WORLD TRADE
ORGANIZATIONG/AG/N/PAK/6
12 August 1999
(99-3427)
Committee on Agriculture Original:  English
NOTIFICATION
The following notification concerning domestic support commitments ( Table DS:1  and the
relevant Supporting Tables) for the marketing year 1997/98 was received from the delegation of
Pakistan  on 31 March 1999.G/AG/N/PAK/6
Page 2Table DS:1
DOMESTIC SUPPORT:  Pakistan
REPORTING PERIOD:  1 July 1997 to 30 June 1998
Current Total Aggregate Measurement of Support
Total AMS commitment level for period in question Currency Current Total AMS
(US$ million)
(from Section 1 of Part IV of the Schedule) (from Section 1 of Part IV of the Schedule) (from attached Supporting Tables)
123
Nil Nil
(-120.92)G/AG/N/PAK/6
Page 3Supporting Table DS:1
DOMESTIC SUPPORT:  Pakistan
REPORTING PERIOD:  1 July 1997 to 30 June 1998
Measures exempt from the reduction commitment – "Green Box"
Measure type Name and description of measure with reference to criteria in Annex 2 Monetary value of measure in
year in question
(US$ million)Data sources
12 3 4
1. General services on research Agricultural research:  Promotion and coordination of research on development of high
yielding varieties of important crops  (Annex 2, para 2(a))7.55 Government of Pakistan,
Planning Commission
2.  Storage facilities Government storage:  Provision of wheat storage facilities to ensure food security
programmes  (Annex 2, para 3)0.20
3.  Marketing services Agricultural marketing:  General services including provision of market information to
benefit small producers  (Annex 2, para 2(f))0.01
4.  Extension services Agricultural extension:  Extension/ad visory services are provided in order to transfer the
latest crop production technology  (Annex 2, para 2(d))1.62
5.  General services Plant protection:  Facilities for pest scouting and spraying are provided to enhance plant
protection coverage  (Annex 2, para 2(b))0.02
6.  Infrastructural services Irrigation and drainage and reclamation:  Irrigation system rehabilitation system consists of
earth work to strengthen the canal banks, brick lining in the tail to provide water supply to
tail users in selected canal system.  Drainage and reclamation programme provides surfacedrainage to the area where water table is within 0-5 feet of surface which is termed as"disaster areas"  (Annex 2, para 2(g))266.12
7.  Flood protection services Flood control:  To protect infrastructure, valuable agriculture land and lives and property
of people from devastation of floods  (Annex 2, para 2 (g))22.84
8.  Water supply facilities On-farm-water Management:  The programme involves improvement and lining of water
courses to improve water supply situation, demonstration plots and training of farmers
(Annex 2, para 2 (c))14.09G/AG/N/PAK/6
Page 4Supporting Table DS:4
DOMESTIC SUPPORT:  Pakistan
REPORTING PERIOD:  1 July 1997 to 30 June 1998
Calculation of the Current Total Aggregate Measurement of Support
Description of basic products
(including non-product specific
AMS)Product-specific AMS (from Supporting
Tables DS:5 to DS:7 below)
(US$ million)Product-specific measurements of
support (from Supporting Table DS:8
below)
(US$ million)Current Total AMS (aggregate)
(US$ million)
12 3 4
Wheat -143.42 0.00 -143.42
Seed cotton 0.00 0.00 0.00
Rice basmati 0.00 0.00 0.00
Rice coarse 0.00 0.00 0.00Sugar cane 0.00 0.00 0.00Onion 0.00 0.00 0.00
Potato 0.00 0.00 0.00
Gram 0.00 0.00 0.00Soybean 0.00 0.00 0.00Sunflower 0.00 0.00 0.00
Safflower 0.00 0.00 0.00
Total product-specific AMS -143.42 0.00 -143.42
Non-product-specific AMS (from Supporting
Table DS:9)22.50
Current Total AMS -120.92G/AG/N/PAK/6
Page 5Supporting Table DS:5
DOMESTIC SUPPORT:  Pakistan
REPORTING PERIOD:  1 July 1997 to 30 June 1998
Product-Specific Aggregate Measurements  of Support:  Market Price Support
Description of basic
productsMarketing
year
beginning
July 1997Measure type(s) Applied
administered price
(US$/tonne)External reference
price (generally from
AGST/…)
(US$/tonne)
(Avg 1986/88)Eligible
production
('000 tonnes)Associated
fees/leviesTotal market
price support
(US$ million)Data sources
123 4 5 6 7 8
((4-5*6)-7)9
Wheat Procurement price 139 175 3,984.0 -143.42 Ministry of Food and
Agriculture
Seed cotton Procurement price 346 360 0.0 0.00 Ministry of Commerce
Rice basmati Procurement price 260 707 0.0 0.00
Rice coarse Procurement price 146 203 0.0 0.00
Sugar cane Procurement price
(weighted average)20 15 0.0 0.00
Onion Procurement price 65 85 0.0 0.00
Potato Procurement price 84 101 0.0 0.00
Gram Procurement price 246 373 0.0 0.00Soybean Procurement price 200 643 0.0 0.00Sunflower Procurement price 260 256 1.0 0.00
Safflower Procurement price 174 580 0.0 0.00
Total product-specific AMS -143.42
Notes:
Column 3: Procurement or support prices fixed by the Government of Pakistan are in fact the minimum guaranteed prices and are ef fective during the post-harvest seasons of the
respective crops.  The sale of marketable surplus at these prices by the producers is voluntary as they are under no compulsion  to sell their produce at the support price.  The
producers only sell their produce to the procurement agency when the market price falls below the support price level.  If mark et price remains above the support price the
growers are free to sell their produce wherever they like.  Therefore, strictly speaking support prices are not the administere d prices.G/AG/N/PAK/6
Page 6Column 4: Price in Pakistan Rupees converted to US$ at official exchange rate of 1$ = PRs. 43.1958 for 1997/98.
Column 5: External Reference Prices = Average fixed external reference prices for 1986/87 to 1988/89 in Pakistan Rupees converte d to US$ at 1$ = PRs 17.9980 which was the
average of official exchange rate during 1986/87 to 1988/89.
Column 6: Actual procurement by public sector agencies.  '0' in this column indicates no operation by public sector agencies on procurement prices.G/AG/N/PAK/6
Page 7 Supporting Table DS:7
DOMESTIC SUPPORT:  Pakistan
REPORTING PERIOD:  1 July 1997 to 30 June 1998
Product-Specific Aggregate Measurements of Support:  Other Product-Specific Support and Total Product-Specific AMS
Description of
basic productMarketing year
beginning
July 1997Measurement
type(s)Other
product-
specific
budgetary
outlaysOther product
specific support
(include
calculation
details)Associated
fees/leviesTotal other
product-
specific
support
(US$ million)Market price
support
(Supporting
Table DS:5)
(US$ million)Non-exempt
direct payments
(Supporting
Table DS:6)
(US$ million)Total AMS
(US$ million)Data sources
12 3 4 5 6 7
(4+5-6)89 1 0
(7+8-9)11
Wheat 0.0 -143.42 0.0 -143.42 Supporting
Table DS:5
Seed cotton 0.0 0.00 0.0 0.00
Rice basmati 0.0 0.00 0.0 0.00
Rice coarse 0.0 0.00 0.0 0.00
Sugar cane 0.0 0.00 0.0 0.00
Onion 0.0 0.00 0.0 0.00
Potato 0.0 0.00 0.0 0.00
Gram 0.0 0.00 0.0 0.00
Soybean 0.0 0.00 0.0 0.00
Sunflower 0.0 0.00 0.0 0.00
Safflower 0.0 0.00 0.0 0.00
Total product-specific AMS 0.0 -143.42 0.0 -143.42G/AG/N/PAK/6
Page 8Supporting Table DS:9
DOMESTIC SUPPORT:  Pakistan
REPORTING PERIOD:  1 July 1997 to 30 June 1998
Non-Product-Specific AMS
Measure type(s) Marketing year
beginning
July 1997Non-product-
specific
budgetary
outlays
(US$ million)Other non-product
specific support
(include calculation
details)
(US$ million)Associated
fees/leviesTotal non-
product-specific
support
(US$ million)Data sources
12 3 4 5 6
(3+4-5)7
Fertilizer subsidy - - -
Electricity subsidy - 22.5 - See annexed statement
Agricultural credit subsidy - - -
Total Non-Product-Specific
Support- - 22.5
Notes:
1.  Payment of subsidy on agricultural loans and providing of concessionary finance was discontinued with effect from 11 July 1 990.
2.  Calculation details of electricity subsidy are enclosed.G/AG/N/PAK/6
Page 9Annex to Supporting Table DS:9
Calculation of subsidy on sale of electricity to agriculture
Unit 1997/98
A. Electricity usage by sector
     (provisional for 1997/98)
1.  Household
2.  Commercial3.  Industrial
4.  AgriculturalMil. kwh
Mil. kwhMil. kwhMil. kwh18,547
3,182
12,101
6,936
B. Electricity rates by sector
1.  Household
2.  Commercial3.  Industrial
4.  AgriculturalRs/kwh
Rs/kwhRs/kwh
Rs/kwh2.92
6.054.05
3.45
C. Weighted average rate Rs/kwh 3.59
D. Rate subsidy to agriculture Rs/kwh 0.14
E. Electricity subsidy to agriculture/revenue foregone Mil. Rs
Exchange rate US$/Rs
Mil. US$970
43.1958
22.5
Source:  Statistical Supplement, Economic Survey, 1997/98 by Finance Division, Government of Pakistan.
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