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Ngo Report on Agricultural Support Fund Fund (Asf) Pakistan

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Function/operational areas of ASF
ASF in Pakistan specifically focuses on the following areas: * Horticulture i.e. fruits, vegetables, dry fruits, dates, spices. * Floriculture * Livestock (excluding poultry and fishery) & Dairy
The function in the above areas because according to them these area are largely ignored even though they contribute significantly to Pakistan GDP.
Horticulture
Horticulture is considered to be the science, business and art of growing and marketing fruits, vegetables, flowers, and ornamental plants. It is unique among plant sciences because it not only involves science and technology, but it also incorporates art and design principles.

The horticulture sector in Pakistan represents tremendous unrealized potential and what is needed is systematic and focused attention, for Pakistan to carve a niche for itself in this global market of $ 80 billion. Of Pakistan's 88.2 million hectares of land, approximately 20 million hectares are used for agricultural and horticultural purposes. Of that amount only 20 percent is considered to have the potential for intensive crop production.

Presently Pakistan annually produces 13 million tons of fruit and vegetables valued at around $ 2 billion, and out of this only about half a million tons valued at $ 140 million, is exported. The factors inhibiting export growth include our inability to comply with quality and sanitary/phytosanitary standards and insufficient shelf life of our fresh fruits and vegetables. Export expansion for fruits and vegetables products is held back by the poor quality of seeds, lack of proper packing materials, inadequate transport, and undeveloped state of the marketing system.

About one-half of Pakistan's population depends on the agricultural sector for employment. The agriculture and horticulture sectors account for approximately 25 percent of the country's gross national product and support 70 percent of the population's food needs.
Success of ASF in Horticulture can be measure by their efforts of protecting ate crops in Pakistan. Pakistan is rated as among the top five date producing countries in the world with 84.695 thousand hectares under dates production. There are a number of date palm varieties in the country with an average production of 0.5 million tons per annum. Pakistan also exports dates to India, Bangladesh, Canada, USA, UK and other countries. Problem was that harvest season for dates was june and july but it clashed with the monsoon rainfall and resulted in 80% destruction of the crops. Moreover traditional old unhygienic methods further detoriated dates value resulting loss as high as 40% for farmers.
In 2010, ASF initiated a project wherein over 300,000 Tyvek bags were distributed to the date-palm growers. Tyvek bags are water resistant and are used in developed countries for protecting agricultural produce from rain, birds, extreme sunlight etc. With the assistance of local associations, NGOs and rural support programs, the project was succesfully implemented in Khairpur & Sukkar (Sindh), Muzaffar Garh (Punjab), D. I. Khan (Khyber Pakhtunkhwa) and Turbat & Punjgoor (Balochistan). ASF provided training to the growers in the handling, usage and storage of Tyvek bags.
The project was successful since the crop not only survived heavy monsoon rain but also the quality and taste was improved. Incremental revenues were generated by the growers due to better quality and upto 35% increase in yield thereby having a direct positive impact on the livelihood of community.
Floriculture
Floriculture industry is an important component of the economy of many countries worldwide. In Pakistan floriculture is not very well developed and therefore has a negligible share in worldwide floriculture trade. This is despite having fertile lands, suitable temperature, good sun-shine, best irrigation system, cheap skilled labor and rich resources to venture into this lucrative business which cannot only generate rural employment but also fetch precious foreign exchange.
Pakistan’s fresh flower market is flooded with roses which are not only used in different ceremonies but also in perfume industry and in many Auravedic and Greek medicines preparation. Other types of flowers found in the domestic market are Tulips, Orchids, Lily, Jasmine and Gladioli. Flowers which dominate the world market are Roses, Carnations, Chrysanthemums, Orchids, Gladioli, Tulips, Freesias, Gerberas, Narcissus, Iris, Lilies, Amaryllis, etc.
The demand of flowers is continuously growing in the world. According to the figures of 2005 total world trade in flowers was around $45 billion. Out of the total floriculture trade worldwide, cut-flowers sales account for 50 per cent and plants 41 per cent; bulb and cut foliage make up rest of nine per cent. Netherlands, Columbia, Israel, Italy, Belgium, Denmark, the US and Ecuador exports 74 per cent of the value of the world’s floriculture crops. Netherlands is the market leader with about 65 % of the total sales of flowers and plants. Netherlands is the also market leader in the supply of young plants material, seed, equipment and they have very high harvesting & technical standards & updated with the latest trends and techniques.
In Pakistan, the floriculture industry has tremendous potential to stimulate economic growth and lead to poverty alleviation. The real potential in domestic consumption and export of cut flowers could be realized if proper guidance is provided to the local growers. Initiatives are underway for the promotion of floriculture to enter the global floriculture trade.
To further enhance floriculture industry in Pakistan ASF initiated Gladiolus production
Pakistan has a negligible share in worldwide floriculture trade despite having fertile lands, best irrigation system and rich resources to venture in this innovative business. Of the total floriculture trade in the world, cut-flower sales account for 50%, plants 41% and bulb & cut foliage make the remaining 9%. More than 50% of the floriculture products comes from Netherlands, which possess much fewer natural resources than Pakistan. Our small scale farmers are unaware of high value floriculture farming and earn nominal returns from traditional crops. There is a dire need to introduce modern technology to attract farmers towards this potential enterprise. A high potential flower suitable for this market is the Gladiolus. These flowers open serially along a strong stem and enjoy a long life. When cut at a very early stage of bud opening, their stiff stems allow them to be shipped standing upright in wooden crates without damage to the heavy blooms. This characteritic makes these flowers very suitable for export.
ASF, in collaboration with National Rural Support Program (NRSP) in AJK and Taragee Foundation in Baluchistan, supported 67 farmer enterprise groups (FEGs) consisting of 670 farmers to undertake cultivation and marketing of Gladiolus. The introduction of Gladiolus cultivation has revolutionized agri-farming in these regions.
Under the project, initially 1.70 millions bulbs of Gladiolus were cultivated and marketed to prime markets including Quetta, Lahore, Karachi and Islamabad. The farmers have reported an average increase of 5 times in their per acre revenues after switching to high value floriculture farming. LivestockLivestock & Dairy sector has played a significant role in national economy and rural social system over the years by providing quality food and export earnings. Livestock sector contributes almost 50 percent to the value addition in the agriculture sector, and almost 11 percent to Pakistan’s GDP, which is higher than the contribution made by the crop sector (47.4% in agriculture and 10.3% in GDP).The role of livestock sector in the rural economy of Pakistan is very critical as 30-35 million rural population of the country are engaged for their livelihood. Within the livestock sector, milk is the largest and the single most important commodity. Pakistan is the fifth largest milk producer in the world. The total value of milk produced is higher than the value of two major crops, that is, wheat and cotton.Meat exports from Pakistan have recently grown due to heavy demand from the Middle Eastern countries like UAE, Saudi Arabia and Kuwait. In recent years, net foreign exchange earnings from livestock sector were nearly Rs. 51 billion, which accounted 11 per cent of the overall export earnings. Livestock Population | (Million No. 's) | Species | 2001-02 | 2002-03 | 2003-04 | 2004-05 | 2005-06(E) | Cattle | 22.8 | 23.3 | 23.8 | 24.2 | 25.5 | Buffalo | 24.0 | 24.8 | 25.5 | 26.3 | 28.4 | Sheep | 24.4 | 24.6 | 24.7 | 24.9 | 25.5 | Goat | 50.9 | 52.8 | 54.7 | 55.6 | 61.9 | Camel | 0.8 | 0.8 | 0.7 | 0.7 | 0.7 | Horse | 0.3 | 0.3 | 0.3 | 0.3 | 0.3 | Asses | 3.9 | 4.1 | 4.1 | 4.2 | 4.3 | Mules | 0.2 | 0.2 | 0.2 | 0.3 | 0.3 | E.Estimated | Source: Ministry of Food, Agriculture & Livestock(Livestock Wing) | Livestock Product | Product | Unit | 2001-02 | 2002-03 | 2003-04 | 2004-05 | 2005-06(E) | Milk | (000 Tons) | 27031.0 | 27811.0 | 28624.0 | 29438.0 | 31294.6 | Beef | '' | 1034.0 | 1060.0 | 1087.0 | 1115.0 | 1174.4 | Mutton | '' | 683.0 | 702.0 | 720.0 | 739.0 | 782.1 | Poultry Meat | '' | 355.0 | 370.0 | 378.0 | 384.0 | 462.5 | Wool | '' | 39.4 | 39.7 | 40.0 | 40.2 | 40.7 | Hair | '' | 19.3 | 19.9 | 20.7 | 20.7 | 23.2 | Bones | '' | 339.4 | 347.6 | 356.2 | 365.1 | 384.0 | Fat | '' | 126.5 | 129.7 | 132.9 | 136.3 | 143.5 | Blood | '' | 42.9 | 44.0 | 45.2 | 45.2 | 49.0 | Eggs | Million No 's | 7679.0 | 7860.0 | 8102.0 | 8529 | 9057.0 | Hides | '' | 7.9 | 8.2 | 8.4 | 8.4 | 9.1 | Skin | '' | 39.3 | 40.3 | 42.4 | 42.6 | 45.2 | | |

ASF has been successful in enhancing the productivity and efficiency of the livestock industry. ASF has been successful in developing Livestock and Dairy sector thorough training of farmers.
Livestock and dairy farming is an important sector of agriculture in Pakistan. It accounts for 39% of agricultural value added and 9.4% of GDP. Nearly 8 million families in Pakistan are engaged in raising 50 million anmals that are producing 34 million tons of milk in a year. Despite Pakistan being the 5th largest milk producing country in the world, there is still a gap of 30% between demand & supply. This is due to low productivity, poor infrastructure, poor breeds, and lack of support mechanisms for the farmers. It is then no surprise that the majority of the farmers in Pakistan are domestic dairy farmers with only 2 to 5 cows or buffalos. The major challenge was to train and educate the relevant stakeholders to adopt modern dairy farming practices. ASF decided to join hands with Nestle Pakistan Limited and organized a comprehensive training program for dairy farm professionals in modern dairy farm management techniques. ASF approved Rs. 0.83 million in order to provide an opportunity for professionals from all over Pakistan to joi n the program.
The program was held for one-month in 2009 at Sarsabz Dairy Farm and Training Center, Renala Khurd, district Okara. This facility center is being run by foreign and local trainers appointed by Nestle. The training provided participants with requisite skills in exploiting the growing job market, starting their own consultancy/advisory business, modernizing their existing dairy farms and setting up new dairy farms. The program covered all relevant areas of modern dairy farming and produced 24 dairyfarm management experts.
Moreover ASF have been successful in facilitating dairy sector farmers by helping them increase the value of their products thus ultimately leading to increase in their earnings.
Pakistan is the 5th largest producer of milk in the world and in terms of terms of market value, milk production it contributes more than 11% to GDP. Even though milk had a significant share in GDP, Pakistan faced challenges of very low milk yield per animal and poor animal stock. The dairy sector mostly operates on non-commercial basis in the unorganized sector while the organized sector processes only a small fraction of total milk production of the country. Milk is distributed by a multi-layered system of middlemen who generally work in an unhygienic environment. Around 30% of the milk is wasted due to inadequate storage and transportation facilities. ASE, realized the existing ineffective mechanism of milk marketing system in the country, it designed a project for establishment of milk collection, chilling and distribution system, to provide necessary facilities for milk handling in large volume and for long distance transport without spoilage.
ASF's grant support to association of farmers covered all the expenses of setting up and operating the unit for a period of 6 months after which the system was expected to be sustainable.Due to ASF's project, the farmers milk, in the region, is now immediately transferred to the nearby chiller unit and preserved which has reduced milk spoilage from 30% to 50%. The farmers can also avail a better price for their fresh milk in the urban market as compared to the local market price offered by the middlemen.
Organizational Structure

Chairperson of Board of directors
Chairperson is responsible to ASF’s Board of Directors to represent the development sector. Chairperson has to delegate time towards the development of the rural sector which is the main objective of ASF
Chief Executive
Chief Executive has final executive responsibility to the Board for all aspects of ASF operations. Chief executive is responsible to monitor the performance of every Director that is in the organization chart of ASF such as finance, program and operation, Grants and Contracts monitoring and evaluation. Moreover Chief executive is responsible to execute an action that is beneficial for the development of society

Appraisal Panel
ASF has an Appraisal Panel that is responsible for appraising grant applications. The appraisal panel members are selected and appointed by the Board of Directors. The Appraisal Panel consists of three part-time members having experience of Business, Banking and consultancy sectors and the ASF Chief Executive who chairs meetings of the Panel. Meetings of the Panel require a quorum of three members to review ASF grant proposals. Appraisal Panel members have equal voting rights. In the event of a tie in the voting, the Chief Executive will have a casting vote.
Human Resource committee
The ASF Human Resource Committee is responsible for matters of ASF staff including policies regarding recruitment, remuneration, benefits, leaves, professional development etc.
Audit Committee
The ASF Audit Committee, comprising three Directors appointed by the Board of Directors, is responsible for audit procedures in ASF. The Committee meets quarterly, or more frequently as appropriate. The Committee is specifically responsible for managing the external audit of ASF in accordance with the requirements of the Loan Agreement between the Government of Pakistan and ADB, the Project Agreement signed with ADB and the Performance Agreement signed with MINFAL.
External Audit
The Board of Directors selects the External Audit firm which will perform the year end financial audit. The financial audit report is presented to the Audit Committee for recommendation to the Board of Directors.

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