ISLAMABAD: The Economic Coordination Council (ECC) of the Federal Cabinet has approved Prime Minister’s package for Rabi Crops.
The ECC meeting held with Adviser to the Prime Minister on Finance, Dr. Abdul Hafeez Shaikh in the chair.
The special meeting approved “PM’s Package for Rabi Crops-Specially wheat”, to give the incentives to the farmers for the upcoming Rabi season, the Federal Cabinet in its meeting held on 27-10-2020 constituted a special committee to design the package to reduce the input cost for the farmers with the special intent to increase the production of wheat in the country.
According to the package Rs.1000/per 50 kg bag will be given as subsidy on fertilizers; DAP, P and K fertilizers.
The Federal and Provincial government will share the subsidy in 70% and 30% ratio. On weedicides @ Rs. 250 per acre and fungicides @ Rs.150 will be given by the Federal Government as subsidy. The provinces will distribute the subsidy in their already prevalent manner but will be responsible for ensuring transparency.
The Federal funds for the subsidy will be directly disbursed to the provinces by the Finance Division on the basis of their share, keeping in view their system strength and overall outreach.
The Ministry of National Food Security would examine the provinces’ demand for funds and after its recommendation Finance Division shall transfer the funds to the provinces.
It was also decided that the provinces will expand, improve and up-grade their subsidy disbursement systems.
The package will be presented in the next Cabinet meeting on Tuesday for approval by the Federal Cabinet.
