Punjab farmers oppose fuel price increase and seek diesel relief for agriculture

LAHORE: Farmers’ organisations in Punjab have rejected the latest increase in fuel prices, saying the government has left the agricultural sector out of relief measures and should immediately reverse the decision.

In separate statements, the Pakistan Kisan Rabita Committee and Kisan Board Pakistan criticised the rise in petrol and diesel prices and described the move as unjustified and burdensome for farmers. PKRC President Tariq Mahmood, General Secretary Riffat Maqsood and KBP Vice-President Amanullah Chattha said the government’s pricing approach was misleading.

The farmer leaders said increasing fuel prices sharply and then announcing only a partial reduction amounted to a tactic aimed at misleading the public. They said farmers across the country had unanimously rejected the policy.

The organisations questioned why no relief had been announced for agriculture even as the government reduced petrol prices for urban consumers and set aside Rs 6 billion in subsidy for the transport sector to absorb the impact of higher petroleum prices.

They said growers were already facing serious financial pressure because of low returns on crops and rising production expenses. According to the statements, the cost of fertilisers, seeds, pesticides and electricity has increased significantly, while crop prices have remained low, worsening the financial position of farming households.

The groups warned that the latest fuel price increase would intensify the crisis at a crucial point in the agricultural calendar. They said wheat harvesting is currently under way in Punjab and Sindh, while sowing of cotton and other crops has started. This period, they said, requires extensive diesel consumption for machinery used in harvesting and cultivation.

The farmer representatives said that at current fuel rates, many growers may no longer be able to continue normal farming operations. They argued that the exclusion of diesel from relief measures would directly raise cultivation and harvesting costs during an already difficult season.

They also pointed to external pressures affecting the farm economy. The leaders said tensions in the region were hurting agricultural exports, adding that strained relations with Afghanistan and border closures with Iran during the ongoing Iran-Israel conflict had disrupted important trade routes. As a result, they said, farmers were being compelled to sell produce in local markets at very low prices.

The statements further said that although international oil prices had risen slightly, several countries had protected their populations from the impact by lowering taxes. In contrast, the farmer leaders alleged, Pakistan had raised petroleum levies substantially under the pretext of meeting obligations linked to the International Monetary Fund.

They urged the government to prioritise revival of economic activity, encourage investment and extend meaningful support to the agriculture sector, which they described as the backbone of the country’s economy.