Punjab budget 2021-22: Rs36.496bn earmarked for agriculture, food security and livestock

LAHORE: The Punjab government has proposed to collectively allocate a sum of Rs 36.496 billion for agriculture, food security and livestock as development budget out of which Rs 31.497 billion has been earmarked for agriculture and food security while Rs 5 billion have been proposed as development budget for livestock sector for the year 2021-22.

As per the budget documents, over Rs 18.375 billion have been allocated for 30 ongoing schemes and over Rs 13.122 billion for new schemes. Similarly, over 1.572 billion has been allocated for 16 ongoing and slightly over 3.427 billion has been earmarked for 20 new schemes in livestock sector.

In the budget speech, the provincial finance minister mentioned that it is proposed to enhance development budget of the agricultural sector by 306 percent from Rs 7.75 billion for the current financial year (2020-21) to Rs 31.5 billion for the next financial year.

According to the budget documents, agriculture sector performance during FY2021 was impressive with crops sector showing exceptional performance baring cotton crop. There are bright prospects that the cotton crop will rebound in the coming year and remaining important crops will also build on the productivity gains.

Punjab is predominantly agrarian and remains the food basket for the entire country. The production sector is focused on food security, provision of raw inputs to agri-based industry. It provides employment to a large segment of the population and also generates sizable revenue through exports. In addition to the current non-development expenditure in FY 2021-22, Punjab government has committed resources for several initiatives to strengthen the production sector and provide support to small scale farmers particularly.

An amount of PKR 1.200 billion is allocated for crop insurance program, farmers shall be provided subsidy on agricultural inputs and an amount of Rs 2.4 billion is earmarked for interest free loan schemes for farmers. Budgetary allocations for agriculture during FY 2021-22 will contribute towards improved research and better extension and field services for farmers. While Rs 1.4 billion have been earmarked for enhancing beef production through calves and feedlot fattening, Rs 458 million for propagation of poultry for animal protein to counter stunted growth and another Rs 2.6 billion for genetic improvement of non-descript cattle in Punjab.

The provincial government has also proposed an allocation of Rs 100 million for disease diagnosis, reporting, surveillance system and ISO Certification of provincial diagnostic labs, Rs 86.2 million for strengthening veterinary services in tribal areas of DG Khan and Rs 143 million for progeny testing programme for cattle and buffalo.

Copyright Business Recorder, 2021