KARACHI: Pakistan said on Tuesday it would launch a crackdown on the smuggling of seeds from archrival India while emphasizing better regulation of the domestic seed market and promotion of local agricultural innovation.
The move comes amid renewed tensions between the nuclear-armed neighbors after last month’s deadly attack on Indian tourists in Pahalgam, which New Delhi blamed on Pakistan, though Islamabad denied the charge.
Both countries have since taken tit-for-tat measures against each other, downgrading bilateral trade and diplomatic ties. India has also suspended the Indus Waters Treaty (IWT), a decades-old pact governing cross-border river flows, raising food security concerns for lower riparian Pakistan in the longer run.
Pakistan’s Federal Minister for National Food Security and Research, Rana Tanveer Hussain, chaired a high-level meeting focusing on the issue, pointing out that Indian seeds were being smuggled into Pakistan and openly advertised on social media platforms.
“The Ministry is working closely with law enforcement agencies to take strict action against those involved in this illegal activity,” he said.
He also warned that the country, once ahead of India in agricultural innovation, was now falling behind.
“It is unfortunate that we now cite India’s example in seed quality and yield performance,” he added.
Hussain also raised the issue of the widespread sale of non-certified and substandard seeds in local markets, saying the authorities had banned 392 companies found guilty of distributing fake seeds.
The participants of the meeting said more than 50,000 metric tons of cotton seeds were available for the upcoming season, nearly meeting the total requirement of 53,796 metric tons and easing concerns about shortages.
According to a statement circulated after the meeting, the minister addressed the problem of price volatility in the seed market, saying the National Seed Development Authority had been established to monitor seed quality, prevent the sale of fake seeds and enforce stringent regulations.
He also reaffirmed the Ministry’s commitment to protecting farmers’ rights, ensuring food security, and transforming the agriculture sector through transparency, regulation and innovation.
Pakistan to crack down on smuggling of seeds from archrival India
https://arab.news/gpbjr
Pakistan to crack down on smuggling of seeds from archrival India
- Pakistan’s food security minister says the country is falling behind India in seed quality and yield
- He says National Seed Development Authority will curb fake seeds, enforce stringent regulations
IMF warns against policy slippage amid weak recovery as it clears $1.2 billion for Pakistan
- Pakistan rebuilt reserves, cut its deficit and slowed inflation sharply over the past one year
- Fund says climate shocks, energy debt, stalled reforms threaten stability despite recent gains
ISLAMABAD: Pakistan’s economic recovery remains fragile despite a year of painful stabilization measures that helped pull the country back from the brink of default, the International Monetary Fund (IMF) warned on Thursday, after it approved a fresh $1.2 billion disbursement under its ongoing loan program.
The approval covers the second review of Pakistan’s Extended Fund Facility (EFF) and the first review of its climate-focused Resilience and Sustainability Facility (RSF), bringing total disbursements since last year to about $3.3 billion.
Pakistan entered the IMF program in September 2024 after years of weak revenues, soaring fiscal deficits, import controls, currency depletion and repeated climate shocks left the economy close to external default. A smaller stopgap arrangement earlier that year helped avert immediate default, but the current 37-month program was designed to restore macroeconomic stability through strict monetary tightening, currency adjustments, subsidy rationalization and aggressive revenue measures.
The IMF’s new review shows that Pakistan has delivered significant gains since then. Growth recovered to 3 percent last year after shrinking the year before. Inflation fell from over 23 percent to low single digits before rising again after this year’s floods. The current account posted its first surplus in 14 years, helped by stronger remittances and a sharp reduction in imports. And the government delivered a primary budget surplus of 1.3 percent of GDP, a key program requirement. Foreign exchange reserves, which had dropped dangerously low in 2023, rose from US$9.4 billion to US$14.5 billion by June.
“Pakistan’s reform implementation under the EFF arrangement has helped preserve macroeconomic stability in the face of several recent shocks,” IMF Deputy Managing Director Nigel Clarke said in a statement after the Board meeting.
But he warned that Islamabad must “maintain prudent policies” and accelerate reforms needed for private-sector-led and sustainable growth.
The Fund noted that the 2025 monsoon floods, affecting nearly seven million people, damaging housing, livestock and key crops, and displacing more than four million, have set back the recovery. The IMF now expects GDP growth in FY26 to be slightly lower and forecasts inflation to rise to 8–10 percent in the coming months as food prices adjust.
The review warns Pakistan against relaxing monetary or fiscal discipline prematurely. It urges the State Bank to keep policy “appropriately tight,” allow exchange-rate flexibility and improve communication. Islamabad must also continue raising revenues, broadening the tax base and protecting social spending, the Fund said.
Despite the progress, Pakistan’s structural weaknesses remain severe.
Power-sector circular debt stands at about $5.7 billion, and gas-sector arrears have climbed to $11.3 billion despite tariff adjustments. Reform of state-owned enterprises has slowed, including delays in privatizing loss-making electricity distributors and Pakistan International Airlines. Key governance and anti-corruption reforms have also been pushed back.
The IMF welcomed Pakistan’s expansion of its flagship Benazir Income Support Program, which raises cash transfers for low-income families and expands coverage, saying social protection is essential as climate shocks intensify. But it warned that high public debt, about 72 percent of GDP, thin external buffers and climate exposure leave the country vulnerable if reform momentum weakens.
The Fund said Pakistan’s challenge now is to convert short-term stabilization into sustained recovery after years of economic volatility, with its ability to maintain discipline, rather than the size of external financing alone, determining the durability of its gains.
