Pakistan could prevent agricultural losses worth up to Rs. 3.52 trillion by improving crop storage and reforming agricultural markets, Securities and Exchange Commission of Pakistan (SECP) Chairman Dr. Kabir Ahmed Sidhu said.
Speaking at the Pakistan Institute of Development Economics conference titled “Mission $100 Billion,” Sidhu said Pakistan loses an estimated 20 to 40 percent of its crops after harvest.
Agriculture contributes 23.44 percent to Pakistan’s gross domestic product, while the total value of its crops stands at around Rs. 8.8 trillion. Each percentage point of post-harvest losses represents approximately Rs. 88 billion in lost value.
Pakistan has only 326,000 metric tons of approved warehouse capacity, compared with an estimated 55.7 million metric tons of storable dry agricultural commodities produced in the country, Sidhu said.
He called for investment in modern warehouses, cold storage and transportation systems to reduce losses and improve farmers’ access to markets and financing.
The SECP is working to promote electronic warehouse receipts, which would allow farmers to obtain bank loans against stored crops rather than selling their produce immediately, potentially at lower prices.
The proposed framework would also connect agricultural markets with online trading platforms through a national spot market. Provincial authorities would continue overseeing agricultural markets, while the SECP would provide technical support.
The system would gradually cover wheat, rice, corn, cotton and sugar. Standardized grading, weighing and quality rules, along with digital transaction records and the registration of traders and commission agents, would help improve price transparency and protect buyers and sellers.
Sidhu also called for reliable payment systems and updated rules covering agricultural market licensing, fees and commodity movement.
He said better storage and more efficient agricultural markets could reduce crop losses, improve farmers’ earnings and help Pakistani produce reach export markets.
