US investments boost Pakistan’s rural economy by $1.47B

Yasir Habib

Despite the transition from the Biden administration to a Trump-led government, the US-Pakistan Agriculture Corridor has maintained its momentum, embodying a steadfast partnership rooted in shared goals.

Fuelled by initiatives such as the US-Pakistan Green Alliance and the Climate Smart Agriculture Project, this collaboration reflects the dynamism of two nations working to sow seeds of resilience, sustainability, and prosperity in Pakistan’s agriculture sector.

Agriculture, often romanticised as the backbone of Pakistan’s economy, provides livelihoods for over 40% of the country’s workforce and contributes around 23.37% to its GDP. However, behind these numbers lie the untold stories of farmers who brave harsh climates, erratic markets, and an unforgiving global economy. The United States, recognising these challenges, has long championed sustainable agricultural development in Pakistan, a bond cemented by shared histories and mutual ambitions.

The Economic Survey for 2023-24 highlighted a striking 6.25% growth in Pakistan’s agriculture sector, a leap from last year’s modest 2.27%. This surge is more than just statistics; it signifies hope, driven in part by US-led initiatives under USAID, which have supported countless farmers toiling in fields from Punjab to Sindh, dreaming of a better tomorrow for their families.

Yet, dreams alone do not transform economies. Pakistan must improve its crop yields to shift from being a food importer to a food exporter. Enter the United States with its robust agricultural blueprints designed to make Pakistan a competitive player in regional and global markets. Initiatives like the US-Pakistan Green Alliance Framework and the Climate Smart Agriculture Project are breathing new life into the sector.

This year, the US introduced a five-year, $24 million Climate Smart Agriculture project. While the number itself is impressive, its real value lies in the stories it creates—farmers using climate-resilient seeds to salvage crops from floods or families adopting eco-friendly pest management to protect their livelihoods. These aren’t just techniques; they are lifelines in a world grappling with a changing climate.

The Green Alliance Framework stands out as an audacious yet pragmatic vision. It focuses on renewable energy, smarter water management, and modern agricultural practices. The US has poured $1 billion into the Green Climate Fund, unlocking significant resources for Pakistan to tackle climate challenges head-on. For a country where each drought and flood reshapes lives, these investments are not mere gestures; they are lifeboats in an increasingly unpredictable storm.

The roots of this partnership run deep. In the 1960s, the US backed Pakistan’s Green Revolution, a period that saw tractors replace bullocks and science reshape traditional farming. Today, those same fields—once brimming with hope—face new crises, from overused soil to unpredictable weather patterns. Through the Climate Smart Agriculture project, the US aims to reinvigorate Pakistan’s agricultural potential, equipping farmers with technology, better seeds, and tools to navigate modern challenges.

One can’t ignore the human elements within this narrative. Picture the mango farmer in Sindh, now able to meet international hygiene standards thanks to advanced graders provided through US support. His success is not just about profit margins; it’s about pride—knowing his fruit competes on shelves in Paris or Dubai. Consider the wheat farmer in Punjab who, armed with smarter fertiliser practices, can finally dream of a harvest that pays for his children’s education.

This collaboration also celebrates the scientists and innovators behind the scenes. Figures like Dr Norman Borlaug, whose partnership with Pakistan’s Dr Mohammad Manzur Bajwa revolutionised agriculture, remind us that progress is rooted in human ingenuity. Their story echoes today in laboratories where researchers develop solutions to boost productivity while safeguarding the environment.

US investments have created over 100,000 jobs and injected $1.47 billion into Pakistan’s rural economy. But these are more than just economic wins; they are stories of empowerment, of women finding work in packing plants and young entrepreneurs exploring new markets.

The path forward requires persistence, adaptability, and a shared commitment to growth. As the US and Pakistan deepen their agricultural collaboration, this partnership is a testament to what can be achieved when nations move beyond geopolitics to focus on shared humanity. Every improved yield, every thriving farm, and every empowered community reflects a shared belief that progress is most powerful when it uplifts the people it touches.