Pakistan’s agriculture has grown rapidly since the 1960s, with
an average annual growth of about 4 percent over the four decades till
the end of the century. Agricultural growth at this rate was sustained
by the technological progress embodied in the high-yielding varieties of
grains and cotton, with supporting public investment in irrigation,
agricultural research and extension (R&E), and physical
infrastructure. This rate of agricultural growth has significantly
contributed to the overall economic growth of about 6 percent per year
during this period. Sustaining this performance presents a considerable
challenge for the public policy framework for agriculture, not the least
for the agricultural research and extension system in Pakistan. The
central role of technological change in increasing agricultural
productivity is well established in the wake of the Green Revolution
experience across much of Asia. In the context of Pakistan, it has been
estimated that almost 58 percent of the total output growth from 1960 to
1996 was due to technological change [Ali (2000)]. While improvements in
the physical and market infrastructure, farmer education, price
policies, and weather, all have their place in enhancing agricultural
production, R&E investments has been regarded by far the most
important contributor to agricultural productivity growth [Evenson and
Rosegrant (1993); Byerlee (1994)].
Price Incentives for the Production of High-Yielding Mexican
Varieties of Wheat