ISLAMABAD: Pakistani Prime Minister Shehbaz Sharif said on Monday the South Asian nation expected around $50 billion investment in the next five years, primarily from Gulf states, under a new green initiative in the agriculture sector.

Pakistan last week established a Land Information and Management System Center of Excellence ((LIMS-CoE) to enhance modern farming on over 9 million hectares of uncultivated state land, with Saudi Arabia providing an initial investment of $500 million to improve the country's irrigation system. The center will work in collaboration with Saudi Arabia, the United Arab Emirates, Qatar, Bahrain and China on various agriculture projects to enhance Pakistan’s exports.

Agriculture contributes 23 percent to Pakistan's GDP and employes 37.4 percent of the labor force but productivity is currently below par, with decreasing cultivation area, a population-production gap, and agricultural imports amounting to $10 billion.

The country is also facing a 4 million metric ton shortfall in wheat production against a total demand of 30.8 million metric tons, while cotton production has fallen by 40 percent to around 5 million bales in the last decade.

Against this backdrop, the government of Pakistan has launched the Green Pakistan initiative to enhance food security, increase exports and reduce agriculture-related imports.

“Gulf countries have shown willingness to invest in the Green Pakistan initiative as their ambassadors were briefed [last week] about this initiative, and they are fully prepared to invest,” Sharif said during an address at a seminar on agriculture and food security in Islamabad.

“Over the next four to five years, Pakistan is expected to receive between $40 billion to $50 billion in investments from Gulf states in this field,” the premier said. “These investments will bring modern technology from abroad, thereby enhancing productivity.” 

Pakistan had the potential to become a 'green basket' for Gulf states, Sharif added. 

“Currently, Gulf states import approximately $40 billion worth of food-related commodities from around the world, with Pakistan's share being minimal,” he said.

The PM said the green program was expected to create around four million jobs in the country, while investors would make necessary arrangements such as setting up cold chains and other facilities to benefit farmers.