Pakistan could lose between 20% and 40% of its harvest, a shortfall that might amount to as much as Rs. 3.52 trillion, according to the SECP chairman at a recent conference.
Dr. Kabir Ahmed Sidhu, chairman of the Securities and Exchange Commission of Pakistan, told attendees at the "Mission $100 Billion" forum that agriculture makes up 23.44% of the nation's GDP and that the total value of crops is roughly Rs. 8.8 trillion.
He noted that each lost percentage point translates to about Rs. 88 billion, so a 40% loss would equal Rs. 3.5 trillion.
Sidhu pointed out that the country's approved warehouse capacity is only 326,000 metric tons, far short of the estimated 55.7 million metric tons of dry agricultural commodities produced.
The SECP chief urged reforms such as modern warehousing, cold storage, and improved transport to cut losses and draw investment, adding that the commission is promoting electronic warehouse receipts.
Under a proposed framework, a national agricultural spot market would link local markets to online trading platforms, enhancing storage, bank financing, and transparent trade, while provincial authorities would keep market oversight and the SECP would supply technical help.
Electronic warehouse receipts would let farmers secure bank loans against stored produce instead of being forced to sell immediately at low prices, potentially improving financing access and price outcomes.
The spot-trading system would gradually cover wheat, rice, corn, cotton and sugar, with standardized quality, weighing and grading rules aimed at better price discovery. Registration of commission agents and digital transaction records could boost protections for both farmers and buyers.
Sidhu also stressed the importance of reliable payment systems to ensure timely farmer payments and called for updates to market rules, licensing, fees and commodity movement systems.
He concluded that better storage infrastructure could lower post-harvest losses and help Pakistani agricultural goods reach export markets more efficiently.