Poverty in Sindh:What can be done?
By: Tarique Khan Javed
President, Overseas Pakistani Investors Forum.

Sindh is generally doing well by Pakistani standards; however during the last few years, pockets of extreme and unbearable poverty are increasing. Besides Tharparker and Kohistan which have been pockets of poverty in Sindh, since ages, due to poor land and water availability,  new areas with appalling poverty are surfacing which is a challenge for the people and government of Sindh. 

Coastal Region:
Appalled by the abject poverty prevailing in the Coastal region of Sindh, World Bank officials have asked Pakistani Government to do something about it. The worst effected area they said was that of Kati Bandar and the surrounding areas.
The living conditions in and around Kati Bandar is sub human and an insult for Pakistan. The fishermen flock through out the Coastal area of Pakistan are suffering due to depleting fishing stocks mainly due to over fishing by the international large fishing trawlers who sweep the Ocean of all kind of life and destroy the environment conducive for breeding like Coral reefs and mangrove forest. These international trawlers operate under licenses from Government of Pakistan with a Pakistani Co acting as a front. Giving heed to World Bank concern Government should ban all international trawlers from coming near Pakistan to replenish our fish stock and thus rescue the fisherman flock of Pakistan on a top priority basis.

Landless peasants:
Inland the rising number of landless peasants forms another huge chuck of massive human suffering. Without a land of their own these teeming millions toil the field for a meager wage of Rs 50 to 80 per day and live in temporary shelters as they are not allowed to build any thing permanent by the land lord who wish to retain the right to evict them any time they like.  These people do not even have proper roof over their heads and suffer unbearable cold and heat under tents or straw roof facing the elements. They do not have access to clean drinking water and fetch water from far away dirty streams. They do not know what a school is or what Electricity or Sui gas are. They go to far off places to get medical treatment and often can not afford the medicine which government clinics and hospital ask them to buy. This lot is the worst community in the Country and something needs to be done for them on most urgent basis. 
Government should consider distributing Government land to land less peasant on an urgent basis. It may also consider giving one time grants to such peasant families for buying land and building their houses.
Micro credit institutions may also be encouraged to lend to these unfortunate members of our nation backed by  credit risk sharing arrangements where by Government agrees to bear say 50% loss as a result of such targeted lending. 

Unfair land and water distribution:
World Bank officials have termed unfair land and water distribution as major cause of poverty in the Country.
No one in the country talks about land redistribution these days. Talk if any of land distribution relates to 2.7 million Government land. Repossession of excess land and its distribution is a topic which has become a taboo.
Even Government land distribution is delayed on one pretext or the other. Large chunks of Government land which were intended to be distributed in Punjab had been taken over by Army in Okara and by Seed Corporation in Khanewal. Peasant protest over it and Provincial Ministers make good intention statements but nothing happens. Same is the case in Sindh.
To create a just society it is imperative that landless peasants are given land on an urgent basis. This will not only alleviate rural poverty but also increase the production of these lands.
Besides a lower maximum ceiling of land holding be bought into national discussion, with a view to free more land for distribution among the land less peasant to tackle poverty in the Country which is 60% prevalent in Rural areas.
Water distribution currently favours the more influential and powerful bigger landlords at the cost of smaller land holders. This exacerbates the income distribution disparity in the rural areas. Small peasants with land are denied their rightful share in the available irrigated water thus lowering the productivity of their land.
Excessive watering by big land lords on the other hand leads to drainage of this water into lower riparian land thus causing water logging and salinity in low lying areas. 
Better distribution of land and water is an issue which should be on top of national agenda. Ignoring these vital issues is unacceptable and will lead to disturbances in future.

Water logging and salinity effected areas:
Large areas of good agriculture land have been converted to waste land due to water logging and salinity in Sindh since the seventies. The worst effected areas are Shikarpur and Larkana districts where the better rains since 2003 have made the situation worse and a large population have been pushed in to deep poverty. The poverty has increased tribal conflicts as the economic cake shrinks. Tribal war between Jatoi and Mehar tribes and lost production due to salinity is increasing poverty in the Shikarpur region. This is leading to malnutrition and disease of all kind. It is also increasing the violence against woman in the Area where in June 2006 alone 577 woman were killed in the name of “ Honour”.
A recent survey of some 52 villages of Nawabshah and Sarkand area by a NGO has revealed that water logging has destroyed land in these villages and now the farmers find it difficult to survive. The main contributor to water logging in this area is reported to be excessive use and outflow of water from upper riparian large farms. It is reported that these large farms for instance water their Banana fields’ everyday while the actual need is for them to be watered every five days.

The problem and its scientific solution:
The causes and cure of water logging is man made however we as a nation have failed to manage it. Over flow of water causes water logging and as the underground water level increases salt comes to the surface and destroys the land. If excessive release of water is controlled water logging would not take place in the first place.  Even after excessive water is released if proper pumping out mechanism is in place the situation can be managed. However pumping stations do not work for want of electric supply or lack of parts and man power, a common problem in the Country known for its corruption at all levels.
If water resources of Pakistan is properly used agriculture land in Pakistan can be expanded to include all of Tharparker, Kohistan, Cholistan, Thal and the plains  bordering Baluchistan between Dera Ghazi Khan and Kashmoor. Such expanded agriculture land can provide lively hood to 50 to 100 million people in Pakistan. All that is required to achieve this goal is adoption of some measure of DRIP irrigation as practiced in Israel and Saudi Arabia. With better lining of all canal and very controlled release of water ensuring optimum amount only we can save water from existing agriculture land and divert the same to new to be irrigated lands. This measured release of water will get rid of water logging problem for good and thus get rid of pockets of poverty.     

Lack of Industries in rural areas-a British rule product:
The general absence of industries other than limited seasonal agriculture and fish processing industries is another major source of continued poverty in Sindh.   Before the arrival of British rule and modern industries which are all located in big cities. Each Rural community and house hold had small spinning, weaving, sewing and other small scale processing industries right in the villages. The industrial activity provided one third income of the families. With shifting of industries to the cities the rural communities became fully dependent on fishing or agriculture as a source of income besides diminishing government jobs.
Under these conditions when fish stock gets depleted or land is destroyed due to water logging and salinity; desperation sets in these communities leading to all kinds of ills.

The biggest national challenge for Pakistan:   
A national challenge for Pakistan is creation of industrial jobs in the rural areas. This indeed a daunting task and thus will require extra ordinary effort and resources. However the benefits from this exercise is worth the cost as it will engage a large population into industrial work force, reduce cost of doing business  thus improving our international competitiveness.   
Among many if we consider the case of Garment industry the benefits of shifting this industry in rural areas become clear. In the current quota free regime, the lowest cost producer is going to emerge a winner. China, Bangladesh and India are giving us tough competition. The wages of stitching workers in the cities are rising fast. During the last three years average wages have increased from Rs 2,500 to Rs 4,500.
If we can shift part of the industries to rural areas the wages can reduce to Rs 1,500 to Rs 2,000 thus making a large saving in labour cost. The initial investment in relocating and training can be recoup within a short while.

Need for  a massive Rural Industrial Support Fund (RISF):
Government may create a Rural Industrial Support Fund (RISF) of say Rs 100 billion (USD 1.5 billion), which could provide capital and land to factories willing to relocate to rural areas. Government involvement will also provide security support to these factories and reduce the risk of the entrepreneurs.  
World Bank, Asian Development Bank, European Union and Bill Gates funds may be asked to contribute capital and expertise in RISF so that it resources may be increased to  say Rs 2,000 billion (USD 30 billion).
These institutions now cognizant of the impact of massive poverty in Pakistan would be willing to contribute in this biggest poverty alleviation project, ever undertaken in Pakistan, which has the potential to change the outlook of the country for ever.
SME and Micro credit Banks may be offered 50% risk sharing for their lending in rural areas by RISF thus inducing them to open Branches in these Area. Their current involvement in Rural areas is very disappointing.