HomeEnvironmentTurning to liquid gold as Pakistan's olive oil industry takes root

Turning to liquid gold as Pakistan’s olive oil industry takes root

Olive farming offers significantly higher income potential than many other crops, making it a popular choice for farmers seeking to improve their livelihoods.

Pakistan, a country long reliant on imported edible oils, is now making significant strides toward self-sufficiency in olive oil production. With government-backed initiatives and favorable climatic conditions, the cultivation of olive trees has taken root across the country, especially in regions like Potohar, Lower Dir, and Bajaur. This shift not only promises economic benefits for local farmers but also holds the potential to significantly reduce Pakistan’s hefty import bill for edible oils.

Pakistan’s dependency on imported edible oils has been a significant strain on the national economy. In 2017-18 alone, the country imported 3,000 tons of olive oil, amounting to Rs1.241 billion. This figure is just a fraction of the country’s overall edible oil import bill, which stands at a staggering $4 billion annually. With an annual requirement of five million tons of edible oil and a per capita consumption of 16 kilograms, the reliance on imports has grown unsustainable.

To understand the gravity of the situation, consider that in 2006, Pakistan’s edible oil import bill was a mere $615 million. However, by 2022, this figure had escalated to $3.8 billion, even though domestic production remains negligible at just six metric tons. This increasing reliance on imports has underscored the need for alternative strategies to meet the country’s edible oil demands.

In response to the growing import burden, Pakistan has embarked on an ambitious journey to cultivate olive trees across the country. One of the most significant achievements has been the successful plantation of olive trees on over 25,000 acres of land, with major contributions from the Lower Dir, Bajaur, and Potohar regions. These areas, known for their favorable climatic conditions, have become the epicenters of olive cultivation in Pakistan.

The Potohar region, often dubbed the “Olive Valley” of Pakistan, has been particularly instrumental in this transformation. The government, recognizing the region’s potential, has continued to invest in expanding olive cultivation. By 2027, it is projected that 1.3 million olive plants will be cultivated, and orchards will be established on 14,000 acres of land across Bajaur, Dir, South Waziristan, and other promising districts of Khyber Pakhtunkhwa (KP).

Moreover, under the Pakistan Olive Tree Cultivation and Commercialization Scheme (POTCCS), an additional 50,000 acres of land will be brought under olive cultivation nationwide. This expansion is expected to significantly boost local production and reduce the country’s dependence on imported olive oil.

One of the most compelling reasons for the shift towards olive cultivation is the economic benefit it offers to local farmers. A single olive tree can generate an annual income of Rs15,400 to Rs20,000 for a farmer. Given that olive fruits can be sold for Rs120 per kilogram in local markets, the financial returns are highly attractive.

For farmers in regions like Lower Dir, Bajaur, and Potohar, olive cultivation presents a lucrative alternative to traditional crops. The income potential from olive farming far exceeds that of many other crops, making it an increasingly popular choice among farmers seeking to improve their livelihoods.

In addition to economic benefits, olive cultivation offers significant environmental advantages. Pakistan, a country facing severe water scarcity, needs crops that are less water-intensive. Olive trees are well-suited to the arid and semi-arid regions of Pakistan, requiring significantly less water compared to traditional crops like wheat and sugarcane.

This makes olive cultivation not just an economically viable option, but also an environmentally sustainable one. As water resources become increasingly scarce, the shift towards crops that require less water will be essential for the long-term sustainability of Pakistan’s agricultural sector.

The rise of olive oil production in Pakistan also holds promise for improving public health. Olive oil is well-known for its health benefits, being rich in monounsaturated fats, antioxidants, and anti-inflammatory properties. It is considered one of the healthiest edible oils, often associated with reduced risks of heart disease and other chronic illnesses.

By increasing domestic production of olive oil, Pakistan can promote healthier dietary habits among its population. This could potentially reduce the prevalence of diet-related diseases, which are becoming increasingly common in the country. Encouraging the consumption of locally produced olive oil could be a step toward improving public health outcomes nationwide.

Despite the promising potential, there are several challenges that need to be addressed to ensure the long-term success of olive cultivation in Pakistan. One of the primary challenges is the lack of awareness and technical expertise among farmers. Many farmers are still unfamiliar with the best practices for olive cultivation, leading to lower yields and suboptimal quality of produce.

To overcome this, the government and relevant stakeholders must invest in educational programs that train farmers in modern olive farming techniques. Providing access to quality saplings, fertilizers, and pest control measures is also crucial for maintaining healthy and productive orchards.

Additionally, the lack of infrastructure for processing and oil extraction poses a significant challenge. Currently, Pakistan does not have sufficient facilities to process large quantities of olives into oil, leading to post-harvest losses and reduced profitability for farmers. Establishing processing units in key olive-growing regions will be essential to fully capitalize on the economic benefits of olive cultivation.

The successful plantation of olive trees in Pakistan represents a significant step towards agricultural transformation. With continued investment, policy support, and infrastructure development, Pakistan has the potential to become a major player in the global olive oil market. Reducing reliance on expensive imports, while empowering local farmers and promoting healthier diets, will contribute to the overall economic and social well-being of the country.

As Pakistan continues to expand its olive cultivation efforts, it is imperative to address the challenges that lie ahead. By building on the successes achieved so far and fostering a supportive environment for olive farming, Pakistan can unlock the full potential of its olive industry. This not only promises a more sustainable agricultural future but also a more prosperous and self-reliant nation.

The views expressed in this article are the author’s own and do not necessarily reflect Coverpage’s editorial stance

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