A farmer of five acres can earn up to Rs 50 million through government’s tree plantation scheme. How?

 

The Punjab government has come up with a landmark public-private partnership plan under which incentives and facilities are being offered to private landowners to fill their vacant spaces with trees and earn exchequers in million. 

 

The five-year partnership earns Rs 5 million to 6 million per acre to a farmer on average.  

Beside monetary benefits, plantation is the most effective way to turn the tide of climate change.  

 

How does the government help landowners for afforestation?  

 

The government bears 70 per cent of charges for land leveling, and irrigation system installation and provides subsidized plants, seeds and saplings, free consultancy for better growth of trees and marketing strategies to sell timbers for five years.  

Usually, a plant is provided at Rs 2 and two saplings for Re 1.  

The government binds the party to nurture and cultivate the forest area for five years. During the five years of the agreement, the farmer cannot cut or sell plants. During this time, the farmer will be bound to irrigate the forest and take care of it.  

In case a plant does not grow, dies or is eaten up by passing by cattle, farmers can plant a replacement tree to fill the space.  

After five years, when plants are fully grown trees, the landowner can sell trees for a better return.  

 

Who can benefit from the scheme?  

 

Any landowner who has five acres to 15 acres can apply for the scheme.  

 

How to apply for the scheme?  

 

A landowner needs to write an application to the forest division seeking help for afforestation on their land on a paper. They need to attach the following documents with the application: 

• A copy of CNIC  
• Photo copy of land owner deed (fard malkiat) 

 

 

The economy of the scheme 

 

Under the scheme, it is advised that a farmer plants 1,200 trees per acre. The cost of the plants will be Rs 2,400. For five acres, the cost will be Rs 12,000. 

A diesel-powered tube well costs up to Rs 80,000, of which the government will provide 70 per cent of the price.  

A solar-fired tube well costs Rs250,000 to 350,000 and again the similar arrangements are in place.  

Average monthly expenses for a five-acre forest are Rs 25,000 – Rs 15,000 for a farm labourer and Rs 10,000 for diesel.  

For five years (60 months), expenses will be Rs 1.5 million altogether. This is despite the fact that in the last two years, irrigation needs diminish as trees are self-reliant to get water through their roots.   

 

A five-year-old tree is sold at Rs 5,000 to 10,000, depending on the rates of timber at that time. If the price is taken at Rs 5,000, and the number of trees 10,000, the projected income will be Rs 50 million. Take out average expenses of Rs 1.5 million, a farmer can get away with Rs 48 million. Not a bad deal.  

 

Which plants can be grown for a better return?  

It depends on the region, climate and land quality.  

These plants can be grown almost all over Punjab:  

نیم or Azadirachta indica  

شیشم یا ٹاہلی or Dalbergia sissoo  

املتاس or Cassia fistula  

سکھ چین or Millettia pinnata  

کیکر or keekar  

پیپل  or pipal  

آم  or mango tree  

مالٹا or kinnow 

جامن or jaman- 

زیتون or Olive  

شہتوت or mulberry  

بیری or berry  

 

The best season to plant trees  

Tree plantation seasons fall in January to March and July and August.  

 

Planation can be a best mean for income generation besides a best gift to local environment.

In matters of money, and job, think twice because FATF law is watching you

Think twice before offering a financial help in the form of charity and/loan to any of your acquaintance, friend, relative or a business partner.

Before establishing a financial transaction with anyone, you must be certain of the charter and credentials of the other side.

If at any point, it is established that the person or the company, which had some monetary relations with you, is also involved in certain dealings which fall under terrorism charges, you will be in trouble.

Not only financial transactions, it is also about your job and employees too.

If you are working with such an organization, whose owner or any top director is found involved in a terror activity, you are in hot waters.

How?

The National Assembly and the Senate have passed ‘The Anti-terrorism (Amendment) Bill, 2020’ and the United Nations (Security Council) (Amendment) Bill, 2020’. It is said the two laws were necessitated from the Financial Action Task Force (FATF) so that Pakistan was taken off the grey list. The two laws which are directly related to the welfare of the state, and the government in any way, however, faced sloganeering and strong protest from the opposition members in the house.  

Let us discuss the two laws and their effects on a common man.

First, Anti-Terrorism (Amendment) Bill, 2020

The bill is about increasing the punishment, including the fine from existing Rs10 million to Rs25 million, besides introduction of a jail sentence for 10 years for those found involved in terror financing through illegal money transfers. This means the banks and financial institutions or persons are to be held liable if the loan sum is found to be used in terror-related activities. Earlier, our legal system offered no severe punishment for terror financiers.

Look at the bill’s Section 3 (b) v: no bank or financial institution or any other entity providing financial support shall provide any loan facility or financial support to proscribed person or issue the credit cards to proscribed person; and (vi) the arms licenses, if already issued, shall be deemed to have been cancelled and the arms shall be deposited forthwith in the nearest Police Station, failing which such arms shall be confiscated and the holder of such arms shall be liable for the punishment provided under the Pakistan Arms Ordinance, 1965 (W.P. Ord.XX of 1965). No fresh license shall be issued to such person for any kind of weapons. ".

This implies that those who are convicted of terror-related charges, will never be able to obtain a loan from banks, and no arm license.  

The bill goes on:

"(3) A person commits an offence if he pays for or provides money or other property or facilitates the travel of a person anywhere for the purpose of perpetrating, participating in, assisting or preparing for a terrorist act or for the purpose of providing or receiving training for terrorist related activities. (4) The provisions of sub-section (2) shall also apply to the following; (a) organizations owned or controlled, directly or indirectly, by proscribed organizations or proscribed persons; and (b) Persons or organizations acting on behalf of, or at the direction or proscribed organizations or proscribed persons."

21 lf a legal person commits an offence under sections: such person shall be liable on conviction to a time not exceeding fifty million rupees. (3) Every director, officer or employee of such legal person found guilty shall be punishable on conviction with imprisonment for a term not less than five year; and : rot exceeding ten years with fine not exceeding twenty-five million rupees.".

The law provides punishment for those who are found funding for a terrorist’s travel, participation in a terror activity or training or any other activity will be liable for punishment.

Punishment is very tough: Rs25-50 million fine and up to 10 years in jail.

This scribe discussed the implications of the bills with a couple of lawyers.

They said the law was draconian in nature, as it made financial transactions almost impossible.

“Police can establish the links of a person on trial with almost all of their friends, acquaintances and family members,” said lawyer Naseem Abbas.

PPP Senator Raza Rabbani opposed the bills in the Senate. He was not available for comment.  

This scribe spoke to Prof Sarfraz, former director of the Area Study Center of the Peshawar University about the good and bad side of the acts.

“Making acts of law is one thing, and their judicious implantation is another,” he said.

“To my view, these laws will stifle civil society and non-government organisations, mostly the international one to get permission for welfare work.”

At the end of the day, these laws will be used against political activists, he concluded.

But there is light at the end of the tunnel.

Jahangir Rauf is a corporate lawyer based in Lahore. He said if people made their financial transactions through banks and through written contracts, they would be safe.

Now, the United Nations (Security Council) (Amendment) Bill, 2020’

The bill empowers the government to take actions recommended under the Security Council resolutions such as the freezing and seizure of assets, travel ban and arms embargo on the entities and individuals, who are designated on the sanctions list of the United Nations. The UN Security Council Resolution 1373 requires member states to implement counter-terrorism measures, especially countering the financing of terrorism through their domestic laws. This obligation is implemented in Pakistan through Anti-Pakistan Act, 1997.

This bill heralds troubles for the proscribed organizations, such as Lashkar-e-Taiba, Jaish-e-Muhammad, etc.

Earlier, these organizations and people affiliated with these bodies got away with such excuses that they had never violated the law of the land.

It is hoped that these bills will help the government evade the FATF grey list and help law-enforcers eradicate terrorism from Pakistan.  

The not so sweet story of sugar – white poison’s rates may go up again

Sugar is being sold at Rs 85 to 100 per kg all over the country.

The government has fixed its rate at R s63 to 70. (As Rs 63 has been rejected by the sugar millers, later Rs 70 per kg was agreed between the government and the millers.)

In December 2018, the first year of the Pakistan Tehreek-i-Insaf, the white sweetener’s rate was Rs 55 per kg.

Then something strange started happening well before the start of the crushing season that sugar’s rate gradually went up.  

Sugar is becoming sour day by day. Tough days are ahead for sugar consumers as sugar suppliers may run short of supplies

The public complains the commodity which is almost all Pakistanis’ kitchen vital part is becoming out of reach. The government looks worried.

Chief Minister Usman Buzdar has ordered the food secretary to take measures to ensure that sugar and flour are available, sufficiently available and available at official rates.

It should not have been an impossible task given the power of the government to enforce its writ.

No. NO.

The government has miserably failed to comply with the chief minister’s orders.

But why?

Government’s actions

On Thursday (July 23), Punjab Food Secretary Asad Gilani visited Muzaffargarh where sugar’s normal price is Rs95 to 100 per kg.

Muzaffargarh is home to four sugar mills – Fatima Sugar Mills, Sheikhu Sugar Mills, Tandlianwala Sugar Mills and Haseeb Waqas Sugar Mills (sealed on the Supreme Court orders).

“Well, I’m here to order the district administration to check the stock of sugar mills and flour mills,” he tells Daily Pakistan.

“I’ve asked the district officer industry and the district food controller to check the electric meter of mills and start of crushing season dates. Moreover, I’ve formed teams to check sugar stocks in mills.”

Sir, why is sugar being sold at inflated rate?

“I’ve asked the district administration to look into it as there is no issue of the availability of the stock. Up to 960,000 metric tonnes of sugar is available in Punjab alone and of the available stocks, 16,000 metric tonnes are being sold in Punjab on a daily basis. When the supply is sufficient, deputy commissioners should check it ensures the availability of sugar as well as flour on the official rate. And I know it is being sold at official rates.”

He said his teams would see if the commodity was being smuggled to other provinces.

Deputy Commissioner Amjad Shoaib Tareen said that in Muzaffargarh district there are 24 sales points of sugar as 112,000 metric tonnes had been stocked here while 115,000 metric tonnes of sugar had been sold in the first seven months of the year.

What do sugar millers say?

Javed Kiani is the Pakistan Sugar Mills Association president. He led a delegation to meet Federal Minister for Industries and Production Hammad Azhar in Islamabad earlier this week.   

“We met Hammad Azhar to discuss the issues related to Sugar Advisory Board meeting,” he tells this scribe.

“We told the minister about the physical verification of the stocks. We have no issue with it. The real issue is the reporting of cane commissioners about the available stocks. Their reports are flawed and have no salt or meat. We asked the minister to get the physical verification of mills’ balance of production stock.”

What about the available stocks?

“Well, we have 1.6 million metric tonnes stock available”

Is it enough to meet local needs?

“No. The government needs to import three million tonnes at the earliest, otherwise the government will be repeating the last year’s mistake for banking on the wrong figures.”

Why is sugar not available at official rates?

“This is a good question. Look, this year, the crop was short and for that reason, while its official rate was Rs 180 per 40kg, which later rose to Rs210 and some cases Rs 240 to 250. This cost us sugar Rs 83-84 per kg. Naturally, these things made it hard for us to sell the commodity at Rs 63 or even Rs 70.”  

If the government imports three million tonnes of sugar, will it solve the problem?

“One will never know. You know the international price of sugar is $350 per tonne, which makes it landed cost Rs 84 per kg at the Karachi port. If you buy it from Gulf, its landed cost is Rs 91, while Brazilian sugar cost us Rs86 per kg at the port. Now, add up its packaging and transportation cost, it will be sold at Rs 95 to 100 per kg.”     

What is the long-term solution to stabilize sugar prices?

“The cure lies in deregulating the sugar sector. The government should stop fixing the support price of the yield. There should be market economy rates of the crop. Government’s intervention should be less and less. This will benefit both farmers and millers.”

What do farmers and sugar dealer say?

Dr Khalid Mahmood Khokhar, president of the Pakistan Kissan Ittehad, says the government should immediately bring down the price of sugar, and take strict action against the sugar mafia. He says sugar millers have robbed people of Rs 85 billion in one and a half year. He says the sugar inquiry commission report should be implemented as “embezzled money belonging to sugar cultivators should be returned to them and strict action should be taken against the sugar mafia".

On the other hand, Malik Javed, sugar dealer's association president of Lahore, says that ex-mill rate of 100 kg sugar is Rs 7,750 while they sell it at the same rate, which makes it Rs 85 per kg.

Sugar crisis and inquiry commission report

When the sugar prices started registering a gradual increase in 2019, Prime Minister Imran Khan made an inquiry commission under the FIA director general, Wajid Zia, to probe into sugar and flour shortage. In April last, the inquiry report hit the press. It shook both treasury and opposition benches as prominent politicians, who happened to be the owners of sugar mills, had minted billion in export rebate by the government while the commoner had to pay a heavy price in terms of price hike. So far, it is estimated, the sugar consumers have paid almost Rs 85 billion to millers. Of them, according to the commission, PTI’s Jahangir Tareen’s Jamal Din Wali group got away with 19.97 percent, Makhdoom Khusro Bakhtiar’s brother Omer Sheryar ‘s RYK group 12.24 percent, Al-Moiz group 6.8 percent, Sharif family 4.54 percent, Omni group’s share is 1.66 percent and so on.

What’s going to happen with sugar prices now?

Since the international market is selling sugar at Rs 86 to 91 per kg, and Pakistan has to import the commodity, the white sweetener is going to poison the economy of both the commoners and the government. It is going to cross the figure of Rs 100 per kg soon.

The government needs to give subsidy to farmers for cheap production of sugarcane and a lower price of sugarcane will ensure lowering the prices of sugar.

The other way to fight the sugar crisis is in less usage of the commodity. This will improve both health and wealth of the consumers.

Food for thought: why within two months of harvesting season, wheat is nowhere?

From the common man to wheat farmers, retailers, flour millers and chakki owners, all are complaining about the shortage of wheat in the country.

Now, a federal minister – Federal Minister for Food Security Fakhar Imam – has also joined the chorus that where has wheat gone just within a couple of months of its harvesting season.

Why Pakistan, which has been storing surplus wheat since 2010, has come to a point that wheat is hard to find in the open market at government’s fixed price, while flour is also being sold at inflated rates.

Minister Fakhar Imam has said on the floor of the house why wheat and flour are being sold at exorbitant rates soon after the harvest season. He went on to say more than six million tonnes of wheat was bought from farmers in April and May “which has vanished in the market”.

Minister Fakhar Imam needs to be corrected.

He says that six million tonnes of wheat has vanished.

Here are procurement and storage of wheat updates.

For 2020-21, the Federal Committee on Agriculture set a procurement target of 27.03 million tons from 9.2 hectares (22.73 million acres) in 2020 in the sowing season. When the target was set, it was predicted that Pakistan would get a bumper crop this year, almost two million tonnes more from the five-year average (25.38 million tonnes) but below previous expectation of a bumper output,” Food and Agriculture Organisation of the United Nations says. The average production stands close to the total annual requirement for the grain in the country.

Everything went well until March and April 2020 when hailstorm with relentless depleted the prospects of the bumper crop. In many places, the standing crops were demolished overnight, thanks to abortive weather patterns.   

By the time, the procurement drive ended, the government was far behind its target. It could buy 22 million tonnes.

This 22 million tonne wheat is well stored in provincial governments’ and Passco’s warehouses.

Where is six million tonnes of wheat gone?

This is the question Minister Fakhar Imam has raised too.

Let us talk to flour millers and farmers to trace the missing stock.  

Ibrahim Mughal is the Agriculture Forum of Pakistan chairman.

He said the target of 28 million tonnes was unrealistic from the very beginning given the fact that this year the wheat cultivation area was 21 million acres only against the target of 22.73 million acres from October 2019 to February 2020.

“When the sowing acre is less from the previous year, how can you expect three million tonnes more wheat from the previous produce?” he questioned the logic of the government’s wheat target.

He explains the reason behind shortfall in sowing acres.

“In fact, it is the soaring cost of production, such as higher fertiliser prices, and a low support price (Rs1,450 per 40kg for the current year) hardly encouraged the farmers to sow wheat seeds on a larger area,” he said.

Moreover, weather was not kind this year too.

This year, erratic rain and hailstorm battered the wheat crop in central and south Punjab, the main capital of wheat forms. Besides weather, the yellow rust attack just before the final stage also left the wheat farmers reeling.

So, high production cost as well as bad weather ate up almost two million tonnes of wheat.

Flour millers insist that government’s flawed policies as well as pandemic added up to the wheat problem.

Majid Abdullah runs a flour mills in Lahore and is the head of the Progressive Flour Millers Group.

He calls government’s wheat policy flawed and that “the government itself created the crisis”.

“The government set a wrong procurement policy where no flour mill was allowed to buy the produce,” he tells this scribe.

“Earlier, flour mills would buy about one million tonnes of wheat to keep their mills running before the government released wheat to them in October every year. This year, the government banned flour mills from buying the wheat from farms. In the open market, the staple food is being sold at Rs1,800 to 2,200 per maund. How is it possible for millers to buy wheat at Rs2,200 and sell it at Rs1,450?”

When the Punjab government has started releasing wheat to flour mills, why is flour still not available at government fixed prices?

“Well, the (Punjab) government is releasing only 17,000 tonnes of wheat every day under its interim policy approved in the first week of July, whereas the demand is 25,000 tonnes. Unless the shortfall is not met, flour will hardly be available at Rs850 per 10 kg.”

The Punjab government, however, cannot risk releasing 25,000 tonnes of wheat a day as it will deplete its wheat reservoirs by February or March. It has already started releasing the wheat in July instead of October. Moreover, the other provinces are still sitting on their stocks. Sindh has clearly said it will release wheat from September.

In this situation, the flour price cannot be stabilized.

Punjab Food Secretary Asadur Rehman, however, rejects the impression that the target was unrealistic or the weather factor damaged the crop.

“We have seized hundreds of tonnes of wheat from hoarders, which we will supply to flour mills at official rates,” he said. He also accused the flour mills of hoarding wheat.

Majid Abdullah, however, rejects the food secretary assertions and say that the government is welcome to raid mills and confiscate the stocks.

He advises the government to arrange 1.6 million to two million tonnes of wheat stock at the earliest.

Now, the million dollar question is: how to arrange the food crop?

In the international market, wheat is available at Rs2,000 per maund, and when added transportation and storage and supply charges, it will reach Rs2,200 per maund.

The government will have to go for wheat import. In fact, the government has already reached the international market to buy the wheat stock.

Ministry of the National Food Security and Research Omer Hamid Khan says they have allowed the private sector to import wheat and in this regards private buyers have placed orders for import of 270,000 tonnes which is due by September.

 The thing to be noted is: will the government allow private buyers to sell wheat at Rs2,200 or they will be restricted to sell flour at Rs850 per 10kg?

So, wheat stock is available with provinces and Passco, and of them only Punjab is releasing interim quota to flour mills. Flour prices will be come down in September and October when all provinces will start releasing wheat to flour mills.

Zardari told to take extension dose for speedy recovery

Prescribing treatment in London or Dubai, the doctors of Asif Ali Zardari have advised him to consume Army Extension Act in parliament for a speedy recovery. PPP Co-Chairperson Asif Zardari, currently under treatment in the hospital of already on bail, Dr Asim Husain, has been told to take the prescription seriously as any delay in taking the heavy dose of extension act may prolong his stay in Karachi or NAB detention. 

A team of government doctors on Thursday reached out to ailing politicians for treatment suggestions and support for making amendments to the Army Act and the Constitution. Zardari was told the dose would keep both him and Chief of the Army Staff (COAS) Gen Qamar Javed Bajwa healthy and fit.

Zardari also learned that his brother in illness Nawaz Sharif had already taken the dose and soon after the drug, he was feeling better and his platelets had improved. Soon, Maryam Nawaz will meet her father and confirm to the Vote ko Izat Do wali nation about the health of her father.

It is learned that PPP Chairperson Bilawal Bhutto-Zardari wanted to get a second opinion about the extension dose. Reportedly, former prime minister Yousuf Raza Gilani has asked his leader to think twice before administering the dose.

He said he had taken the extension dose in 2011 but its side-effects soon fell him terminally ill. PPP leaders Faryal Talpur, Khurshid Shah, Sharjeel Memon, Asim Husain and others have urged the party chairman to get the extension pills for them too.

“It’s very easy to reject the extension dose while sitting in a newsroom or cozy DHA bungalow, but hard to spend a night in NAB cell,” said Memon.