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Japan International Co-operation Agency (Jica) and International Development Centre of Japan (IDCJ) have recommended to the concerned ministries and the provincial governments to work together with the people engaged in the food processing business and help them establish a food processing association or board.
In a report, the JICA said that such an association or the board should chalk out its own policy and strategies aimed at activating the industry and boosting exports of processed food.
The report further noted that agricultural products, having regional base, characteristics and indigenous in nature, were the main industry of Pakistan's economy, contributing 23 percent of the gross domestic product (GDP) and 42 percent of the total employment to the 67.5 percent of the total population, which was dependent on agriculture and livestock farming.
However, the report stressed the need for activating and establishing the food processing industry, which could directly contribute to increase in job opportunities and raise household incomes in the rural areas.
Referring to Pakistan's large potentials for food processing development, the report pointed out that the Pakistan government had applied various kinds of agricultural policies and measures to increase agriculture production, especially for wheat, cotton and sugar.
But little attention had paid to increasing fruit and vegetable production, their distribution system, including their processing and marketing, the report said, adding besides wheat, cotton or sugarcane, fruits and vegetables could easily be handled to add more value by processing.
"Value-added production, eg processed food, has a lot of potential for export. There are many business chances in the food processing industry, which also create many jobs to eradicate poverty in rural areas.
"Learning from other country's experiences, Taiwan, Thailand, the Philippines, Indonesia and Malaysia have selectively developed their food processing industry. As a result, the export of processed food of these countries have helped to increase their GDPs and reduce poverty level," said the report.

Copyright Business Recorder, 2007

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