Addressing a press conference at the Central Cotton Research Institute (CCRI) here he said Prime Minister Shaukat Aziz has asked him to announce this facility for the farmers. He said that in view of the price spiral of phosphate fertilisers at the international level the government has increased the subsidy from Rs 250 to Rs 400 per bag.
Sikandar Bosan said in this way the federal government would bear a burden of Rs 15 billion as against last year's Rs 7 billion on this count. He said for the Rabi crops the government had offered a subsidy of Rs 250 per bag on phosphate and potassium fertilisers which has resulted in 40 percent more consumption leading to substantial increase in per acre yield.
The federal minister for agriculture said that last year subsidy on urea fertiliser worth Rs 6 billion was extended to the growers. As a result, a bag of Rs 1,200 is available for Rs 500 only, he observed. He said that at the moment 33 percent DAP is produced locally while the remaining bulk is imported. More fertiliser factories are being set up in the country that will help minimise our dependence on imported fertilisers.
Sikandar Bosan said that the incumbent government has formulated agriculture-friendly policies that have led to record production of cotton, wheat and rice during the last five years. He said that in 2001 Minfal's budget stood at Rs 290 million that has now shot up to Rs 13 billion. All this reflects that agriculture is one of the top priorities of the incumbent government.
He said that use of modern husbandry techniques and balanced fertilisers etc by the farmers has resulted in better agricultural production. The minister said that Pakistan used to be a wheat importing country but now it is exporting 0.8 million tons from the last year's stocks.
He hoped that this year the country would have a record wheat production. It may exceed the target of 22.5 million tons, he added. Sikandar Bosan said that WTO challenges are ahead which can be met only by increasing per acre yield and hence total higher output.
He said that the federal cabinet has approved the Plant Breeders' Rights law. It will help in producing qualitative seeds. To a question he said that at international market DAP fertiliser rates have increased up to $400 per ton. That is why the government has also increased the subsidy, he added.
Additional secretary Minfal, Shahid Raja, said that there is a great demand for Pakistan's qualitative wheat. Egypt has placed an order for 0.6 million tons, Bangladesh and Vietnam for 0.2 million ton each. Director CCRI Muhammad Arshad was also present on the occasion.