Sunday, March 13, 2011

Khyber Pakhtunkhwa lacks resources to run agriculture projects

The Agriculture department is feeling stressed over transfer of agriculture affairs to the province as some new and ongoing schemes may suffer due to lack of resources.
Sources informed that new and ongoing schemes, which were otherwise to be completed with the help of the federal government, amount to hundreds of millions in rupees in the sector.
The sources said that only new schemes in agriculture sector for the province cost over Rs. 2 billion though in few cases donors like Asian Development Bank support the provinces in Pakistan.
Agribusiness development and diversification project, commercialisation of tea production are among the ongoing projects in the province while projects like rehabilitation and strengthening of summer agriculture research station of Pakistan Agriculture Research Council (PARC) is among the new projects. Only the one new scheme cost over 11 million in rupees, the sources informed.
KP was already reportedly disturbed over the financial and human losses in face of last year’s devastating flood and the violence that has been paralysing normal functions in parts of the province that not only increased the government expenditures but also affected the tax collection.
The KP government has recently cut funds to its several development schemes as rehabilitation of the affectees and several other issues are limiting resources for progressive activities, an official who was not authorized to speak to media said.
Situation in other provinces may be different as the province like Punjab has enough resources to continue its developmental activities but the affected and a small and violence hit province like KP is in a difficult situation, the officials maintained.
The sources also informed that the provincial government is not ready to accept the employees of the federal ministries, which are going to transfer to the provinces as a part of the devolution plan under 18th amendment.
However, the province attitude is not without reason. According to the data of finance department and some reports, 68 per cent of the provincial non-development budget goes to salaries and pensions of the employees in KP.
The staff strength of the provincial government has risen from 288,203 to 375,935 posts over five years between 2005-06 and 2010-11.
When contacted DG Agriculture Extension in KP Muhammad Tasleem confirmed that the province lacks funds to continue the new as well as the ongoing schemes in the sector if responsibility was shifted to the calamities-devastated province.
He told Online that funds for the ongoing schemes in agriculture are expected to be provided by the federal government for the current year but after that, the KP government would have to run the expenses within the limits of its resources.
On the other side officials in revenue department on condition of anonymity said they cannot say something certain about the future finances in KP, however, keeping in view the on-going situation and history of tax collection in the province, high expectation of future would be unrealistic.
Nevertheless, it could be verified that transferring of the agriculture subject to the province like Punjab creates no problems of funds to the projects.
In an exclusive chat with Online the Agriculture Secretary of Punjab Arif Nadeem confirmed that at least agriculture department in Punjab is not feeling any stress over transfer of the subject.
He said that transfer of the subjects are beneficial and is in interest of the people in Pakistan.
On finances, he said that there is no limitations of the resources as private sector investors are ready to invest in the sector.

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