1 OiL Plan Cultivation in Coastal Area Page(1-146)

8/8/2019 1 OiL Plan Cultivation in Coastal Area Page(1-146)

1/80

Va

GOVERNMBNT OF BALOCHISTANAGRICULTURE & COOPERATIVESDEPARTMENT

PC-I

FOR

OIL PALM CULTIVATION

COASTAL AREAS OF BALOCHISTAN

DIITECTORATE GENERAL OF AGRICULTURE (RESEARC}I)AGRICULTURE RESEARCH INSTITUTESARIAB.QUETTAo

IN

4 r,?F ),Ll/ I\-,+v\ >/


2/80

a GOVF]RNMEi\T OF BALOCHIS'TA I*{AG TdIC {-T{,TURB & COOPERATIVESDEPARTMENT

PC-I

FOR

OHX_, PALM CULTIVATIOI\

trffidh$TdhI AR.EAS OF BALOCFIESTAN

tlIF{.tlCToRA-tE G ENERAL oF AGRICULTUR.E (RESBARCHir\G RI C {l [,T{-jRE RESEARCH I NSTITUTESARIAB-QUBTTA

IN


3/80

l.

GOF(P

Name of Project

Location(Provide narne ofprovince)Authorities responsiblc foi) Sponsoringii) Executioniii) Operation ancl nraiv) Concerned Federal

4. (a) Plan provisionIf the Proiect is inclthe rnediunr terrn/fiplan, specifyallocation.

l1'not inclLrdedPlarr. whatirtclusion andproposedacconrntodated.

3.

ii)

ERNMENT OF PAKISTANANNING COMMISSIONlFOODUCTTON SECTORS)

ict and

ded ine ycaractual

\ Fl Palm Clultivation in Coastal Areas ofBalochistanProiect will be implcrnented in coastal areaslike Lasbella of, Balochistan. IVlap of Districts is

attached.

Ministry of Food, Agriculturc arrd l-ivcstock( M IN l"-A l-), Governm ent of Pak istan. ls lanr abadGovenrnrent ol' Balocliistan. Agriculture &+L:oopcrat i ves Dep_alt rrrcn t.L-,-*-*-..****Director Gener-al Agricultur-e Resear.ch/proiectDircctorOil PahnCovernment of Pakistan. Ministry of l:.ood,Agriculture & Livestock (M lN I-'A L.).

T'hc pro.ject as such not inclutlccl in Mid'lenn Development Framcwork (MI-DF),however it is include in the olr.ierctives of tVl,l.DF atpdge 252 ancl under MTDF srrategics at page 253,it is nrerrtior, that progmrnmes rvill be untlcrtakento enlrance the production of oilseecls, horticultureand tea. I]urther at page 262 it is statetl that large_scale plantation of oil palnr in coastal areas ofSibndh and Balochistan and Olive plantation inNWFP. Potohar in punjab. Balochistan and AJKwill be promotecl. As such. the prniect is in linervith the ob^iecrive of tlre M.|DF.

in thervarranholv is i

toits

nowbe


4/80

nIIAY{\$\\

\tfJvt{'j d'

dN NY.5$- $*a;'\ S ,-,$b't

d


5/80

(2)

5.

iii) lf the project is proposed tobe financed out of hlockprcvision, indicate.(b) Provision in the currentyear PSDP/ADP.

Pro.iect objectives antl itsrelationship with sector objectives :('fhe objectives of the sectorAubsector as indicated in the nrediumtenn/live year plan be r-eprnduced.Indicate objectives of the pro.iect and alinkage between the proposecl projectand the sectoral objectives.)

.44r'\ t"c-"ct'he overatl ob.iectivc nffin*i..it ,oprornore Oil Palm cultivation in tiie*coait"flr.ii ofBalochistan. The irnnrecliatc objtrctivc is to introduceOil Palrn in the potential coastal areas o{'the province.The project is in line with the obiectives ol'agricirlruresector which emphasizes on r-educing r.eliability on

irnport of edible oils. 'I'he contributiorr o{'Lhe projectin the short run will have positive ellbct on tlreincome of the larmers. but in tlre long run, it cansubside irnporr of edible oil.'l'he objectives of thc pro.iect rvill meet bvfollowing scope of rvork:-

I2.

Land Development over 12.000 acresDeve loprnent o{' i rrigation u,atc'r- Installation of 'l'ube Wells, : 125 No.- lnstallation ol'-l'ube Wells(Solar Energy Operatccl) :50 No.- Construction of rvater storage tanks : 150 No.- Watercourses : 150 No.Provision of Rain Cuns:20 No.Procurement of Oil palm plants:799,6g0 No.Construction of Bu i lclingsi). Hostel :2000 Sflii). Olfices:3000 Stt

Purchase ol' Vehicles & tjcluipmenta) Vehiclesi) 5 Door.jeep= | No.ii) Pickup (DC): I No.iii) Pickups (S{:1-- 7 *o.iv) Shahzor pickup = I No.v) Motorcycles : l0 No.b) Ot-fice Equiprnerrti) Computer with Accessories: gNo.ii) Photocopiers=4No.iii) Fax Machines :4 no.iv) Multimedia: I No, /

a4.5.

6.


6/80

(3) v) Generators 5 No.c) Field Equiprnenti) 'I'ractors with Accessories = 3 No.ii) Water Tankers = 3 No.iii) Posthole Diggcrs: [l No.iv) frann Machinery, hnplernent

Tool etc. :3 setsd) Lab. Equiprnente) Furniture & Fixture7. MediaCampaign/Awarclless8. CapacityBuilding/Irainingprograrnrnea) StafT'frainingi) For-eign=6pcrsonsii) In-Ctountr-v = l6 personsb) Farmer?'raining:27'l-rainingc) Study'four ol'staf'l'atrroacl = | No.d) Study T'ours of ljarnrer to Sindh : 5 No.e) Seminars:4 No.9. Technical Assistancc = 36 N4an-tVlonths10. Recruitment of prqiect Sta11.a) At Headquarter (l,asbella on contract basis)i) Pro.iect Director: I No.ii) Otfice Superintcnclent = I No.iii) Stenographers= | No.iv) Serrir:r Clerks =2 No.v) Junior Clerks =4 No.vi) Tractor Driver = 4 Nu.vii) Drivcrs :2 No,viii) Naib easids = 5 No.b) Stafl'{br proiect Allor.vancc-i) Deputy Direcror (M&l:) = I No.ii) Assistant Director (Reports;iii) Adnrinistrative Olficr--r = I No.iv) Assistant Accounts Ofl1cers : I No.v) Driver=2No.c) lrrigation Developrnenti) lrrigation Agronornist: I Ncl.ii) Assistant lrrigation Agrononrist: I No.iii) Research O{ficers:2 No.iv) Driver: 2 No.d) Oil pahn Researchi) Oil patm specialist = | No.ii) Crop Agronohisr = t No.iii) Entomologist/plarrt pathologist: I No. /iv) Rcsearch Ollicers = 3 No.v) Field Supervisors : l0 No.


7/80

(4)

Description and .Iustification ofProjecti) Describe the proiect and indicateexisting facilities in the area and.iustify the establishment of theprc{ect).

vi) Fie ld Assistants = 40 No.vii) Lab. Assistant:2 No.viii)Drivers=4No.e) Oil Palrn Productioni) Productiorr Agrorrornist: I No.ii) Researclr O{}icers = 2 No.iii) Drivers=2No.

Operation & Maintenance Costs

The ProjectT'he history oi oil palrrr can bc tracccl back to the

days of the Egyptian pharaohs 5000 years B.Ct. The oilpalm, lror,vever. is a native ol. West Atiica. lt \.vasintroduced to Mala),sia at the start ol.1he ZOtlr cent,ry andconrmercially produced in t917. "t.oday Malaysia,s oilpalrn plantations cover 40To of its cultivatcd land, and ithas become the world's laryesr prorJucer ancl exporter ofpalm oil. lndorresia has arso enrbarked on a massive oirpalm plantation program, ilncl having a rnuch bigger landbase, it is expccted to catch up soon r,vith Malaysia.Meanwhile the local clenrand fbr palnr oil rose atspectacular pace with the advent of the rapidly expandingfood and industrial nranufbcturing industries in the handsof the nredium-scale and the giant conglonlcm(es.

tlI l.

6.

Known to be the nrost procluctivu. oil crop, ahectare of oil palnr can produce 5 tons ol-crude palm oii.T"his is 5 to l0 times more than the yietd of ariycommercially grolvn oil cfol]. palrn oil,s uniqilecomposition makes it versatile in its application in fooclmariufacturing and in the chemicar, cosmetic andpharmaceutical industries. parm oir is cosr-e{ibctive as itneeds not go through expensive hydrugc.nation process.Oil palm (Elaeis guinecnsis) is an inrportant planlfbr obtaining edible oil and other materiais. @9.1sqsllllf .iItroqicaI areas as iJ-rt-c:eds.*ilr45hinq grld "i,'rl+uirlbl. .ondi,ig r srculrivation are t0-15 degrees.nofih and south of the nquar.rn[]le-il6c growsiip ro3Oreeiln--rr i glr*fr '*ffi;r;il- .i1 | prod uces la rge pri rn areleaves. Quality seecls are suitatrle lbr good produce. It is anative plant of coastal belt of West Afiica and requires


8/80

(s)spacing ol'25 f'eet. lt is being cultivated in many parts butMalaysia is the main exporter of pahn oil to the world.

Cultivation of oil palrn in Pakistan can not onlybeautily the coastal areas but will also rninirnizeenvironmental pollution along rvith reducingconsiderably the edible oil irnport bill.\fhere exist goodprospects lor jts cultivation irr tlre coastEilTili*fSffiand Balochi5tan-. .tyhgl.e_ clim.ati,q conditions aretb-vitliiAbl;"tnougr' there is tack of' rva;;' r.l-.l


9/80

(6). Palm oil is also used in soaps, candles, detergents,lubricants. luel, caked residue, cosrnetics, and otherpersonal-care products. lt is a rich source of vitamin E

[_,1 and B - carotene. paliistan is one, of the bicsestl-,V_/ .ogirmrjl of pahn *ojl__bg5lder C:j11r13*[1.tia, jaqflEu6!6 anO tt.re' Mj,tor. Eo.t countries.Existing Facilities

The Pro.iect Director ol,Oil palln will responsibleto cany out research on oilse-ed crops grown inBalochistan. Besides, an Agricultural Fann at Wayarcr(District t,asbella) r,vas arso hancred over to trre ResearchWing by Agriculture Extensiorr depaftnrent. r,vhere sorneresearch work on oil palnr plantation is also unclcrprogress.'I'otal area of the farnr is lr6 acres, out of whichoil palnr plantatiorr is over 68 acres.Justification

Since the evolution of etlible oil inclustry. pahn oilhas played the role of lif-eblood lbr this sector. DespitePakistan being an agrioultural country face chronicshortage of vegetable oil and has to tlepenrJ on import.The climate, eating habits, logistics. econonty and othersmake pahn oil the most prerer.errtiar choice rbr pakistanindustry.

Every good quality Banaspati ghee contains palmoil. Besides being largely usecl fbr edible purposes, its b.v_products are used fbr soap nraking. The ma.ior oilseedsproduced are cottonseed, rapcseed anrl sunflower.Linseed, groundnut ancl sesanre are butter fat.'"/''t'/F-or the promotion ol, oil palrn cultivation thefbllowing poinrs should bc taken into ionsid'eration:ReGarch station should be establish"d "t-W;yur";";;;b pahl seedlings shourd be provirJed fiee of cost;a-iTlgYl"li-lhoula be made rbr raising of seedtings;Maiketing channels lor grorvers should be set ,p * ;;;;rfidn farmers starr plantlrg oil pa'n otong tnJ;;;;.areas of Balochistan they shoulcl not facc *"0 OOp"rriproblem; lrrigation facility thr.ough swL:et rvarer should beprovided; Training of requiretl manpolver invotve,t innurseries and plantation rna-v be arrange


10/80

(7)According to latest estimate. country's total edibleoil requirernent is around 1.9 rnillit-rn tons to 2 milliontons out of that 7l per cent is inrported while remaining

29 per cent recluirement is mct thfough local resources.T'he country spends nrore than $i800 miilion on edibre oilimporls annually.Out of the total imports, the lion's slrares goes topalrn oil imports nrainry fi'orn Maraysia whire otherimports of edible oil include soybean, canola andsunflorver. The money spent on irnports varies from Rs.33 billion to Rs. 40 biilion a year pertairring to the reverof international prices.Although the governments in pakistan have madeefl'or1s in the past to deverop a grcen bert arongsidezOOkrn rong coastar bert spread over Sindh andBalocrristan sh


11/80

(8)It is strongly desired to set up a research and

developrnent institute which is an inrportarlt requirementfor assisting fbnners in the lollowing manner to enablethern to attain the ob.iective of oil palrn cultivation inBalochistan and to develop srnall industries related to theproduct o1' fbrm to reduce impon and stop drainingforeign exchange to a great extent.

This R&D ftrcility should be fornred with rhe{bllowing objectives:r 1'o provide a permallent fbrr.rm fbr consultation.o 'I'o encoumge the farrncrs to set up oil palm andcoconut farm in a systenratic rvay.r To promote muclr needetl field of research anddevelopment in the country,.o To direct ways anc{ means fbr getting finance tbrsnrall farmers.r To set up an inlbrmation service and databaseo 'lo suppott eristing inlorrnation and otlrer datacenters and ellcourager tlre exteusion of theirproducts.o 'l'o arrange rvorkshops, serninars & contbrences.r To impart training to researchers and technicians.o To select disease resistant and healthy seeds andsaplings.o T'o select agro-ecologicall_v viable varieties ofcoconut and oil palm trecrs.e 'l'o advise proper use ol. various types airOquantities o{' fbrli I izers.r 'l'o develop nrodel nurscries.

; .. . 'l'he oil palnr crclp grows under the .tropicalcoridition that is hot and hurnid. 'I'he cro;r neeis rot ofsurishine and rain unifbrmly spreacl througlr the year. Theidebl gror,ving conditions e.xist l0 degrte nortll and Southof tlre Ecluator.Because of its economic irnpoftarrce as a high_

yieiding soLrrce of edilrre a*d technicar oirs. the .ir palin


12/80

(e)is now grown as a plantation crop in most countries rvitlrhigh rainlall (minimunr I 600 mrn/yr) in tropical ctimateswithin l0o of the equator. 't'he palm bears its fruit irrbunches varying in weight fi-orn l0 to 40 kg. Theindividual fiuit, ranging fionr 6 to 20 gm, are rnade up olan outer skin (the exocarp), a pulp (mesocarp) containingthe palnr oil in a flbrous nratrix; a central nut consistingof a shell (endocarp); and the kernel, rvhich itselfcontains an oil. quite ditter-enr to palnr oil, resemblingcoconut oil.

'fhe oil palm starts to bear liuit rvithin 4-5 yearsafter plantation in the t'ield and has an economic life spanol'over 25 years. lts continuous reduction throughout theyear has a ma.ior advantage over other annual oil crops. ltpermits eflicient utilizatiolr of labour antl equipment 1brlrarvesting and oil extraction. frruit is processed within 24hours of harvesting. So the crop storage racirities are notrequirement.

Oil palrn is the nrost prociuctive oil crops with anannual yield of 3.5 to 5 tons of cru


13/80

(t0)Accordirrg to the 1998 Clensus thc total population ofLasbella district 'uvas 313,405. Agriculture is the mainsector of production in thc district and 70Vo of thepopulation is directly or indirectly involved in this sector.Area and production of Lasbella District is given inAnnexure-1, Table-I.Clintute

The clirnate of the district is rnoist and winterextends ltorn October to January. but in February andMarch the clirnate is nroderate. May and June are hottesrmr:nths.,%r'Lr

The soil of Lasbella i.s alluvial ancl is composeclof light loarn mixed rvith fine sand. l'he best soil is lightloam nrixed with rnoderate atnolult ol'sand and this typeo{'soil is good for production..Irrigulion

The main source of irrigation in t.asbella districtis tube wells, karezes and canals. In 2000-01. total ofl6,19l hectares were cultivated, out of which l0,0glhectares were irrigated througrr tube weils. 5, r00 hectar.esthrough karezes and springs, while 410 hectares wereirigated by canal water. l'here are 593 tube rvells in thc-year 2000-0 I .Agricullure

The prominent crops ol.the area are rvheat. fl.uits.vegetables. cotton, fbdder. jolvar, and castor seecl.krntl Classiliccttion'l'lre total geographical arra is l.Z57,37lhEctarcs.The reported area is 1,255,390 hectarcs, out of whicir77;255 hectares are curtivated. About 7g7.256 hectaresare available tbr cultivatiort but due to scariitv ofirrigation rvater could not cultivated.

. l-he major crops in rabi season are .wheat,vegetables, lbdder, rapc seed and mustarcl, whilc crop!grown in kharif season are rice, jorvar, bajm. sesantum,castor, moong fiuits. orrion etc., Oil palrn growers antj researcherssubstantial progress in recent vearsstahdardized, optimal crop ancl nutrient

have madeto 'developnranagefllent


14/80

(il)practices that prornise high productivity and profitabilitythrough eft'icient and ellbctive use ol' inputs andresources. These pructices and associated readilyavailable, lnore'knorvledge-intensive' technologies haverecently been summarized into five major crop antlnutrient management principles.

Biological fbatures recognized as critical to thehigh productivity of the crop ar-e examined. Theseinclude its perennial and evergreen nature (giving acontinuous year-round canopy cover intercepting a highproportion of incoming radiation), the year-roundproduction of fruit bunches and the high par.tition of totalassinr ilates into harvested product.

Scientific and nranagerial aspects contributing totlre success of the crop include the signiflcant geneticimprovenrents and production of high quality plantingmaterials, the development and application of finely_tuned agronomic practices, the appropriate scale ancletficient organization of oil palm plantations and thecontinuous R&D and gootl intra-structural supportprovided in the mairr producing counfries.'fhe programtnes of crop irnprovement through theutilization of traditional breeding and selectiorr methods,the development and benefrts of vegetative propagationtechniques using tissue culture and ongoing efforts toapply molecular and genetic engineering techniques toirnprove and rnodify oil conrposition, are reviewed.

Agriculture Research Department has, alreadyimplernented a project nzunely ..Oil palm DevelopmentPrqject" in the year 2004-05, which is near toconrpletion. Now keeping in vielv tlre positive results anderriouraging feed back ttom {arrrrers. now AgricultureResearch Departrnent aims to extend the on_goingreSearch and development el.lbrts for the plantation :ofPalnr Oil to other coastal ar.eas like Lasbela, Cwadar antlPa$ni. With tlre irnplementation of this , projectcomprehensive research wiil be undeftaken in ttie fietosof adaptability, serection of suitabre varieties,.nrodernpahn oil cultivation, intercropping etc. yields bf palnrOil are higher than for any clther edible oil crop tliereforc.this project will not only irnprove the socio_e.ono*i"coridition.oi-the fbrnring conrmuniry, br_rt rill "l; i;.i;;;


15/80

c)d)e)

,0

(l 2)reduce the large amoLlnt tbreign exclrange on the importof edible oil.

The overall objective of the project is supplementthe edible oil production of the country by carrying outextensive research activities:-

lintation of oil palm on comrnercial scale;Dissenrination of production technology to the oilpalm groners;Create awareness about tlre irnportance of oil palrnplantation;Support earning supplenrent ilrcorne;Irnprove the envircnnrental corrditions of coastalareas; andlmprove the socio economic conditions offarming comnrunity.

The overall objective of the proje.cf- ii topromote Oil Pahn cultivation in the coastal belt ofBalochistan. The irnmediate obiective is to introduceOil Palm in the potential coastal aleas of the province.The proiect is in line ivith the obiectives of agriculturesector which enrphasizes on recluciltg r.eliabitity onimpoft of cdible oils. T'he contribution of the pro.iectin the short run rvill have positive eflbct on theincome of the farmers, but in the long run, it cansubside irnport of edible oil.The objectives ol'the project will meet byfollowing scope of rvork:-l. [,and Development over 12,000 acres2. Devclopment of irrigation rvater

tll

- Installation of Tube Wells.- lnstallation of Tube Wells- (Solar Energy Operatecl)

: 125 No.:50 No.- Construction of rvater storage tanks: 150 No.- - Watercourscs : 150 No.3. Provision of Rain Guns = 20 No.4. Procurcmenr of Oil pdlm plants: 799.6gb No.5. Construction of Builcllngsi) tlostel :2000 Sttii). Olfices = 3000 Slt

6- Purclrase of Vehicles & Ecluiprrrent- Vehicles


16/80

(l 3)*{tw

tfu.orjcep:lNo.n I Jii.Pickr.rp (DC): I Noffi-

iii.Pickups (SC) = 7 No..- ,Jiv.Shahzor pickup = I No.l/v.Motorcycles = l0 Not .,/- Olfice Equiprnent -zi. Conrputcr with AcccDqries = 8No.ii. Photocopiers :.4 No(9iii. Fax Machines:4 no.Oiv. Mrrltirnedia: I No. '- , ,.t t\ ,1v. cenerators 5 No.(-D I l! A


17/80

(14)

vi.vii.viii.

Irrigation Agronomist= I No.Assistant lrrigation Agrononrist: I No.Research Ol'f'icers = 2 No.Driver = 2 No.Oil Palrn ResearchOil Pahn Specialist: I No.Crop Agrononrist: I No.Entomologist/Plant Pathologist : I No.Rescarch Ol'llcers :3 No.r./ ,I Field Supe-r'visors = l0 No. l,/

) ni.tu Assistanrs : 40 N/ +1[,ab. Assistant :2 NuKDrivers = 4 No.Oil Palnr Productioni. Production Agronomist: I No.ii. Research Ottlcers :2 No.iii. Drivers:2 No.

I l. Operation & Maintenance Closts

Proiect Componentsl) Oil Palm CultivationOil palm cultivation lvill be carried out over an arcaof 12000 acres ( 10000 acres eaclr of state lands andfarmers' fields (2000 acres). ilowever tlre oil pahncrrltivation will be carrietj out on the parcels of landorvned and provided by the farrners. 'fhese land holdingsmay vary [retween _5 to l0 acres in geneml. There is aplovision of 150 tulre wells atong with water storage tanksarid watercourses to be installed on State l,ancl. Ab"out 200fo 300 fbrmers are expected to benefit l.r-om the prbject.2) Land DevelopmentUnder tlre project oil palrn plantation is proposetlover 10,000 acres each on state land ancl 2000 acres onfanners' lands. For this purpose. land developnient over12,000 acres is proposed under the pr


18/80

(ls)underground lvater can be exploited easily tbr thisplrrpose, because underground rvater tatrle available at adepth of 200-500 tbet. 'fheretbre, to irrigate oil palrnplantation this project proposed to install 150 tube wells(electric Operated/ Diesel and Solar Operated) along rvithmachineries and construction of pump houses. 150 waterstorage tanks and watercourses rvill also be provided tosavc water going waste and make nraxinrurn possiblewater available to oil palm plants.

High etliciency irrigation techniclues are used allover the world to save the irrigation lvater and use itjudiciously. High efticiency irrigation systerns have 80-957o water use efT'iciencies as corrrpared to flood irrigationsystern which has 50-60% water use etficiency. Therefore,20 rain guns sets will be provicled.4) Procuremcnt of Oil Palm plantsAt l,asbella plantation rvill be made over 10.000acres on state land and 2000 acls on lbrnrer's land. Forthis purpose total 799.680 saplings will be required whic,hwill either procured frorn the fhcilitie.s established throughOil pahn Developnrent Prolect implemented throughPakistan Oilseed Development Board or imported frornMalaysia or lndonesia. lt is perlinent to mention here thatthese numbers of saplings also include 20o/o exlra plants toreplace the rnortality rate, so that all of the area could bringunder oil palnr plantation.5) lntercropping of Banlna/ Chikoo/ Falsa onFarmer's Field

As oil pahn will be new crop tbr the larrriers and itgives production f-rom sixth year. ultirnately they willreluctant to adopt it. T'herefbre this project prbposes toprovide plants of banantVchiltoo/lirlsa as intercr-opping, Sothat they rvill get bene{its from intercropping tiorn lst t'iveyiars of the proiect. Income raised tiorn inter cropping inthe State land plantations will be kept separately.in prnjectaccount. ln the mechanisrn of expenditure , 30 percent olth.e total income wiil be kept for disribution a'iongst theProject stafTas per schedule given by the proiect SteeringCbmnrittee. Remaining 70 percent of the income will beuied as revolving {irnd ancr used for treveioprnentarac.t.ivities of th., Pro.iect as pcr tirne to time decisiirns of thePro.iect Steering Comnrittee, like rnicro irrigatibn, wirtermanagement e.rperinrent, inlptCIved tnarkctability. vdlue


19/80

i'i) Provide details of civil works,equiprnent, maclrinery and otherplr;*sical ltrcilities required fbrthlr project.

( r6)addition and promotion of by products.6) Construction of Buildings:i) Hostel:

Presently at Lasbella. i;f i,r..;: ar,l':()filtiicdiltiOll ismeager. Therebre. to acc:(:ritl;lii..:,r:.r liic pro-iect, thisproject proposes to consti'rrr-:i ,., ir:is rt I astrella toaccornnrodate Project statt'[r;.c,| r.].r':,'ilri:ri il'ca ol' lrostelwill be around 2,000 S.li. l,int: plitn ir; attaclrccl asAnnexure-S.

ii) O.lJice,s:An Off ice Complex corrsisting o1' : I roonls ovcr3,000 S.ft. will be constructecl at l,nsbella to;: existing aswell as newly appointed Pruiect Stilll. O{l;c,::s line plan isgiven as Annexure-6 .7\ Purchase of Vehick"so Ikluipnrent anil F'urniturea) Vehic:le:sFor the smootli it:,:Ii:lncriti;lir_rrr ol' theproject activities ir r,-luii,:rr.l ri::,carch anddevelopment and piirr,.,,tilri i)\,itr i-lt,ir()O acrcsrvithin stipulated tinic :ri:.i :,i.rli.,r.li, irri,litoring ol'the proiect activities ilcccfi,,li'), ur;hii:lc rvill bcprccured under the pro.irrcl. Iinclcr rlic proiect anindependent proiect irrrplclnrniati.rrr. r,rsear.c!r &development cells are being proprsl;,3J. 'l'herclirrc.to provide transportation lircilitier; rr:, the stall'ol.proposed cells, onc ( t) ea*h 5 [)c,rrr .icep anclpickup double cabin" sevcn (r'i re:n pickups singlccabins and one (l) pickup iShirtu:c,ri will trepurchased tbr Project [)ir.ecrlr. Ofllcc., and othcrallied staff like Deputl, illrrclor (\4&[:;]. lrrigationAgronornist, Oil Seed Br.:{arti:it. C,rop i\gronoinist.Plant Protectiorr O1licr.r. ili.r.rd*ctir,ir,l.Lr,ron,.lrnistetc.. Similarly fbr l_iir,: rl*ld s;:.irl'l' ten ( l0)motorcycles r,vill alsri bi, !.,i.,,_rl;ur(:(l undcr thcproject.

h) )fiica liquiltttrl,tirTo facilitate to ne-*.!.r. g:rnrpor;ttl :csearch andirnplernentation cell nilcc".tsnl.,,, {)l'lic(: equipntcntlike colnputcrs, photocupi*r.s. i:r:i machines.rnultirnedia generators clc, r,r,iil hr: irr,ri:ured lrr thcstnooth tirrrction ine.


20/80

(l 7)4 Field EcluipnrcnlFor carrying outecluiprnent like, tractors.diggers, farm rnachineryunder the project.

field work importantwater tankers, post-holeand tools are proposed

d) Lub EquipmentLab equipnrent are also being proposedunder the ptoject tbr carrying out extensive researchon the various aspects of oil palrrr productiorrtechnology.e) Furniture

For firrnishing the offices for the project stafl'and establishing laboratory provision of turniture is;rroposed in the project.

8) MediaCampaign/ArvarencssOil palnr plantation in tlaloclristan is in infbncystage. Mosl of the fbrming cornmunity of the project areasis un-aware about its irnportance. Therefbre, to createawareness among the fbrrning community acomprehensive awareness carnpaign r.viil be launchedthrough diflerent media.9) Capacity Building/Training progranrmeOil palm plantation is a new and some whatcornplicated technology. so rilr. not so much research anddevelopment has been made in oil palrn plantation. Inorder to acquire enough kneiwledge about its reseeirclrproduction and e.xpansiorr techncllogy a cornpiehensive"?i:j"g.programme will be organized. For thii purposestafFof the proiect rvill be provicleti not onry in-c.untry buralso fbreign training and exposure visit irr oil palnrpr'ducing cor"rntries like Maraysia or rndonesia in the saidsubjects, so as to use as trainers lbr oil palm;growrs.Siinilarly training courses rviil be orga*iz.ed for the oirpahn grolvers. In order to encourage the oil palm growerslbt oil palm plantation they rviil be also be sentrto Sindhp'ovince to visit the oil palrn tiel


21/80

( l8)10) TechnicalAssistanceln the lvorld particularly in South East Asia, oilpalm growers and re'searchers have made substantialprogress in recent years to develop standardized. optimalcrop and nutrient ntanagement pmctices that promisehigh productivity and profitability through eft'icient andeftbctive use of inputs and resources. Undcr the proiect 3(rman-months of technical assistance is proposed- A wellreputed/experienced consultant or expert in the field ol'oilpalm plantation, research and expansion will be hired fi.omMalaysia or Indonesia. Fle will guide the project staffandprovide assistance tbr research and successftrl plantation ofoil palm.I l) Recruitment of StaffUnder the project lbur types of statT will beengaged for carrying out prqiect activities such as projectStatl Research, Developrnent and Prornotion of Oil palrn.

StafT lbr Proieot Director of'flce arrd supportingstaff (Crade 16 and below) ibr Oil pahn llesearch.Developmcnt and Promotion rvill be r.ecruited oncontmctual basis, whereas other statl(liom Grade -17 andabove) will be posted finm existing Agriculture ResearchDirectorate Ceneral. These will be only provided prqiectallowances (80 50% of their pay) fionr the pro.iect whilethey will draw their salaries t'r.orn their parent section o{.Research Wing.

l; Establishment of project Director OfficeIn order to tnanage the project a pro.iect ciirectoratewill be established at Lasbella district. working under theDirector General Agriculture Research trre pruject DirectorOil palm will rnanage the project.c0 Prcject Direcktr :An independent Proiect Dir.ector (Creide_l9) will be recruited. He rvill be in charge of theproject and lvill be responsible to carry out all thepro.iect activities accorcling to the plan bf action.lle will dir.ectly report to the Director CenbralAgriclrlture Researclr. T.he cluty station of pro.lectf)irector will be L,asbella District which will also


22/80

( le)be head-qua*er ofthe project.

)

h) Deputv Dirccbr (h,l & E)One Deputy Director (Grade-|8) will beposted fomr existing stalT of Agriculture Research

Wing, who will responsible for the rnonitoring andevaluation of the proiect. Deputy director (M&E)will visit the project sites regularly and submitreports on monthly, quarterly and annual basis.c) As.:;istant Dircc:tor (Report.r)

Under the Deputy Director (M & E) oneAssistant Director (Reports) will be posted whowill responsible to prepare lnonthly, rluarterly anclannual progress reports ol'the prcr.iect and subrnitto the Deputy Director.d) Other SrafJ /br Pxtjcct Director }fiiceIn order to carry out routine olfice worksmoothly and efficiently, the pro.iect Director rvillbe assisted by Adrninistrative Otficer, AssistantAccounts OtTicer and Ollice Superintendent.'l-hese stafF will assisted by Stenographers. Seniorand Junior Cllerks etc. 'fhese stafTwill be recruitedon contract basis.I rrigation Development SectionIn orcler to get the rnaximize productiorr;oil palrn requires best nranagelnent pt"ctices.

Anrong the management practice irrigatiorris very vital input. Research on rvater requirenrentsand suitable high efficiency irrigation system rvillbe carried out, Irrigation Development Sdction willbe established. Under this seuion,lrrigationAgronomist, Assistant lrrigation Agronomisl andResearch officers rvill be recruited.Oil Palm Rescarch SectionFor carrying out extensive research onr)'tanagcment practices. identification oi. suitableverities and thcir adaptability, rnultiplication o1-oitpalm an oil palm researcl.t section is beingsuggested under the pro.iect. ln order to get thenraximum production. oil palnr requires bestmanagement pmctices. The research will

3.


23/80

(20)

Capitnl cost of Estimntes:Local costs:I'ureign Exchange costs:'lbtala) lnclioate date of estirnation ofpro.iect cost.ii) Basis of detennining the capitalcost to be provided.

undertake necessary trials to flnd out theadaptability of ditlerent varieties of oil palrnsrunder the pro.iect areas conditions. Nevertheless acomprehensive research progranrme will beplarrrred and implernented on the research fbcilitiesat Lasbella and on fanners' trelds.Oil Palm Diffusion and Production Section'fhis sectiorr rvill have organization set upat Wayaro, L.asbella District. 'l'he section atLasbella will be operatcd by the ProductionAgononrist lvho r,vould be assisted by tlvoresearch otllcers. 'l'he t'ield olfices to beestablished will be supervised by AssistantBotanist Production and two research officers.Tlrese field office r,vill be responsible to:r Contact and persuade fbrmers to provideland and water over which the field stafFwill undertake cultivation of oil palnrr T'he stafl will provide the potential

bene{'iciaries with training in managementol'oil pahn tiom cultivettion to harvesting.o 'flre staff will visit the plantation regularlytill the time they the pahn plants haveestabl ished successful lv'fhe stafI r.vill be bound to visit thebeneflciaries as and r,vhen required totsolve their problems regarding oil palrncultivation.e'Arr StalT BpS- 17 and above at the strength ofAgricultural Research and who are deemed tit fbrthe Project will be deploye


24/80

o (21)iii) Provide year-wise estimation of

Physical activities.Year-Wise and Component-Wise Physical Activities

I tent Unit YearsI 2 3 4 5 'fotal

r) tNvES't'MENT COSTLand Developnrent (6 traetor| ) hls/acrc)i) St*tc l,ancl Arca l)evclopnrcntii) I:'trrmcrf's l.and Dcvclonnrent AcrcsAcrcs. t.000r00 2.000500 3.000600 4.000800 r0.0002.0002', lrligntion System Developmenti; Irrstallrrtion ol"l'ubc Wells, lnstullirtion ol"l'ubc Wells onSolar crrcrgl,('onstr.ucl,ion oI Watct. Stora_eeii) 'l'unksiii) l.ining of'Watcr Ceufses_- ir,) l)r'ovision ol'ltain Runs

No.No.No.No.No.

2z

t0t0?020

Ittl028ztl

30t)45.1,5

6

40t5f)55

t0050150t5020

J) l)rocurement of Oil p*lnrl,lanlation ol' ()il palrtr (70i1 plantslacrcs)- On Statc l,and- ()n ljurnrcr's land- N,lofr0l itl" ( ?(),1,i, !

PlantsPlanlsPlants

70.000700

I'10.0003,-stlOr4.140

2 | 0.0004,2(X)28.700

280.000_t.600

42.{r40

700,000r4.00085.680Infercropping of4) Balrnna/Chiltoo/Falsa

i1. Stllc I-arrd Acrcs 250 500 7_50 1.000 ?.5u0ii). ljurrrcr's l,rud Acrcs r00 500 6{X) 8(X) 2.000_____j[ )__]!q.!Ft ru ction of B u i t d in s a t t,as bel tai). llostcl (5m

(ltc l Sq. fi | 000 1000 2.000ii). ()lllccs (8 Roonrs; Scr.li | 500 r 500 3.000rurcnasc Of Velricles, Equipment &7) F-urnitul.ei) 1..'chicle.r

- 5 l)oor lla.icr.o- l)ickups ( DoLrble Ctab.)- t)ickups (Singlu Cab.)-.fccp (Shuhzor)- I\4otorc1,clc.sii) (lli


25/80

a (221- l)hotocopiu's- lritx Machirrc's- Multirncdia- (ienurlrtolsiii l''ielcll..quinnNnl

No.No.No.No.

lolll-l4l | |l'lllls | | |

2044I5

-'l'ractor 75 | Il) u,ith accesstirics- Watcr'l'arrkcr'- l)ost llolc 1)iggcrs- ljarnr lVlachincry. lnrplcmcn('l'()()ls erlc.ll t,oh. l.)a1nipplan1t' I;nntilure


26/80

(23)

8. Annual recurring expencliture aftercomplction:LocalF.D.C.Totali) lterr-rvise annual operating costbased on proposed capacityutilizatiorr.

(Million Rupees)30.05800.00030.058

After cornpletion of the proiect O & M Ctost rvillbe borne by Covernment of llalochistan.

Denrhnd and suppl-v analysis10. Finaircial ptan and mode offinancingI l. I,roject benctits and arnalysisi) F'inancial .& Economic

Not Applicable, 'fhe pro.iect is proposed to be lirnded underPsDP.2007-08.

ln, order to observe the proiect benefits lo theprovincial economy the economic analysis rvascarried out- Througtr this project oil palnlplantation over 12,000 acrcs of lhnner.s and srateland (10,000 aues each) and farmer's lantJ (2,000

I4'

3) Procurement of Oil Plam 2tt2tt 6306 9716 13t38 -r t9ti7Intercropping of+) llananalChikoolFalsir r 750 5000 6750 9000 22.-500(lonstruction of Building at5) t,asbella 3250 3250 6.500Purchase of Vehicles, Equipnent &7, l.'urrriturei. Vc:lriclcsii Ol'licc [.)quiptnerrlI ii ljicld liquiprrrcrrrIv Lab. liquipnre'ntr, ljrrrnilurc & Fixturc8) l\'lediaCampaign/AwarenessCapncity/Bu iltlingftraining9) Ilrogramnrc

l0'I'ec-hnicnlAssist:rnre

:j200

630

r08

t09002,200:i875

1.000| 063836(X)

700050001.000| 3583600

t.0003116

3600

2,000

lu6

l4I002.?004.50_i7.fi)t)5.00(l5.000

12876l0lr(x)

(Rs. In Thousand)

'- l.'- r -*'l) lPay&Allorvances2) | Othcl CtrsrsTotalO&MCosts 20171


27/80

t2. tr rn gllernentntion Sclr ed u le.il Indicate starting and conrpletioneiate of the pnriect

I tr nr -rv i se/-vcra r-rv i seinrplementation schedule in linechart co-related rvith the phasingo1' ph1'sical :rcti vities.

(24\acres) is expectecl to be undertaken in l,asbella.Oil pahn plant starts bearing in -vear six. t-lp tclyear six banana/chikoo/tblsa crops is intercro;rpedin the oil palm orchard. 'l'he pro-iect plants r-rl'oilshall start baring fruits in the sixth year.'l'hc pl;urtscome into firll bearing in ycar trvelve. 'fheirrigation has been assunred to be pror,idcdelectricity operatcd and diesel operated Lroth.liconomically the project is tbasitrle. '['heEconomic Internal Rate ol'return [r1, the ecor;onricanalysis is22.3l% which is above the opporlunitycost ol'capital. Other measlrres ol'the ecorrouricanalysis also gave thc positive indicariorr ofproiect fbasibility. 'fhe BCR at 129,o discountlactor is I :3.92 and the NPV at l2g'o is Rs. 9,1t .03rnillion. For detail please see Anncxurc-3.

In order to observe the vulnerabilitl, ol'theproject untoward events a sensitivitl, anali,iis isalso underlaken. Following assurnptions otemade;- Costs increased by 15%- Benefits decreased by 15%- Costs increased by l5% & benelrts decrca:i*d lrvt5%- Benetits delayed by ? yearsIt has been observecl tlrat the pro.iectmeasure remain positive irr all the above lhreecases, whereas project is slightly vulner.able ivhileuridertaking last assumption- So the pro.jecr cm besafely implerrented.

TIre pro.iect rvillf ihancial year, 2007-0820n-12.

be implenrcnted in theand conrpleted in th(: ),ear

, Itern-wise/year-rvise details of ph,lsicalaitivities have already bc.en providecl in thcccilumn No.8. For more tletails plcasc seeAnnexure-2.!ti


28/80


29/80

Ittr-:pitrecl h.y.

I i t,,..,t,(k't'il r,,.,t" i try;.-''11 r_,..1-.-,,J- 1..-.E/-i I II,tA I1i\ li r t I rrl.qrtArj]i'.tJiJ run,' *t/I) Lr-t't' tirr r\.p, rir : r.r I r u re R,:srraiiii 1(:ereirl Ljro trs ), .AJ-ir iL:ulirrr,l Itcr:ertrr:h t iirriiltr, ---r''lta, Sirrrllr_i]1,*11,:r

,hy'\Plt'r"r..ltt/1 | ,' .:|r:v". Li1.lr/r.r,'ii:; i.i i r.i. i .-

,:'

h"r rtMinistry of Food, Agriculture & Livestocft i].;r!.Govemment of Pakistan, Islamabad ,,rt.,, : -rl;,i l.:: 1,

,.,, ..,i,iu,',;l ir:ri':t'..:,ii-,; j..:, ,.lr t: . :l:,i:1, _::il:.;;r:


30/80

a'.tr - Wbr0sPd.ffi*4Fffilrrl;0l0t4cElalf)I rr!

zCof;t

4F7.

DbrTDt:,sz

{." 'H'*i

T]ceEq)c

PFOLT n -/- 'x Iofic)D,;D

lsEFE"r-fr;{*ilt{',i}.:-

i-/*..\r'I'1.t')*l\\r

tt)@R\./ l

:Em(7oc.B-lrnx

;8rn{r\qfiL-p

TDAJrJffi

onle'..r0lr,::

c,a,:l

I'.1f;f

It-

rf1'|f, {-l rn7rx:ih' :a{D9oEFrPu,Po'iE(f,ft-(

v'(f,drVJ:m-{r!. fr rf1 Ar,{rTr..;' l!


31/80

i'ili.'irj.\.'.:":l$

I.::i::;'.ir.',

.-|:;

i;:,1.-t-+':_

ir tiiljs';li,*..":..ttr"1.j{:,'. lNq:;iF,irilail.....t'tij-:s:.',il:t i';";i4..

t'.rif..rilal lS,,ti:


32/80

Table-l:i;li ALL CR,OPS

CROPsProduction in Tonnes Yield in Kgs ./ Ho:

Irrig: Irrig: III CROPS6.3e7 I'I 54 I

33 I

s,aoo19,562

Jn-frrig Total Irrig: Jn-Irrig Average

.l- r.

6,3975433

5,806{9,562

't,8281,200

660

I S,Oer29,639

1,6401,200

660

15,08129,639

rVheotlorteylope Seedl Musfardluminiram!\ufter Pulsetrlosoorlegetobl*:odderhnolaiunflower5offlower

3,50045

uuu660

'-

RAE3,900 I45 I50[I-l I-t III-[

3s5 [t660 !n-l !

.. If

fotal Robi Crops 4,G40 400. ;, 5'040 3{,852 3',1,852RiceSorghum (Jowar)fiAillet (Bojro)[/tqize5esonumSastor seedi/loongMoshMothFruits0nionPotqtoVegetablesMelonsChilliesFodderCorionder6orlic&sar SeedTobaccoSugaicahelCotfon

85510630

3,409321886

5830

1,23352

17535

6,535

''.t'';' I:,.i.,482,:,,:' .: ,:..

f i'3;6701e5

50

. KHAI85 1eez II-i

630|t'r3|,6701

1s5 i-l-t3,408

321-l8865830

'1,?335?

*ru35

6,535

.:

RIF CROPS161489a605

zo,ogg5,4576,401

651.3939,003,29B6

i-1,7939,009

..,. 260'l',,.1::, 48i:i::r:,268:' ,,': 137' : '::.i,,ii;,it!a::::::'. :li .1r:'i: :l:i: :i '.:;.H

-,'.4,_,';:._,,iit'..:.; r.:;:-]';.;i

,:..,r1:',,'i..:ll.',i.J 3:irjl:1'r::'. i,iri: r:.,,,,.:;1,:il.l'. l:.,:.

't6{749605

48268'/-37

zo,osa5,4576,40{

65{39

39,0032999

r,zgs9,009

1,894959960

6,07317,0007,225

11,2241,300

31,633558451

v;zs1,378

539

425400703

260

1,8947559604254001ot

o,ozs17,0007,225

11,224'1,300

31,633558

, 440:-51,229r1,378

fotol Khorif Crops , 131959 {,510 ,, jt,5,468 84rt|20 .,726 85,146'RAND TOTAL {8,598 1,910 ..20,508 116,272

:, -726 {{6,998

:,

l. l'' I

.:,ili"+i":-ii

i:$ ' '.,,.::,::'l, ..,,1.' .. .'':::. :

sFrlar: {r.rrcrfr sffSFl5ff -'s$lql.ri. f rj! t:_t:


33/80

n:E{l-rrFlvt-v}nf'raf{"lEl'cA?qJgzi-dt?,\l:iA+ \r/T; (t)-r- r-t;'r)

-FzH; ,\)F{iw\JE llqiwr*A\r/oFFEt'{ncz

-l>lD5cr i:FtD'i '4FF -l.DIN)

t-lF.tr.

'{U)Ha

n77"e(f-r

q)Lll-zFltn(a-J(a

FlFlr'Po7oa-lr)

\./t.J+A\v'r' VF(J^y?e: rl1 l+A-J>@A=da9..,

7c)(D>5-E.3=U*do E,F r" tg f .i-, E rrr E. !c E=.8 "E',#

- 3i $,frfrE T EF*5 A Enrri 5 F' Fg tsH#5:'$',rD== JJg3-rddet\) N) t\)t.)(rl(, @tj\O J: iJoo(jI6 r rOrOAaoPUJt#tOOO(JJooo

rlIIII

II

II

l_ldl3

t?!9-o(?

tD

Ft(!tD

\el.c\{ .&,:t.rlUIco)Jb..)

b..,1

{ --J ui-r'' b,* Lr,t.J \Oo\\\c)s IJ9Jpf-O\Ur>.tsirrSbhbbiu-rbobL,,Q9JQ:JUrLrrljO6OcoOurOOoo-5 N

bJ5{o\.\eSr:-r

+r tJJ.g\\: !.rur o'O Lfl\f \9

\o\aA(fJ:^.)::l!rP:-^groo,q!,laett.lbi.Jio+.?!4AQt-rtoo;oo)oooc)()oo,o (,J

N)J*\o{\oo$}dt\.)

aoo\{eoNJ!eo\ooo\

$ t.)bb,lJ It{\O{coir9\oN

tJg:. or..-o&coq!!e r i -r\iobrOOO(iH-NOo\- o,or55 A(,I--t

Nt\.)o\00 !,*r(lJ(,(rloo

! t.)Lr br'.O (..r\O \O6qJtl{& Plr -ilS9g, i b;-b",trS 8Sg 'Jft

.t\o\Ih.)(Jr $tl.)-JUt8.L,JtJtl o\st,t'J

Ur Ur(Jt idb.J fr\ o\J\6bJ{a* FFs"$.oSfilx99 A a bii4 i^ b b hE d = E;t t 3 = =

r{


34/80

..f:-l

ls -il! 't-l4 .-t-jtf,-li t:l+ :t'I - ,.f3,.tiF

,

'I

F:.E ii$*!

i:t

.:::'-i-.1 5.ji t

h

=;:.* d r--

.tf0i_

&

n*AH63E;=.,;- ir 5-=N:f to!-tl;i.,

a:- ,Eaaibi+Eir-Ed2 p a =,a=l i O -23C=oO r^ -Q;'! i.oYF: U=-: P=rJoF'c!.

!.

IJ333:;:iq &3ig+ &i9 sa ? i'i'.qsc.s :9a'AoJ --=.- -a jy= Otft '=1EgP-dEg=; q 3 r-s2 *4 FE,EF

x37'!*rE

=;i.:;=E-f4=re r s f 5 i F z'Pt.r -g^df ra #i,3nEl o19aFgN ::ftFtra? -:acftn'Xc ==:t]a I F2=e ?6=_a*33a

atl

;;F 77i 3 G:.iTJ IJ oo-o

a

Il_fz> :n

*4

C.

a.,z

n

+:.- =I

P' ;'-d= 6:g -='o


36/80

_-t

,

$QiJ1'tqA_- 4AS=^;$:i:f;'=';'> i +Ei1-l{-l=To=,?e1Ai .;'n G (9 o' -]-4,4 2 = -- =! 48,.' i ;,o -.t- = rc;*; .; ]

rdE ; s= at o- ==Aod==.?; g qci,n- 2 3al d6-=='lJ =D-O_Tiiqd*J'Y

@ ac ct {o

to@

\l- ' '\ , ' trI: 5flri$ ?7s3$qFiiit o-EXitr *= (n

E-o(n{z

.n -,i >.!!r=? *;ui1o ,.;TJ


37/80

a

|-r?.oeF4>

l= Fi13. zl=' hIFl6Frat=le (hlg>l=Llct lttr' tltl4 u

Ft.o(4-iz

e r'=,: -=i=6i.iz$,.=6t:J

iI2(!tUliFz{aa-it)

-i

F

'Qto

939g e9AWtnnaA2AA 3 3= 9$Rr-g--';.'2e'1ii' .;dArr;O()d-?.o P lrg S-'cE i: =i1:.+; = -i-. = mil; = ;: ji- ca 193; = P.Lad o- =.=9 ? =?.?'d e ta.='n 2 r-

o*, I-tJ;=: ;;t.'! -

{oxl

6

-l

a4

GF?.1:a

g

ci

-.

c.Ftna

U)\'-\R-fn

=:

''\ifrfs Fo F ln?,:'r x{'F#JzSfq:i=S=;; o ^. csqii; a 5 !JOa)-'- = o.FiaI-i;F

-.IF

rr^F < J } J !S?.=';?9=e- = S:'YE \; = x b t =n'l A l+3 P @ ="tiEfr;Sj- =dooo6:.o

Cir rJ'= { -.! (rJ rJoccoam;i,a:-:-:-!;


38/80

a

IA< =:=:-. -t;;;;;*-=. = 9 9 =..9. =.*qi6'*3'g;:j-:=6:5F g 3,8,f * E;t..a*E.93.d-zFi 3I aofi^*ja5u - H': f gil d {c,-.; ? gi4: ; svE;3Y',e 6J-3i

=33e==.s33*ts3Eeg., tg:f + f 8 g F r'5 g f Ss,f i g fir F: fi ifin A i1,8 p^E egt*f *rg*BrtitrE s3i;^; : o =- v, zzq E i 3 i: g;Hia?il cfFV*;HA;- J.^ S. a v d 5 Nr.- :t =- ;( ;!3Qffr5 E3&gg?;Fia':6 mE ii-6-:riEo;a i a itD il--o16-O-w(/)o'(,N - il gtflpr-F6- 19";-i_r:,?

(D

-< "?7?A)a)$$tll-a '777>s>oooo

qqoq


39/80

a

-r?or.rFl

"1 blEFi:)A5Vg.zEz='AdY3>9O+ r-lq=rLIoro L^lg o

EFot-laFjz

!{>-?re5: (t5iFt>rec?p

^tRi.

Ue$(!\Q

Y.ry d f Te =-', ft a'tt8 a tEh 3 F, =;'> =' =--;=;rio -r= +-Ifr + X,8,6 = b'iBR=.q3i-z^?.a=qq'9 =G,*7.o=--, F H a 2i 3-a'll ? wa_=v^ia?/^ -6\iEe"?.y?2.+,'o'=:trz 6'

^x--:

!o:FcsF.:ts

F7'=i -. I: S. < -. =.-. ' 3 lE ?,_:_:-: _:_:_:< < =:=:_. --ll *

t!

A"+f5., E Y F' 5 f f 3g tr g qn i: $E i f * a i i,E f E- i ?'r * r afrEg it aEE $ 33 g;3:aiE-;7726:38 =eE-dr* F'oZg3F$4ta H s; a'*.- q:asGa 1 - 'ig.tLG8:tCa :.J -O ll +tl ' u7-=JZr?6:e i-FY^-="t22i s-3 pJ3

@ ASUO -*r Co !-\o\o ==--!9 iu-rLrGI-iiYssls 8s3slt55E {to


40/80

I

FrJ>cr7oFFl

l+;la' zl-lfzlE latiI;Ol: -lFlr l'ItI:Fla ffila :'f-P a

>rJ

rnat-lz

r-i>E *;>,J5.iti'

=3'3r!9r9399e g7FiE=?{ggt3i = =-=.O ^ =-:..F-?E3A',fr4 q;Y'-it "^ -.i tJ= 'iF" = +arct- F 6'


41/80

t

r.r7ner-J3.2Fzi>EQ1t\

U,=trov)-lz

! -.'l >,F *;i4>TJE oN

-ti|-eoaIt

o',,-t(!IoF:(,sos

71:n-FIa)a-t?)I*

4,-F-J,.^

o

v=:l,lg39g3ggg d9{ssgtsE;5a =^3.r a ^ =.--o-H +?;; +: va-::i-=>2.ni; 6 - +a=-_?ory:E;g:d=l."En=;tg3l33As33g'=;{aai-*eq ntiiiifrsrfi*ilsiai.Zr !6ll -A- r Ur;?.7 - *'5 P" ..lL c,:Lz -r.=z!-3.o9 a-9.? z;ut,l--a -i- 1,-v-=9.F-, 9.9p

oo ? .Ly'O -b8 83-if EG {.r-su,gggE estE

,J b,;iB5=.P )l -Vr -.Jr- ' FJ-8trts8383 88 J.

.{$o.

-illlJI

lltrftl

:{".il

il

{ , a{lg lg{ {N ci;=u;gsgEg N6 \oa P. irso@9Ul-rtrrio!@O\CF@Ool{ &\l !ai N5 { or.r'


42/80

o Annexure-3Table-tSetfre$nt Yatue (tlPv)

Net present valtle of easl'l f'low on DF,12%for fifteen years is positive, hencethe project us econornically significant

Year Canital o&M Gross Gross Bene Cash Flow D.F',l?a/o PW1 7.75 2.461 14.211 0 -10.211 0.893 -9.11842 49.952 41.515 91.467 0 -91.467 0.797 -72.8993 58.945 44.531 103.476 0 -103.476 0.712 -73.6754 67.255 57.724 124.979 0 -124.979 0.636 -79.4875 71.987 64.1 3 136.1 17 0 -136.117 0.567 -77.1786 0 63.853 63.8526 0.507 32.37337 0 214.895 214.8948 0.452 97.1324B 0 385.498 385.4982 0.404 155.741I 0 585.313 585.3132 0.361 211.29810 0 559.342 559.3416 4322 1 80.1 0811 553.182 553.182 0.287 158.76312 519.950 519.9498 0.257 133.62713 466.1 89 466.1892 0.229 106.75714 401.184 401.184 0.205 82.242i15 373.462 373.4622 0.183 68.3436255.889 210.361 466.25 4122.8676 3656.618 6.812 914.029


43/80

aAnnexure-3

Table-2Benefit Cost Ratio {Gross}

Year Capital o&M Gross D.F.12o/: PW Gos Gross Bene D.F 12o/o PW Benefit1 7.75 2.461 10.211 0.893 9.118 0 0.893 0.0002 49.952 41.515 91.467 0.797 72.899 0 0.797 0.0003 58.945 44.531 103.476 0.712 73.675 0 0.712 0.0004 67.255 57.724 124..979 0.636 79.487 0 0.636 0.0005 71.987 64.13 136.117 0.567 77.178 0 0.567 0.0006 0 0.507 0.000 63.853 0.507 32.3737 0 0.452 0.000 214.895 4.452 97.132I 0 0.404 0.000 385.498 0.404 155.741I 0 0.361 0.000 585.313 0.361 ?11.29810 0 0.322 0.000 559.342 0.322 1 80.1 0811 0.287 0.000 553.182 0.287 158.76312 0.257 0.000 519.950 4.257 133.62713 0.229 0.000 466.189 a.229 106.75714 0.205 0.000 401 .1 84 0.205 82.24315 0.1 83 0.000 373.462 0.1 83 68.344255.889 210.361 466.25 312.358 4122.868 1??6.387

BGR 1:3.92


44/80

o.lsif

ftsooA)(D

nro

{osr- xcrEooll(}1 (4t

_$Jl Js (.^) N) JJ AO (o @ N o) (tl $. C^) t$ .A o0tl\)(JlsJ'@oo(o o O o O O o o o O o

\tJto@{O)>tN)CttOl

(Jl90CO.rCtl

.N(oio(JtN) >l'{('log,o$)

N)--\P(to) o O O o O o o


45/80

aA N l.l ltix tl iil. iiil,-4

.! {.J STI F IqAT I ON AND DISTRI BU TION OF VE FI I {] l,!,*:1'i'lie fbllo"ving Vehicles will be required lbr can'ying out the l',r,r,.,r u,:::i-,;i.*sruncler Clil Pdm Cultivation in C.oastal areas of Balochistan.

Type of VehiclrrsPaiero (5 Doors)

Double Cab Pickup lbr Research actlvitir:s 1,.rcarry out the dif rent Field & Ol'l'ice rvorli.Single Cab Pickup for lteieirciin.iioiii*, ii,carry out the dift-erent Field & (,.iilti: rvrlrl;.Single Cab Pickup for Researcir irl;i it:,;i, ;i. ----carry out the different Fielcl &.,. i: jl.:..',c,i,i1,..

(.lrop Agrononrist Single Cab Pickup tbr Resear.cit;1fi;iiil i.;cany out the dilfelent Field & OIJ'icc \ryor.li.

lintomologisl Single Cab Pickup fbr Resear,rtr ic[t'ilic,li.' -carry out the diffbrent Irielcl & Of'tjc,: woili.

Prt-rd uction Agronom ist Single C'ab Pickup fb'- Resear,rlirrdiiii.,,, ri,cahy out the diffbrent F'ieltt & r-.tirlr:,: worli.

a

[)rtr.i ect Di..cr,rt Offi *"1ffi 2 Single Cab lrickup for Reseiri.i,r,. ,lii,iii,.,; t,rcany out the difl'erent Field & r )!'iji:t: r,\orl,:.

Pro.iect Director Ol.fice (pool) Shahzoor Pickup for transfbr ol. il;,r'i;:"

ParticularsProjr:ct Director

fJeuutv Directrlr

I r'ri gation Agr onomist

0il ['ahn Strrecialist


46/80

a

t irur

rr@e%

ANax- v : t,

mPt n u HosrEL

ffile'--+8+q+

s -{ r a-:>BProiktjo

artn6-'6'x g:)

lrs-;Ktras6,e;'X qLi

L+W Nlt;6 wrz-

(avcv ce fi ya-4. laao S6L


47/80

Y\\o: r!. r'q.\iF- '(i.t

Nf6;\to-dcD;\i,_Io:

l..r

d;sd;

't:zrn\l--ba ll:--_.,.,I

.\ +rl'il+\'SiN-:\:\3,

RN\$\rt\

';: Le$i'i\\d:

IJs:st'Or s5.b6\14

g\l-OtF$tn.'t

{.6:N0:

lalsi$s\$\$Bi-f


48/80

il .fll r l*tit''i{'iL':''il. . fi.n".! li-.lt./.,...,1.- -:-.f l. .l,'l /Fl,,\?l*\.ll{ .t lt {.,,S1 i.,t }j}l }tf.iltt,.rfU' I) Lr;,,*'.o, AF;r i n r.r I i u Le ttrrr.,.1:'rtr..1cereal Crops),A Hric., rLf 1i, r,,, ll cr,renrr:h l*tihrt*' '' Sr.u.i:rtr-.erre.fta . . .

'.

/>/l.n.opor-erl lry:

'irl,:.r


49/80

GOVERNMENT OF' PAKISTANPLANNING COMMISSIONPLANNING & DEVELOPMENT DIVISIONt(**tkWORKING PAPER FOR THE CDWP

.q/

L2.

3.4.

5.

Project TitleLocation

Sponsoring AgencyExecuting Agency:

Agency for Operationand Maintenance

Sector: AgricultureSub-Sector: Oil CropsPART -A(Project Profile)

Oilpalm Cultivation in Coastal Area of BalochistanCoastal area of Balochistan: Districts of Lasbella, Gawadarand Pasni.Ministry of Food, Agriculture and Livestock.Govemments of Balochistan, Agriculture and CooperativeDepartmentDirector General, Agriculture Research./Project Director,Oilpalm

6. Cost: (Rs. Million

7 . Brief Description of the ProjectThe project envisages promoting/introducing oil palm cultivation in the coastal areas/beltof Balochistan. There exist good prospects for its cultivation in the coastal belt of Sindh andBalochistan where climatic conditions are favorable, though there is lack of water and extremeheat with monsoons least affecting the area. The annual rainfall is as low as 200-300 mm. The750 km belt lies between 62" E longitude and 24o N and 26' latitude. The mean maximumtemperature ranges between 32"C to 42"C with high humidity. The sea breeze in summermoderates the temperatures near the cost. It has been reported that coastal area of Balochistan issuitable for cultivation of oil palm. The soil and climatic conditions of coastal areas in Sindh andBalochistan (Lasbella, Gawadar and Pasni) offers great opportunities for oil palm treescultivation. Pakistan Oilseed Development Board (PODB) is actively working towards achievingthe goal for cultivation and development of oilpalm establishment in Pakistan. It is reported thatafter soybean, oilpalm is the second major oil producer in the world. Per capita consumption ofoilpalm in Pakistan is 11 kg per annum. Pakistan is one of the biggest consumers of oilpalmbesides China, India, Japan, Europe and the Middle East. The following are the maincomponents of the project:

i) Oilpalm Cultivation: Oilpalm cultivation will be carried out over an area of 12,000 acres(10,000 acres of state lands and farmers' fields (2000 acres). However, the oilpalmcultivation will be carried out on the parcels of land owned and provided by the farmers.These land holdings may vary between 5-10 acres in general. About 200to 300 farmersare expected to benefit from the project.


50/80

ii)

iii)

iv)

2/Land Development: Under the project oilpalm plantation is proposed over 10,000 acreseach on state land and 2,000 acres on farmers' lands. For this purpose, land developmentover 12,000 acres is proposed under the project, on both state and farmer's land. In orderto develop barren culturable land 6 tractor hours per acre will be required. In all 72,000tractor hours will be needed.Development of Irrigation Sources: The main source of irrigation in Lasbella District isTube Wells. Irrigation water is not a problem as the underground water can be exploitedeasily for this pu{pose, as underground water table is available at a depth of 200-500 feet.Therefore, the project proposed to install 150 tube wells and construction of pumphouses, 150 water storage tanks and watercourses for irrigation.Procurement of Oil Palm plants: A total 799,680 saplings will be required which willbe either procured from the facilities established through Oilpalm Development Projectimplemented through Pakistan Oilseed Development Board or imported from Malaysia orIndonesia.v) Intercropping of Banana/Chikoo/Falsa on Farmer's Field: As oilpalm will be nev.'crop for the farmers and it gives production from sixth year. Therefore, this projectproposes to provide plants of banana/chikoo/falsa as intercropping. So that they will getbenefits from intercropping from l't five years of the project. Income raised fromintercropping the State land plantations will be kept separately in project account. In themechanism of expenditure,30o/o of the total income will be kept for distribution amongstthe project staff as per schedule given by the Project Steering Committee. Remaining70o/o of the income will be used as revolving fund and used for developmental activitiesof the Project as per time to time decisions of the Project Steering Committee.

vi) Media Campaign/Awareness: Oilpalm plantation in Balochistan is in infancy stage.Most of the farming community of the project areas is un-aware about its importance.Therefore, to create awareness among the farming community a comprehensiveawareness campaign will be launched through different media.vii) Capacity Building/Training Programme: In order to acquire enough knowledge aboutits research production and expansion technology a comprehensive training programmewill be organized. For this pu{pose, staff of the project will be provided not only in-country but also foreign training and exposure visit in oil palm producing countries likeMalaysia or Indonesia.ObjectivesThe objectives ofthe project are:

i) Plantation of oilpalm on commercial scale.iD Dissemination of production technology to the oilpalm growers.iii) create awareness about the importance of oilpalm plantation.iv) Support earning supplement income.v) Improve the environmental conditions of coastal areas.vi) Improve the socio economic conditions of the farming community.


51/80

3/The project proposes to recruit on contact basis 98 personals (18 Officers, 12 Officials,2Laboratory Assistants, 10 Field Supervisors, 40 Filed Assistants and 16 Drivers). It will procure10 vehicles (one double cabin pickup, 7 single cabin pick-ups, one 5-door land cruiser, one

Shahzor pickup), l0 motorcycles, 8 computers with accessories, 4 photocopiers, 4 fax machines,one multimedia and 5 generators. In field equipment, 3 tractors with accessories, 3 water tankers,8 posthole diggers and 3 sets of farm machinery tools will be purchased. The proposed civilworks includes hostels and offices on 5,000 sq.ft. covered area. It will also develop land over12,000 acres, install 125 tube wells, construct 150 water storage tanks and develop 150watercourses. Local training to 16 persons and foreign trainings to 6 persons will be provided.8. Project Implementation:

In order to mange and implement the project a project directorate will be established atLasbella district working under Director General, Agriculture Research. Two SteeringCommittees will be looking after the project implementation. At Provincial level, the SteeringCommittee will work under the chairmanship of Additional Chief Secretary (Dev) withAdministrative Secretaries of concerned departments as members whereas the Project SteeringCommittee will work under the chairmanship of the Secretary, Agriculture and CooperativesDepartment with heads of relevant attached departments as members.

The Project Director Oilpalm will manage the project activities. The independent ProjectDirector will be incharge of the project, under the Director General Agriculture Research,Balochistan on the project activities and implementation of the project. The Deputy DirectorMonitoring and Evaluation will be posted for monitoring of the project and preparation of reporton monthly, quarterly and annual basis for submission to higher ups. He will be supported byAssistant Director and other staff. Irrigation Development Section, Oilpalm Research Sectionand Production Section will be established having Agronomist, Irrigation Specialists andResearch Officers to execute the project activities under the Project Director.9. Plan Framework(a) Plan Allocation The project is not included in Medium Term DevelopmentFramework (2005-10). However, promotion anddevelopment of oilseed crops is included in the objectivesof MTDF. For whole of the agriculture/livestock sector,

(b)(c)Rs.39.5 billion are provided in the MTDF.PSDP Allocation Rs.10.00 millionSector Issues- Low productivity of crops, livestock and fisheries.- Lack of trained extension workers- Lack of export orientation.- Lack of coordination between research, extension and education.- Import substitution (edible oil, tea and milk).- Poor marketing infrastructure.Sector StrategyThe agriculture sector strategy is to increase productivity of crops, livestock andfisheries for achieving self-reliance, to promote produciion of trigh value crops,milk and dairy products and to strengthen agricultural institutions for research andextension. The production and export potential of horticultural crops and livestockwill be exploited.

(d)


52/80

1/4

10. Relationship of the Project with Sector IssuesThe project will address the cultivation and promotion of Oilpalm in Balochistan. Percapita consumption in Pakistan is 11.0 kg and there is huge burden on import bill ofPakistan due to.import of oilpalm from Indonesia and Malaysia. According to latestestimates, country spent about 800 million dollars on imports of edible oil annually. Theproject will help to establish Oilpalm cultivation in coastal belt of Balochistan and onsuccessful completion, it will help to reduce import bill considerably.

1 l. Item-wise Break-up of the Project Cost (Million Rs.)Sr. No. Items Cost o/o of totali) Irrigation system development 163.000 35.0ii) Ooeration and maintenance 55.264 I 1.9iii) Continsencies 52.750 I 1.3

iv) Establishment charses 5 I .168 11.0v) Purchase of vehicle, equipment, furniture 32.805 7.0vi) Procurement of Oilpalm 3L987 6.9vii) Intercropping at farmers' fields 22.500 4.8viii) Land development 2r.600 4.6ix) Capacity buildine 0ocal and foreien) 12.876 2.8x) Technical assistance 10.800 2.3xi) Construction of offi ceslhostels 6.500 r.4xiii) Media campaign, seminars, etc. 5.000 l.tTotal 466.251 100.0X'inancial Management:The project will be financed through Federal PSDP. Two Steering Committees will belooking after the project activities. The provincial Steering Committee will work underthe chairmanship of Additional Chief Secretary (Dev) with administrative Secretary ofthe concerned department as member. The project steering committee will be headed bythe Secretary, Agriculture with members of attached relevant departments.Unit Cost

Land develoDment Rs.1,800 per acreTubewell installation Rs.0.500 million per tubewellCivil works Rs.1,300 per sq.ft.Tubewell solar operated Rs.0.750 million per tubewellRain gun Rs.0.025 million per sunLand cruiser Rs.3.200 millionDouble cabin pick-up Rs.1.800 millionSingle cabin pick-up Rs.1.100 m lionShahzor Jeep Rs.0.700 m lionMotorcvcle Rs.0.070 m lion

t2.

13.


53/80

)14. Period of Completion Five years15. Annual Recurring Rs.30.058 million. After completion of the project, O&MExpenditure cost will be borne by the Government of Balochistan.16. Annual Income Not given in the PC-I.17 . Date of Receipt in the 15-08-2007Planning Division18. Existingfacilities

An agriculture farm at Wayaro (District Lasbela) working under Research Wing ofAgriculture Department where some research work on Oilpalm is under progress. Totalarea of the farm is I 16 acres out of which 68 acres are under oilpalm plantation.19. Other major on-going and potential projects in the Sector

D Agribusiness Development and Diversification Project.ii) Crop Maximization Project.iii) Integration of Agricultural Research and Extension Activities.iv) National Integrated Pest Management Project.v) Managing Burewala Strain of Cotton Virus.vi) Milk Collection/Processing and Dairy Production & Development Programme.vii) Livestock Production and Development of Meat Production.viii) New Aquaculture and Shrimp Farming.ix) Oilpalm Development Project.x) National Agriculture Land Use Plan (Phase-I).xi) Strengthening of Veterinary Services for Livestock Diseases, Eradication of

Rinderpest.xii) Agriculture Sector Project Loan.xiii) Introduction of Medicinal Herbs and Spices as crops.xiv) Restructuring and Strengthening of National Agriculture Research System inBalochistanxv) Research for Agriculture Development Programme (PARC Institutions).


54/80

Q'

20"

6/PART - B(Technical Appraisal)

Project ScrutinyD Pakistan Oilseed Development Board (PODB) has been executing a project"Oilpam Development Project in Sindh and Balochistan". The sponsors mayindicate whether they have consulted in the formulation of the PC-I with thePODB. The expertise of PODB and its experts will be worth in implementation ofthe subject project. Balochistan Government may consult with the experts ofPODB.

At page-ll of the PC-I, it is envisaged that Agriculture Research Department,Balochistan had already implemented a project "Oilplam Development Project" in2004-05. The sponsors may provide the upto-date report and achievements of theproject and same may be incorporated as part of the subject PC-I so as to evaluateviability of this project.Procurement of oilpalm plants, there will be need of foreign exchange. Thiselement of foreign exchange has not been given in the PC-I for the purchase ofseedlings from abroad. However, Rs.31.987 million has been earmarked forprocurement of oilpalm in the PC-I. The sponsors may clearly identify the sourceof import of seedlings, etc. in order to avoid incoming problems.Intercropping of banana, chikoo and falsa on 12,000 acres of state land/farmers'fields during the five first year of the project has been proposed in the pC-L Forthis purpose, a provision of Rs.22.5 million has been provided. only 2,000 acresof farmers' fields will be utilized for oilpalm cultivation and intercropping in it.The unit cost is Rs.5,000 per unit. The project may be rationalized by deletingRs.12.5 million proposed for intercropping on state land.Installation of tubewell operated by solar energy has been envisaged in the pC-Iwith a cost of Rs.0.75 million per tubewell. It is no confirmed that solar operatedmachine can lift water from 200-500 feet depth. The evidence for operatiron andpracticability of solar operated tubewells be provided otherwise Rs.37.5 millionmay be used for installation of electric/diesel operated tubewell.In the PC-I, there is no provision for oilpalm extraction mill/unit, etc. Onproduction of oilpalm nut what will be mechanism for extraction of oilpalm in theoilpalm plantation area. It is suggested to envisage in built mechanism forproduction and oil extraction in the PC-I.The provision of luxury vehicles like one land cruiser and one double cabin arenot supported. In place of this single cabin vehicle will modified hood mav bepurchased and the cost ofthe project be rationalized.

ii)

iii)

iv)

v)

vi)

vii)


55/80

lb-7

viii) The existing facilities describe in the Pc-I are silent regarding research scientists,office and research laboratory equipment, etc' with the agricultural researchdepartment of Balochistan conductlng research and development work onoilpalm. The same may be incorporated in the PC-I'Recommendation

The project is submitted for consideration of the CDWP'


56/80

l{'/GOVERNMENT OF PAKISTANPLANNING COMMISSION(Agriculture and Food Section)rt*tr*?t

No. I 46(54)PC/AGR/2007 Islamabad, the 20t' August, 2007OFFICE MEMORANDUM

SUBJECT: PRE-CDWPMEETINGA pre-CDWP meeting on the following projects will be held on 25-08-2007 atI 1:00 AM in the Committee Room (Room No.204), P-Block, Pak. Secretariat, Islamabad underthe Chairmanship of Member, Agriculture and Food, Planning Commission, Islamabad. Theworking papers of the projects are enclosed herewith:i) Promotion of Cotton Cultivation in Balochistan Phase-IIii) Oilpalm Cultivation in Coastal Areas of BalochistaniiD Development of Fisheries Training Centre at Gawadariv) Development of Olive Production and Processing in Balochistan

2. You are requested to kindly attend the meeting.Encl: 4 working papers

Secretary,Ministry of Food, Agriculture and Livestock, Islamabad.Secretary,Agriculture and cooperatives Department, Govemment of Balochistan. Quetta.Secretary,Fisheries Department, Govemment of Balochistan, euetta.Chief, Economic Appraisal Section,Planning and Development Division, Islamabad.Director Monitoring and Evaluation,Ministry of Food, Agriculture and Livestock, Islamabad.

CC: i) PS to Member, Food and Agriculture, Planning Commission, Islamabad.ii) PS to Advisor Agriculture Planning, Planning bommission,Islamabad.iii) So (Protocol) with the request to reserve thi Committee Room on abovementioned date and time and arrange light refreshment for the participants.


57/80

ll- "GOVERNMENT OF PAKISTANPLANNING COMMISSIONPLANNING & DEVELOPMENT DIVISION:b***

WORKING PAPER FOR THE CDWP

1.

2.

3.4.

Project TitleLocation

Sponsoring AgencyExecuting Agency:

Agency for Operationand Maintenance

Sector: AgricultureSub-Sector: Oil CropsPART -A(Project Profile)

Oilpalm Cultivation in Coastal Area of BalochistanCoastal area of Balochistan: Districts of Lasbella. Gawadarand Pasni.Ministry of Food, Agriculture and Livestock.Governments of Balochistan, Agriculture and CooperativeDepartmentDirector General, Agriculture Research/Project Director,Oilpalm

6.

5.

Cost: (Rs. Million

7. Brief Description of the ProjectThe project envisages pr


58/80

l] '/2

iDLandDevelopment:Urrdertheprojectoilpalmplantationisproposedover10,000acreseach on state land and 2,000 u"rJ, ot farmers' lands' For this purpose' land developmentover12,000acresisproposedundertheproject,onbothstateandfarmer,sland'Inorderto develop Uafrer, "it*uut.land 6 tractor hours per acle will be required' In all 72'aaa

tractor hours will be needed'iii) Development of Irrigation Sources: The main source of irrigation in Lasbella District isTube Wells. Irrigation water tt ;i; ptblem as.the underground water can be exploitedeasily for this purpose, u, *a.rgio;"J;"f;.t1T.. ir available at a depth of 200-500 feet'Therefore, the project propor.i to install 150 tube wells and construction of pump

houses, 150;;; rtorug. tanks and watercoufses for inigation.iv) Procurement of oil Patm plants: A total "799,680 saplings will be required which willbe either p[r"*a from the faciiities established through bitpalm Development Projectimplemented through Pakistan oilseed Development Board orlmported from Malaysia orIndonesia.v)IntercroppingofBanana/ChikooffalsaonFarmerosField:Asoilpalmwillbenewcrop for Uo. iur*"rs and i gi*t p.oa"ction.from sixth year' Therefore' this projectproposestoprovideplantgoflanana/chikoo/falsaasintercropping.sothattheywillgetbenefits from intercropping fil 1" fiu" years of the project' Income raised fromintercropping the State land plantations will be kept separaiely in project account' In themechanism if"*p"rrAiture, 3bo% of the total incorne will be kept for distribution amongsttheprojectstaffasperschedul'giu*by.theProjectSteeringCommittee.Remaining70% ofthe income will be ,rrra i, ,"uoluing fund and used for developmental activities

of the Pr"j;;;; p;r time to time decisions oitht Project Steering Committee'vi) Media campaign/Awareness: oilpalm plantation in Balochistan is in infancy stage'Most of the farming community of tt. piop.t areas is un-aware about its importance'Therefore,tocfeateu**"*rr*ottgttt"farmingcommunityacomprehensiveawarenesscampaignwillbelaunchedthroughdifferentmedia.vii)CapacityBuitding/TrainingProgramme:In-ordertoacquireenoughknowledgeaboutit, ,es"ur"h p.oau]aion and expaniion technology a comprehensive training programmewill be orgu|ir"O. For this p"rpot., staff of the projeci will be provided not only in-country but also foreign training and exposure visit in oil palm producing countries like

MalaYsia or Indonesia'ObjectivesThe objectives of the Project are:

D Plantation of oilpalm on commercial scale'iD Dissemination of production technology to the oilpalm growers'iiD create u**"rr.r, ubout the importance of oilpalm plantation'iv) Support earning supplement income'v) Improve the environmental conditions of coastal areas.vi) lmprove the socio economic conditions of the farming community'


59/80

14.I J

The project proposes to recruit on contact basis 98 personals (18 Officers, 12 Officials,2Laboratory Assistants, 10 Field Supervisors, 40 Filed Assistants and 16 Drivers). It will procurel0 vehicles (one double cabin pickup, 7 single cabin pick-ups, one 5-door land cruiser, oneShahzor pickup), 10 motorcycles, 8 computers with accessories, 4 photocopiers, 4 fax machines,one multimedia and 5 generators. In field equipment, 3 tractors with accessories, 3 water tankers,8 posthole diggers and 3 sets of farm machinery tools will be purchased. The proposed civilworks includes hostels and offices on 5,000 sq.ft. covered area. It will also develop land over12,000 acres, install 125 tube wells, construct 150 water storage tanks and develop 150watercourses. Local training to 16 persons and foreign trainings to 6 persons will be provided.8. Project Implementation:

In order to mange and implement the project a project directorate will be established atLasbella district working under Director General, Agriculture Research. Two SteeringCommittees will be looking after the project implementation. At Provincial level, the SteeringCommittee will work under the chairmanship of Additional Chief Secretary (Dev) withAdministrative Secretaries of concerned departments as members whereas the Project SteeringCommittee will work under the chairmanship of the Secretary, Agriculture and CooperativeiDepartment with heads of relevant attached departments as members.

The Project Director Oilpalm will manage the project activities. The independent projectDirector will be incharge of the project, under the Director General Agricuiture Research,Balochistan on the project activities and implementation of the project. The Deputy DirectoiMonitoring and Evaluation will be posted for monitoring of the project and preparation of reporton monthly, quarterly and annual basis for submission to higher ups. He wilf be supported^ byAssistant Director and other staff. Irrigation Development Section, Oilpalm Research Sectionand Production Section will be established having Agronomist, Iriigation Specialists andResearch Officers to execute the project activities under the Project Director.9. Plan Framework(a) Plan Allocation The project is not included in Medium Term DevelopmentFramework (2005-10). However, promotion anddevelopment of oilseed crops is included in the objectivesof MTDF. For whole of the agriculture/livestock sector.Rs.39.5 billion are provided in the MTDF.(b) PSDP Allocation Rs.10.00 million(c) :**ilil:ductivity of crops,livestock and fisheries.Lack of trained extension workersLack of export orientation.: ffi:;*:;f#trfffi[Til1"#ilTfifinsionandeducarion- Poor marketing infrastructure.(d) Sector StrategyThe agriculture sector strategy is to increase productivity of crops, livestock andfisheries- for achieving self-reliance, to promote produciion of high value ..op.,milk and dairy products and to strengthen agricultural institutions for research andextension. The production and export potential of horticultural crops and livestockwill be exploited.


60/80

t.i '

10.

4

Relationship of the Project with Sector IssuesThe project will address the cultivation and promotion of Oilpalm in Balochistan' Percapita ctnsumption in Pakistan is 11.0 kg and there is huge burden on import bill ofpakistan due to import of oilpalm from Indonesia and Malaysia. According to latestestimates, country spent about SOO *ittion dollars on imports of edible oil annually. Theproject will help-to establish oilpalm cultivation in coastal belt of Balochistan and onsuccessful completion, it will help to reduce import bill considerably'Item-wise Break-up of the Project Cost (Million Rs')Sr. No. Items Cost "/o oftotali) Irrigation sYstem develoPment 163.000 35.0ii) Operation and maintenance 55.264 n.9iii) Contingencies 52.7s0 I 1.3

iv) Establishment charges 5 r.168 11.0v) Purchase of vehicle, equipment, furniture 32.805 7.0vi) Procurement of OilPalm 3t.987 6.9vii) Intercropping at farmers' fields 22.500 4.8viii) Land development 2r.600 4.6ix) Caoacitv buildine (local and foreign) t2.876 2.8x) Technical assistance 10.800 2.3xi) Construction of off,rceslhostels 6.500 1.4xiii) Media campaign, seminars, etc. 5.000 l.lTotal 466.251 100.0Financial Management:The project will be financed through Federal PSDP. Two Steering Committees will belooking-after the project activities. The provincial Steering Committee will work underthe chairmanship of Additional Chief Secretary (Dev) with administrative Secretary ofthe concerned department as member. The project steering committee will be headed bythe Secretary, Agriculture with members of attached relevant departments.Unit Cost

Land development Rs.1,800 per acreTubewell installation Rs.0.500 million per tubewellCivil works Rs.1,300 per sq.ft.Tubewell solar operated Rs.0.750 m llion per tubewellRain eun Rs.0.025 m llion per gunLand cruiser Rs.3.200 m llionDouble cabin pick-up Rs.1.800 m llionSinele cabin pick-up Rs.1.100 m llionShahzor Jeep Rs.0.700 m llionMotorcvcle Rs.0.070 million

11.

t2.

13.


61/80

tl .5

14. Period of Completion Five years15. Annual Recurring Rs.30.058 million. After completion of the project, O&MExpenditure cost will be borne by the Government of Balochistan.16. Annual Income Not given in the PC-I'17. Date of Receipt in the 15-08-2007Planning Division18. Existingfacilities

An agriculture farm at Wayaro (District Lasbela) working under Research Wing ofAgriculture Department wheie some research work on Oilpalm is under progress' Totalarea of the farm is 116 acres out of which 68 acres are under oilpalm plantation.

19. other major on-going and potential projects in the sectori) Agribusiness Development and Diversification Project.ii) CroP MaximizationProject'iii) Integration of Agricultural Research and Extension Activities.iv) National Integrated Pest Management Project'v) Managing Burewala Strain of Cotton Virus'vi) Milk Collection/Processing and Dairy Production & Development Programme'vii) Livestock Production and Development of Meat Production'viii) New Aquaculture and Shrimp Farming'ix) OilPalm DeveloPment Project'x) National Agriculture Land Use Plan (Phase-I)'xi) Strengthening of Veterinary Services for Livestock Diseases, Eradication of

RinderPest.

xii) Agriculture Sector Project Loan'xiii) Introduction of Medicinal Herbs and Spices as crops.xiv) Restructuring and Strengthening of National Agriculture Research System inBalochistanxv) Research for Agriculture Development Programme (PARC Institutions).


62/80

ll -6

20.

PART _ B(Technical Appraisal)Project ScrutinyD Pakistan Oilseed Development Board (PODB) has been executing a project"Oilpam Development Project in Sindh and Balochistan". The sponsors mayindicate whether they have consulted in the formulation of the PC-I with thePODB. The expertise of PODB and its experts will be worth in implementation ofthe subject project. Balochistan Government may consult with the experts ofPODB.

At page-ll of the PC-I, it is envisaged that Agriculture Research Department,Balochistan had already implemented a project "Oilplam Development Project" in2004-05. The sponsors may provide the upto-date report and achievements of theproject and same may be incorporated as part of the subject PC-I so as to evaluateviability of this project.Procurement of oilpalm plants, there will be need of foreign exchange. Thiselement of foreign exchange has not been given in the PC-I for the purchase ofseedlings from abroad. However, Rs.31.987 million has been earmarked forprocurement of oilpalm in the PC-L The sponsors may clearly identify the sourceof import of seedlings, etc. in order to avoid incoming problems.Intercropping of banana, chikoo and falsa on 12,000 acres of state land/farmers'fields during the five first year of the project has been proposed in the PC-I. Forthis purpose, a provision of Rs.22.5 million has been provided. Only 2,000 acresof farmers' fields will be utilized for oilpalm cultivation and intercropping in it.The unit cost is Rs.5,000 per unit. The project may be rationalized by deletingRs.12.5 million proposed for intercropping on state land.Installation of tubewell operated by solar energy has been envisaged in the PC-Iwith a cost of Rs.0.75 million per tubewell. It is no confirmed that solar operatedmachine can lift water from 200-500 feet depth. The evidence for operation andpracticability of solar operated tubewells be provided otherwise Rs.37.5 millionmay be used for installation of electric/diesel operated tubewell.In the PC-I, there is no provision for oilpalm extraction mill/unit, etc. Onproduction of oilpalm nut what will be mechanism for extraction of oilpalm in theoilpalm plantation area. It is suggested to envisage in built mechanism forproduction and oil extraction in the PC-I.The provision of luxury vehicles like one land cruiser and one double cabin arenot supported. In place of this single cabin vehicle will modified hood may bepurchased and the cost ofthe project be rationalized.

iD

iii )

iv)

v)

vi)

vii)


63/80

18 -7viii) The existing facilities describe in the PC-I are silent regarding research scientists,office and lesearch laboratory equipment, etc. with the agricultural researchdepartment of Balochistan conducting research and development work onoilpalm. The same may be incorporated in the PC-I.ix) As "Contingencies" there is provision of Rs.52.750 million. This amount is toohigh. As pJr rule only SVo of the total cost of the project can be provided asprovision for Contingencies Cost in the PC-I. Thus for the subject project it comesout to be Rs.23.33 million. Hence, this discrepancy may be rectified and projectcost be reduced accordinglY.

RecommendationThe project is submitted for consideration of the CDWP'


64/80

f,/vo*-* 4"I' ' 11 '

PART.C ECONOMIC & FINANCIAL ANALYSISName of the Project: Oil Palm Cultivation in CoastalAreas of Balochistan1. CapitalCost: Rs.466.251 Million2. Annual0&M Gost: Rs,30,058 Million3. Source of Funding: Federal Government through PSDP'4. Sponsoring Agency: Ministry of Food, Agriculture and Livestock (MINFAL), Government ofPakistan, lslamabad.5. Execution: Govt, of Balochistan, Agriculture & Cooperatives Department.6, PSDP Allocation (2007.08): Rs. 22.948 million (Serial No.3l7. fmplementation Period: 2007'08 to 2011-12.8, Item-wiseffear-wise Cost:

Item 2007.08 2008.09 2009.10 2010.11 2011.12 Totalcost % Sharer)TNVESTMENT CoSTLand Development 1.980 4.500 6.480 8.640 0.000 21.600 5,22lrrigation System Development 1.940 22.400 30.910 48.900 58.850 163.000 39.42Procurement of Oil Palm 0.000 2.828 3.306 9.716 13.138 31.987 7.74Intercropping of Banana/ Chiku IFalsa (Farmer's field) 0,000 1.750 5.000 6.750 9.000 22.500 5.44Construction of Building 0.000 3.250 3.250 0.000 0.000 6.500 1.57Purchase of Vehicles, Equipment& Furniture

3.830 16.975 12.000 0.000 0,000 32.805 7.93Media CampaigniAwareness 0.000 1.000 1.000 1.000 2,000 5.000 1.21Capacity BuildingffrainingProoramme

0.1 80 10.638 1.358 0.386 0.386 12.8763.11

Technical Assistance 0.000 3.600 3 600 0.000 0.000 10.800 2.61Total Investment Costs 7.858 66.941 69.904 78.992 83.374 307.068 74.26il)o&McosTsPav & Allowances of Staff for:- 0.534 12.659 12.659 12,659 12.659 51 .1 68 12.37Other Costs 1.819 7.512 11.507 17.027 17.399 55.264 13.36TotalO&MCosts 2.353 20.171 24.166 29.686 30.058 106.432 25.74Baseline Costs 10.211 87.112 94.069 108.678 113.431 413,501 100lll) Contingencies (3%) 0.31 2.6',1 2.82 3.26 3.40 12.41 3.00Total Project Costs 10.52 89.73 96.89 111.94 116.83 425.91


65/80

&,o ,o Objectives and Outcomes:. To promote Oil Palm cultivation in the coastal belt of Balochistan.. The immediate objective is to introduce Oil Palm in the potential coastal areas of the

province.

. The project is in line with the objectives of agriculture sector which emphasizes onreducing reliability on import of edible oils.r The contribution of the project in the short run will have positive effect on the incomes ofthe farmers, but in the long run, it can subside import of edible oil.

Manpower/Employment: 29 persons (1404 person - months)Resufts of the Analysis: Sponsors have indicated the EIRR of the project as 22.31 percent,

However, they have not provided the back-data to undertake theanalysis, Hence, the results of the analysis cannot be vouched.

Other lssues:i. The installation cost of one tube well operated by solar energy is Rs.0,75 million while thatof electric/diesel tube well is Rs, 0.5 million, lt is not confirmed whether solar operated

machine can lift water from the depth of 200-500 feet. The sponsors may provide theevidence for operation and practicability of solar operated tube wells in this region.Moreover, sponsors may confirm durabilitylsustainability of the machines and itsadoptability by the farmers/beneficiaries. Contrarily, Rs,37.5 million may be used forinstallation of electric/diesel operated tube wells.

ii. PC-l says that Agriculture Research Department, Balochistan already implementing aproject namely "Oil palm Development Project" which was approved in June 2004 at thecost of Rs.1 13.0B0 million with five year implementation period. The sponsors may providethe up to-date reporUachievements of the project and incorporate the same as part of thesubject PC-l so as to evaluate viability of this project. Moreover, sponsors may mentionwhether the project is being implemented on the basis of the lessons learnt from theearlier project or it is new one in its nature,

iii- The staff from Grade 17 and above will be hired from the Agriculture Departmentsimultaneously for different on-going and new projects. Sponsors may ensure whether thestaff is capable of doing this job simultaneously for all the projects and the requirednumber of staff for this project would be available.

iv- PC-1 is silent regarding information related to per acre cost of production; per acre yieldand price of the oil palm etc, Sponsors should provide complete information under withand without prolect condition so that economic viability of the project may be checked.

v- The PC-1 is also silent regarding the marketing mechanism of the oil palm, The sponsorsmay mention what will be the marketing mechanism for this product.

1n

11,

12.

8/8/2019 1 OiL Plan Cultivation in Coastal Area Page(1

Documents

1 OiL Plan Cultivation in Coastal Area Page(1-146)