Sustainable farming and Pakistan’s economic future

How to keep the national backbone through climate change

By: Mahnoor Reza  

The global economy is evolving rapidly, and sustainability is no longer just a topic for environmental activists or international conferences. It is now influencing trade rules, investment decisions, and industrial policies worldwide. Agreements under the United Nations Framework Convention on Climate Change, climate finance commitments made at COP summits, and discussions at forums like the World Economic Forum are pushing countries to adopt greener production methods. At the same time, many major markets are introducing carbon border taxes and stricter supply-chain regulations, making it increasingly important for countries to meet environmental standards if they want to remain competitive in global trade.

For Pakistan, an agricultural country with large areas of fertile land but also high exposure to climate risks, this shift is not just another policy discussion. It is gradually becoming an economic necessity and a possible path toward stability.

Agriculture drives much of Pakistan’s economy. It makes a strong contribution to GDP, provides livelihoods to millions of people, and supports exports like cotton, rice, and livestock products. But this vital sector is now under growing pressure from climate change. Floods, heatwaves, unpredictable rainfall, and water shortages have repeatedly disturbed agricultural production, hurting farmers’ incomes and pushing food prices higher.

Around the world, many countries are moving toward what is called Green Revolution 2.0. Unlike the chemical-heavy farming of the 1960s, this approach focuses on climate-smart practices, digital monitoring, and renewable energy. The Netherlands is well known for its advanced, water-efficient farming techniques. In India, solar-powered irrigation is growing rapidly, and the European Union is revising its Common Agricultural Policy to encourage environmentally responsible farming. These examples show that agriculture is no longer just a traditional sector— it’s becoming a space for innovation and sustainable growth.

Pakistan’s agricultural policies are also slowly shifting. For many years, the government mainly supported farmers through input subsidies like fertilizer, cheap electricity for tubewells, and guaranteed crop prices. While these measures boosted production and food supply, they also caused problems such as groundwater depletion, inefficient use of resources, and rising pressure on public finances.

In recent years, attention has begun moving toward resilience and sustainability. After severe floods and rising climate risks, Pakistan introduced climate adaptation initiatives, expanded solar energy solutions in rural areas, encouraged drip irrigation in water-stressed regions, digitized land records in several provinces, and began exploring climate finance and carbon credit opportunities. Still, these reforms are uneven and fragmented compared with changes in advanced economies.

Making the most of these opportunities will require Pakistan’s agriculture, energy, finance, and trade policies to work in step with one another. Rural renewable energy projects, participation in global carbon markets, affordable green credit for farmers, digital supply chains, fair water pricing, and export-oriented agro-processing zones can all play an important role in raising productivity, adding value, and making the economy more resilient in the face of climate shocks.

The transition also brings challenges. Many small farmers find it difficult to afford the high upfront cost of solar pumps or modern irrigation systems. Limited technical knowledge and poor access to credit also slow adoption. At the same time, small and fragmented landholdings, weak links between research institutions and farmers, water mismanagement, and inconsistent policies continue to slow progress. However, these problems can be addressed with targeted credit programmes, stronger public–private partnerships, better digital training, and more stable and consistent policies to support the shift toward greener agriculture.

Despite these challenges, green agriculture offers promising opportunities for Pakistan. Instead of relying mainly on raw cotton or unprocessed rice, the country can gradually move toward organic crops, processed foods, and more sustainably produced textiles. As international buyers increasingly pay attention to environmental standards, green certification may help Pakistan protect existing markets and improve access to new ones. Green farming can also bring energy-related benefits. Solar-powered irrigation and the use of crop waste for bioenergy have the potential to reduce reliance on imported fuel, ease pressure on foreign exchange reserves, and support efforts to narrow the trade deficit. At the same time, better-quality, value-added exports can earn higher prices in international markets, raise foreign exchange earnings, and support greater external-sector resilience.

Making the most of these opportunities will require Pakistan’s agriculture, energy, finance, and trade policies to work in step with one another. Rural renewable energy projects, participation in global carbon markets, affordable green credit for farmers, digital supply chains, fair water pricing, and export-oriented agro-processing zones can all play an important role in raising productivity, adding value, and making the economy more resilient in the face of climate shocks.

However, these steps cannot be pursued separately or introduced all at once. They need to be put in place gradually, with proper financing, technical training, and strong coordination between the government, the private sector, and farmers themselves. If handled well, the combination of climate-smart farming, renewable energy, and market-oriented reforms can do much more than strengthen agriculture alone. It can create jobs, boost exports, increase foreign exchange earnings, and support Pakistan’s long-term economic growth.

The writer is a freelance columnist.