ECONOMIC DEVELOPMENT &

GROWTH2004-2013

OVERVIEW For ascertaining economic development and growth in different sectors of Pakistan. We conducted a literature review in that review we studied different economic surveys and from the pool of surveys we have taken the best economic survey reports representing years between 2004-2013. In our report we discussed different sectors and their contributions in the economy of Pakistan. This report will show us the up and downs in different sector of economy. The areas we kept on focusing while making the report were based on:

Agriculture Manufacturing Services Sector

ECONOMIC INDICATORS 2004-2005•The first pillar of the PRSP is accelerating economic growth while maintaining macroeconomic stability.•the financial sector reforms in Pakistan have moved forward•the banking sector has become far more competitive•second generation reforms in the sectors to strengthen the financial markets•To make markets efficient and products competitive, supply chains are being developed for strategic commodities (Agriculture Sector)•Privatization is moving ahead at a fast pace

AGRICULTURE SECTOR CONTRIBUTIONS 2004-2005• Agriculture accounts for nearly 23% of Pakistan’s National Income (GDP)• It employ’s 42% of its workforce• 67.5% of the country’s population in rural areas directly or indirectly dependent on it• Pakistan witnessed a modest recovery in agricultural growth.

ACHIEVEMENTS AND IN AGRICULTURAL SECTOR 2004-05Existing Year (2004-05)• 14.6 million bales of cotton was produced•21.1 million tons of wheat was produced• Rice production was increased to 4.991 million tons• Major crops registered growth of 17.3%• Minor crops grew by 3.1%• The performance of livestock, fisheries and forest grew by 2.3%, 2.1% and 0.4% respectively.

Last Year• 10.05 million bales of cotton was produced• 19.5 million tons of wheat was produced.• Rice production was up to 4.848 million tons• Major crops registered growth of 1.8% last year.•Minor crops grew by 2.6% last year

DOWNFALL IN AGRICULTURE SECTOR 2004-05Existing Year (2004-05)•Sugarcane Production Decreased to 45.316(decrease of 15.2%)• The production of potato was decreased to 2.7%• Excessive Rain also damaged some minor crops •Short fall in urea also caused downfall

Last Year•Sugarcane Production was about 53.419• The production of potato was up to 4.3%

ACHIEVEMENTS IN MANUFACTURING, MINING & INVESTMENT POLICIES 2004-2005Existing Year (2004-05)

• Manufacturig, accounting for 18.3% of GDP•Growth was recorded 12.5% against the target of 10.2%•The construction sector was estimated to grow 6.2%

Last Year

•Growth was recorded 14.1% last year•The construction sector was declined to 6.9% last year

CONTRIBUTION IN MANUFACTURING, MINING & INVESTMENT POLICIES 2004-2005Main Contributors

•        textile and apparel group (24.5%)•        chemicals (14.4%)•        petroleum (11.8%)•        tyres and tubes (10.1%)•        non-metallic mineral products (15.1%)•        engineering goods (11.3%)•        electrical items (54.9%)•        and automobile (30.1%)

Major Contributors

        cement (15.3%)         cigarettes (10.5%)         jeeps and cars (26.1%)         tractors (24.5%)         motor cycles/scooters (47.6%)         paper and paper board (4.3%)         TV sets (5.7%)         motor tyres (18.9%)         refrigerators (19.8%)

ACHIEVEMENTS IN SERVICES SECTOR 2004-2005Existing Year (2004-05)

•SC registered 7.9% growth the target was 6.2% this year.•Wholesale & retail trade, finance & insurance sub sectors grew by 12.0% and 21.8% respectively against 8.1% and 4.5%.

Last Year

•SC registered 6.0% growth

ACHIEVEMENTS AND DOWNFALL IN AGRICULTURE SECTOR 2006-2007Existing Year (2006-07)

•Agriculture grew by 5.0%•Major crops witnessed strong recovery by growing at 7.6%• The highest wheat for production 10.5% up to 23.5 million was recorded in the history of Pakistan •Sugarcane Production, likewise, improved by 22.6 percent the second highest size of crop•Cotton production at 13.0 million bales remained same •Both maze and rice registered negative growth rate of 2.0% and 4.5%

Last Year

•Agriculture grew by 1.6% last year•Major crops witnessed strong recovery by growing at 4.1%•Sugarcane Production last year was 54.8miollion•Cotton production at 13.0 million bales remained same last year

ACHIEVEMENTS AND DOWNFALL IN SERVICES SECTOR 2006-2007Existing Year (2006-07)

•SC contributes 8.0%•Almost 60% contribution to growth has come from SC•All the components of SC registered strong growth with the exception of ownership of dwelling.•Transport and communication, wholesale & retail trade, finance and insurance and public administration and defense have growth robustly

Last Year

•SC contributes 9.6%•SC grew at average rate of 8.7% per annum during the last 3 years

ACHIEVEMENTS AND DOWNFALL IN MANUFACTURING 2006-2007

Existing Year (2006-07)

•Manufacturing sector of economy accounting for 19.1% of GDP•Overall manufacturing grew by 8.4%•Large scale manufacturing sector grew by 8.8% the target was 12.5%

Last Year

•Last three years it was in moderate pace•Overall manufacturing grew by 10%•Large scale manufacturing sector grew by 10.7% last year

ACHIEVEMENTS AND DOWNFALL IN AGRICULTURE SECTOR 2008-2009

Existing Year (2008-09)•Agriculture grew by 4.7% and the target was 3.4%•Major crops accounting for 33.4% of agriculture, impressive growth was observed•Livestock sector was grew by 3.7%

Last Year

•Agriculture grew by 1.1% last year•Major crops accounting for 6.4% of agriculture, negative growth was observed•Livestock sector was grew by 4.2% last year

ACHIEVEMENTS AND DOWNFALL IN SERVICES SECTOR 2008-2009Existing Year (2008-09)

•SC grew by 3.6% against the target of 6.1%•The transport, storage and communication depicted short decrease in growth 2.9%•Finance and insurance sector witnessed a slow down 12.9% and registered negative growth of 1.2%•Real private consumption rising by 5.2%•Real Fixed investment growth contracted by 6.9%

Last Year•SC grew by 6.6% last year•The transport, storage and communication depicted short decrease in growth 5.7% last year•Real private consumption attained last year was 1.3% growth•Real Fixed investment growth contracted by 3.8% last year

ACHIEVEMENTS AND DOWNFALL IN MANUFACTURING 2008-2009Existing Year (2008-09)•Manufacturing Sector has contracted by 3.3%•Large scale manufacturing showed the contraction of 7.7%

Last Year•Manufacturing sector contribution last year 4.8% as expansion•Large scale manufacturing contribution last year 5.5% as expansion last year

ACHIEVEMENTS AND DOWNFALL IN AGRICULTURE 2010-2011Existing Year (2010-11)

•The agriculture growth this year is estimated at 1.2%•Cotton production has decreased to 11,460 thousand bales in 2010-11, showing a decrease of 11.3 percent•Wheat production was increased by 24,214 thousand tons in 2010-11, showing an increase of 3.9 percent•Rice production has decreased from 4,823 thousand tons in 2010-11, showing a decrease of 29.9 percent.

Last Year

•The agriculture growth last year 0.6% during 2009-10. •Cotton production was12,913 thousand bales in 2009- 10•Wheat production was 23,311 thousand tons in 2009-10 •Rice production was 6,883 thousand tons in 2009-10

ACHIEVEMENTS AND DOWNFALL IN AGRICULTURE 2010-2011CONTINUED….Existing Year (2010-11)

•Sugarcane production has increased by 12 percent to 55.3 million tons in 2010-11 •Gram production decreased by 523 thousand tons in 2010-11, showing a decrease of 6.9 percent. •Maize production has increased to 3,341 thousand tons in 2010-11, showing an increase of 2.4 percent.

Last Year

•Sugarcane production last year 49.4 million tons •Gram production has increased from 562 thousand tons in 2009-10•Maize production last year was 3,262 thousand tons in 2009-10

ACHIEVEMENTS AND DOWNFALL IN MANUFACTURING 2010-2011Existing Year (2010-11)

•Manufacturing sector has witnessed expansion of 3 percent in 2010-11•Large scale manufacturing grew by 0.98% in (July-Feb 2010-11)•Large scale manufacturing later shifted to 1.7% in (July-March 2010-11)

Last Year

•Expansion Manufacturing Sector last year was 5.5%•Large scale manufacturing last year was 4.9%

ACHIEVEMENTS AND DOWNFALL IN SERVICES SECTOR 2010-2011Existing Year (2010-11)

•The services sector grew by 4.1 percent against the target of 4.7 percent and actual outcome of 2.9 percent•Wholesale and retail trade sector grew at 3.9 percent•Finance and insurance sector recorded negative growth of 6.3 percent •Public administration and defense posted a stellar growth of 13.2%

Last Year

•Wholesale and retail trade sector was 4.6% percent last year•Finance and insurance sector was about 11.3% last year.•Public administration and defense was about 2.5% last year

ACHIEVEMENTS AND DOWNFALL IN AGRICULTURE 2012-2013Existing Year (2012-13•Agriculture Sector accounts 21.4 percent of GDP•A growth of 3.3 percent is recorded •The important crops account a growth of 2.3%•The important crops including wheat, maize, rice, sugarcane and cotton witnessed growth in production of 3.23 percent, 6.74 percent,-10.05 percent, 6.98 percent and -4.19

Last Year•A growth of 3.5 percent was recorded last year•The important crops grew by 7.4% last year

ACHIEVEMENTS AND DOWNFALL IN AGRICULTURE 2012-2013CONTINUED….Existing Year (2012-2013•Cotton Ginning has recorded a growth of -2.9 percent•Livestock marginally lower growth of 3.7 percent•Fisheries sector witnessed a growth of 0.7 percent •Forestry recorded growth at 0.13 percent

Last Year•Cotton Ginning has recorded a growth of 13.8 percent last year•Livestock observed growth of 3.9 percent last year•Fisheries sector witnessed a growth of 3.8 percent last year•Forestry recorded growth at 1.74 percent last year

ACHIEVEMENTS AND DOWNFALL IN MANUFACTURING 2012-2013Existing Year (2012-2013•Manufacturing Sector has 13.2 percent share in GDP•The growth of the manufacturing sector is estimated at 3.5 percent •Small scale manufacturing growth rate is estimated at 8.2 percent •Large Scale Manufacturing shown a growth of 4.26 percent

Last Year

•The growth of the manufacturing sector is estimated at 2.1 percent last year•Small scale manufacturing growth rate is estimated at 8.4 percent last year•Large Scale Manufacturing shown a growth of 1.49 percent last year

ACHIEVEMENTS AND DOWNFALL IN SERVICES SECTOR 2012-2013Existing Year (2012-2013•Services Sector has 57.7 percent share in GDP •The Services sector has registered a growth rate of 3.7 percent •Finance and Insurance at 6.6 percent•General Government Services, Housing Services, Private Services, Transport, Storage and Communication, Wholesale and Retail Trade at 5.6%, 4.0%, 4.0%, 3.4%, 2.5%

Last Year

•The Services sector has registered a growth rate of 5.3 percent last year