Sunflower acreage has declined steadily over the last decade and has become stagnant in recent years. The main reason for the decline is oil-seed prices that are in competition in the market with prices of other crops such as wheat.
This is why the Punjab government’s recent announcement of Rs5,000 per acre (for a maximum of 10 acre cultivation) subsidy is welcome to encourage sunflower farmers to increase production. Whether the amount is sufficient to increase cultivation remains to be seen; though farmers have been urged to grow sunflower instead of opting for late sowing of wheat in the current season.
Pakistan has an abysmally small crop of edible oil seeds, of which sunflower accounts for only 3 percent in terms of area under cultivation. Subsidies alone will not increase edible oilseed production. While traditional crops have systems in place for procurement and processing, efficient or otherwise, there is an absence of established proper markets for sunflower produce as well as government procurement centers.
Another hurdle is the procurement of sunflower seeds since the crop is not native to Pakistan. A 2013 study by Pakistan Agriculture Research Council (PARC) identified a price difference of Rs550-1050 per kg depending on whether the seeds were procured from dealers or bought directly from companies that imported seeds.
Despite these challenges, net profit per acre was estimated at approximately Rs11,000 and Rs13,000 with and without land rent, respectively. Excluding land rent, this was double the return per rupee invested; hence sunflower cultivation is a lucrative crop to invest in.
The bulk of the edible oil import bill consists of palm oil and its fractions that are used to make ghee. It has often been argued that if the masses had higher disposable incomes, consumption of cooking oil would be preferred over Vanaspati because of health benefits. Since palm oil has a lower price point than competing vegetable oils, ghee is opted for by the overwhelming majority. Growth in sunflower cultivation would decrease the import bill and promote consumption of a healthier alternative.
The initiative to support oilseed production for import substitution as well as higher net profit for farmers has been taken by Punjab, which has pitched a Rs1 billion subsidy for canola and sunflower this season. Sindh needs to follow suit given that less than a decade ago, bulk of sunflower grown in Pakistan was concentrated in Sindh.
Concentrated efforts at the provincial and federal level are required to inculcate sunflower into cropping patterns. Sunflower works in farmers’ favour in terms of profits, helps in bringing down the import bill, and promotes healthier eating habits. Its cultivation cannot be allowed to stagnate.
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