This is the story of two subsidies. The first is from two years ago, announced in a panic and in response to the most colossal agricultural crisis this country has seen in decades. The latter, only announced a few months ago and still underway, is tailored to a more specific purpose.
Both were introduced by governments of the same political party, the PML-N, although one was a federal subsidy package and the other was from the provincial government in Punjab.Â
The first was the Kissan Package introduced in November 2022 in response to the destruction from the devastating floods that year. The second package came around two years after in November 2024, aimed at providing cheap loans and financing for livestock farming.Â
The two subsidies were introduced in very different circumstances. They also represent two very different attitudes towards government aid for agriculture. The Punjab CM’s Livestock Card is essentially the allocation of a Rs 20 billion fund meant to provide interest free loans to livestock farmers. The scheme ticks a lot of boxes. The government has initiated the scheme in partnership with the Bank of Punjab, which will help with the disbursements, management, and loan collections. It is not a handout, so even though there will be losses, it is an attempt by the government to invest in farmers rather than make a splash and try to get some publicity out of it. Perhaps most importantly, it is sending financing into a sector that has largely been ignored by the government and private sector corporate banks. So how does it work? The content in this publication is expensive to produce. But unlike other journalistic outfits, business publications have to cover the very organizations that directly give them advertisements. Hence, this large source of revenue, which is the lifeblood of other media houses, is severely compromised on account of Profit’s no-compromise policy when it comes to our reporting. No wonder, Profit has lost multiple ad deals, worth tens of millions of rupees, due to stories that held big businesses to account. Hence, for our work to continue unfettered, it must be supported by discerning readers who know the value of quality business journalism, not just for the economy but for the society as a whole.To read the full article, subscribe and support independent business journalism in Pakistan
