234 Total numbers in the above three MFSC = 10922 Hence total population = 70,000 Population selected for sampling = 10922 Sample size (Executive body members of each of the above three MFSC) = 40 (Each MFSC has executive body comprised of 40 members which are selected by elective) Three workshops of executive body members were held. To this workshop the district representative of agriculture department involved in Agro Development were also invited. Hence sample size = 40 Design = descriptive Sampling techniques = Simple Sampling Techniques Primary data Data obtained during the three workshop of stake holder (selected population) Secondary data The secondary data is gathered through: 1. Discussion with Head of Department involved in agriculture development. 2. Discussion with Market Committee Members 3. Discussion with members of Sarhad Chamber of agriculture 4. Consulting the Printed Material 5. Agriculture policy 2005 6. Downloaded materials 11 1.14. Limitations For the present study, members of Farm Model services centers were chosen as population. Total numbers are 70,000, which is a true representative population of the farming community in KPK. Hence, whole study is based on Farm services Centers. 1. The first limitation is the absence of farm services center act, which is under process with KPK government, which will spell out the Role of Public and Private Sector. 2. Second limitation is absence of pesticides and fertilizer analysis labs and product meant for export. 3. Third limitation is audit by charted accountant. Annual audit report shall be published. 4. The staff of the department is still over riding the management committees of centers. 5. The agriculture officer of agriculture extension department have been declared as inspectors for checking the quality of fertilizer and pesticides but no powers of penalty have been delegated to them. 1.15. Scheme of report Chapter 1: Introduction Chapter 2: Literature review Chapter 3: Research methodology Chapter 4: Data Analysis Chapter 5: Finding and recommendation 12 Chapter 2 Literature review (Agriculture Development) Accordingly World Bank Report 2008, An African woman bent under the sun, weeding sorghum in an arid field with a hoe, a child strapped on her back a vivid image of rural poverty. For her large family and millions like her, the meager bounty of subsistence farming is the only chance to survive. However, others women and men, have pursued different options to escape poverty. Some smallholders join producer organizations and contract with exporters and supermarkets to sell the vegetables they produce under irrigation. Some work as laborers for larger farmers who meet the scale economies required to supply modern food markets. Still others, move into the rural nonfarm economy, starting small enterprises selling processed foods. While the worlds of agriculture are vast, varied, and rapidly changing, with the right policies and supportive investments at local, national, and global levels, today’s agriculture offers new opportunities to hundreds of millions of rural poor to move out of poverty. Pathways out of poverty open to them by agriculture include smallholder farming and animal husbandry, employment in the “new agriculture” of high-value products, and entrepreneurship and jobs in the emerging rural, nonfarm economy. In the 21st century, agriculture continues to be a fundamental instrument for sustainable development and poverty reduction. Three of every four poor people in developing countries live in rural areas 2.1 billion living on less than $2 a day and 880 million on less than $1 a day and most depend on agriculture for their livelihoods. Given where they are and what they do best, promoting agriculture is imperative for meeting the Millennium Development Goal of halving poverty and hunger by 2015 and continuing to reduce poverty and hunger for several decades thereafter. Agriculture alone will not be enough to massively reduce poverty, but it has proven to be uniquely powerful for that task. With the last World Development Report on agriculture completed 25 years ago, it is time to place agriculture afresh at the center of the development agenda, taking account of the vastly different context of opportunities and challenges that has emerged. Agriculture operates in three distinct worlds one agriculture-based, one transforming, one urbanized, and in each the agriculture for development agenda differs in pursuing sustainable growth and reducing poverty. In the agriculture based countries, which 13 include most of Sub-Saharan Africa, agriculture and its associated industries are essential to growth and to reducing mass poverty and food insecurity. Using agriculture as the basis for economic growth in the agriculture-based countries requires a productivity revolution in smallholder farming. Given Sub-Saharan Africa’s unique agriculture and institutions, that revolution will have to be different from the Asian green revolution. How to implement it after many years of limited success remains a difficult challenge. However, conditions have changed, and there are many local successes and new opportunities on which to build. In transforming countries, which include most of South and East Asia and the Middle East and North Africa, rapidly rising rural and urban income disparities and continuing extreme rural poverty are major sources of social and political tensions. The problem cannot be sustainably addressed through agricultural protection that raises the price of food (because a large number of poor people are net food buyers) or through subsidies. Addressing income disparities in transforming countries requires a comprehensive approach that pursues multiple pathways out of poverty shifting to high-value agriculture, decentralizing nonfarm economic activity to rural areas, and providing assistance to help move people out of agriculture. Doing this calls for innovative policy initiatives and strong political commitment. Nevertheless, it cans benefit 600 million of the world’s rural poor. In urbanized countries, which include most of Latin America and much of Europe and Central Asia, agriculture can help reduce the remaining rural poverty if smallholders become direct suppliers in modern food markets, good jobs are created in agriculture and agro-industry, and markets for environmental services are introduced. With rising resource scarcity and mounting externalities, agricultural development and environmental protection have become closely intertwined. Agriculture’s large environmental footprint can be reduced, farming systems made less vulnerable to climate change, and agriculture harnessed to deliver more environmental services. The solution is not to slow agricultural development; it is to seek more sustainable production systems. The first step in this is to get the incentives right by strengthening property rights and removing subsidies that encourage the degradation of natural resources. In addition, imperative is adapting to climate change, which will hit poor farmers the hardest and hit them unfairly because they have contributed little to its causes. Agriculture thus offers great promise for growth, poverty reduction, and environmental services, but realizing this promise also requires the visible hand of the state providing core public goods, improving the investment climate, regulating natural resource management, and securing desirable social 14 outcomes. To pursue agriculture for development agendas, local, national, and global governance for agriculture need to be improved. The state will need greater capacity to coordinate across sectors and to form partnerships with private and civil society actors. Global actors need to deliver on a complex agenda of interrelated agreements and international public goods. Civil society empowerment, particularly of producer organizations, is essential to improving governance at all levels. This Report addresses three main questions: What can agriculture do for development? Agriculture has served as a basis for growth and reduced poverty in many countries, but more countries could benefit if governments and donors were to reverse years of policy neglect and remedy their underinvestment and disinvestment in agriculture. What are effective instruments in using agriculture for development? Top priorities are to increase the assets of poor households, make smallholders and agriculture in general more productive, and create opportunities in the rural nonfarm economy that the rural poor can seize. How can be agriculture for development agendas best implemented? By designing policies and decision processes most suited to each country’s economic and social conditions, by mobilizing political support, and by improving the governance of agriculture. 2.1 Agriculture has features that make it a unique instrument for development: Agriculture can work in concert with other sectors to produce faster growth, reduce poverty, and sustain the environment. In this Report, agriculture consists of crops, livestock, agro forestry, and aquaculture. It does not include forestry and commercial capture fisheries because they require vastly different analyses. However, interactions between agriculture and forestry are considered in the discussions of deforestation, climate change, and environmental services. Agriculture contributes to development in many ways. Agriculture contributes to development as an economic activity, as a livelihood, and as a provider of environmental services, making the sector a unique instrument for development. 2.2 As an economic activity: Agriculture can be a source of growth for the national economy, a provider of investment opportunities for the private sector, and a prime driver of agriculture related industries and the rural nonfarm economy. Two-thirds of the world’s agricultural value added is creating in developing countries. In agriculture based countries, it generates on average 29 percent of the gross domestic product (GDP) and employs 65 percent of the labor force. The 15 industries and services linked to agriculture in value chains often account for more than 30 percent of GDP in transforming and urbanized countries. Agricultural production is important for food security because it is a source of income for the majority of the rural poor. It is particularly critical in a dozen countries of Sub-Saharan Africa, with a combined population of about 200 million and with highly variable domestic production, limited tradability of food staples, and foreign exchange constraints in meeting their food needs through imports. These countries are exposed to recurrent food emergencies and the uncertainties of food aid, and for them, increasing and stabilizing domestic production is essential for food security. 2.3 As a livelihood: Agriculture is a source of livelihoods for an estimated 86 percent of rural people. It provides jobs for 1.3 billion smallholders and landless workers, “farm financed social welfare” when there are urban shocks, and a foundation for viable rural communities. Of the developing world’s 5.5 billion people, 3 billion live in rural areas, nearly half of humanity. Of these rural inhabitants an estimated 2.5 billion are in households involved in agriculture, and 1.5 billion are in smallholder households. The recent decline in the $1-a-day poverty rate in developing countries from 28 percent in 1993 to 22 percent in 2002 has been mainly the result of falling rural poverty (from 37 percent to 29 percent) while the urban poverty rate remained nearly constant (at 13 percent). More than 80 percent of the decline in rural poverty is attributable to better conditions in rural areas rather than to out migration of the poor. Therefore, contrary to common perceptions, migration to cities has not been the main instrument for rural (and world) poverty reduction, but the large decline in the number of rural poor (from 1,036 million in 1993 to 883 million in 2003) has been confined to East Asia and the Pacific. In South Asia and Sub-Saharan Africa, the number of rural poor has continued torise and will likely exceed the number of urban poor until 2040. In these regions, a high priority is to mobilize agriculture for poverty reduction. 2.4 As a provider of environmental services: In using (and frequently misusing) natural resources, agriculture can create good and bad environmental outcomes. It is by far the largest user of water, contributing to water scarcity. It is a major player in underground water depletion, agrochemical pollution, soil exhaustion, and global climate change, accounting for up to 30 percent of greenhouse gas emissions, but it is also a major provider of environmental services, generally unrecognized and unremunerated, sequestering carbon, managing water- sheds, and 16 preserving biodiversity. With rising resource scarcity, climate change, and concern about environmental costs, business as usual in the way agriculture uses natural resources is not an option. Making the farming systems of the rural poor less vulnerable to climate change is imperative. Managing the connections among agriculture, natural resource conservation, and the environment must be an integral part of using agriculture for development. Agriculture’s contributions differ in the three rural worlds. The way agriculture works for development varies across countries depending on how they rely on agriculture as a source of growth and an instrument for poverty reduction. The contribution of agriculture to growth and poverty reduction can seen by categorizing countries according to the share of agriculture in aggregate growth over the past 15 years, and the current share of total poverty in rural areas, using the $2-a-day poverty line. This perspective produces three types of countries three distinct rural worlds. 2.5 Agriculture-based countries: Agriculture is a major source of growth, accounting for 32 percent of GDP growth on average mainly because agriculture is a large share of GDP and most of the poor are in rural areas (70 percent). This group of countries has 417 million rural inhabitants, mainly in Sub-Saharan countries. Eighty-two percent of the rural Sub-Saharan population lives in agriculture-based countries. 2.6 Transforming countries: Agriculture is no longer a major source of economic growth, contributing on average only 7 percent to GDP growth, but poverty remains overwhelmingly rural (82 percent of all poor). This group, typified by China, India, Indonesia, Morocco, and Romania, has more than 2.2 billion rural inhabitants. Ninety-eight percent of the rural population in South Asia, 96 percent in East Asia and the Pacific, and 92 percent in the Middle East and North Africa are in transforming countries. 2.7 Urbanized countries: Agriculture con- tributes directly even less to economic growth, 5 percent on average and poverty is mostly urban. Even so, rural areas still have 45 percent of the poor, and agri-business and the food industry and services account for as much as one third of GDP. Included in this group of 255 million rural inhabitants are most countries in Latin America and the Caribbean and many in Europe and Central Asia. Eighty-eight percent of the rural populations in both regions are in urbanized countries. 17 Countries follow evolutionary paths that can move them from one country type to another. China and India moved from the agriculture-based to the transforming group over the past 20 years, while Indonesia gravitated toward the urbanized. In addition, countries have sharp subnational geographical disparities for example; many transforming and urbanized countries have agriculture-based regions (such as Bihar in India and Chiapas in Mexico). Classifying regions within countries according to their agricultural potential and access to markets shows that 61 percent of the rural population in developing countries lives in favored areas irrigated, humid, and semi humid areas with little moisture stress, and with medium to good market access (less than five hours from a market town of 5,000 or more). However, two-thirds of the rural population in Sub-Saharan Africa lives in less-favored areas defined as arid and semiarid or with poor market access. In five countries with detailed poverty maps, the poverty rate is higher in less- favored areas, but most of the poor live in favored areas. So using agriculture to reduce poverty requires not only investing in less- favored areas to combat extreme poverty, but also targeting the large number of poor in favored areas. 2.8 Heterogeneity defines the rural world: Economic and social heterogeneity is a defining characteristic of rural areas. Large commercial farmers coexist with smallholders. This diversity permeates the smallholder population as well. Commercial smallholders deliver surpluses to food markets and share in the benefits of expanding markets for the new agriculture of high-value activities. But many others are in subsistence farming, mainly due to low asset endowments and unfavorable contexts. Consuming most of the food they produce, they participate in markets as buyers of food and as sellers of labor. Membership in these categories is affected not only by asset positions, but also by gender, ethnicity, and social status, as they imply differing abilities to use the same assets and resources in responding to opportunities. Heterogeneity is found in the rural labor market where there are many low-skill, poorly remunerated agricultural jobs and a small number of high-skill jobs that offer workers pathways out of poverty. It is found in the rural nonfarm economy where lowproductivity self and wage employment coexists with employment in dynamic enterprises, and it is found in the outcomes of migration, which lifts some of the rural poor out of poverty but takes others to urban slums and continued poverty. This pervasive heterogeneity in agriculture and rural society has deep implications for public policy in using agriculture for development. A 18 particular policy reform is likely to have gainers and losers. Trade liberalization that raises the price of food hurts net buyers (the largest group of rural poor in countries like Bolivia and Bangladesh) and benefits net sellers (the largest group of rural poor in Cambodia and Vietnam). Policies have to be differentiated according to the status and context of households, taking particular account of prevailing gender norms. Differentiated policies are designed not necessarily to favor one group over the other but to serve all households more cost effectively, tailoring policies to their conditions and needs, particularly to the poorest. Balancing attention to the favored and less- favored subsectors, regions, and households is one of the toughest policy dilemmas facing poor countries with severe resource constraints. Agriculture has a strong record in development Agriculture has special powers in reducing poverty. Agricultural growth has special powers in reducing poverty across all country types. Cross-country estimates show that GDP growth originating in agriculture is at least twice as effective in reducing poverty as GDP growth originating outside agriculture. For China, aggregate growth originating in agriculture is estimated to have been 3.5 times more effective in reducing poverty than growth outside agriculture and for Latin America 2.7 times more. Rapid agricultural growth in India following technological innovations (the diffusion of high yielding varieties) and in China following institutional innovations (the household responsibility system and market liberalization) was accompanied by major declines in rural poverty. More recently, in Ghana, rural households accounted for a large share of a steep decline in poverty induced in part by agricultural growth. Agriculture can be the lead sector for overall growth in the agriculture-based countries. Agriculture has a well-established record as an instrument for poverty reduction. But can it also be the leading sector of a growth strategy for the agriculture-based countries? Besides the sheer size of the sector, two arguments, applied to the agriculture-based countries of Sub-Saharan Africa, support the view that it can. The first is that in many of these countries, food remains imperfectly tradable because of high transaction costs and the prevalence of staple foods that are only lightly traded, such as roots and tubers and local cereals. So, many of these countries must largely feed themselves. Agricultural productivity determines the price of food, which in turn determines wage costs and competitiveness of the tradable sectors. Productivity of food staples is thus keys to growth. The second is that comparative advantage in the tradable subsectors will 19 still lie in primary activities (agriculture and mining) and are processing for many years, because of resource endowments and the difficult investment climate for manufactures. Most economies depend on a diverse portfolio of unprocessed and processed primary-based exports (including tourism) to generate foreign exchange. Growth in both the no tradable and tradable sectors of agriculture also induces strong growth in other sectors of the economy through multiplier effects. That is why, for many years to come, the growth strategy for most agriculture-based economies has to be anchored on getting agriculture moving. Success stories of agriculture as the basis for growth at the beginning of the development process abound. Agricultural growth was the precursor to the industrial revolutions that spread across the temperate world from England in the mid-18th century to Japan in the late-19th century. More recently, rapid agricultural growth in China, India, and Vietnam was the precursor to the rise of industry. Just as for poverty, the special powers of agriculture as the basis for early growth are well established. Yet agriculture has been vastly underused for development. Parallel to these successes are numerous failures to use agriculture for development. Many agriculture- based countries still display anemic per capita agricultural growth and little structural transformation (a declining share of agriculture in GDP and a rising share of industry and services as GDP per capita rises). The same applies to vast areas within countries of all types. Rapid population growth, declining farm size, falling soil fertility, and missed opportunities for income diversification and migration create distress, as the powers of agriculture for development remain fallow. Policies that excessively tax agriculture and under invest in agriculture are to blame, reflecting a political economy in which urban interests have the upper hand. Compared with successful transforming countries when they still had a high share of agriculture in GDP, the agriculture- based countries have very low public spending in agriculture as a share of their agricultural GDP (4 percent in the agriculture-based countries in 2004 compared with 10 percent in 1980 in the transforming countries. The pressures of recurrent food crises also tilt public budgets and donor priori- ties toward direct provision of food rather than investments in growth and achieving food security through rising incomes. Where women are the majority of small- holder farmers, failure to release their full potential in agriculture is a contributing factor to low growth and food insecurity. 20 Underuse of agriculture for development is not confined to the agriculture-based countries. In transforming countries with rapid growth in nonagricultural sectors, the reallocation of labor out of agriculture is typically lagging, leaving large numbers of poor people in rural areas and widening the rural-urban income gap. The farm population demands subsidies and protection. But weak fiscal capacity to sustain transfers large enough to reduce the income gap and continuing urban demands for low food prices create a policy dilemma.4 The opportunity cost of subsidies (which are three times public investments in agriculture in India) is reduced public goods for growth and social services in rural areas. Raising incomes in agriculture and the rural nonfarm economy must be part of the solution. New opportunities are emerging. The world of agriculture has changed dramatically since the 1982 World Development Report on agriculture. Dynamic new markets, far-reaching technological and institutional innovations, and new roles for the state, the private sector, and civil society all characterize the new context for agriculture. The emerging new agriculture is led by private entrepreneurs in extensive value chains linking producers to consumers and including many entrepreneurial smallholders supported by their organizations. The agriculture of staple crops and traditional export commodities also end new markets as it becomes more differentiated to meet changing consumer demands and new uses (for example, bio fuels) and benefits from regional market integration. However, agriculture faces large uncertainties that are difficult to predict and call for caution in managing the global food supply. An emerging vision of agriculture for development redefines the roles of producers, the private sector, and the state. Production is mainly by smallholders, who often remain the most efficient producers, in particular when supported by their organizations. But when these organizations cannot capture economies of scale in production and marketing, labor intensive commercial farming can be a better form of production, and efficient and fair labor markets are the key instrument to reducing rural poverty. The private sector drives the organization of value chains that bring the market to smallholders and commercial farms. The state through enhanced capacity and new forms of governance corrects market failures, regulates competition, and engages strategically in publicprivate partnerships to promote competitiveness in the agribusiness sector and support the greater inclusion of smallholders and rural workers. In this emerging vision, agriculture assumes a prominent role in the development agenda. 21 Chapter 3 Research methodology The agriculture department in KPK has established 23 model farm services centers one at each 23-district headquarters. Model Farms center have been registered under society. Centers have their own by laws having general body, executive body and management committee. The Model Farm Service centers have more than 70,000 memberships. Each model farm center has more than 2000 farmer members. All the members of MFSC are crops, fruit, and vegetable growers. Each farmer in each center has contributed PRs. 100 as registration fee and PRs. 600 per as share money. The government of KPK has provided equal amount they have contributed as matching grant. Beside this tractor with implements seed cleaners, and sprayers have been provided by KPK government to each model farm center. The model farm service has been housed in a building constructed by the KPK government where representatives of all line departments have accommodations (offices). Total population selected 70,000 who are all crops, fruit and vegetable growers. This 70000 population is the true sample of farming community. Out of 70,000, the members of MFSC of three were selected in three districts depending upon the Agro-ecological and Agro-climatic conditions. I. II. III. Swat district, which is lying to North of KPK and has cold climate Nowshera district, which is lying in the central region of KPK having moderate climate D I Khan district, which is lying in the extreme east of KPK having very hot climate Members of MFSC at each location is a representative sample of the farming community. In workshop of executive body members of each district representative of all institution-involved e.g. Agriculture-Extension, Agriculture Research, Agriculture Engineering cell, Soil conservation, on farm water management, livestock and dairy development, member sarhad chamber of agriculture were also initiated Each MFSC has 40 Executive body members, 22 Hence sample size = 40 Total population 70,000 Population selected for sampling = total members of three MFSC =10922 As members of executive body members of each centre is =40 Population selected: Sample size= 40 Total sample= 3 Hence total population selected as sample= 40×3= 120. 3.1. Primary data One-day workshop of executive body members of each of the three-selected center was held to indefinitely the issue and recommendation of strategy actions to address these issues. Workshop no 1 SWAT Issues identified during workshop: I. Barani area More than 50% of the cultivated area Is barani, which is a main cause of low yields? II. Cultivable wasteland about 1.06 million hectares is wasteland. III. Afforestation ( controlling soil erosion) IV. Improving watercourses, a large number of watercourses in KPK are kacha/unlined which are major sources of irrigation water losses at farm level. V. inadequate improved seed. Seed is fundamental in agriculture. It alone can increase the yield by 20%. All other inputs can give better result in the presence of good seed. VI. Lack of vaccine coverage for animals, only 10% of livestock population of the province is being covered. The remaining 90% is exposed to bacterial/viral diseases 23 VII. VIII. IX. X. Low productivity of livestock Non-availability of certified fruit plants. Un-regulated Markets. Lack of hybrid seed which is very costly and gives more profit if used in the production of Off-season vegetable. Recommendation of strategies I. II. Water harvesting embanked of fields. Development of ponds III. Evaluation of drought resistant varieties of crops barani areas. IV. Land development ( reclamation verses and leveling of uneven land through bulldozers and tractors) V. VI. VII. Installation of tube wells and dug wells Water shed management To arrest the run-off water due to melting of glaciers thorough construction of check bunds VIII. To arrest the increasing level of soil erosion the forest department should start afforestation programs on war footing and the soil conservation department should accelerate their activities on soil conservation practices. IX. X. XI. XII. Training of farmers in cleaning water courses. Renovation and rehabilitation of new and old water courses The KPK seed industry be strengthened through providing seed processing plants Seed cleaners to the farm services center have already provided. Sufficient quantity of basic seed be made available to the FSCS for production of certified seed. The animal husbandry research institute should be given targets of vaccine coverage up to 45-50%. Facilities for the production of vaccine be provided. The unproductive animals be replaced by productive animals through change in breeds (Artificial Insemination and animal health Care. Fruit Nursery farms In KPK be registered with seed certification and registration department. The department should carry out certification of fruit plants. 24 At each district head quarter regulated market established and market committee be formed to avoid exploitation of the producers. The research department should be facilitated to produce hybrid vegetable seed for seasonal cultivation. Research department be given targeted time and quantities of seed to be produced. Workshop no 2: NOWSHERA Workshop of executive body of MFSC was held in the hall of the MFSC building. Representative of line department were invited. Three groups were formed. One on cereal crops 2nda fruit and vegetable and 3rd on livestock. Each group prepared list of issues. The issues were discussed in the question answer session and finally an agreed list of issues and recommendation was prepared which is fallow: Issues: i. Lack of certified seed of crops ii. Lack of vegetable hybrid seed, the imported hybrid seed is very costly. iii. Certified fruit plant nurseries. The fruit plant nurseries are not certified. There are some certified nurseries but not monitored by seed certification and registration department. iv. In adequate irrigation water, 50% of the area is rain fed and the remaining is canal or tube well irrigated. In canal, irrigated annual cleaning of the canals is seldom carried out. Irrespective of the fact that most of watercourses are unclean and un-lined resulting in huge loss of irrigation water during conveyance. v. Fast reducing cultivated land. The available cultivated land measuring 1.85 million hectares is fast reducing due to construction of road, building, industries etc. vi. Cultivable wasteland Total cultivable wasteland= 1.06 million hectares. vii. In effective extension services: 25 The present extension services of livestock and crops are ineffective due to technically inefficient extension services. There is lack of mobility nonavailability of proper technical facilities and lesser exposure to updated training facilities. The outdated extension methodology is still prevailing in the sector. viii. Cumbersome agriculture credit system: The procedure of obtaining agriculture credit loans from Zari-Taraqiati Bank Ltd (ZTBL) is very cumber some and the farmers prefer to get loans from the intermediary. ix. Absence of rural based agricultural proceeding units. Due to lack of processing industries the fruit, vegetable (having very short shelf life) growers are forced to sell their produce in local market or deliver to the middle man on the terms of buyers. x. Energy constraints: Higher energy cost associated with the functioning of tube well and other agriculture machinery are contributing the lower production of agriculture sector. xi. Low vaccine coverage of animals xii. Low quality breeds and less production milk animals. Recommendations: i. The KPK seed industry be strengthened. Seed processing plants be provided at D I Khan, Peshawar and Mardan. ii. Train the member of farms services centers in seed production technology. iii. The agriculture research department should start breeding of the vegetable for the production of hybrid vegetable seed. iv. The seed certification and registration department should registered the fruit plant nurseries and quarterly monitoring report be submitted to Director General Agriculture extension and research KPK. The DG agriculture extension should provide copies of the report to each Model Farm Service Center. v. The old water courses be rehabilitated and new water courses be renovated 26 vi. In barani areas small dams be constructed. Culverts and mogas are constructed with bricks and cement. Field embankment be promoted: 1. Annual cleaning canals be done in off-season. 2. Farmers be trained in cleaning of water courses, unlined water courses be lined. 3. This practice be stopped through legislation vii. The waste land can be brought under crops by: 1. Reclamation and leveling the uneven land turning into cultivable farm through bulldozer and tractors. 2. Some area needs only irrigation water, hence can be brought under plough through constructing small Dams, Dug wells and Tube wells. 3. The line in of watercourses will save 35-40% irrigation water and a good chunk of wasteland can be brought under crops from this additional water. viii. The staff of agriculture and livestock extension should be given proper technical training (both in services and in pre-service) in new improved extension techniques and management technology. Their promotion should be linked with performance. Annual examination be kept binding for awarding annual increment in their salaries. ix. Extension staff should be properly mobilized x. The KPK government should start spot loaning program. xi. The KPK government should establish rural based agriculture processing plants in partnership with the private entrepreneur (public-private partnership based). xii. Taxes charged by the WAPDA in electric bills may be discontinued for Tube wells connection. xiii. The veterinary Research Institute is well equipped with all vaccine production equipment. Hence, vaccine production should be increased. Vaccine may also be imported to cover maximum numbers of animals. xiv. The change in breed be done. Artificial insemination facilities be made available at each Farm Service Center. 27 Workshop no 3 Dera Ismail Khan Total number farmers registered in Model Farm Service Center of D I Khan = 1234 Number of executive body members = 40 One-day workshop was held in the training Hall of MFSC D I Khan. Head of department involved in agriculture development were also invited. Three groups were formed One group of crops growers Second group fruit and vegetable growers Third livestock farmers Each group started discussion on the issues and constraints and prepared list of issue. After that, each group leader shared the list of issues with other two groups and finally they prepared a consolidated list of issues and constraint presently being faced by the growers. After that, discussion was made to address the issues through strategies action plan. The agreed list indicating issues and recommendations is as follows: Issues i. Shortage of basic seed for the production of certified seed ii. Cultivable wasteland. iii. Regulated market land iv. Lack of certified fruit plant v. Training of nursery man in preparation of certified plants vi. Cumbersome agriculture credit procedure vii. Inefficient extension services viii. Loss of irrigation water ix. Adulteration in pesticides fertilizer 28 x. Low vaccine coverage of animals xi. Less productive milk animals xii. Feedlot fattening yards Recommendations i. The agriculture research has ample area for pre-basic and basic seed production. However, they can obtain further land on government seed farms of agriculture extension department for the production of pre-basic and basic seed. The basic seed may be given to registered seed producing growers of farm service center under a contract. ii. For bring the cultivable wasteland under crops, the uneven land be leveled and developed through public private partnership. Small dams are constructing for additional irrigation water availability. iii. There is no regulated market except at Peshawar, Mardan, D I Khan and Bannu. The regulated market be established at each district head quarter. Proper market information system be established which should be broad casted through F.M radio and TV at least 12 hours a day for taking correct decision by the producer where to sell his produce and what to produces. iv. The seed certification and registration department should register all the fruit nurseries and monitor on quarterly basis to ensure availability of certified plants. Germ palms units are establish in each district to ensure `100% pure mother plants to be used for bud wood. v. The FSC&RD should train the nurseryman. vi. The ZTBL should start spot loaning vii. Both livestock and crops extension service are incapable, technically not sound and professionally incompetent. There are also lack of facilities of funds and transportation, the extension stuff be given proper training both pre-service and in-service and all required facilities be provided. viii. The on farm water management department should rehabilitee the old lined water courses and carry out lining of new water courses on war footings so that 40% loss of irrigation water through conveyance be saved. 29 ix. The government has declared the agriculture office as pesticide inspector but no power has been delegated to them for awarding penalties. Either magisterial power be delegated to agriculture officer or one judge or magister be kept exclusively to decide the cases of adulteration of pesticide’s and fertilizer. Government should establish one analytical lab at each district Head Quarter for analyzing the sample of pesticides and fertilizer. x. The Veterinary Research Institute (VRI) may start if not already started vaccine production in increased quantity. The shortage of vaccine may be supplement through export. Monitoring system be introduced to monitor the progress. xi. The less productive milk animals be changed through exotic germs by: - Artificial insemination - Providing one or two frezian bulls to each Farm Service Center xii. The livestock department should establish feed lot fattening yards with each farm Service Center on public-private partnership basis. 3.2 Secondary Data The secondary data is gathered through: The issues and recommendations were discussed with the head of the institutions involved in agriculture development in KPK these are: a. DG Agriculture Extension b. DG research system c. DG on farm water management d. Director agriculture, engineering cell e. Director soil conservation f. Principal animal in-services training institute g. DG livestock Research h. DG livestock Dairy i. Consulting the Printed Material j. Members of the Kisan Board KPK k. Members of the livestock and dairy association l. Agriculture policy 2005 30 m. Downloaded materials (Agriculture Development Strategies) 31 Chapter 4 Data Analysis 4.1 Financial Analysis: Calculations of income for expenditure Result and progress of addressing each constraint and revenue to obtained (development progress up to 2030). Expected estimate income:1. Culturable wasteland: Annual land to be developed and brought under crops = 5000 acres Land to be developed up to 2030 = 5000×15 = 75000 acres Per acre yield of wheat = 1 ton Total produce from 75000 acres = 75000 tons Cost of 1 ton of wheat = Rs.40000 Total cost of 75000 tons = 3000 millions Expenditure:I. II.  Expenditure on 75000 acres Bull dozer hours = 3 @ of 4000 per hour = 12000 Tractor hours = 1 @ of 1500 per hour = 1500 Total expenditure = 75000×27000 = 2025 millions Expected estimate income:2. Additional irrigation water saved due to lining well irrigate 3000 acres Total saving in water up to 2030 will irrigate 15×3000 = 45000 acres annually produce to be obtained = 45000 tons Cost of 45000 tons @ Rs. 40000 per ton = 1800 millions Expenditure: Cost of 1 meter lining = 1000 Total length to be lined = 500000 meter Cost of 5 lacs meter = 500 millions 32 Expected estimate income:3. Tube wells and Dug wells Tube well = 1000 number Dug well = 4000 number 1 tube well is sufficient to grow 100 acres of wheat 1 dug well sufficient to grow 5 acres of wheat Hence acre to be irrigated by tube well = 100000 acres Total area to be irrigated by dug well 20000 acres Total new area to be brought under crops = 120000 Total crop area = 120000 Produce = 120000 tons Cost of 1 ton Rs. 40000 Hence total income = 4800 millions Expenditure: Expenditure on 1000 tube well and 40000 dug well 1 tube well will be Rs. 1000000 Cost of 1000 tube well = 1000 millions Cost of 1 dug well = Rs. 5 lacs Cost of 4000 dug well = 200 millions Total expenditure on tube well and dug well 300 millions Expected estimate income:4. Regulated markets income Estimated income from 1 market = 10 millions Income from 18 markets = 18×10000000 = 180 millions Income up to 2030 = (to be constructed in 3 years) 180×12 = 2160 millions Expenditure: The area of 1 market = 50 kanals Average cost of 1 kanal = 10 lacs Cost of land + 50×1000000 = 50 millions Cost of land of markets = 18×50 = 900 millions Construction of 1 market = 30 millions Cost of 18 markets = 30×18 = 540 millions Total expenditure on 18 markets = 1440 millions 33 Expected estimate income:5. Feed lot fattening yards Total animals in 15 yards = 225000 Sale rate of 1 animal = Rs. 30,000 Sale proceed of 225000 animal = 225000×30 = 3750 millions Expenditure: Total yards to be estimated in 100 lacs = 300 yards per year Total yards to established in 15 years = 4500 yards In 1 yard small animals = 50 (cattle’s) Total animals in 4500 yards = 4500×50 = 225000 Purchase of 1 animal = Rs. 10,000 Cost of 50 animals = 5 lacs Cost of feed per 100 days per yard = 1 lac Total cost of 1 yard = 6 lacs Total cost of 4500 yards = 4500×600000 = 2700 millions Income & Expenditure 6. Increase due to use of certified seed. Present area 800000 hectares Present production = 1026000 tons Increase due to good quality of seed = 10% (increase = 12600 tons Income = 410 millions Additional fertilizer used = DAP and one urea Cost of 8 lacs urea and 8 lacs DAP = 56 millions Income & Expenditure 7. Income from small Dames Expenditure = 1500 millions Income = 1800 Cost of one Dam = 50 millions Total small dames to be constructed up to 2030 = 30 numbers Total cost of 30 dames = 1500 millions One dam will irrigated = 1000 acres 30 dames will irrigated = 30,000 acres 34 30 dames will irrigate 30,000 × 15 = 450000 acres (up to 2030) Income = 450000 tons × 40000 (cart of one ton) = 1800 millions Cart of 1 Dam = 50 millions Cart of 30 dams = 1500 million Table no # 1 S.no Estimated income 1 From development of culterable wasteland From saving of irrigation water and bring additional area under crops (through lining of watercourses) Income from area brought under crops due to Tube wells/Dug wells Increase due to quality seed Feed lot fattening yards Income from regulated markets (15 markets) Income from availability of water for growing crops due to construction of small Dams Rural based processing plant (public-private partnership) 2 3 4 5 6 7 8 9 In effective livestock and crop extension services 10 Less productive milk animal 11 Total Income (million) 300 Expenditure (million) 2025 Budget (million) 3100 1800 500 600 4800 2600 2800 410 56 190 3750 2160 2700 1440 180 1500 1800 1500 1600 After installation the plant will be handed over to private partnership Capacity building (cannot be quantified) Benefit will go private partnership 200 200 100 100 150 150 17720 11321 11320 35 Explanatory Note: 1) The strategic achievement will provide assets like developed land after logo 2) Similarly regulated markets will serve as income source after 2030 3) Due to construction of small dames, the underground water will be recharged and tube wells will be installed easily. 4) Capacity building and waters will bring development after 2030. 4.2 SWOT Analysis: Strengths 1. Comparative advantage of KPK agriculture - Diverse Agro-ecological condition where all crops, fruit and vegetables grow 2. Seasons vegetables are sources fully grow - In cold areas like kalam,Bahrain, swat and mansehra winter vegetables are produced naturally during summer 3. KPK location is strategic and has joint border with Afghanistan - All food commodities like food and vegetables etc are exported to Afghanistan legally and illegally 3 million afghan refugees serve as labor force 4. The presence of refugees created demand of food material - - 36 The farmers has started interest in farming as previously farming was an un economical business WEAKNESSES 1. 3 million refugees have crossed the border and settled in KPK - This has created 30 million additional buyers and created crises of food materials. the prices of food materials have jumped 45 times upward 2. 3 million refugees disturbed the life of the people - The overall condition in KPK has turned the life risky and as such the agriculture activity 1. There is sufficient opportunities for export of fruit and vegetables - The vegetables are naturally produced as off-season during summer and the tunnel technology (plastic tunnel) are now being popularized for the production of vegetables during winter. Hence summer all the year round export can be done. 2. Diversification of high value crops - Due to small holding the farmers grow high value crops like fruit and vegetables which are suitable for value addition and diversification Opportunities 37 Chapter 5 Findings and recommendations 5.1 Final list of finding and recommendations are given below: S.no Name of findings 1 2 Strategic action required Availability of basic and certified seed and fruit plants 1). The agriculture research will produce basic only at pir sabak research station 2). Agriculture extension department has about 2500 acres land at government seed farms. Out of the 500 acres, be allocated to research wing for the production of basic seed. 3). A monitoring committee of experts be formed to monitor the availability of certified seed fruit plants and training progress In adequate irrigation water 1). The irrigation department should prepare pc-1 for the construction of small dams 2). Soil conservation department shell come forward for wellplanned program of construction of culverts and pucca mogas 3). The on farm water management should prepare Pc-1 for rehabilitation of old lined watercourses of 38 Time required From 2015 (Rabi season) Estimated amount required 56 million annually From 15 million September 2015 annually During 2015-16 1600 million (coimencement) Start work from kharif 2016 250 million Start from kharif 2017 290 million 3 4 Energy constraints Culturable wasteland 5 Regulated markets and market information system 6 Low vaccine coverage of animals 7 Less production milk animals renovation of new. By federal government 1). The agriculture extension department should prepare Pc-1 on reclamation and development of wasteland on public private partnership The agriculture extension should be prepare Pc-1 from PSDP funds (0f the federal government) and the federal department of agriculture livestock product and grading department should establish market information system in each fruit, vegetable and livestock market to be built at each district head quarter 1). The veternry research institute should send concerned livestock doctors abroad to get complete training in vaccine production 2). Sufficient quantity of vaccine may be imported as an interim arrangement 3). The vaccination be fully facilitated 1). Artificial insemination in each farm service center be start on war footing 2). One bull of improved bull be supplied to each farm center on public 39 Start from 2018 310 million The KPK government should approach the federal government 1500 From 2018-19 20 million 2016-17 200 million 2016-17 100 million From 2016-17 150 million 8 Feed let fattening yards 9 In effective livestock and crop extension services 10 Rural based processing plants private partnership The livestock department should prepare PC-1 for establishment of feed lot fattening yards on public private partnership One year compulsory on gob training be kept building on fresh graduate in agriculture livestock department 2). Annual examination be kept for awarding annual increment The agriculture extension department should be prepare Pc-1 for the establishment of rural based processing plants on public-private partnership like Date processing, packaging plant, turmeric processing etc. 40 From 2018-19 1180 million Start 2019-20 From 2020-21 200 million 5.2 Conclusion: After implementation of the recommendations of the issue indicated in the strategies, action plan the development process will translate into: 1) Increase in quality and quantity of crops, plant and vegetable product and well increase farm income. 2) On farm, employments will increased due to increase in area sources of irrigation. 3) Yield will increased due to use of quality seed and plant. 4) The producers will be in a position to have easy access to markets and exploitation of producers will be decreased 5) Additional produce obtained from additional area and availability of new water resources will increase farm income and reduction in poverty. 6) The agriculture growth will get boost to go upward. 7) Capacity building of farmers and extension workers will achieve. 8) Replacement of less production animals will increase milk production. 9) Feedlot fattening will enhance meat production. 10) Increase in production will attract investors to establish rural based processing plants. 41 5.3 References:  Agriculture policy KPK (KPK, Peshawar, Agriculture Department, May 2005)  Horticulture policy (Islamabad, Ministry of food, Agriculture and livestock, 2009)  Agriculture development strategy (KPK, Peshawar, Agriculture Department, 2003)  Comprehensive strategy for agriculture development KPK (KPK, Peshawar, Planning and Development department, 2010)  National Task Force (KPK, Peshawar, 2009)  Year book of statistics central Bureau of statistics(Islamabad, 2006)  Book on Model Farm Services centers(KPK, Peshawar, Agriculture department)  KPK development statistics(KPK, Peshawar, 2010)  Economic Growth of KPK (KPK, Peshawar, Planning and Development department KPK,  Dar Es Salaam, Tanzanian Agriculture and Livestock policy, http://www.tzonline.org/pdf/agricultureandlivestockpolicy.pdf (‘Ministry of Agriculture and Cooperatives’, Jan, 1997)  Vijay Paul Sharma, India’s Agricultural Development under the New Economic Regime,http://www.iimahd.ernet.in/assets/snippets/workingpaperpdf/1617912601201111-01.pdf (Indian Institute of Management Ahmadabad India, Nov, 2011)  Merrell Tuck, World Development Report 2008, http://siteresources.worldbank.org/INTWDR2008/Resources/WDR_00_book.pdf, (Washington, DC, October 19, 2007) X Syed Shoaib Mansoor Researcher 42