PBF urges federal control of agriculture, industry under 28th amendment push

The Pakistan Business Forum (PBF) on Thursday called for agriculture and industrial policymaking to be recentralised under the federal government through the proposed 28th Constitutional Amendment, arguing that the current devolved structure has weakened economic coordination and long-term planning.

In a letter sent to political parties and the government, the Punjab-based business body said Pakistan requires a stable, centrally coordinated policy framework for its key production sectors to ensure economic continuity and investor confidence.

The PBF argued that the transfer of agriculture and industry to provinces under the 18th Constitutional Amendment had not delivered the desired outcomes, pointing to declining agricultural performance as evidence.

It noted that cotton production has fallen from around 12 million bales before the amendment to nearly 5 million bales currently.

The forum also highlighted ongoing challenges in the wheat sector, including policy uncertainty, import-related disruptions and weak inter-provincial coordination.

According to the PBF, fragmented policymaking has resulted in regulatory inconsistencies across provinces, negatively affecting productivity, investment flows and industrial growth.

It said economic actors—including farmers, exporters and industrialists—continue to rely on federal-level direction for taxation, trade policy, incentives and broader economic planning, while provincial coordination remains uneven.

The forum added that in some cases, Punjab and Sindh have adopted divergent approaches on issues affecting agriculture and industry, further complicating policy execution.

PBF President Khawaja Mehboobur Rehman said the business community is seeking greater policy consistency and continuity to support long-term investment decisions and industrial planning.

He emphasised the need for a stronger national coordination mechanism to reduce uncertainty and improve economic governance.

The PBF further proposed that the 28th Amendment be used to introduce constitutional safeguards covering fiscal discipline, currency stability and long-term policy continuity.

It warned that overlapping federal and provincial regulations have created procedural bottlenecks and discouraged investment, describing the situation as “jurisdictional confusion.”

The forum said restoring agriculture and industry to federal oversight would improve coordination, strengthen investor confidence and support sustained economic growth.