Documenting the economy

Editorial Dec, 13 2023
Documenting the economy
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Talks of tax on agricultural income have been going on in the country for decades because a large part of our population is agriculturists, but no significant progress has been made in this regard so far.

A clear proof of this fact is revealed in the recent report of the World Bank that 90% of agricultural workers in Pakistan do not pay taxes, while the share of taxes due to the improvement of income tax collection on agricultural income is one percent, while all the required reforms in the tax system may increase up to two percent.

According to the report, the reason for this poor situation of taxation on agricultural income is the lack of coordination between the federation and the provinces.

The overall status of income tax in the country can be estimated from the statistics of the World Bank that only 80 lakhs out of 11.4 million people with full employment, i.e. only about 14th of the total number, are registered for income tax.

These figures of the World Bank  are  certainly not surprising. The defects of our revenue system are not hidden from anyone.

According to analysts, only the salaried class pays full tax in Pakistan, while most of the landlords, property dealers, legal fraternity, education institutions, parliamentarians and rulers pay nominal tax.  This is the reason why the common man has to pay the heavy burden of indirect taxes in the country in the form of GST on all necessities and heavy taxes on electricity, gas, petrol etc.

This is also a major reason for the rampant inflation in the country. If the big zamindars, waderas, nawabs, jagirdars and powerful classes like property dealers,  pay the full tax on their income, the situation can definitely change positively.

For this it is necessary to fully document the economy and modern technology has made this process much easier than in the past so immediate and fruitful progress should be made in this direction.

Meanwhile, analysts say that if the agri sector is developed on modern lines, it  not only yield great revenue tax-wise but also can result in making us self-sufficient in food sector.

Pakistan is primarily an agricultural country and its economy depends on agriculture, but due to poor policies of the governments, adverse natural conditions or misfortune, an agricultural commodity exporting country is currently forced to import wheat and food items as a result. The foreign exchange reserves have shrunk and the trade deficit has increased to an unsustainable level, the measures taken to control it are not working.

In such a situation, the determination of the Pakistan Army to contribute to the efforts to bring about an agricultural revolution in the country must be appreciated. The foundation of agricultural revolution has been laid with the inauguration of Model Agriculture Farm in Khanewal. Army Chief General Syed Asim Munir expressed his firm intention to get Pakistan out of the current economic crisis and said that the agricultural revolution will continue. No power in the world can stop us from progressing. With this announcement of the Army Chief, the morale of those who grow grain by ripping open the chest of the land will certainly be high.

These words of the Army Chief reflect the fact that security and economy go hand in hand because security is indispensable for economy and security for economy. Pakistanis are a proud and talented nation and the Pakistan Army is proud to serve its nation.

We will create modern farms in the style of Khanewal model farms, which will be spread across Pakistan. This will lead to an agricultural revolution that will benefit small farmers. The practical manifestations of the determination expressed by the Army Chief are being seen in different parts of the country.

The Pakistan Army not only protects the borders but also stands with the nation in every difficulty even in times of peace. It is the first to come to the aid of people in natural calamities, it also plays a commendable role in projects to provide education, health, communication and other facilities of life in peacetime.

At present, when Pakistan is going through a very difficult period of economic decline, the determination to put the country back on its feet by bringing about an agricultural revolution is a bold step that can be implemented by collective efforts.

In this regard, the concept of model agricultural farms is the result of a revolutionary thought, which has been implemented from Khanewal. Millions of acres of land in the country are barren and uninhabited. By making it arable, Pakistan can revive its declining economy.

Farmers are an example of hard work and perseverance for our farmers. If they are provided modern facilities, they can produce gold from soil.

Many schemes have been announced in this regard. These include providing cheap fertilizers and loans on easy terms. There is no reason why the dream of agrarian revolution cannot be realized if the government coming after the elections continues to follow the farmer-friendly policies of the current government and improves them further.

It may be mentioned here that recently seminar was held in this regard. In order to consider the measures to control the food shortage situation, a national seminar on the issue of food security was held in Islamabad recently.

Experts said Green Pakistan, which can rightly be called the Agricultural Revolution. General Asim Munir said in his speech that we have all kinds of capabilities. Pakistan has to develop which no power in the world can stop. Pakistan Army will fulfill the aspirations of the nation with full zeal in implementing all government initiatives like Green Pakistan under the Special Investment Facilitation Council. Prime Minister Shahbaz Sharif said that the Green Initiative will be the second major green revolution for the country after 1960, which will open new avenues of development for Pakistan, under which foreign investment of 150 billion dollars is expected in the next five years, 40 lakh people will get employment.  In a couple of years, our agricultural economy will be restored. After which we will not have to go out and ask for loans.

The speakers which included experts from agriculture, textile, leather and livestock sectors paid special attention to the agricultural development and appreciated the government and Pakistan Army and emphasized on public private partnership in this regard and bringing economic benefits to small farmers.

Published in The Daily National Courier, December, 14 2023

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NC Desk
NC Desk https://www.dailynationalcourier.com/author/nc-desk
Daily National Courier is a leading morning English newspaper of twelve pages covering all international and national political developments on 24/7 basis.

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