2018 Value Chain Analysis in District Charsadda

2018

Value Chain Analysis in District Charsadda Market and Employment Project (MEP)

Khalid Khan Khatki - Value Chain Consultant

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TABLE OF CONTENTS

LIST OF TABLES ........................................................................................................................... IV

LIST OF FIGURES ........................................................................................................................... V

ACRONYMS ................................................................................................................................. VI

ACKNOWLEDGEMENT ................................................................................................................ VII

EXECUTIVE SUMMARY .............................................................................................................. VIII

CONTEXT ..................................................................................................................................... 1

PURPOSE AND OBJECTIVE OF THE STUDY ...................................................................................... 1

STUDY OBJECTIVE ............................................................................................................................ 1

SCOPE OF STUDY .............................................................................................................................. 2

STUDY OUTPUT ............................................................................................................................... 2

METHODOLOGY AND APPROACH ................................................................................................. 3

STEP – 1: PRIORITIZATION OF VALUE CHAINS/SUB SECTORS ....................................................................... 3

STEP – 2: MAPPING AND DETAILED ANALYSIS OF SELECTED VALUE CHAINS .................................................... 3

STEP – 3: STRENGTH, WEAKNESSES, OPPORTUNITIES AND THREAT ANALYSIS (SWOT) ..................................... 4

STEP – 4: VALIDATION WORKSHOP ....................................................................................................... 4

LIMITATIONS OF THE STUDY ......................................................................................................... 4

VALUE CHAIN PRIORITIZATION ..................................................................................................... 6

APPROACH ..................................................................................................................................... 6

STRAWBERRY VALUE CHAIN ......................................................................................................... 9

OVERVIEW OF STRAWBERRY SUB-SECTOR .............................................................................................. 9

VALUE CHAIN FUNCTIONS ................................................................................................................ 10

INPUT SUPPLY ........................................................................................................................................... 10

PRODUCTION/POST-HARVEST MANAGEMENT ............................................................................................... 12

MARKETING.............................................................................................................................................. 14

PROCESSING ............................................................................................................................................. 15

CONSUMPTION ......................................................................................................................................... 16

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VALUE CHAIN OPERATORS ............................................................................................................... 17

INPUT PROVIDERS ...................................................................................................................................... 17

PRODUCERS/FARMERS ............................................................................................................................... 17

MARKET FUNCTIONARIES ............................................................................................................................ 18

ENABLING ENVIRONMENT ................................................................................................................ 18

VC FACILITATORS ...................................................................................................................................... 18

VALUE CHAIN REGULATORS ......................................................................................................................... 20

Value Chain Governance/Integration 22 VALUE CHAIN MAP OF STRAWBERRY CROP (CHARSADDA) ....................................................................... 24

ECONOMIC ANALYSIS – STRAWBERRY VALUE CHAIN ............................................................................... 25

PROFITABILITY MARGINS ............................................................................................................................ 25

DISTRIBUTION OF VALUE ADDITION AND GROSS MARGINS ............................................................................... 28

EMPLOYMENT GENERATION ........................................................................................................................ 28

INEFFICIENCIES AND DISTORTIONS ................................................................................................................ 30

SWOT ANALYSIS – STRAWBERRY ...................................................................................................... 32

ROAD MAP – VALUE CHAIN DEVELOPMENT IN STRAWBERRY .................................................................... 34

RUNNER STAGE ......................................................................................................................................... 34

PRODUCTION STAGE .................................................................................................................................. 34

MARKETING.............................................................................................................................................. 34

VALUE CHAIN GOVERNANCE/TRANSPARENCY ................................................................................................ 35

TOMATO VALUE CHAIN .............................................................................................................. 36

OVERVIEW OF TOMATO SUB-SECTOR .................................................................................................. 36

VALUE CHAIN FUNCTIONS ................................................................................................................ 38

INPUT SUPPLY; .......................................................................................................................................... 38

PRODUCTION/POST-HARVEST HANDING: ...................................................................................................... 38

MARKETING.............................................................................................................................................. 41

VALUE CHAIN OPERATORS ............................................................................................................... 43

INPUT SUPPLIERS ....................................................................................................................................... 43

PRODUCTION/POST-HARVEST MANAGEMENT................................................................................................. 43

MARKETING.............................................................................................................................................. 44

ENABLING ENVIRONMENT ................................................................................................................ 44

VALUE CHAIN FACILITATORS ........................................................................................................................ 44

VALUE CHAIN REGULATORS ......................................................................................................................... 45

VALUE CHAIN INTEGRATION/GOVERNANCE ................................................................................................... 45

TOMATO VALUE CHAIN MAP (CHARSADDA) ......................................................................................... 47

ECONOMIC ANALYSIS – TOMATO VALUE CHAIN..................................................................................... 48

PROFITABILITY ANALYSIS ............................................................................................................................. 48

DISTRIBUTION OF VALUE ADDITION AND GROSS MARGINS: .............................................................................. 49

EMPLOYMENT GENERATION ........................................................................................................................ 50

DISTORTIONS AND INEFFICIENCIES ................................................................................................................ 52

SWOT ANALYSIS – TOMATO ............................................................................................................ 53

ROAD MAP – VALUE CHAIN DEVELOPMENT OF TOMATO ......................................................................... 54

ANNEX I: TERMS OF REFERENCE ......................................................................................................... 55

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ANNEX II: CHECKLIST FOR FGDS/KEY INFORMANT INTERVIEWS ................................................................. 58

ANNEX III: OVERVIEW OF STRAWBERRY PRODUCTION IN PUNJAB .............................................................. 60

ANNEX IV: KEY CONTACT LIST ........................................................................................................... 62

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List of Tables

Table 1: Finding of Prioritization Exercise in District Charsadda .......................................................... 7

Table 2: Seasonal Calendar of Strawberry Crop .................................................................................. 14

Table 3: Taxation Rates on Agriculture Land/Income (acre/annum) ................................................. 21

Table 4: Budget of Strawberry Crop in KPK (Sarkee) and Punjab (Sharaqpur) .................................. 26

Table 5: Comparing Farm Efficiency of Sarkee and Punjab (1 acre) ................................................... 27

Table 6: Breakeven Point Calculation for Strawberry in KPK and Punjab (1 acre) ............................ 28

Table 7: Gross Margins and Value Additions in Strawberry Crop (per kg of strawberry turnover) .. 28

Table 8: Calculation of Labor Intensity in Strawberry Cultivation ...................................................... 29

Table 9: Project New Job Opportunities with MEP Support ............................................................... 30

Table 10: Inefficiencies and Distortions in Strawberry Production Cycle (1 acre) ............................. 31

Table 11: SWOT Analysis of Strawberry Crop ..................................................................................... 32

Table 12: Supply Patterns of Tomato in Pakistan ............................................................................... 37

Table 13: Seasonal Calendar of Autumn Tomato Production............................................................. 39

Table 14: Seasonal Calendar of Vertical Tomato Production ............................................................. 40

Table 15: Seasonal Calendar of Surface Tomato ................................................................................. 41

Table 16: Tomato Budgets in Autumn, Vertical and Surface Tomato (Charsadda – 1 acre).............. 48

Table 17: Breakeven Point Calculation for Different Tomato Cultures in Charsadda (1 acre) .......... 49

Table 18: Gross Margins and Value Added by Value Chain Players (per kg tomato turnover) ......... 50

Table 19: Distribution of Labor in Tomato VC Functions (1 acre) ....................................................... 51

Table 20: Projected New Labor Opportunities of Conversion from Ground to Vertical Tomato

Production ............................................................................................................................................ 51

Table 21: Distortions and Inefficiencies in Tomato Value Chain (1 acre) ........................................... 53

Table 22: SWOT Analysis of Tomato Crop ........................................................................................... 53

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List of Figures

Figure 1: Prioritization Criteria for Value Chain Selection .................................................................... 6

Figure 2: Prioritization of Fruits and Vegetables, Agribusiness Support Fund, 2012 ........................... 8

Figure 3: Global Production of Strawberry (FAOSTAT) ......................................................................... 9

Figure 4: Strawberry Runner Production ............................................................................................. 10

Figure 5: Input Dealer in Sarkee .......................................................................................................... 12

Figure 6: Ready to harvest Strawberry, the surface contact of fruit with soil devalues quality

(Courtesy: ASF, PHRA 2012) ................................................................................................................. 12

Figure 7: Some Processed Products of Strawberry in Super Market .................................................. 16

Figure 8: Value Chain Integration in Strawberry ................................................................................. 22

Figure 9: Some Examples of Farmer Group Interaction on WhatsApp in Punjab .............................. 23

Figure 10: Well Managed Mulched Strawberry Field in Punjab ......................................................... 25

Figure 11: Improved Technologies in Punjab: Consumer Packaging; Tunnel + Drip Irrigation;

Strawberry Runners in Peat moss Trays .............................................................................................. 35

Figure 12: Provincial Tomato Shares and Their Respective Production Potential ........................... 36

Figure 14: Vegetable Production in KPK (2015-16) ............................................................................. 37

Figure 15: Area and Production of Major Vegetable in KPK ............................................................... 37

Figure 16: Field Based Ripening Heaps of Tomato .............................................................................. 39

Figure 17: Tomato in Tangi Market Offered for Auction .................................................................... 42

Figure 19: Private Company Banner of Pest Management ................................................................. 45

Figure 18: Value Chain Integration in Tomato Crop ............................................................................ 46

Figure 20: Farmer Using Hand Made Cultivator for Hoeing ............................................................... 50

Figure 21: Post-harvest Losses of Tomato ........................................................................................... 52

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ACRONYMS

ADP Annual Development Plan

AED Agriculture Extension Department

ASF Agribusiness Support Fund

CRS Crop Reporting Service

CMP Crop Maximization Project

EDT Enterprise Development Training

FEG Farmer Enterprise Group

FSC Farm Service Centre

FSC&RD Federal Seed Certification and Registration Department

FFS Farmer Field School

FBS Farmer Business School

GM Gross Margin

KG Kilogram

KPK Khyber Pakhtunkhwa

PRA Participatory Rural Appraisal

PKR Pakistan Rupees

RMA Rapid Market Appraisal

ROI Return on investment

SRSP Sarhad Rural Support Programme

MEP Market and Employment Project

MIS Market Information System

MT Metric Tons

VC Value Chain

VCD Value Chain Development

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ACKNOWLEDGEMENT

Value Chain Analysis in district Charsadda is commissioned by Market and Employment Project of Helvetas Swiss Intercooperation. The assessment was made possible through the active support, facilitation and continuous guidance of MEP Management and their focal Points, Mr. Fayaz Ahmed (Value Chain Specialist) and Mr. Kaleemullah Shinwari (Field Coordinator) during field work. I need to express my sincere gratitude to Mr. Liaquat Ali (District Director Agriculture) for his overall facilitation and support, Mr. Mohammad Idress (Subject Matter Specialist, Charsadda), Mr. Rafiq Jan (Field Assistant, Sarkee) for their dedication and continuous facilitation throughout field work. The cooperation of all stakeholders consulted during field work was commendable in providing every possible detail for assessment parameters in a candid manner.

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EXECUTIVE SUMMARY

Market and Employment Project (MEP) is Dutch Funded (Ministry of Foreign Affairs) project implemented by Helvetas Swiss Intercooperation in District Charsadda with the specific goal to create sustainable income generating and livelihoods opportunities leading to jobs, income and more resilient communities. Market and Employment Project (MEP) has commissioned a value chain study to identify the most feasible value chains and devise a comprehensive strategy for the value chain development in the short, medium and long term in district Charsadda.

The methodology used for value chain analysis was interactive and drawn from the participatory tools of Participatory Rural Appraisal. Primary data collection through focus group discussion and key informant interviews, and triangulation with authentic secondary research was used as an approach for value chain analysis. Prioritization of agriculture sub-sectors, mapping and detailed analysis of selected value chains, SWOT analysis for value chain development and validation workshops were important steps in the exercise. Total of 8 focus groups discussions have been held with different stakeholders and more than 35 key informants have been contacted and interviewed for the subject value chain analysis in Charsadda, Peshawar, Swat, Lahore and Sheikhupura (Sharaqpur) areas.

Prioritization exercise was held with key stakeholders of agriculture sectors in district Charsadda, drawing representative of agriculture line departments, private sector, and progressive farming communities from all 3 Tehsils of district Charsadda. The approach for prioritization exercise was adopted from the earlier experience of Helvetas in Sindh, Pakistan. The parameters were primarily based on market orientation, employment generation, and important cross cutting themes. Fruits, Vegetables, Wheat, Sugarcane and Maize were presented for ranking exercise, keeping in view the economic significance of these crops in district Charsadda. Strawberry and tomato were selected for detailed value chain analysis. Commercialization, profitability margins, shift toward intensive farming practices, and land fragmentation were some of the reason identified for shifting tendency towards high value crops in fruits and vegetable groups.

The enabling environment is facilitated through range of line departments, farm service centers and private sector institutions. The role of private sector is more vibrant in transfer of technologies, extensive outreach and technical advisory services. Dedicated extension material is not available for either vegetable and fruit crop from credible institution in district Charsadda, some barely available extension leaflets and brochures are available through private companies but merely promoting their own products. However, the facilitation is mostly products oriented, which induced pest resistance, impact crop efficiency and also pose environmental hazards. The regulatory framework is well defined through proper legislations but implementation mechanisms are rather weak to check sub-standards crop inputs. Strong advocacy with Agriculture Ministry, capacity building of department representatives and awareness among farming communities is required to improve accountability, check and balance, and sustainable public private networking in agriculture crop sector.

Strawberries (Fragaria x ananasa Duch.)

was introduced in Charsadda in 1994-95. The economic return of strawberry crop is 4 times higher than sugarcane and 9 times higher than wheat crop in district Charsadda which helped rapid conversion towards strawberry cultivation.

Strawberry is being cultivated exclusively from propagative material (runner) in its entire history in Pakistan. TOPS, CORONA and SCHINDLER are few successful varieties in Strawberry crop; however, SCHINDLER is the only strawberry cultivar these days. Runners are procured exclusively from Swat and Upper Dir areas, where more than 500 million runners have been channeled to Sindh, Punjab and KPK areas in 2017. Both strawberry plant and fruit are succulent and susceptible to number of insect pests during production stages. The crop

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suffered significant losses during rainy season, and inappropriate post production handling. Mites become a major pest problem in strawberry crop due to favorable climatic conditions and increased pest resistance. Lack of knowledge provides opening for pesticide/fertilizer adulteration, subsequently provide basis for the use in-efficient and sub-standard chemicals.

Intensive management practices and high cost of investment limits farm size of strawberry. The usual practice is 1-acre average in Charsadda where research confirmed 0.68 acres of farm size is optimum for strawberry cultivation.

An un-conventional market place in Sarkee is the major marketing venue for strawberry. The same market is linking Inter-market trade with far flung district of KPK and Punjab. The farm gate marketing option is more preferred by farming community for price premium, save marketing charges, loading/unloading, and time efficient. The retail function of strawberry expands rapidly in recent years owing to increased consumption of strawberry; however, the potential consumption growth is constrained due to health concerns related with extensive usage of chemicals.

The budget demonstrates that strawberry crop in Charsadda returns a lucrative gross margin of PKR 455,900 (52%) per acre of land and the rate of return on investment is 107%. The profitability of strawberry in Charsadda is slightly higher than Punjab (46% gross margin), owing to differences in some major cost heads (for instance, higher seed rate, the marketing cost and distant markets). Comparative analysis did point out lapses in farm efficiency of district Charsadda, where farmers can enhance profitability margins with improved practices, especially mulching of crop to save labor cost. It is estimated that strawberry production in Charsadda alone generated 149,000 man-days in a single crop cycle. Shortage of labor is a growing concern at all levels of strawberry production. The feasibility of mechanization and innovation need to be tested from different experiences to subside pressure on growing labor needs.

Tomato (Solanum lycopersicum) is a major vegetable crop in Pakistan both in terms of areas sown and production capacity in the country. Sindh is the major producer of tomato in Pakistan, followed by KPK, Baluchistan and Punjab. The seasonal calendar is evenly distributed all across Pakistan, where the supply during September – December is relatively tight which provide opening for tomato import from India, Afghanistan and Iran. Tomato production is leading crop among all vegetable produced in KPK (23% area and production). Charsadda is ranked 3rd for tomato production in the province, and has grown under diverse cultural practices in the district. Rabi crop (Spring-Summer) is more prominent in Tehsil Charsadda and Shabqadar, while kharif crop (Autumn-Winter) in grown exclusively in the frost free zones of Tehsil Tangi.

The Autumn Crop is practiced mainly on the strips stretched along Mohmand Agency toward Malakand on a rainfed area, approximately on around 1000 acres. Vertical Gardening is more common in Tehsil Tangi and Charsadda (Harichand, Sarkee, Mandani, Gulabad are main Union Councils in Tehsil Tangi) on an area of 1000-1200 acres in Charsadda. Surface tomato is more common in Tehsil Shabqadar on an area of around 100 acres, using traditional production technologies. The seasonal calendar of tomato Rabi crop is started in January, the crop lasts in May-June under traditional practices, while extends till August under vertical cultivation. The autumn crop cycle is in between August and January.

Tangi and Dargai vegetable markets are specialized in tomato autumn crop while Harichand, Swat and Timergara markets are prime options for vertically produced tomato. Tomato production from Shabqadar is traded in Shabqadar and Peshawar vegetable markets. The packaging materials used in all production patterns is traditional and tends to have un-necessary crop losses during harvesting and marketing cycles. High rate of price fluctuations in tomato crop induced discouraging tendency among tomato growers during last 3-4 cropping cycles.

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Vegetable export is more emphasized on bitter gourd, peas, brinjal, cucumber, fresh beans and carrot from the same production clusters. Tomato is not a preferred crop, not only because of perishability but also not complying with the consumer preference of Middle East (prefer round tomatoes). Production capacity of improved hybrid seeds is not attained largely due to non-compliance of technical recommendations and structural limitations inherent in the farming system (technical capacities, quality of agro-chemicals, irrigation issues, and in-efficient post-harvest management).

Analysis revealed that winter crop performs the best among all cropping patterns of tomato in district Charsadda, it offers high gross margin (68%) and minimize the risk associated with least production capital required for tomato production. The Return on Investment (ROI) is much higher for autumn crop (212%) than vertical (32%) and ground tomatoes (17%) in 2016-17. The vertical gardening though high investment rate and extensive production, offered risky gross margin (24%) for tomato growers in 2017. Likewise, the performance of surface tomato is not outstanding during last 3-4 years, the least gross margin of 15% during last cropping season resulted in further reduction of tomato cropping area in 2018.

Though there are some valid limitations of current research due to data biasedness, paucity of time and resources, analysis framework and purposive sampling techniques, and the scope of improvement should not be overruled with further detailed and thematic research. However, the consultation process did highlight certain important recommendations for value chain development interventions in both studied value chains. The interventions related to enabling environment and service delivery will not only benefit the studied crops and its subsequent expansion, the spill over will also have positive impact on other high value crops in the region.

The value chain development recommendations are summarized herewith for improved decision making and drawing road maps for value chain development strategies. Interventions on part of regulatory framework and service delivery of public/private institutions will foster the overall enabling environment for agriculture development in the area. Crop specific recommendations are also listed separately for targeted interventions. Similarly, areas of further detailed research are also mentioned separately for future consideration. It is forecasted that MEP value chain development strategies in these 2 crops will generate additional 115,490 (both strawberry and tomato) direct/in-direct employment opportunities in district Charsadda.

Value Chain Domains

Projected Outcomes Output Level Interventions

Value Chain Regulators

- Improving check and balance

- Awareness and advocacy campaigns

- Improve decision making on high value crops

- Facilitating practical SOPs for Agriculture Policy, Pesticide/fertilizer/seed acts,

- Orientation sessions on regulatory framework,

- Capacity building of AED, FSC, Agriculture Research

- Action plans for high value crops - Mapping un-conventional crops, and

advocating targeted strategies for the expansion of such niche crops (value chain studies, technical feasibilities, Crop Reporting Service etc)

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Value Chain Facilitators

- Advocacy on corporate social responsibility of private sector

- Fertility mapping of district Charsadda

- Capacity building and transfer of technologies

- Awareness sessions with pesticide dealers and companies

- Soil testing of targeted union councils and crop wise recommendations of agro-chemicals

- Scientific crop calendar for both value chains

- Develop pool of master trainers and BDSP’s

Value Chain Actors (Strawberry)

- Integrated pest management of important pest of strawberry crop

- diversify gene bank of strawberry propagative material

- improved crop and marketing efficiency

- Trails on application of bio-chemicals on mites

- Adaptability trails on improved varieties and facilitating gene bank for strawberry cultivars

- Seasonal variations on early and late planting seasons

- Feasibility and business plan for pack house in Sarkee

- MIS, improved packaging and networking among VC players

Value Chain Actors (Tomato)

- Replication of technology to new areas of production

- Improved labor efficiency - Support marketing

function of tomato crop in vertical farming practices

- Land leveling, water use efficiency in autumn crop

- Promote recommended practices of hybrid technologies in nursery raising and management practices

- Efficient Market information system for all tomato production patterns

- Improve labor in-efficiencies with the use of technologies and mechanization

Further Research

- Processing potential of high value vegetables

-

- Analyzing role of processors and inherent dynamics with respect to high value crops

- Potential of contract farming with such processing industries

- Highlighting the role of processing industries in technology transfer and facilitation

- Capacity requirements of farming communities for such linkages with

- Export potential - Analyze export potential of both studied

value chains - Detail working on consumer preferences in

export markets and regulatory requirements (including certification)

- High end markets - Feasibilities of direct marketing with super

markets - Economic significance of engaging with

high end markets

CHAPTER 1 - BACKGROUND

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CONTEXT

Market and Employment Project (MEP) is Dutch Government (Ministry of Foreign Affairs) project implemented by Helvetas Swiss Intercooperation in District Charsadda with the specific goal of creating sustainable income generation and livelihoods opportunities leading to jobs, income and more resilient communities. The project intends to develop strategies that could help in creating more job opportunities for the people in services sector as well as in the commodity sector like agriculture, livestock etc.

PURPOSE AND OBJECTIVE OF THE STUDY

Market and Employment Project (MEP) has commissioned a value chain study to identify the most feasible value chains and devise a comprehensive strategy for the value chain development in the short, medium and long term in district Charsadda.

The study intends to identify the agriculture based value chains and prioritize these value chains based on the set criteria provided by the project for further exploration. The research is supposed to gain a comprehensive and deeper understanding of the existing status of the value chains and identify areas of improvement for high economic returns for the value chain players. The scope of work involved prioritization of the value chains, detail value chain analysis and market research and based on the field findings develop workable implementation strategy for identified value chains keeping in view the context of the area.

Study Objective

The overall objective of the study is to conduct a detailed value chain analysis of selected sub-sectors in order to:

- Identify most suitable agriculture value chains/sub-sectors in district Charsadda, taking into consideration potential replacement of imported supply by local production;

- Conduct detail assessment for the top 2 prioritized sub sectors/value chains keeping in view its market potential, employment generation, extended outreach and align with the scope of commissioned project in the target location;

- Identify handy skills, capacities and inputs that each sub-sector requires for up-gradation;

- Identify and analyze potential business areas, commercial status, value addition possibilities, gaps and intervention points for the identified sub-sectors;

- Identify strengths, weaknesses, opportunities and threats (SWOT) of the identified commodities/products/services, and draw a road map of strengthening identified value chains;

- Identify main constraints faced by the existing producers in each of the value chain and suggest possible solutions;

- Identify the main trends and drivers for enabling environment in each sub-sector.

CHAPTER 1 - BACKGROUND


Scope of Study

The scope of the study included key market for agriculture products (current and potential) produced in various parts of the district Charsadda; tracing and tracking national markets, regional consolidation centers and local aggregation points for agriculture produced in the selected district. Study in the domestic markets was undertaken by conducting key informants’ interviews, and focus group discussions with market players in commodity chains. Whilst the study TORs also deliberated on the potential role of women in the target district, emphasis will be given to those potential sector and value chains which engage women as key entrepreneurs and provide potential to improve their skills for income optimization and creating an enabling environment to improve women empowerment in the studied value chains.

Study Output

The proposed assignment was required to conduct a comprehensive value chain analysis of potential sub-sectors in district Charsadda; by employing appropriate approach and methodology, inter-alia review of credible secondary data (published) and relevant past studies of the same nature. The findings are supposed to support the targeted groups of the MEP to explore the inherent potential among the farming and non-farming communities of district Charsadda to improve their well-being and economic return. The report will help the project to introduce skills that will help small farmers and entrepreneurs to engage in profitable small businesses, improve and diversify their livelihoods and contribute to improved household resilience through better response to the local market demand. The analysis will facilitate the development of appropriate design of interventions with community involvement and utilization of a market oriented approach. It will enable the project to work with individual farmers and groups to improve their existing market access strategies. The study findings will bridge the gap between the target group and the market by exploring market opportunities and ways to address market constraints and obstacles for the mutual benefits of all players in the respective sub-sectors. It is expected that a market assessment and value chain study report will enable the Project to develop a comprehensive value chain development program for the project target group in district Charsadda to transform agribusinesses paying dividends to disadvantaged communities and ultimately leading to economic growth and stability in the area.

CHAPTER 2 – METHODOLOGY


METHODOLOGY AND APPROACH

“Making Value Chain Work Better for the Poor” is considered an appropriate model for value chain analysis in the context of developing countries. Guiding principles from the same model was used during said assessment using standard indicators and parameters as found appropriate for the context and further discussion with project personnel. Both primary and secondary sources, vis-a-vis appropriate quantitative and qualitative tools are used in the methodological approach. The primary research was emphasized on interactive and consultative PRA tools of focus group discussions and key informant interviews while secondary research took guidance from published research of credible sources in district Charsadda. Qualitative and quantitative parameters were built upon perception and institutional knowledge of representative stakeholders during field research. Information collected during FGD and KIIs will lead to subsequent analysis like agro-ecological zoning, supply trends, activity calendar, price fluctuation, profitability analysis, employment generation, market positioning and mapping of value chain players and functions.

The step wise approach and pattern of the analysis followed as mentioned below;

Step – 1: Prioritization of Value Chains/Sub sectors

The scoping and prioritization of value chains was done in two steps i.e. stock taking of the existing data collected through market analysis and participatory prioritization exercise with representatives of on farm communities, consultation with respective field staff, key public and private sector institutions. The criterion was adopted from the previous similar work of Helvetas Swiss Intercooperation, and coherent with the scope of Market and Employment Project. Major factors important for inclusion in the prioritization will emerge from the three pillars of sustainable development i.e. social, economic and environmental. The important consideration in prioritization was mutual agreement on relative weightage to each indicator and subsequent scoring on the same for different sub-sectors. The outcome was presented in the form of grid analysis of the potential areas.

Paucity of time and resources was limiting the detailed value chain analysis to 2 sub-sectors at this point in time; however, the long listing of potential areas from prioritization exercise will be kept for later consideration and detailed analysis by MEP.

Step – 2: Mapping and Detailed Analysis of Selected Value Chains

The start and end points of the value chain are usually determined to be input supply and consumption respectively. The allocated time and resources was efficiently utilized between these two ends for analysis and draw valid recommendations for MEP to introduce programmatic interventions in the project targeted locations of district Charsadda. Mapping of the prioritized and selected value chains was undertaken in detail wherein key stakeholders were visited, including value chain players, facilitators and influencers for selected sub-sectors from start to end. This was done in a detailed consultative process using interactive techniques of focus group discussions and individual key informants’ interviews as found appropriate. All issues and gaps were discussed and documented in a structured manner. For effectively conducting the FGDs, a framework/checklist was developed and used for gathering information from the participants at all levels. Within the chain analysis, efforts will be made to identify the next stakeholder through referral methods for both backward and forward actors in the chain. Mapping exercise captured all relevant information that pertain to value chain functions, activities, actors and relationships, service providers as well as enablers. Mapping will also be used to identify key opportunities and critical constraints.



Both quantitative and qualitative analysis of the value chains were carried out that include analysis of the volumes of supplies of each chain, number of actors involved from start to the end, creation of employment at each node, an estimated job creation and enterprises in the support function level, market margins and profitability, and inefficiencies and distortions identified in respective value chain. The analysis captured inefficiencies in the chain and estimated pre/post-harvest losses that could be avoided. In addition, an overall assessment of the competitiveness was also undertaken, benchmarking and tapping unexplored niches in the local and regional markets.

The study was based on purposive sampling of actors involved and relevant to the various areas of the value chains. The approach was mainly explorative and key informants drawn for different levels of analysis were based on their relevance, collaboration, institutional knowledge, referral, and credibility. The study approach in the field was probing and case building for each operator and looking at the chains from the perspective of the private sector. Though the sampling frame was purpose, 2-3 players were approached at each value chain function to make sure cross checks, validate and triangulate information for valid analysis and better precision.

The initial scope of work was designed for district Charsadda only, however the identification of Strawberry for detailed analysis compelled to include runner production cycle in Swat as well as strawberry production in Lahore and Sheikhupura for comparative analysis for technology innovations and benchmarking.

Total of 8 focus groups discussions have been held with different stakeholders and more than 35 key informants have been contacted and interviewed for the subject value chain analysis in Charsadda, Peshawar, Swat, Lahore and Sharaqpur areas.

Step – 3: Strength, Weaknesses, Opportunities and Threat Analysis (SWOT)

The key findings and analysis patterns were structured in a SWOT analysis and ascertain implications of each weakness and threat with respect to the opportunities. Prioritization of constraints were undertaken in order to identify the most relevant and to address critical constraints in order to achieve competitiveness in the selected businesses. The SWOT analysis was further translated in stipulating road-maps for selected value chains. The recommendations were in line with the organization strategy as per regular consultation with project focal points and detailed debriefing session after field work.

Step – 4: Validation workshop

A one-day validation workshop was organized with key stakeholders of selected and analyzed value chains in district Charsadda at the end of field survey. Preliminary analysis was shared with the group of 40 participant stakeholders, not only to validate the findings of field work for discrepancies, the proposed framework of value chain development was also being authenticated with much pragmatic inputs from stake-holding groups. Representatives of Agriculture Extension Department, Agriculture Research, Water Management, input provides, companies representatives, and progressive farmers participated in the consultation workshop. The analysis was updated and more inputs were integrated in devising road maps of value chain development of strawberry and tomato sub-sectors in district Charsadda.

LIMITATIONS OF THE STUDY

The study design was crafted in accordance with standard methodology for value chain assessment exercise, duly customized with the TOR requirement of the study. The methodology calls for covering representative operators in each function of the value chains



as well as key informants having relevance to the service delivery and enabling environment aspects. The study approach in the field was probing and case building for each operator and looking at the chains from the perspective of the private sector, contextual with poverty reduction and efficient management of resources.

The research findings are in line with the aspirations of MEP project, however certain valid limitations are attached with the nature of analysis and data collection tools. The use of purposive sampling methodology over systematic sampling technique may have induced research biasedness of respondents and analyst. Probing and cross validation through reaching value chain players at different layers helped in overcoming individual biasedness, however the confidence level on analyzed thematic areas could be improved with repeated consultation and supporting research exercise. Moreover, price analysis is a stand-alone domain of marketing research; price inconsistencies, and dramatic fluctuations in the marketing patterns of fruits/vegetables coupled with lack of documented data in the country make it challenging for pragmatic farm budgets and efficiency analysis. Best possible estimates are used in quantitative analysis for this study, however, a robust market information system is required for informed and improved decision making about the studied value chains.

Certain aspects of the value chains were asking for further detailed and thematic research, especially the areas of processing and export potential having an extended scope and was not possible to be analyzed in the stipulated timeframe. Moreover, in-situ analysis of strawberry marketing chain as well as vertical and ground tomato markets would provide a chance to consulting more diverse market players and direct observation would augment the collected information. The benchmarking and comparative analysis with

CHAPTER 3 - PRIORITIZATION


VALUE CHAIN PRIORITIZATION

With support and due facilitation of district Agriculture Extension Department, a prioritization

exercise was organized with key stakeholders in district Charsadda. The exercise was the first

step towards detailed value chain assessment and intended to identify the most potential sub-

sectors for detailed analysis. The exercise was held with the key informant group, identified

together with Agriculture Extension department from the important stakeholders of agriculture

sector in district Charsadda.

Approach

Participation: The exercise was held with representative stakeholders from agriculture line

departments (Agriculture Extension, Water Management, Soil Conservation and Testing

laboratories, Crop Reporting Service), farm service centers, progressive farmers, and inputs

suppliers. Stakeholders from all 3 Tehsils of district Charsadda were invited to have a

balanced geographic representation and to raise inputs for important cultivated crops in

different pockets.

Criteria: The prioritization criteria was adopted from the earlier experience of MEP1, whereas

respective importance was given to market oriented factors while also considering specific

vulnerabilities of poor involvement, gender consideration and impact on environment. Eight

factors along with their respective weightage are listed here;

Figure 1: Prioritization Criteria for Value Chain Selection

Mechanism: The prioritization exercise was initiated with the brainstorming session on the

status of agriculture sector in district Charsadda, pinpointing the strategic strengths of farming

practices and the broader socio-economic realities faced by the rural communities of district

Charsadda. Five crops or/and crop groups have been selected for detailed prioritization on

1 Rapid Value Chain Assessment in Sindh, Helvetas Swiss Intercooperation, March 2016



the basis of their economic significance, commercial aspects and relevance for overall

livelihood patterns in district Charsadda. The selected crops were;

- Vegetables (Tomato, Bitter Gourd, Tinda Gourd);

- Fruits (Strawberry, Honey Dew Melon, Plum);

- Wheat;

- Maize;

- Sugar Cane;

Participants were encouraged to assign values to each crop on these factors during discussion

and consensus building. Fruit and vegetable groups have been scored the highest ranking

followed by wheat, sugar cane and maize. Commercialization, profitability margins, shift

toward intensive farming practices, and land fragmentation were some of the reason identified

for shifting tendency towards high value crops in fruits and vegetable groups.

Table 1: Finding of Prioritization Exercise in District Charsadda

Though fruits and vegetables identified were having equal significance, however after further

elaboration and due validation with Agriculture Extension Department and some key

informants, tomato and strawberry was selected for detailed value chain analysis and

stipulating road map for the project engagement in district Charsadda. The remaining identified

fruits and vegetables will be given due consideration in the later phases of the Market and

Employment Project.

The output of the prioritization exercise is not unique, and evidence base is available that

these crops have been emphasized in the recent past of such development interventions.

Participatory Rapid Horticulture Appraisal (PRHA2), conducted by Agribusiness Support Fund

(ASF) in 2012 in an effort to draw a baseline for their agribusiness project identified the same

priority sub-sectors for development interventions in Peshawar Valley. Their criteria of

prioritization were drawn from the same approach of market orientation, and considering

important aspect of engaging small holders and women. They have identified peach, citrus,

strawberry, apple, melon, apricot, potato, tomato and onion as most potential sub-sector for

Peshawar Region. The overall ranking of fruits and vegetables under PRHA is given under.

2 http://pdf.usaid.gov/pdf_docs/PA00JQRJ.pdf

Score Weighted

scoreScore

Weighted

scoreScore

Weighted

scoreScore

Weighted

scoreScore

Weighted

score

Market Access 2 5 10 4 8 3 6 4 8 5 10

Volume 2 3 6 4 8 5 10 3 6 4 8

Income Generation 3 4 12 2 6 3 9 5 15 3 9

Employment Created 3 5 15 3 9 2 6 4 12 2 6

Market Demand 3 5 15 2 6 2 6 5 15 3 9

Poor Involvement 2 5 10 3 6 4 8 3 6 2 4

Women Involvement 2 1 2 2 4 1 2 2 4 3 6

Envrionment 2 0 0 2 4 4 8 1 2 4 8

Aggregate Weighted Score 70 22 51 24 55 27 68 26 60

Factors Weightage

Vegetables

(Tomato, Bitter

Gourd)

Maize Sugar CaneFruits (Strawberry,

Honey Dew melon)Wheat

http://pdf.usaid.gov/pdf_docs/PA00JQRJ.pdf



Figure 2: Prioritization of Fruits and Vegetables, Agribusiness Support Fund, 2012

CHAPTER 4 – STRAWBERRY


STRAWBERRY VALUE CHAIN

Overview of Strawberry Sub-Sector

Strawberries (Fragaria x ananasa Duch.), originally grown in northern parts of Europe and

were also found in different parts of Russia, Chile and United States. Strawberries are also

thought to have been cultivated in ancient Rome in large scale for medicinal purposes. During

the 13th century, France also cultivated strawberries for its medicinal purpose. The roots, fruits

and leaves of Alpine strawberry were widely used in these countries to make medicine that

were used to cure digestive problems and skin diseases. Strawberries are known for its unique

taste and flavor, nutritionally low in calories, rich in vitamin C, potassium, folic acid, fiber, and

vitamin B63 (Allah Dad Khan, CMPII 2014). Strawberry is cultivated widely across the globe

and FAOSTAT reported strawberry cultivation from 77 countries as of 2016, however this

milestone might be higher due to non-reporting of strawberry crop from remaining countries

(Pakistan is an example!).

Over the last two decades, strawberries

have experienced one of the highest rates

of consumption growth of all fruit and

vegetables across the globe4. The growth

in strawberry production is recorded 23%

during last 5 years and is being

continuously growing with every passing

year5. Strawberry grown on an area of

402,338 ha globally and the production

exceed 9 million tonnes in 2016. China,

USA, Mexico, Egypt, and Turkey are five

leading producers of Strawberry crop,

these leading countries contributes 72% of

global production.

Strawberry has been introduced by Rafhan Foods as a crop in Swat during the period of 1979-

80 for flavoring their different products. When the quantities exceeded the company

requirement, they helped in linking the surplus crop to different 5 star hotels in Pakistan. The

Pioneer Progressive farmer is still alive and yet dedicated in introducing new varieties of

strawberries from his own networks and knowhow.

Strawberry Crop started in Charsadda in 1994-95, introduced by a progressive farmer from

Swat. It was fetching good price those days (PKR 18 per kg), encouraged other farmers to

replicate strawberry as a crop in the area. Strawberry cultivation is reported extensively in 4

adjacent union councils of Charsadda (Sarkee Titara, Utmanzai, Tarangzai, Behlola). It

3 Khan AD (2016) Straw Berry Cultivation in Charsadda A District Of Cmp-II In NWFP By Allah Dad Khan Agriculture Extension

And Ghulam Nabi Agriculture Research Tarnab Peshawar. Adv Plants Agric Res 4(3): 00142. DOI: 10.15406/apar.2016.04.00142

4 http://www.freshplaza.com/article/159848/OVERVIEW-GLOBAL-STRAWBERRY-MARKET (visited on 27 January 2018)

5 http://www.fao.org/faostat/en/#data/QC ((visited on 27 January 2018)

7,3

90

,08

8

7,8

86

,51

9

8,1

58

,70

3

8,7

52

,16

7

9,1

26

,33

7

0

2000000

4000000

6000000

8000000

10000000

2012 2013 2014 2015 2016

Pro

du

ctio

n (

Ton

ne

s)

Figure 3: Global Production of Strawberry (FAOSTAT)

http://www.freshplaza.com/article/159848/OVERVIEW-GLOBAL-STRAWBERRY-MARKET

http://www.fao.org/faostat/en/#data/QC



replaced sugar beet, sugar cane, wheat and maize in this particular belt. Afridi et al (2009)6

informed that the economic return of strawberry crop is four times higher than sugarcane and

9 times higher than wheat crop in district Charsadda. Strawberry is yet considered an un-

conventional crop in Pakistan, despite its significant expansion throughout the country and

overwhelming economic significance. Economic valuation of strawberry crop in different value

chain functions estimated to be surpassing 12 billion rupees in a single cropping year

(estimates based on value generated in 2016-17), generating hundred and thousands of

employment opportunities for farming families.

Strawberry provide impetus for high value vegetable culture in district Charsadda during 2001-

02; agriculture laborers trained on off-season vegetable production (tunnel farming, vertical

gardening, hybrid technology) promoted the tendency of leasing land for commercial

vegetable production in Charsadda; strawberry was the preference crop of those farmers,

followed by other seasonal vegetables like tomato, bitter gourd, tinda gourd, long gourd and

honey dew melon.

Value Chain Functions

Input Supply

Strawberry is being cultivated exclusively from propagative material (runner) in its entire

history in Pakistan. TOPS, CORONA and SCHINDLER are few successful varieties in

Strawberry crop, however the performance of Schindler is regarded best in comparison to

other varieties due to its higher production capacity, fruit weight, adaptability to diverse agro-

climatic zones and shelf life. CORONA was shallow inside (reduced weight) while TOPS was

not considered good for shelf life, hence become obsolete with the passage of time. Schindler

was introduced in 1998-1999 and is being the sole source of strawberry cultivation these days.

Varietal introduction is not scientific and through proper adaptability trials, the pioneer

progressive farmer (Kazim Bacha) in Swat asks mutual friends visiting different countries to

bring few seedlings of new varieties for

adaptability. The farmer introduced 2 varieties

(“Communeral” and “Sacoa”) two years ago for

adaptability trials and replication; he is planning to

introduce it this year onwards for marketing.

Agriculture Research Station Mingora maintained

a gene bank of Strawberry cultivars but

unfortunately the progeny has been lost due to

closure of research station in 2008-10. Research

officials from the same station have visited

Australia in 2015, and brought back few seedlings

of a variety (they have given the name “Australian

Mark” themselves) for adaptability trials. The runners are distributed among few progressive

farmers last year, however farmers were not satisfied with its performance and high

susceptibility to intense heat.

6 “Cost and Revenue Analysis of Strawberry Production in the Sub-Tropical Areas of NWFP, Pakistan”, Ghulam Sadiq Afridi, M.

Ishaq and Sarfaraz Ahmed 2009; Pakistan Journal of life and social sciences (2009), 7(1):59-65

Figure 4: Strawberry Runner Production



Runner prices are increased gradually and rather un-predictable supply and demand pattern

was witnessed in previous years (last year runners were short due higher demand in Punjab

i.e. prices jumped to Rs. 5). Sometime farmers have losses due to unavailability of runners

and sometimes runner farmers have losses due to lack of demand.

Runners are produced in the month of March – April, onion is practiced as a major inter-crop

in strawberry (Peas, fresh beans are other intercropping option), onion is harvested in the

month of May, and runners are being re-directed to the main bed (3 feet) for onward growth

and runners’ production.

Mites - considered one of the major pest problems in strawberry crop - do attack runner crop

during the month of May – June in swat but controlled with good miticides and management

practices (power sprayers), climatic factors also favor management practices in Swat and the

control is rather manageable over there.

A healthy plant produces 5-50 runners in its life cycle, however initial 15-20 runners are

considered good in vigor (runners produced till the month of June-July) and has good

production capacity while runners produced during August – September are rather weak and

impotent, tend to have high chances of failure in transplantation and production stage.

High profitability margin compel more farmers toward runner production and rapid shifting

tendency is noticed among farmers of upper swat and Dir areas. One acre of land produces

960,000 runners; each runner cost 0.6-0.7 Re for its entire life cycle and fetches more than 1

Re (average price this year was 1.4 per runner, however it varies between Re 1.2 and 3 per

runner; occasionally it was sold for Rs. 5 per runner last year due to shortage towards end

season. Consultations and triangulation confirms that more than 500 million runners were

channeled to Punjab, Sindh and Khyber Pakhtunkhwa this current season (it is believed that

around 1 billion runners will be available for marketing in the coming year).

The lease rate grows rapidly upward due to the same boom; the yearly rate was between

150,000 – 200,000 Rupees for an acre of land this season. Labor becomes expensive and not

available in strawberry extraction time (Rs. 12000/100,000 plants); usually farmers need to

extract more 300,000 plants on daily basis to subside demand. Contracted labor in Swat, while

women/children in Dir area are responsible for runners’ extraction from their fields in the

months of October-November. Runners quality from Swat has issues i.e. # of transplants in a

pack is not uniform, contain infertile runners, and mother plants. Runners from Upper Dir is

considered much better than Swat, runner growth is vigorous which result in better production

capacity, new land and high altitude to ensure chilling requirement of strawberry are few

important identified factors for this good quality.

Swat farmers fetch fruit and runners from the same plant, however farmer perceptions

revealed that plants not used for strawberry production has produced good quality runners.

Farmers of Charsadda are price conscious, and looking for cheaply available runners in

Swat/Dir, while Punjab/Sindh traders look for quality runners (vigorous growth), thus farmers

are willing to struck deals with Punjab and Sindh on priority basis and provided least quality

runners to farmers in Charsadda.



Apart from propagative material, local dealers are

providing range to remaining inputs like pesticides,

fertilizers and utensils in the production clusters.

Focused group discussion reveals that 70% farmers

are aware of pesticide usage from their previous

experience while 30% depend on the advice of input

providers. Lack of knowledge provides opening for

pesticide/fertilizer adulteration, subsequently

provide basis for the use in-efficient and sub-

standard chemicals. Majority of farmers (more than

90%) deals in credit for these agro-chemicals. The

risk associated with provided credit is another major

hurdle of not using good reputed pesticides; multinational products are available on cash only,

while generic products are available on credit to secure their market share. The institutional

capacity to maintain a robust check and balance is rather weak; hence quality of inputs

remains an issue of great concern.

Production/Post-Harvest Management

The production function encircles activities like land

preparation, transplantation, weeding, irrigation,

application of agro-chemicals, harvesting, and post-

harvest management. Crop rotation is practiced and

eventually desired in the strawberry management

cycle; extensive use of agro-chemicals has good

effects on succeeding crop.

Intensive management practices and high cost of

investment (PKR 50,000 seed money!) not allowing

to plan more than 2 acres of strawberry, the average

farm size of strawberry is reported between 2 kanal

and 2 acres of land each year while the usual practice

is 1-acre average in Charsadda. The practice is

realistic and is not much deviating from scientific

recommendation of 0.68 acres of strawberry as optimum farm size and realizing net revenue

from the crop (Afridi et al 2009).

Strawberry is a six-month crop, and crop cycle starts with procurement of runners in the month

of October, following land preparation. Sowing dates changed recently from November to the

month of October (farmer own testing on seasonal variation), though some farmers succeeded

in maintain a vigorous crop from early October plantation however mortality rate of seedling is

higher (heat factor) in early October plantation in district Charsadda. Majority of farmers are

reluctant to transplant early due to economic losses and managing runners for re-

transplantation. It offers prospects for further research trials on seasonal variation (early/late

cropping pattern) in district Charsadda. Strawberry is often inter-cropped with sugar cane in

Charsadda; extensive use of nutrients believed to have a better impact on sugar cane

production after the strawberry management cycle completed in late May. The same piece of

land is used for Kharif maize and fodder crops in the period between June-October. Wheat is

the preferred Rabi crop during November if land is not occupied by sugar cane. The crop

Figure 6: Ready to harvest Strawberry, the surface contact of fruit with soil devalues quality (Courtesy: ASF, PHRA 2012)

Figure 5: Input Dealer in Sarkee



rotation is believed to be a must-to-do practice in the case of strawberry. The choice of other

crops allows to maintain this healthy balance of crop rotation in 3 years’ cycle.

Farmers in Charsadda procured runners themselves from Swat and Dir rather in an inefficient

manner; 50-60% farmers visited Swat/Dir themselves while the remaining depend on

collective purchase and/or depending on traders for providing runners on farm gate for nominal

margins (recent development). Runner dealers bargain in cash only due to high demand and

payment issues with farmers; only few farmers deal on credit basis depending on mutual trust

and credibility.

Jute bags are used for transportation of Runners (contain 26,000-27,000 plants per 40 kg

bag); cleaning of runners and cutting of leaves is done at household level by children and

women. Transplantation period varies between October (early) and mid-November. Month of

December and January is dedicated exclusively to extensive hoeing cycles; it requires 7

hoeing cycles in these 2 months with intermittent irrigation and application of agro-chemicals.

Weedicides are not favored within strawberry crop therefore weeds are removed through

extensive hoeing cycles; this is rather in-efficient practice and incur extra cost of production.

Management practices in strawberry cultivation are rather static in Charsadda production belt;

farmers are learning management steps from each other however the mode of transformation

is not uniform and standard. Farmers even used pesticides and fertilizers without

understanding the fertility requirements of the crop in different soil. However, this learning and

doing did brought improvement in production capacity with the passage of time; production

capacity was 15-20 fruits per plant 20 years ago, improved to 30 fruits per plant 10 years ago,

while current production capacity is 50-60 fruits per plant with increased awareness and plant

growth regulators (humic acid, micronutrients application, increased fertilizer dosage and

range of pesticide application).

Strawberry is a water intensive crop; it need approximately 25 irrigation cycles in entire crop

production phase. Farmers tend to irrigate their strawberry field on every 3rd day during picking

season. However, research authenticates that 4-day interval might be good for fresh fruit

consumption, while irrigation interval of 10 days is appropriate for retaining quality during

storage and/or distant marketing. (Ijaz Akhtar and Abdur Rab, 20157).

Picking/harvesting starts from late January to early February (limited quantity), while peak

production harvested during mid-February to April continuously and diminished during the

month of May (production end till May 20 maximum). Harvesting was performed mainly

through school children, paying Rs 100 per day and also gave some strawberries for eating.

Though the practice is not efficient for post-harvest handling, the inexperience and

mishandling of such perishable crop by children resulted in 15-20% post-harvest losses.

MITES is the major crop problem in production stages, creates resistance towards extensive

use of pesticides (sprayed every 3rd day with miticide). Other common pest are nematodes,

cutworms, aphids and diseases like ‘damping-off’ is more common in Strawberry; attack of

wild boar was common in few areas but manageable with regular watch and ward.

7 “Effect of Irrigation Intervals on the Quality and Storage Performance of Strawberry Fruit”, Ijaz Akhter and Abdur Rab; The Journal of Animal & Plant Sciences, 25(3): 2015, Page: 669-678



MITES attack mostly in the month of March; an epidemic was witnessed in 2004-05 incurred

extensive losses to Strawberry crop in Charsadda. Mites has complicated life cycle and

nurturing overlapping generations (eggs, nymph, and adults at the same time), broad

spectrum pesticide might break the mites’ complex life cycle but it need further research trails.

Strawberry is prone to excessive rains during February – March; losses in rainy season are

40-50% of standing crop and also stressed production for the coming week to ten days’ period.

Complete failure of crop was recorded in 2006-07 due to hailstorm and extensive rainfall. No

protective measures are taken during rainy season, though the use of walk-in tunnels coupled

with weather forecast might save the crop from extensive damages during rainy season.

Detailed crop calendar is depicted in table 2 below;

Table 2: Seasonal Calendar of Strawberry Crop

Marketing

The marketing function entails the trading of strawberry crop where selling/buying took place

between farmers and traders. The traders are characterized as inter-market traders,

intermediary traders, retailers, cart runners and export traders (Afghanistan only).

Prime marketing venue for strawberry producers is an un-conventional Market place in Sarkee

bazaar, 80% of the crop is traded in this un-regulated market. Sarkee market is operational

for 3 and half months (late February, Mid May). Trading in Sarkee market start daily between

7 am – 2 pm; however, 9-11 am is peak business hours. Sarkee market administrators’

charges Rs. 10 per crate from both buyer and seller. On average 5000 crates traded daily in

Sarkee market. Wooden crates (8-12 kg) are the preferred packaging material for strawberry

marketing. Different sized wooden crates are common where 8 kg (30%), 10 kg (50%) and 12

kg (20%). This Sarkee market offer weighing function (4-5 persons) placed in different corners

of the market. Strawberry crates are usually traded on observation basis, however sometime

traders doubted the weight of certain produce and need to weigh few crates for bargaining.

Only few farmers tend to channel their produce to Peshawar and Islamabad markets for

auction and onward trading; while 20% produce is traded on farm gate with established

contacts and middlemen. This option is more preferred by farming community for price,

grading and more importantly save farmer the marketing charges of commission,

loading/unloading, and precious time.

Strawberry has been sorted in 2 grades by farmers while marketing, the A grade is uniformly

sized ripened large pieces, while B grade strawberries are small, greenish and not uniform in

size (Chanrr): A-grade fetches prices ranges 100-250, B-grade fetches 15-30 per kg average

during last marketing year.

Wk1 Wk2 Wk3 Wk4 Wk1 Wk2 Wk3 Wk4 Wk1 Wk2 Wk3 Wk4 Wk1 Wk2 Wk3 Wk4 Wk1 Wk2 Wk3 Wk4 Wk1 Wk2 Wk3 Wk4 Wk1 Wk2 Wk3 Wk4 Wk1 Wk2 Wk3 Wk4

Land Preparation

Procurement of Runners

Tranplanation

Hoeing Cycles

Irrigation

Fertilizer Application

Pesticide Application

Fruiting (Start Up Production (Peak Production) (Decreasing Prod.)

Picking Cycles

Marketing

November December January FebruaryActivities

March April MayOctober



Some farmers (5-6% approximately) are compelled to sold their produce at flowering stage,

the crop need to be taken care onwards by the traders with their own labor and management.

Some farmers tried to link their produce with high end markets and companies but the

experiment wasn’t successful because of un-clean strawberry produce (Key Informant).

Following the lucrative business of Sarkee strawberry market, at least 2 efforts have been

made by other business minded people to offer alternate market place for strawberry

marketing but couldn’t succeeded, as both farmers and traders don’t want to come out of their

comfort zone. A modern Pack house was built by ASF (USAID) in year 2014-15 with an idea

to offer improved packing/grading facilities, and linkages with high end markets; the facility is

yet to be operationalized to date as it is distantly located from the main market hub and also

have management issues.

Runners Marketing: There is no proper market for runners in Swat and Dir region; farmers,

middlemen and inter-provincial traders bargain with runner farmers directly in their farms and

rural hubs. The concept of farmer-cum-traders is expanding every year, where farmers not

only bargain for their own runner crop but also cut deals with other small and needy farmers

by offering some advance 2-3 months earlier than runners marketing. Exact estimates are not

available but it is believed that Swat produces more than 500 million runners this year; (350

million plus to Punjab, 100 million plus to Sindh, 50 million plus to Mardan and Charsadda);

Dir produces approximately 50-60 million runners this year; Runners marketing starts in

August-September each year; good prices and high demand compel farmers to convert more

land to strawberry runners, almost 1 billion plants are projected to be produced next year.

Inter-market traders channel strawberry to Peshawar, Islamabad, Lahore and other parts of

KP and Punjab; they used their own linkages for such trading, keeping some nominal

percentages of profit share (10-20 rupees’ margin after incurring expense).

Traders from Afghanistan has a positive effect on market prices, they not only purchase larger

quantities but also offer good prices. However, closure of Trade route to Afghanistan was a

major impediment in 2017, owing to stressed security relations between armed forces at both

end. This Closure has significant impact on market prices of fruits and vegetables in Pakistan

(especially on the products of KPK), more than half of vegetable export value is linked with

Afghanistan (52%), has a value of 91 million dollars8.

Processing

Range of products is available in the markets which are flavored/blended with strawberry

essence. Few renowned national companies are Mitchells, Rafhan Foods, TOPS, Salmans,

Shezan, Crispo, National Foods, Fauji Fresh-n- Freeze, while Lacnor and Kelloggs

(International) products are available on shelves. Jam, Jelly, Berry Crunch, Corn Flakes,

custard, frozen strawberry, topping, Juice (nectar), Syrup, and Squashes are strawberry

products range witnessed during supermarket visit (METRO). Pakistan is also importing frozen

strawberry from Mexico and USA i.e. in FY 2014-15 imported 8,540 kg with worth 1,766,000

PKR9. Frozen strawberry cost Rs 425/kg from a national company while imported quality of

the same product (Belgium) cost Rs 400/500 gm. Tarnab farm also purchase strawberry when

8 http://www.tdap.gov.pk/tdap-statistics.php 9 Ibid

http://www.tdap.gov.pk/tdap-statistics.php

http://www.tdap.gov.pk/tdap-statistics.php



price is lower than Rs 50 per kg (mostly B-grade quality) for processing in products like Jams

and Juices, they haven’t made products in 2017 due to higher prices of strawberry.

Though processing has been advocated as viable alternate option in fruits and vegetable,

especially keeping in view the risk associated with ups and down of market price. However,

processing industry prefers low grades and cheap prices traditionally, and often fulfills their

demand in peak production season. Artificial essence is more preferred option for these

industries, when it comes to strawberry products. The trend offer little prospect to farming

communities, however information lag demand for detailed research/feasibility on how

processing industry could be explored for the benefits of small holders. Moreover, further

analysis of respective market shares of processing industries in total supply of strawberry

produce, mapping of these units, and estimation of overall seasonal demand will further

elaborate their economic significance in networking and contract farming options with small

holders.

Figure 7: Some Processed Products of Strawberry in Super Market

Consumption

The consumption of strawberry is becoming more popular owing to its unique taste and flavor, and more passion towards culinary and dietary diversity. Major produce is dispose-off as fresh consumption while the flavor/essence is transforming to various processed foods is ever increasing for local production and imported stuff.

Extensive usage of pesticides induces bad reputation to strawberry fruit, health conscious consumers are reluctant due to health concerns related with extensive usage of chemicals. The market demand might be much higher if integrated management practices are promoted to minimize adulteration of agro-chemicals. Strawberry is considered an expensive fruit, and customers can pay extra premium for such value addition (integrated control/least pesticide usage). Even at the final retail sale, cart-runners spray “Potash Alum” on strawberry fruits to maintain shine and retain shelf life; 1 gm/liter is recommended dosage for this product but vendors apply much higher quantities and induce health hazards. Ijaz Akhtar and Abdul Rab in 201410 recommended that calcium gluconate at 1.5% concentration is an effective treatment to retain the quality and extend the shelf life (up to 10 days) of strawberry fruit.

10“Influence of Calcium Sources and Concentration on the Storage Performance of Strawberry Fruit”, Ijaz Akhtar and Abdur

Rab 2014, Journal of Agricultural Science and Technology B 4 (2014) 661-673



Value Chain Operators

Input Providers

There are 7 main agro-chemical providers in the respective area of production (cover almost

50% of needs) while remaining farmers are linked with input providers in Charsadda and

Sardheri markets.

Pesticide usage was increased after the introduction of hybrid technology in the period 1998-

2000; the technology induced the expansion of pesticide/fertilizer dealing shops to production

clusters extensively. Approximately 120+ pesticides firms are registered with Agriculture

Extension Directorate in the Province, majority of these firms are active in district Charsadda

as well (7-8 are multinational while the remaining are generic national companies). Almost 12-

15 different types of chemicals are used time to time on strawberry crop, while DAP, Urea,

Ammonium Sulphate and micro-nutrients are being used in fertilizer category. Pesticide and

micro-nutrient budget cost 19,000-24,000 Rs per 0.5 acre of land on average in each crop

cycle. Farmers do point that there is no dedicated pesticide for strawberry crop, however most

pesticides are registered on main crops and effective in strawberry problems (though dosage

need to be checked for strawberry crop with further research).

More than 30 main agents (with numerous small dealers) are involved in channeling runners

each year; farmers turned dealers are increasing with every passing year. Demand for

runners’ production is not predictable each year; either strawberry farmers or runner producers

contract losses due to this imbalance. Market Information System for an organized forecast of

expected crop each year will impact the business positively. Runner production business in

on boom in Malakand Division, concentrated in Lower and Upper Swat, Upper Dir, and

reportedly introduced in Bajaur Agency this year.

Producers/Farmers

High investment rate and intensive cultural practices didn’t allow cultivating strawberry on

large scale farms, hence number of small farmers is high in strawberry business (owing less

than 5 acres of land); where majority stands with owner cum tenant (50%), 10% are

sharecroppers, while 40% farmers leased land for strawberry cultivation. Though official

estimates are not available from Crop Reporting Service (still considered as a non-traditional

crop), it is believed that strawberry is planted on more than 700 acres of land in Charsadda11.

Likewise, exact number of strawberry farmers is not confirmed, however discussion with

farming communities, agriculture extension department and triangulation with area under

strawberry cultivation affirmed that there are 500 farming families (more or less) cultivating

strawberry in district Charsadda. Extensive management practices induced hundred and

thousands of labor opportunities within strawberry cycle.

Strawberry crop generate livelihood opportunities at 2 levels for farming families i.e. runner

production and fruit production. Runner production is increasing with every passing year and

offering lucrative financial returns. In the current season it is believed that an area of 500-550

acres was under strawberry runner production in Swat and Dir belt, providing livelihood to

11 Field Survey



more than 400 farming families in both regions. Runners come from lower swat initially (Ogdo

– Takhtaband in Mingora), however Runner production is transformed to Upper Swat valley

i.e. Fatehpur, Durushkhela, Khwazakhela due to high altitudes and lower summer

temperature). While Upper Dir has started runner’s production 4-5 years ago, concentrated in

few villages of Tehsil Varri in Upper Dir (Nek Dara, Bashana, Surgul, Varri). It was informed

that some traders introduced strawberry for runner production in Bajaur Agency (20,000

plants, but no further information is available in this regard); it offer a significant potential for

MEP to introduce new varieties in Bajaur for adaptability trials (as one of the Project area).

Market Functionaries

Strawberry market in Sarkee became a renowned business hub for market functionaries

during February-May each year. Some 200-250 traders are regularly present in Sarkee market

on average in peak season; 50-60 are main dealers among this group, 10-12 local traders

while the rest are outsiders. The volume of large dealer’s trade is 1000-1200 kg on daily basis.

There are 4 main dealers providing wooden crates in Sarkee Market. On average, there are

around 100 seasonal laborers performing loading/unloading function in the Sarkee strawberry

market on daily basis.

Peshawar is considered as a feeder market for strawberry crop, the 3 renowned commission

agents in Peshawar (Lahori, Ghantaghar area) auction daily between 3-5pm for retailers and

inter-market traders. Inter-market trade is linked with districts of Bannu, Kohat, Kabul,

Peshawar, Abbottabad, Swat, Timergara, and Rawalpindi. Traders usually take different price

ranges from their networks in different market and decide on which market to target on daily

basis; some traders do take orders from retailers regularly and supply on daily basis in different

urban centers.

The retail function of strawberry expands rapidly in recent years; it is not only available on fruit

retail shops (both small and large), strawberry on carts (wooden and Suzuki) could be found

on numerous places in main cities and highway junctures, as well as found separate stalls in

super markets for loose weight and consumer packaging (mostly half kilogram packs).

Enabling Environment

VC Facilitators

Agriculture sector is being facilitated by a network of government institutions in district

Charsadda. Agriculture Extension, Soil Conservation, Water Management, Agriculture

Research and Crop Reporting Service (CRS) have functional outreach in Charsadda while

seed certification is being regulated through Federal Seed Certification and Registration

Department (FSC&RD).

Agriculture Extension Department (AED) has the most extensive interaction and coverage

among farming communities, they have representatives (at-least 2 staff) in all 49 union

councils of the district. An Agriculture Officer is designated in each Tehsil, while 3 Subject

Matter Specialist (SMS) are positioned at District Headquarter. Agriculture Extension has been

allocated Rs. 460 Million in financial year 2017-18 for providing implements/machinery to small

farmers, improving seed production capacity, and supporting women farmers in kitchen

gardening and value addition activities in the province. AED is implementing regular ADP



programmes in the district; Fermenter system and installation of high tunnels for

demonstration purposes, however Fermenter system was not considered successful as BIO-

AAB was not readily available in the market; Department is foreseeing another important

project of small machinery pool (inter-cultivator, solar sprayers, drone sprayers, tunnel

machinery, seed drills, planter and small harvesting machines etc.) to strengthening service

delivery of FSC.

AED also has the leverage of institutional oversight of Farm Service Center (FSC) in the

District. The concept of FSC was piloted in 1995 on two locations as public private partnership

for agricultural outreach and development, the FSC at Dhakki Amirabad was one of those two

sites. The FSC was given legal status in 2014 when FSC act was formally endorsed by

Constituent Assembly. Model Farm has representatives of AED, water management,

Agriculture Research and Livestock department. Farmers’ registration in Charsadda has

reached to the mark of 12,989 as of November 2017, and the coverage is increasing with

every passing year. FSC Dhakki has been playing a vibrant role in providing certified seed

and fertilizers on cheaper rates and also helped registered growers in maize marketing.

Each FSC is dealing in 15-20 km radius, and is one of the limiting factors in linking distant

farmers; FSC also deals in cash which is not preferred among farmers as input suppliers in

the market do credit on yearly basis. Though the farmers are least concerned about prices in

credit circle, however the rates are charged higher (in some cases more than double) for seed,

pesticides and fertilizers.

Capacity of AED field based staff and FSC management committee is another important

bottleneck for visualizing the concept of efficient service delivery in Charsadda, though JICA

funded project (2015-17) supported capacity building sessions for the staff of AED (80 AO and

200 Field Assistants) in NARC, however this need to be organized on regular basis.

FSC could be supported with quality pesticides/fertilizers for Strawberry crop on pilot basis,

using the “Pakistan Tobacco Company” Model for Tobacco Crop; PTC was facing the issue

of pesticide residues in Tobacco products, hence they provide quality seeds and pesticides

on credit to their registered growers through FMC, and it was deducted from their final

payment. It will help functionalize the redundant “Pack House” in Sarkee area for offering

advisory services, quality inputs and marketing potential.

District water management department is also supporting farming community with water use

efficiency technologies and rehabilitation of irrigation infrastructure. Drip irrigation, land

leveling initiatives and solar tube wells have been recently introduced in the district to create

enabling environment for water use efficiency.

Agriculture Research Station in Charsadda was inaugurated in 2012 in Mandani area by

the then Agriculture Minister and department allotted 120 acres of land. The objective was

being changing with passage of time; though the station is currently seeking action research

on the issues of high value vegetables in the region. The construction work was completed in

2016 and regular positions are sanctioned in the financial year 2017; however, the station still

need vigorous attention and support from Research Directorate for allocation of resources and

functionalize research activities (full fledge research staff, soil testing laboratory, and

machinery pool etc).



Currently no development project is active in agriculture sector in the district. ASF (USAID),

CMP-II, are two mega projects in the recent past, though both projects failed to achieve

desired objectives due to funding issues and closures before stipulated timeframe. Flood 2010

brought number of early recovery and rehabilitation projects, but the scope was much on

distribution of inputs or rehabilitation of damage infrastructure. SRSP has an active presence

in Charsadda, their NRM activities are limited to few selected areas with limited scale and

scope of interventions; they have partnered with ASF for the formation of 23 FEGs in District

Charsadda (Sarkee) in the strawberry belt during 2013-14; Enterprise Development Trainings

(EDT) and Technical Trainings on pre/post crop harvest management has been imparted to

FEGs. However, further follow ups were not maintained due to early project closure of ASF.

Apart from the functional presence of range of facilitators, extension material and technical

advisories are almost negligible for strawberry crop. Technical support services are either

delivered through field days of pesticides/fertilizer companies are primarily emphasizing on

the promotion of their company products, while advisory services are rested with pesticide

dealers which again are business oriented.


The Provincial Ministry of Agriculture, Livestock and Fisheries is striving to regulate the policy

framework for agriculture sector in the province. Agriculture policy was enacted in the year

2014, as an outcome of 18th amendment and 10 years’ strategic directions are drawn for

commercializing agriculture sector in the province. Government of Khyber Pakhtunkhwa

allocated 16,000 Million Rupees (apart from regular ADP schemes) under Integrated

Development Strategy (2014-18). The objective is to promote commercialization in agriculture

sector by fostering crop productivity/income, water use efficiency and identification of

progressive markets for agriculture produce.

Activities of AED have a regulatory cover in the province and statues like Pesticides Act

(2007), Fertilizer Act (1997) and Seed Act (2015) help them to maintain a regulatory check on

quality of agriculture inputs in the province; Agriculture Officer acting as Inspectors are

monitoring quality of agricultural inputs through district administration and local government

ordinance;

Land tax, agriculture income tax, Usher, local rate, and abyana are important levied taxes on

farming and collected by District Revenue Departments. The rates have been adjusted as per

land holding, and revised every year in the provincial finance bill. Recovery rate is reasonable

for levied taxes in district Charsadda, and recovery targets are met more than 90% every year

as the revenue department has strong presence through patwari’s in respective union

councils. The rates for agriculture income tax is estimated using standard calculation for

different crops, however these estimations are kept nominal and representing lower bounds

of real revenue generated from these crops.

Taxation schedule is depicted in the following table 3;



Table 3: Taxation Rates on Agriculture Land/Income (acre/annum)12

Tax heads Applicability Tax Rate

Land Tax - Not Exceeding 5 acres

- 5 – 12.5 acres

- Exceeding 12.5 acres

- Orchards (Fixed)

- Exempted

- PKR 225

- PKR 340

- PKR 900

Agriculture Income Tax

Income:

- 400,000-550,000 - 550,000-750,000

- 750,000-950,000

- 950,000-1,100,000

- > than 1,100,000

- 5% of amount exceeding 400,000 - Rs 7500, plus 7.5% on amount exceeding

550,000 - Rs 22,500, plus 10% on amount

exceeding 750,000

- Rs 42,500, plus 15% on amount exceeding 950,000

- Rs 65,000, plus 17.5% on amount exceeding 1,100,000

Local Rate cultivated land Rs 2 per acre

Usher Agriculture production - 10% on rain-fed - 20% on irrigated

Abyana Irrigated land Lift Irrigation:

- Rs 600/acre (cash crops) - Rs 500/acre (cereal crops)

Canal Irrigation:

- Rs 300/acre (cash crops) - Rs 250/acre (cereal crops)

The seed act of 1976 was amended in 201413, to facilitate and acknowledge to role of private

sector companies in developing improved seed varieties and genetic material in different

agricultural crops. Private seed companies are brought under formal racket of Federal Seed

Certification and Registration Department, and the cumbersome processes are delineated for

seed producing/multiplying companies. The check and balance system is also strengthened

in the said amendment i.e. Provincial Agriculture Extension is given the power to check the

quality of seed inputs along with fertilizer and pesticides; the amended bill also enhances

12 Provincial Finance Bill, 2017-18, District Revenue Department, Charsadda 13 Seed Amendment Act 2014, Enacted in 2015



penalties for effective deterrence against sale of sub-standard seed/propagative material in

the market.

Though Seed Act is supposed to have positive impact on seed/propagative material sector,

however certain level of confusion was emerged with the stance of provincial governments

that seed registration should also become provincial subject. However, the idea was

regressively opposed within the private sector (as per consultation with FSC&RD the issue is

largely resolved to its original proposition).

Value Chain Governance/Integration

The value chain operators of strawberry are loosely integrated through informal relationships

and contacts. There is no farmer or trader association at either level in strawberry crop cycle,

some efforts by previous projects have been put in practice but vanished after project period.

Agribusiness Support Fund (ASF) formed 23 Farmer Enterprise Groups in 2014 among

strawberry farmers in Sarkee but the project span was curtailed pre-maturely due to funding

issues with no real progress in terms of integration and association building.

This lack of integration and association at either level of strawberry cycle creates conflict

among the stakeholders which negatively affect the sub-sector performance; functional

association at different level (runner production, strawberry production, and marketing) will

indeed helpful for conflict resolution.

Figure 8: Value Chain Integration in Strawberry

Such associations provide valid fora for exchanging information, transformation of

technologies and promote collective thinking among respective members. For instance, an

informal WhatsApp group in Punjab provides a useful interaction platform for strawberry

growers since 2016. Farmers are helping each other by posting their problems in crop

management, sharing new technologies, progress on seasonal variation, packaging and

market/price related information for the benefit of each other’s.



Figure 9: Some Examples of Farmer Group Interaction on WhatsApp in Punjab



Value Chain Map of Strawberry Crop (Charsadda)

Consumers

Production

Marketing

Input Supply

Retailing Procurement/purchase, Storage, Grading/sorting, Retail sale

Inter Market linkages Transportation Packing/Grading Weighing Export

Land Preparation Sowing/Plantation Fertilizer application Pesticides application Irrigation Weeding Picking and Packing Packing

Seeding Producers Agro-chemicals (Fert., Pesticides, etc.) Farmyard Manure Tools/Equipment’s

Agr

icu

ltu

re E

xten

sio

n/F

arm

Ser

vice

C

entr

e/W

ater

Man

agem

ent

Dep

artm

ent

AR

I Sw

at M

inis

try o

f A

griculture

, Liv

esto

ck a

nd F

isheries; R

evenue

Depart

me

nt

Seedling from Swat and Dir Runner Farmers

Pesticides/Agro-chemicals Shops

Tools and equipment

Strawberry market in

Sarkee

Retail Shops at urban centers

Farmers/farming community

Agr

o-C

hem

ical

s C

om

pan

ies

Peshawar market (Lahori

and Ghantaghar)

Islamabad/Lahore Markets Afghanistan

Cart Runners

Suzuki Cart



Economic Analysis – Strawberry Value Chain

Profitability Margins

Small and Medium Enterprise Development Authority (SMEDA - Sindh Chapter) provided

prefeasibility study on Strawberry cultivation in 201514, to understand economics of strawberry

cultivation and encourage decision making among potential strawberry farmers in Sindh

Province. The study estimated 65% IRR and 2 years as potential payback period for

strawberry cultivation (inclusive of capital fixed cost in the crop budget as well).

Though it provides useful ground for decision making on strawberry crop, however detailed

budget of strawberry crop was calculated with a key informant farmer of strawberry crop for

updating this decision making in the context of Charsadda production cluster. The rates are

based on the expense sheet of 2016-17 for generating costs and revenue for strawberry. The

budget helped to see expense heads in production, post-harvest and marketing stages

respectively.

Strawberry cultivation in Punjab was studied as benchmark and considered as model farming

for the crop, owing to technological advancement and improved farm efficiency. There are

different layers of strawberry cultivation practices in Punjab (tunnel farming, drip irrigation,

large corporate farms, and cultivation in controlled environment etc), however the crop budget

was adopted from a middle range farm which is more representative of strawberry cultivation

in Punjab to present comparative analysis in a more pragmatic manner. (A brief situational

analysis of strawberry cultivation in Punjab is presented in annexure III).

The budget demonstrates that strawberry crop in Charsadda returns a lucrative gross margin

of PKR 455,900 (52%) per acre of land and the rate of return on investment is 107%. The

profitability of strawberry in Charsadda is slightly higher than Punjab (47% gross margin),

owing to some cost heads charge differently in these production clusters (for instance market

is located 30-35 km away from production areas, marketing cost is higher in Punjab, runner

cost is different and sowing rate is higher in Punjab etc).

However, the comparative analysis did

point out lapses in farm efficiency of district

Charsadda, where farmers can enhance

profitability levels capitalizing on the

experiences of farming practices in Punjab.

For instance, convert to mulching can save

PKR 39,000 in terms of labor for hoeing

(adjusted with extra cost of mulching), and

saving another PKR 16,000 in terms of

nutrient application etc. The use of

mulching will bring extra premiums for

cleanliness and quality attributes in

marketing. A rare example of failed venture with a high end market was observed from

Charsadda was primarily due to cleanliness issue.

14 https://www.smeda.org/

Figure 10: Well Managed Mulched Strawberry Field in Punjab

https://www.smeda.org/



It is believed that in both provinces the optimum level of nutrient application is not being worked

out on scientific lines. The risk of nutrient adulteration could be mitigated with proper soil

testing and application of required dosages. Moreover, the use of drip irrigation not only helps

water use efficiency, but also increases the efficiency of nutrition application four-fold15.

Detailed budget is presented in Table 4 for analysis;

Table 4: Budget of Strawberry Crop in KPK (Sarkee) and Punjab (Sharaqpur)

The farm efficiency of strawberry production in Sarkee and Punjab has been highlighted in the

table 5 below, where Sarkee farmers could potentially increase their farm efficiency during

production cycle. Significant savings could be actualized through using mulching technique

which save labor, while nutrient application and use of pesticide also highlights an opening for

further research on optimum usage. The gross margins in Sarkee are higher than Punjab

primarily due to efficient post production and marketing cost. The market is much nearer in

Charsadda as compared to Sharaqpur where markets are located at a far flung distances.

15 http://ofwm.agripunjab.gov.pk/system/files/Strawberry.pdf

Unit Quantity/# Price Total (PKR) Quantity/# Price Total (PKR)

Total Sale Revenue Kg 11000 80 880,000 12,000 80 960,000

Less cost of production -

Land Preparation Tractor Hour 11 900 9,900 10 1,000 10,000

Labour -

Ridge Making Mandays 8 500 4,000 6 500 3,000

Transplantion Mandays 18 500 9,000 20 300 6,000

Hoeing Cycles Mandays 160 500 80,000 80 300 24,000

Irrigation Mandays 25 300 7,500 20 300 6,000

Watch and Ward Months 3 4000 12,000 3 5,000 15,000

Input Cost -

Seed Seedling 50,000 1.4 70,000 55,000 2 110,000

DAP Bag 4 3200 12,800 1 3,200 3,200

Urea Bag 6 1400 8,400 2 1,400 2,800

Ammonium Sulphate Bag - 3 2,000 6,000

SOP Bag - 2 5,000 10,000

Pesticides Lumpsum 1 44000 44,000 1 30,000 30,000

FYM Trolley 2 6000 12,000 1 5,000 5,000

Micronutrients Lumpsum 1 6000 6,000 1 10,000 10,000

Plastic for Mulching Lumpsum - 1 17,000 17,000

Land Lease 1 acre 0.5 50000 25,000 0.5 50,000 25,000

300,600 283,000

Post Production -

Packing material Kg 11,000 2.5 27,500 12,000 5 60,000

Picking/Packing Mandays 90 600 54,000 90 300 27,000

Transportation Kg 11,000 1 11,000 12,000 4 48,000

Commission - Market Rent Rs 11,000 1.00 11,000 960,000 0.07 67,200

103,500 202,200

Miscellaneous Lumpsum 1 20,000 20,000 1 20,000 20,000

424,100 505,200

Gross Margin (1 Acre) 455,900 454,800

Gross Margin (%) 52% 47%

Return on Investment (ROI) 107% 90%

KP - Sarkee (1 acre) Punjab - Sharaqpur (1 acre)

Sub Total - Production Cost

Sub Total - Post Production Cost

Total Cost (Production + Post Producton + Miscellaneous)

Parameters

http://ofwm.agripunjab.gov.pk/system/files/Strawberry.pdf



The analysis also bifurcates the gross margin differential of strawberry production in

Charsadda and Punjab; whereas the cost of post-production activities and marketing is quite

high in Punjab due to distant markets, packaging material and high commission rates. Thus

the gross margin is less than Charsadda despite the use of improved technologies and higher

production capacity.

The differences are shown in table 5 below;

Table 5: Comparing Farm Efficiency of Sarkee and Punjab (1 acre)

Cost Heads Sarkee Punjab Differential (with Charsadda)

Cost of Production

Labor Cost 112,500 54,000 58,500

Runner Cost 70,000 110,000 (40,000)

Nutrients Cost 39,200 37,000 2,200

Pesticides 44,000 30,000 14,000

34,700

Post Production (marketing) Cost

Picking/Packing 27,500 60,000 (32,500)

Packaging Material 27,500 60,000 (32,500)

Marketing Commission 11,000 67,200 (56,200)

Transportation 11,000 48,000 (37,000)

(158,200)

Price variation in strawberry marketing depicts an erratic trend within crop cycle each year. As

well as lack of experience among new converted farmers also induces production losses which

affect profitability margins significantly. Break even points (for both prices and quantities) are

drawn for these production clusters, to highlight minimum price range and production average

in order to subside fears and improve decision making on strawberry production.

The analysis of crop budgets for BEP highlights that the breakeven price against the current

production capacity is PKR 38.55 per kg in Sarkee and PKR 42.93 in Punjab, while break even

quantities are 5301 and 6440 kg respectively against the base price of PKR 80. This confirms

a promising picture of conversion to strawberry production inhibiting risk of financial losses

considerably.



Table 6: Breakeven Point Calculation for Strawberry in KPK and Punjab (1 acre)

Economic Parameters Charsadda (Sarkee)

Punjab (Sharaqpur)

Breakeven Price (Rs.)16 38.55 42.93

Breakeven Quantity (Kg)17 5,301 6,440

Gross Margin (%) 52% 47%

Return on Investment (ROI)18 - % 107% 90%

Distribution of Value Addition and Gross Margins

Strawberry value chain generate gross margins for value chain operators according to their

respective value addition through the process. The analysis shows that strawberry farmers

are fetching the most benefit out of strawberry crop cycle (52% GM), followed by retail function

(16% GM). The value addition throughout the cycle depicts the same pattern however the gap

between value addition is rather close as compared to gross margins. Strawberry is rather a

new crop, and farming communities are better positioned to reap significant benefits from the

cycle. Likewise, retailers are also benefited from the premium crop as price control structures

are rather weak in the marketing of fruits and vegetables. Detailed gross margins and value

addition of different value chain operators are mentioned below;

Table 7: Gross Margins and Value Additions in Strawberry Crop (per kg of strawberry turnover)

VC Actors Sale Price (PKR)

Input cost (PKR)

Other Cost (PKR)

Total Cost (PKR)

Gross Margin (PKR)

Value added (PKR)

Gross Margin (%)

Value Added (%)

Farmer 80.00 27.33 11.23 38.55 41.45 52.67 51.81 37.62

Wholesaler 95.00 80.00 4.00 84.00 11.00 15.00 11.58 10.71

Inter-market Trader

110.00 95.00 5.00 100.00 10.00 15.00 9.09 10.71

Retailer 140.00 110.00 8.00 118.00 22.00 30.00 15.71 21.43

Employment Generation

The extensive management practices in strawberry production create significant employment

opportunities for both skilled and unskilled laborers throughout the chain. Regular family labor

and permanent jobs in the trading cycle is difficult to capture for all levels of engagement,

however seasonal man-days have been calculated to emphasize the importance and

livelihood opportunities created during strawberry production cycle.

16 Breakeven Point (price) = Total Cost of Production (Rs)

Total Production (kg) 17 Breakeven Point (Quantity) = Total Cost of Production (Rs.)

Price (Rs/Kg) 18 Return on Investment (%) = Gross Margin Total cost of Production



It is estimated that strawberry production in Charsadda alone generated 149,800 man-days in

a single crop cycle, while the same production produces 99,750 labor days in trading cycle.

Runner production is another labor intensive operation; the entire runner production

(estimated 500 million runners in 2017) entails 96,720 man-days in production and extraction.

Some other specialized heads like transportation has not been accounted as the mode is not

uniform and difficult to separate share for strawberry crop.

The vulnerable groups (youth, women and disable groups) were part of the overall labor force

and contributed according to their capacity and outreach. For instance, youth were equally

utilized as part of routine crop management cycle, primarily during weeding, picking, packing,

loading and unloading activities, while the role of women was noticed at the runner extraction

stage (Upper Dir only), cleaning of runners before transplantation in district Charsadda and

significant labor force in Punjab. The market in Sarkee generate number of economic

opportunities in the marketing season of strawberry from February to May. Likewise, as

informed by the key informant, a disable person in Sarkee market provide weighing facility

during season.

Table 8: Calculation of Labor Intensity in Strawberry Cultivation

Type of Jobs Man-days (per acre)

Percent Share

Description

Runner Production

(Swat)

96,720 28

186 man-days per acre times 520 acres = 96,720 man-

days

Strawberry Production (Charsadda)

149,800 43 214 man-days per acre times

700 acres =149,800

Post Production and Marketing (Charsadda)

99,750 29

▪ Picking (90 man-days per acre times 700 acres) = 63,000

▪ Market (100 labor per day times 105 market days*) = 10,500

▪ Trading/transportation (250 labor per day times 105 market days)=26,250

Total 346,270 100

*market days refer to the functional working days of the market – market remain operational for 105 days

Shortage of labor is a growing concern at all levels of strawberry production, and considered

one of the important hindrance in future expansion of sub-sector. The feasibility of

mechanization and innovation need to be tested from different experiences to subside

pressure on growing labor needs and facilitate advancement in the introduction of strawberry

crop to new areas.

It is argued that the MEP targeted interventions in strawberry crop cycle will trigger additional

direct/in-direct employment opportunities in the target district. The expansion in crop area of

strawberry during the period 2000-2017 reach 700 acres with self-help initiatives. Informed



estimates and discussion with key informant highlights the growth rate as 122 acres in every

3-year cycle. Using the same basis of projected increase in strawberry area is 772 acres

without MEP support, however this increase is expected 2 fold by the end of project life.

Management and marketing of strawberry crop generate 840 employment opportunities on 1

acre of land (table 8), similarly the progressive enabling environment with MEP support

activities will trigger 2-fold increase in strawberry expansion in the coming 3 years’ cycle. Thus,

it is speculated that MEP support will generate additional 81,090 new direct/in-direct jobs in

different value chain functions. Major share of these jobs are created inside Charsadda (98%)

while the impact will be spilled over to runner production area for additional strawberry

expansion due to MEP support (7 more acres for runners’ production will be required for

planting 122 acres’ strawberry in Charsadda). As highlighted previously, this expansion will

certainly reach out project target groups of small holders, women entrepreneurs and disable

person as per their capacity and strengths.

Table 9: Projected New Job Opportunities with MEP Support

Description Unit Value

Labor Man-days generated from 1 acre of strawberry cultivation

Labor Man-days 665

Speculated increase in Strawberry area per 3 years cycle

Acres 122

Projected Increase in Strawberry area due to MEP interventions

Acres 122

Projected jobs created with MEP Interventions in upcoming 3-years period

Labor Man-days 81,090

(Production Function = 27,410)

(Post Prod./Marketing = 53,680)

Projected new jobs in Charsadda

Labor Man-days 79,788

Projected new Jobs outside Charsadda (Swat/Dir/Bajaur)

Labor Man-days 1,302 mostly in runners production

Inefficiencies and Distortions

There are certain inefficiencies and distortions recorded during analysis (primary and

secondary data) of strawberry value chain. These inefficiencies are noticed as lost production

capacity, pre/post-harvest losses, labor in-efficiency, fertilizer adulteration and lost premiums

of marketing with high end markets. These in-efficiencies are not easy to overcome, but do



provide scope of improvement with targeted interventions. These inefficiencies cost PKR 1.2

million in total on an acre of strawberry production.

The current production level of strawberry in Charsadda (11,000 kg/acre) is far below the

international market leaders of strawberry (USA is 21,545 kg, Spain 19,000 kg and Egypt

18,000 kg per acre of land19). The losses in yield potential implies that strawberry farmers in

Charsadda lost value of PKR 843,600 when comparing yield potential of Charsadda with USA.

Though the benchmark capacity is not easy to overcome in short run, however varietal

improvement and technological innovations can help to minimize this capacity difference with

concerted efforts.

The pre/post-harvest losses emanate during rainy season, crop losses to insect pests, and

using unskilled laborer during picking. The 20% harvest losses compromised economic value

of PKR 176,000 per acre of strawberry crop. Some nominal level of losses is obvious and

uncontrollable; however, it should not be exceeding certain acceptable limit.

Similarly comparing the use of technologies between Charsadda and Punjab highlighted the

labor inefficiency (108%) could be avoided with the use of plastic mulching in strawberry crop.

Difference in yield emanates from multiple factors; however, fertilizer application could be

optimized with proper soil mapping and management practices.

Likewise, dependency on single marketing channel also cost the lost premiums of dealing with

high end markets. Interaction with METRO Lahore confirms that they offer at least PKR 10

premium on per kg of Strawberry to contracted farmers. Taking this into account revealed that

farmers are losing 13% extra value (equivalent PKR 110,000) of this lost opportunity.

Similarly, the fertilizer expense of Charsadda is higher (24%) than Punjab on the same piece

of land with resultant decreased production (see budget in table 4). The reason might be agro-

climatic conditions, however proper fertility mapping would certainly educate on nutrient

requirement and efficient dosage of fertilizer application.

The analysis presents an exaggerated outlook of inefficiencies and distortions during

strawberry cultivation, however this provide insights for development planners to highlight

scope of improvement and ways to optimize farm efficiency and benchmarking for growth.

The inefficiencies are listed in the table below;

Table 10: Inefficiencies and Distortions in Strawberry Production Cycle (1 acre)


Percent Losses/Gap

Lost Value (PKR/Acre)

Benchmark20

Potential Yield Loss 95% 843,600 Comparison with Global production level (kg)

19 Ibid pg. 9 20 The benchmark of global yield potential is drawn from FAOSTAT, while the remaining parameters are calculated from field

survey results



Pre/post-harvest Losses

20% 176,000 inefficient and unskilled labor, traditional packaging

Market premiums 13% 110,000 METRO rates are higher than traditional market rates

Labor Inefficiency 108% 58,500 Lack of Technologies like mulching increase labor charges

Fertilizer Adulteration

24% 16,200 Expense on fertilizer is higher in KPK without using fertility mapping

Total PKR 1,204,300

SWOT Analysis – Strawberry

The analysis of information from primary and secondary analysis is structured in a SWOT

analysis, to summarize all important aspects of analysis and to highlight inherent potential in

the strawberry sub-sector.

Table 11: SWOT Analysis of Strawberry Crop

Strength Weaknesses

- Short seasoned crop and consumer appetite is well established;

- Range of farm size is flexible; crop is profitable on even small piece of land;

- Profitability margins and rate of returns are high as compared to other crops;

- Extended adaptability in different agro-ecological zones

- Highly perishable crop and least shelf life; - Rate of investment is high and intensive

management practices; - Crop is characteristic of pesticides

adulteration and health conscious consumers are reluctant towards it;

- Strawberry is yet considered an un-conventional crop and lack recognition despite its economic importance

Opportunities Threats

- Market opportunities are increasing with high end super markets;

- Crop efficiency can be increased with optimum usage of agro-inputs and soil mapping;

- Scope of technology transformation is wider and seasonal variation promised profound returns;

- Increased mechanization has much broader scope in production cycle;

- New areas can be put under cultivation;

- Extensive use of agro-chemicals leads to resistance of Pest infestation;

- Single varietal source of propagative material and high risk of losing productivity or crop failure;

- Weak institutional checks on sub-standard crop inputs;

- Extensive economic losses in rainy season



- The institution of FSC has potential entity for quality inputs provision on competitive prices



Road Map – Value Chain Development in Strawberry

Runner Stage

➢ Varietal introduction (quality, seasonal adaptability, production capacity, shelf life,

averting risk of crop failure) – genetic material

➢ Technology for runner extraction and mechanical calculation of runner (as Labor is

expensive and malpractices fetch bad name for runner farmers)

Production Stage

➢ Optimum management calendar in the form of a crop manual (pictorial) for easy to use

and best management practices

➢ Integrated control of mites (bio-pesticides), seasonal variation, (plasticulture) – trials;

➢ Cost-benefit analysis of seasonal variation to adjust and provide different/best feasible

timings for strawberry cycle;

▪ Early transplanting has high mortality rate, need re-transplantation and more input

intensive; on the other side it fetches early produce and possibly getting higher

prices

▪ Adoptability in different control environment (shade effect) may help in seasonal

variation

➢ Activities like mulching and high tunnels could be test for efficiency and improved

results; mulching is must for ensuring crop quality at picking stage while tunnel is

required for saving crop from extreme frost and total damage during rainy season

(preventive measure)

➢ Soil mapping for gauging soil fertility levels and advice on the optimum use of fertilizers

and micro-nutrients (union council level mapping of soil fertility)

➢ Composting and Fermenter system as improving efficiency of FYM (FYM is not

preferred manure to be used in strawberry cultivation, provide medium for micro-

organism growth however scientific treatment of fresh FYM (mulching and urea

application) may have better efficacy and promote sustainable agriculture practices;

➢ Strengthening capacity building and developing pool of master trainer (consultation

and advice) for standardizing cultural practices and state of art technologies;

➢ Farmer field school and farmer business schools could be replicated in the project area

for better organization and technology transfer

➢ Exchange visits for progressive farmers to model farming sites in Punjab, to facilitate

learning and technology transfer.

Marketing

➢ Feasibility and business plan to functionalize Pack House; packaging and processing

might be options for further detail analysis;

➢ Exploration of new market venues for packed and graded strawberry in Peshawar

(AVON, Hyper Mall, etc.) and Islamabad

➢ Rich institutional base of MEP (Helvetas Intercooperation) on improved marketing,

MIS, and improved packaging could potentially be piloted in the target location;

➢ Strengthening market association will have better results for market integration and

transparency.



Figure 11: Improved Technologies in Punjab: Consumer Packaging; Tunnel + Drip Irrigation; Strawberry Runners in Peat moss Trays

Value Chain Governance/Transparency

➢ Integration and association building is critically required for conflict resolution and

setting smooth terms of trade, in all level of strawberry production cycle. Successful

models from previous development projects of Helvetas Intercooperation could be

replicated in the project location

CHAPTER 5 – TOMATO


TOMATO VALUE CHAIN

Overview of Tomato Sub-Sector

Tomato is one of the major vegetable crop in Pakistan, grown extensively in all four provinces

to fulfill the growing nationwide demand across the country. Tomato is an important culinary

item for daily use among all societies in the country, as well as tomato products like ketchup,

paste, slurry and toping has been increased considerably with the fast food industry.

Tomato is grown on an area of 60,671 hectares of land, producing an annual production of

566,043 tonnes throughout the year in the country21. Sindh is the major producer of tomato in

Pakistan, followed by KPK, Baluchistan and Punjab, however the production capacity in

Punjab (12.78 tonnes/ha) is the highest among all production areas. KPK and Baluchistan

produces in both Rabi and Kharif season, while Sindh and Punjab has production in Rabi

season only.

Figure 12: Provincial Tomato Shares and Their Respective Production Potential

Tomato has overlapping season and is stretched throughout the year. Below is the seasonal

spread of tomato across the country, included injection from neighboring countries to subside

national demand22.

21 Statistical Year Book, 2014-15, Pakistan Bureau of Statistics 22 Rapid Market Appraisal, Agriculture & Marketing Consultants’ Services (AMCONS), Livelihood Programme Hindukush (LPH), FATA Region, 2014

12% 22

% 45%

21%17

%

23%

36%

25%

0%

20%

40%

60%

80%

100%

Punjab KPK Sindh Balochistan

Tomato Shares in Pakistan (%)

Production Area 0.00 5.00 10.00 15.00

Punjab

KPK

Sindh

Balochistan

Pakistan

12.78

9.63

7.41

11.13

9.33

Production Potential (Tonnes/Ha)



Table 12: Supply Patterns of Tomato in Pakistan

Similarly, tomato is grown widely in 16 out of 24 districts in Khyber Pakhtunkhwa, mainly in

Peshawar valley, Malakand and Hazara Division, and grown in the fertile belt of Southern

Districts as well. Tomato production is

leading (23%) among all vegetable produced

in the province, both in terms of area and

production23.

Charsadda is 3rd largest district in the

province in terms of area and production of

tomato. It has grown on an area of 11,051

hectares in 2015-16 growing season; 70%

grown in Kharif planting season while

remaining 30% in Rabi. It has range of

multiple growing seasons and come under

diverse cropping pattern. Vegetable boom in early 2000 bring technological improvements in

tomato crop with high yielding varieties, vertical farming, and tunnel technology (seasonal

variation); tomato growing is transformed on vertical farming in Tehsil Charsadda and Tangi.

Figure 14: Area and Production of Major Vegetable in KPK

Despite this huge production capacity, Pakistan is not self-sufficient in tomato production.

Limited supply from national production during the period of September to November creates

market niches for imports from India, Afghanistan and Iran. Moreover, tomato prices also

skyrocketed in these months (surpass Rs. 200 per kg during October 2017), stretching the

purchasing power of middle income group. This provide prospect to increase production area

or production capacity of those pockets where tomato is grown during late summer and early

autumn production reaches.

23 Crop Statistics of Khyber Pakhtunkhwa, 2015-16, Crop Reporting Service, Ministry of Agriculture

Production Areas January February March April May June July August September October November December

Afghanistan

India (Season 1)

India (Season 2)

Swat/Dir

Peshawar/Mardan/Mansehra

Tangi/Dargai

Sindh

Punjab

Baluchistan/S Waziristan

Swat5060, (46%)

Charsadda848, (8%)

KPK Tomato Area (Ha)

Swat, 52,285 (46%)

Charsadda7,730 (7%)

Tomato Production (tonnes)

Turnip, 21%

Tomato, 23%

Others, 20%

Turnip

Carrot

Spinach

Tomato

CauliFlower

Figure 13: Vegetable Production in KPK (2015-16)



Value Chain Functions

Input Supply;

The input supply function caters with the provision of seeds, pesticides, fertilizers, implements,

packaging material, and specialized inputs for vertical gardening (like nets and wires). Tomato

is completely converted to hybrid technology with increasing influence of private sector.

Though there are numerous private companies providing hybrid seeds, however the seed of

few companies are more popular among farming communities. Syngenta introduced a specific

variety for vertical gardening (“Sahel”), which was famous to date for its significant production

capacity. The firm organized number of field trips to their research farm in Akora Khattak, to

capacitate farmers on technology transfer. Other varieties like “Super Red” (Akora Seed),

“Anna” (Seminis) and “Four Seasons” (WealAg-Welcon) also have a leading market share in

vertical gardening. Similarly, Syngenta- 1359 and 1057, Mehran, Red Hero and Four Seasons

are the leading varieties of autumn crop. Four Seasons variety is becoming more popular due

production capacity, disease tolerant, solid skin (high shelf life) and wider adaptability in

different agro-ecological zones. All hybrid seeds are imported from different countries as

regulatory authorities hadn’t insist with private sector on transfer of hybrid technology in

Pakistan.

Hybrid seed is expansive and quantity in grams cost thousands of rupees (Sahel = Rs

2800/1000 seeds; Anna = Rs 5500/3000 seeds; Super Red = Rs 2000/1800 seeds; Four

Seasons = Rs 1800/3000 seeds). Price fluctuation of tomato crop as well as high cost of hybrid

seed compelled farmers to think about investment on reliable seeds and other inputs. The

culture of extracting seeds from hybrid tomato is becoming more common during last 4-5 years

(“Glassy”) and traders used to sell it on Rs. 1500/100 gm of seeds (ten time cheaper than

registered hybrid varieties). The production capacity and germination rate of company

provided hybrid is not being realized by farmers and they couldn’t notice the difference in

germination and lost production potential.

Production/Post-harvest Handing:

The production function rest with farmers’/farming communities, encircling tasks like land

preparation, sowing, management practices, irrigation, post-harvest handing and marketing of

tomato crop.

District Charsadda has 3 different cultivating patterns for tomato crop. Rabi crop (Spring-

Summer) is more prominent in Tehsil Charsadda and Shabqadar, while Kharif crop (Autumn-

Winter) in grown exclusively in the frost free zones of Tehsil Tangi. Spring crop is more

dominant while frost free belt of Tehsil Tangi is known for its tomato crop in autumn.

Autumn Crop has been started 30 years ago; adopted from Swat/Dargai and practiced mainly

on the strips stretched along Mohmand Agency toward Malakand. The area is Rain-fed (only

20% come under canal irrigation) with mountainous terrain, however the attraction of frost free

zone and overwhelming returns of tomato crop compel farmers to invest on land leveling, and

tube-well irrigation. Two small dams have been built on surface run-off, one such structure is

irrigating catchment area while the other one is non-functional because of farmers’ conflict.

Land holdings are small in this belt with majority of owners have land rights of 2 acres (50%),

5-7 acres group constitute 25% growers while large owners are cultivating 15 acres of land



(25%). Crop Reporting Service (CRS) reported tomato area in Rabi planting season as 92

hectares only, however field research confirm the area is much higher and reaching the mark

of 1000 acres in this belt. Nursery is raised in the

month of late August - September, transplanted in

October, picking starts in the first half of November

and production continues till end of December

(January production come from field based ripening

heaps of tomato). Cold waves didn’t allow tomato

maturity after mid-November and farmers tend to

store tomato at field level ripening heaps and

marketing onwards; this farm level storage is

adopted from Swat some 6-7 years ago. Onion,

wheat, and sugarcane are other important crops of

this belt. Some low lying areas have mild frost in this

region, which compel farmers to uproot tomato plants in towards the end of November (one

month picking) and prepare land for wheat cultivation. Disease outbreak is not common in

autumn tomato because of unfavorable weather conditions, and solid skin tomato which has

a much longer shelf life. Farmers do apply pesticides for some minor issues like cutworms,

root rot, stem rot and damping-off in initial stages etc.

Price hike of fuel and extensive load-shedding were not favoring tomato expansion in the

target area; installation of solar tube-wells is gaining popularity in the target area, though the

cost of installation is high (PKR 600,000 for 2 inches’ water pumping).

Table 13: Seasonal Calendar of Autumn Tomato Production

Vertical Tomato Production was introduced by a progressive farmer in Sardheri (2007-08),

the same was replicated in Harichand in 2011-12. accurate cropped area is not known,

however approximation of key informants suggest that vertical tomato might be in the range

of 1000-1200 acres in Charsadda (Harichand, Sarkee, Mandani, Gulabad are main Union

Councils in Tehsil Tangi). The technology is intensive and farmer can hardly manage a crop

of 1-3 acres of vertical tomato; skilled laborer preferred to lease land for tomato farming rather

than sharecropping while majority of this culture is practiced by owner cum tenant (50%). The

nursery is raised in the first week of January; it takes 25 days in nursery for further

transplantation; but this activity is delayed due to closure of canal system; canal system is

closed for 40 days officially for cleaning but this opening is delayed every year further due to

administrative issues; it was open on 20th February last year while 2016 was worse year when

canals were re-opened on 27th March after farmer demonstrations.

Wk1 Wk2 Wk3 Wk4 Wk1 Wk2 Wk3 Wk4 Wk1 Wk2 Wk3 Wk4 Wk1 Wk2 Wk3 Wk4 Wk1 Wk2 Wk3 Wk4 Wk1 Wk2 Wk3 Wk4

Land Preparation

Nursery Raising

Tranplanation

Hoeing Cycles

Irrigation



Fruiting

Picking Cycles

Marketing (Ripening heaps)(Fresh)

October November DecemberAugust September January

Autumn Crop of Tomato in Charsadda

Activities

Figure 15: Field Based Ripening Heaps of Tomato



This delay in opening canal system has negatively affected vegetable farmers at large and

resulting in demonstrations and road blockages. Farmer tend to use their own techniques for

preserving moisture content (plasticulture – till 1st week of March), used tube well irrigation

and/or manual but hectic application of water through pots. Tomato is a water intensive crop

and it require 12 irrigation cycles in entire cropping season. Extreme cold/frost is not good for

this crop; a virus attack is more prevalent during cold season. ASF introduced high tunnel

technology to provide controlled environment in year 2014 but the intervention was not

successful due to lack of management capacity and technical knowledge. Leaf miner,

fruit/white fly, aphids, nematodes and cutworms are more common insects while blight, stem

rot, root rot, black shake and downy mildew are common diseases of tomato in summer.

Mulching was practiced last year by few farmers but couldn’t give desired results (land was

not leveled properly). Fruiting starts from mid-April and continue till end of August; produced

need to be picked on every 3rd day in peak production season. On average, 60 pickings are

possible from tomato crop in vertical production technology.

Export companies do pilot high value cherry tomatoes last year, however the result was not

positive (production and adaptability issues). The export is more emphasized on bitter gourd,

long gourd, peas, brinjal, cucumber, fresh beans and carrot, while tomato is not a preferred

crop, not only because of perishability but also not complying with the consumer preference

of Middle East (prefer round tomatoes). The export option is more profitable for farming

community (no commission, no packing cost, extra premium of 10-20 Rs per kg).

Export of fruits and vegetable has been record low during last 5 years due to higher

competition in the export market; export volume has been shrinking (13%) from 67,864 million

rupees in 2014-15 to 59,241 million rupees in two years period24.

Production capacity is not actualized largely due to non-compliance of technical

recommendations; Syngenta claim 75,000 kg production capacity for Sahel variety per acre

of land while farmers hardly reap 45,000-50,000 kg of tomato per acre.

Farmers tend to use open field for nursery raising where mortality is higher (30%) and

subjected to soil borne pathogens and weeds which affect the vigor of transplants and

affecting production capacity.

Table 14: Seasonal Calendar of Vertical Tomato Production

24 (http://www.pbs.gov.pk/sites/default/files//tables/14.2.pdf)

Wk1 Wk2 Wk3 Wk4 Wk1 Wk2 Wk3 Wk4 Wk1 Wk2 Wk3 Wk4 Wk1 Wk2 Wk3 Wk4 Wk1 Wk2 Wk3 Wk4 Wk1 Wk2 Wk3 Wk4 Wk1 Wk2 Wk3 Wk4 Wk1 Wk2 Wk3 Wk4

Land Preparation

Nursery

Tranplanation

installation of Nets

Hoeing Cycles

Irrigation



Picking Cycles

Marketing

(Decreasing Prod.)(Peak Production Period)

JulyJune

Vertical Gardening of tomato in Charsadda

AugustJanuary FebruaryActivities March April May

(Limited Prod.)

http://www.pbs.gov.pk/sites/default/files/tables/14.2.pdf



Surface Tomato Production: Tehsil Shabqadar is considered the most remote and least

development in terms of development indicators. The society is conservative and engaged in

traditional clutches. Though farming is the main livelihood pattern, however the level of

decision making is still conservative about traditional crops. Wheat, maize and sugarcane are

the mainstream crops, while new technological innovations about high value vegetable are

still missing. Vegetable farming is limited to certain pockets in peri-urban areas of Shabqadar

municipality. Exact estimates are not available; however, it is believed that more than 2000

acres of land is under different seasonal vegetables (tomato, turnip, carrot, radish, cucumber,

brinjal, spinach and cauliflower etc.). The share of tomato was higher few years back (35-40%)

but it received major setback in recent years due to dwindling market prices and lower

profitability margins. Surface tomato is practiced in summer/spring season where nursery is

raised between last week of December and middle of January, while transplanting is made

between middle of February until March in these localities. Picking starts in mid-March and

continue till end of May and early June in some cases. The produce is linked with local

vegetable market in Shabqadar in plastic shoppers or marketed on roadsides.

Table 15: Seasonal Calendar of Surface Tomato

Marketing

The marketing function entails the trading, grading/re-packing, auctioning, and transportation.

Marketing venues vary as per cropping pattern and production technology. Tangi and Dargai

vegetable markets are specialized in tomato autumn crop; farmers are evenly distributed

between these 2 markets depending on proximity and established linkages with market

functionaries. Tomato from vertical gardening is traded in Harichand, Swat and Timergara

markets. Tomato production from Shabqadar is traded in Shabqadar and Peshawar vegetable

markets.

Harichand Vegetable Market was established in 1996 by traders. Market was shifted to its

current location (improved infrastructure) in 2015 which is being leased by commission agents

themselves. Mid December to mid-February is considered slack period for the market while

the transaction reached to its peak in March-August season when 500-600 tonnes of

fruits/vegetables are exchanged daily in peak operating season. The market is specialized in

bitter gourd, cucumber, tomato, peas, potato, garlic, water melon and honey dew melon.

Auction started in the afternoon (3 pm) and continues until 7 pm in the evening.

Tomato marketing started in late April and continues through early August. 400-500 tonnes of

tomato are traded daily in the market. Tomato is outgoing to markets in all along Pakistan,

Wk1 Wk2 Wk3 Wk4 Wk1 Wk2 Wk3 Wk4 Wk1 Wk2 Wk3 Wk4 Wk1 Wk2 Wk3 Wk4 Wk1 Wk2 Wk3 Wk4

Land Preparation

Nursery

Tranplanation

installation of Nets

Hoeing Cycles

Irrigation



Picking Cycles

Marketing

(Start) (Peak Production) (Decreasing)

May

Surface Tomato Productin in Shabqadar, Charsadda

Activities January February March April



while farmers in Harichand, Skhakot, Shergarh, Sarkee, Shakoor, Behram Dheri are linked

with this market.

Commission is charged at the rate of 7.5% from farmers, while Rs 10 per crate is deducted

from buyers. Most of the farmers are picking tomato crop themselves and brought it to market

while an exceptional category also sell crop in flowering stage (hardly 5-6%).

Main market venues for vertical tomato are channeled to Harichand, Mardan, Peshawar,

Timergara, Mingora and Chitral; the share of Timergara/Mingora is high as compared to other

markets (50%);

Wooden crates of 8 kg, plaster crates of 15-25 kg, and shoppers of 8-12 kg are more common

for tomato crop in Harichand Market; though post-harvest losses are high in plastic shoppers

(more than 20%) and is not preferable for distant travelling.

Tomato prices were not good in 2017; average price was Rs 16 per kg while maximum price

was Rs 35 per kg with lowest recorded was Rs 5-8 per kg in peak production days. Focus

group discussion with tomato farmers rectify that last 3 production years were contracting

financial losses for tomato growers.

Tangi Vegetable Market was established 30 years ago, and offering loading/un-loading,

auction, transportation, and re-packing services to farmers. Onion (May-June) and tomato

(November-February) are the main crops of Tangi market, while peas and cucumber are also

traded in the market. Tomato is mostly coming from Prang Ghar area, and Tangi Tehsil

(tomato belt). The market is inter-linked with Bannu, Kohat, Nowshera, Peshawar, Swabi,

Swat, Batkhela, Abbottabad, Mansehra, Islamabad and Lahore. More than 500,000 kg of

tomato is traded daily in peak operating season. 4-5 different grades of tomato auctioned daily,

depending on quality of crops and area.

Figure 16: Tomato in Tangi Market Offered for Auction

Used Ghee Canister (carrying 8-12 kg tomato) is the usual packaging material used in autumn

crops. The cheap price and re-usability for three years are the main reasons of using of ghee



canisters. The produce is repacked in wooden and plastic crates to inter-market trading; re-

packing cost Rs 15 per 25 kg of crate. Plastic crate of 27-28 kg used for long distance travel

(Abbottabad, Mansehra, Bannu).

Commission agents deduct 6.5% commission (negotiable) from farmers while Rs 10 per crate

from buyers; 80% farmers secured credit from commission agents for crop inputs. Large

commission agents deal with 120-150 farmers while small agents do business with 8-10

farmers mostly

Union of commission agent is present in the market but it failed to comply it main

responsibilities i.e. agreement on uniform commission rate, conflict resolution among market

functionaries and farmers.

October rate of tomato was significantly high this year (reach-up 155 per kg), while it stays

between 60-100 Rs per kg throughout November and early December. It is believed that trade

embargo with India has positively impacted tomato trade this year (ban was imposed in

September 2017 without any prior indication, though the policy was said to be supporting local

farmers, however strained political relations with India is the prime cause25. Pakistan imported

190,451 MT of tomato from India in 2014-15 fiscal year26.

Value Chain Operators

Input Suppliers

There are 19 pesticide/seed providers and 11 fertilizer dealers in the premises of tomato belt

(Harichand, Mandani, Dhakki, AmirAbad). Tangi market has 12 main pesticides/seeds

dealers, while 6 are dealing with fertilizers while there are 15 main dealers of pesticides, seeds

and fertilizers in Shabqadar bazaar.

Vegetable boom at the beginning of 21st century encouraged the rapid expansion of agro-

chemical shops in district Charsadda. These shops are found in every small town and rural

hubs of district Charsadda for the facilitation of farmers. These dealers provide pesticides,

fertilizers (plus micro-nutrients), farm implements, and material like plastic and vegetable

nets/wires for vertical gardening. The private sector is flourishing in agriculture sector; there

are more than 120+ firms doing business in the province by providing range of agro-chemicals.

However, quality remains an issue of these provided inputs owing to the weak regulatory

check of state institutions.

Production/Post-harvest management

The exact number of farmers engaged in tomato production is not ascertained, however

estimation combined with information provided by key informant confirmed that approximately

700 farming families are cultivating vertical tomato, 450-550 families are growing autumn

tomato while 150 plus families are producing surface tomato in district Charsadda. There was

a growing tendency towards tomato production owing to huge production potential and

rewarding tomato prices few years back. However, the trend is static or decreasing in recent

25 https://tribune.com.pk/story/1516169/not-importing-tomatoes-india-good-decision/ 26 Ibid Pg. 34

https://tribune.com.pk/story/1516169/not-importing-tomatoes-india-good-decision/



years, largely because of price inconsistencies in local markets and higher margins in other

high value vegetables.

Tomato is one of the regular crop in vegetable market, being supplied throughout the year to

markets in Pakistan, supply patterns are spread to different agro-ecological zones of the

country; however, the period between September and November are considered more

rewarding for tomato growers owing to reduced supply from local production and dependency

on imports from Afghanistan, Iran and India.

Historical published data confirms that yields are tomato yields are low in KPK as compared

to other provinces. The same has been noted from the yield differential of seed companies

claims and actual yields recorded at field level. The recorded yields are least for Farmers are

not realizing the potential yields Syngenta is claiming more than 70,000 kg per acre for Sahel

variety while farmers are barely getting 40,000 kg from an acre. Wheal-Ag is claiming 15,000

– 17,000 kg per acre for its “Four Seasons” variety whereas farmers are hardly getting 10,000

kg from an acre of land.

Marketing

There are 12 functional commission agents in Harichand Market while inter-market traders,

wholesalers and seasonal labor (loading/un-loading/packing) collectively provide

opportunities for more than 250 persons on daily basis. Tangi market has 35 main commission

agents on regular basis, 55-60 wholesalers, 50+ inter-market traders and more than 300 daily

wage laborers are permanently available in the market. The retail function is not easy to

quantify, as the number of vegetable retailers (shops, wooden carts, mechanized carts and

road side vendors) grow manifolds during last 7-8 years’ period. On average, 10-12 vegetable

retailers are functional in every small town and rural centers. The number reached hundreds

to thousands in small to large cities.

There are 12-15 export companies are linked with Harichand market; exporting vegetables

(bitter gourd, cucumber, peas) to Middle East Markets. Pakistan started sea shipment of

vegetables (tomato, brinjal, cucumber, carrot, okra, long melon) to UAE for the first time in

February 2017 which will considerably reduce transportation cost (from Rs 80 per kg to Rs 5

per kg).

Enabling Environment

The enabling environment remains the same as was presented in strawberry value chain.

Both strawberry and tomato are receiving the same treatment from private sector and

government institutions. The facilitation role is largely

Value Chain Facilitators

The service provision within the tomato value chain has gaps notably in terms of technical

assistance on improved practices, farm mechanization, soil mapping and judicious use of

agro-chemicals. Farm service centers and agriculture extension department has grass root

presence in tomato production clusters, however the potential is not yet capitalized due to

weak institutional and practical arrangements. Technical advisory services rest with the input

dealers of private sector, who are facilitating this service gap with their limited knowledge and



understanding. The gaps identified in the service delivery could possibly be addressed with

the strengthening of respective farm service centers by imparting specialized capacity and

increasing the access of farming community towards these institutional establishments

through proper advocacy campaigns.

Dedicated extension material is not available for either

vegetable and fruit crop from credible institution in district

Charsadda, some barely available extension leaflets and

brochures are available through private companies but

merely promoting their own products. The banking

network is well established in district Charsadda, majority

of these banks offer agriculture loans but farmers are

reluctant to reach these formal networks and/or lacking

capacity to avail such facilities. They prefer the expansive

credit facility with market functionaries or input dealers,

which are rather easy to materialize but with increased

(inherent) interest rate or service charges.

Here is an example of such display by a private firm portraying the use of chemicals for

different insect pest issues, not hinting any easy to use measure from integrated management

techniques.


Likewise, the role of Value Chain Regulators is largely constrained with weaknesses inherited

in the check and balance framework, despite the fact that progress on legal frameworks (Seed

Act, Pesticide Act, Fertilizer Act, Agriculture Policy) to provide institutional cover is very well

defined. Strict monitoring of the seed market by FSCRD and AED is an important area which

can safeguard interest of farmers.

Horticulture sector in Khyber Pakhtunkhwa has been rapidly evolving on commercial lines in

the recent past and attracted large investments from private sector. However, institutional

check and balance on the quality of inputs (seeds, pesticides and fertilizers etc) is rather weak

and adulteration of chemicals not only affects the productivity of crops, the adverse impact on

environment is also eminent. Strong advocacy and control measures are required to check

the “Glassy” hybrid seed of tomato, the risk of crop failure is increased manifolds with this sub-

standard culture. Tomato produced in KPK has an important contribution in national supply

lines, any inconsistency will induce significant shortages in the production channel and

subsequently disturb the consumption pattern.

Value chain based interest groups can help advocate policy reforms and stringent measures

on quality of imported inputs and safe use of agro-chemicals among the farming communities.

Agriculture research should embark on action oriented research and outreach facilities should

be tailored for a smooth transformation of latest, state of art technologies to improve

production and increase efficiency of farm outputs.

Value Chain Integration/Governance

Lack of association and weak integration is the characteristic feature of tomato value chain in

district Charsadda. Both horizontal and vertical integrations are loose network bonds, merely

Figure 17: Private Company Banner of Pest Management



on the basis of temporary contacts. The only formal associations are identified in markets of

Tangi and Harichand, however these associations are largely dysfunctional due to lack of

interest and failure to uphold it desired functions of fixing commission rates and resolving

conflicts among traders and farmers.

Figure 18: Value Chain Integration in Tomato Crop

The figure above depicts integration among the chain operators however these are mostly

informal relationships. The chain as a whole is highly fragmented and lack functional

integration. Intra-functional integration can be improved by formation and strengthening of

interest groups. Interest groups may include nursery growers’ association, producers’

association and marketing agents’ association. There is need to develop a strategic framework

for the association and their capacity building to work towards a common objective.



Tomato Value Chain Map (Charsadda)

Consumers

Production

Wholesale Marketing

Input Supply

Retailing Procurement/purchase, Storage, Grading/sorting, Retail sale

Grading/Sorting Re-Packaging Transportation Credit

Land Preparation Sowing Fertilizer application Pesticides application Irrigation Weeding Harvesting/Post-harvesting Management Packing Seed

Agro-chemicals (Fert, Pesticides, etc.) Farmyard Manure Tools/Equipments Credit

Agr

icu

ltu

re E

xten

sio

n/F

arm

Ser

vice

Cen

tre/

Wat

er

Man

agem

en

t D

ep

artm

ent

FSC

RD

/Agr

icu

ltu

re R

ese

arch

Inst

itu

te s

Min

istr

y o

f A

gric

ult

ure

, Liv

esto

ck a

nd

Fis

her

ies,

Rev

enu

e D

epar

tmen

t

Input Providers: - Seeds - Agro-Chemicals

Tools/ Equipment Manufacturer

Retail Shops/Cart Runners

Tomato Growers

(Vertical)

Pri

vate

Sec

tor

(See

d/P

esti

cid

e C

om

pan

ies)

Vegetable Market in

Tangi/Dargai

Vegetable Wholesale

markets in

Harichand/Mingora

Tomato Growers

(Autumn)



Economic Analysis – Tomato Value Chain

Profitability Analysis

The crop budgets have been prepared and analyzed for all three cropping patterns of tomato

in Charsadda. The intent was to identify different cost heads in tomato production, analyzing

its efficiency and provide cross comparative of different cropping patterns for gross margins

and risk associated with price fluctuations.

The budgets were drawn during focus group discussions and representative of general trend

production in these different farming clusters. The prices are adopted from the production

cycle of 2016-17 for ease of reference. Detailed crop budgets of tomato production are

presented below;

Table 16: Tomato Budgets in Autumn, Vertical and Surface Tomato (Charsadda – 1 acre)

Analysis revealed that winter crop performs the best among all cropping patterns of tomato in

district Charsadda, it offers high gross margin (67%) and minimize the risk associated with

least production capital required for tomato production. The vertical gardening though involves

handsome investment rate, intensive labor engagement and higher opportunity cost, offered

risky gross margin (24%) for tomato growers in 2017. Though the price range used for margin

calculation has been accounted on an upper bound of average price; high rate of fluctuation

and lower bound of average seasonal price contract losses for tomato farmers as was reported

during last 3 years. Likewise, the performance of surface tomato is not outstanding during last

Quantity/# Price Total (PKR) Quantity/# Price (avg) Total (PKR) Quantity/# Price Total (PKR)

Total Sale Revenue Kg 10,000 68 680,000 40,000 25 1,000,000 11,000 18 198,000

Less cost of production - - - - - -

Land Preparation Tractor Hour 8 900 7,200 6 900 5,400 4 900 3,600

Field preparation (ridge making)Mandays 8 500 4,000 8 500 4,000 6 500 3,000

Nursery Development Mandays 2 500 1,000 2 500 1,000 2 500 1,000

Seed Gram 76 180 13,680 2 12,000 24,000 70 180 12,600

Transplanting Mandays 12 500 6,000 12 300 3,600 6 500 3,000

Irrigation Cycle 20 408 8,157 24 350 8,400 12 300 3,600

DAP Bag 2 3,200 6,400 4 3,200 12,800 2 3,200 6,400

Urea Bag 2 1,400 2,800 2 1,400 2,800 2 1,400 2,800

Nitro Phas (NP)/NPK Bag 2 2,600 5,200 6 3,300 19,800 2 2,600 5,200

SOP Bag - - 2 5,000 10,000 - -

Micronutrients Lumpsum 1 12,000 12,000 2 3,000 6,000 1 4,000 4,000

Pesticides Lumpsum 1 16,000 16,000 1 100,000 100,000 1 12,000 12,000

FYM Trolley 1 14,000 14,000 1 14,000 14,000 1 14,000 14,000

Net/Wire/Wooden Slabs Lumpsum - - 1 52,000 52,000 - -

Management practices Mandays 20 500 10,000 34 500 17,000 20 500 10,000

Land Lease 1 acre 1 20,000 20,000 1 60,000 60,000 1 25,000 25,000

126,437 340,800 106,200

Harvesting Mandays 50 500 25,000 360 500 180,000 50 500 25,000

Packing material

Winter =Tin Canister -

10 kg -reusable

Summer Avg/Year 1 1,000 1,000 40,000 3 100,000 11,000 0.5 5,500

Transportation Kg 10,000 2 20,000 40,000 1 40,000 11,000 1 11,000

Unloading kg 10,000 1 10,000 40,000 1 20,000 11,000 1 11,000

Commission % 680,000 0.065 44,200 1,000,000 0.075 75,000 198,000 0.075 14,850

100,200 415,000 67,350

Total Cost 226,637 755,800 173,550

Gross Margin (1 Acre) 453,363 244,200 24,450

Gross Margin (%) 67% 24% 12%

Parameters Unit

Autumn Tomato - Abazai

Sub Total - Production Cost

Sub Total - Post Production Cost

Ground Tomato - ShabqadarVertical Tomato - Harichand



3-4 years, the least gross margin of 12% during last cropping season resulted in further

reduction of tomato cropping area in 2018.

Similarly, Breakeven Points (price and quantity) are calculated for all three cropping patterns

to inform decision making about tomato cultivation in Charsadda. Average seasonal price and

current production capacities have been used for drawing conclusions about breakeven

points.

Analysis in table below depicts that breakeven prices27 are PKR 23, 19 and 16, and breakeven

quantities28 are 3,333, 30,232, and 9,642 kg respectively for autumn, vertical gardening, and

field tomato.

Table 17: Breakeven Point Calculation for Different Tomato Cultures in Charsadda (1 acre)

The Return on Investment (ROI) is much higher for autumn crop (200%) than vertical (32%)

and ground tomatoes (14%). Vertical management practices were believed to be having high

profitability margins, as was the case four years ago with significant turnover. However,

dwindling tomato prices, soaring cost of production and significant influx of tomato imports

impact the profitability of tomato negatively in recent years. Farming communities still opting

for the expansive vertical farming with a ray of hope to improve prices of tomato in the peak

production season of June-July period.

The need of improving tomato crop efficiency is critical, crop expense could be made more

efficient with the optimum use of agro-chemicals and good management practices, while the

production capacity of tomato crop in all three cropping patterns could be enhanced by

promoting recommended practices of seed companies.

Distribution of Value Addition and Gross Margins:

The value margins of value chain players were calculated in tomato to identify the stronger

and weaker players in the respective value chain cycle. The margins were calculated for

vertical tomato and autumn crop separately to highlight if the value chain players are

performing differently in their respective chains.

The results pinpoint that tomato farmers in both production patterns are the earning the

maximum gross margins as well as add value to tomato production cycle followed by retail

27 Ibid Pg. 27 28 Ibid Pg. 27

Parameters Autumn Tomato

Vertical Tomato

Ground Tomato

Breakeven Price (PKR) 22.66 18.90 15.8

Breakeven Quantity (Kg) 3,333 30,232 9,642

Gross Margin (%) 68% 24% 12%

Return on Investment (ROI) - % 200% 32% 14%



function. However, gross margins and value added of vertical tomato production is being fairly

distributed among value chain players while farmers in autumn crop appeared to be in a

stronger position than other players. The reason might be the limited production and its high

value in the market. Detailed margins and value addition are illustrated in the table 14;

Table 18: Gross Margins and Value Added by Value Chain Players (per kg tomato turnover)

Value Margins - Vertical Tomato

VC Actor Sale Price (PKR)

Input cost (PKR)

Other Cost (PKR)

Total Cost (PKR)

Gross Margin (PKR)

Value added (PKR)

Gross Margin %

Value Added (%)

Farmer 25.00

8.55

10.38

18.92

6.08

16.46

24.32

27.43

Wholesaler 35.00

25.00

2.00

27.00

8.00

10.00

22.86

16.67

Inter-market Trader

45.00

35.00

5.00

40.00

5.00

10.00

11.11

16.67

Retailer 60.00

45.00

8.00

53.00

7.00

15.00

11.67

25.00

Value Margins - Autumn Tomato

Farmer 68.00

11.64

10.02

21.66

46.34

56.36

68.14

51.23

Wholesaler 80.00

68.00

3.00

71.00

9.00

12.00

11.25

10.91

Inter-market Trader

90.00

80.00

5.00

85.00

5.00

10.00

5.56

9.09

Retailer 110.00

90.00

7.00

97.00

13.00

20.00

11.82

18.18

Employment Generation

Tomato is a labor intensive crop and generates significant number of labor man-days during

production and post production phases. Likewise, strawberry, the exact number of family labor

and permanent jobs is not readily available from credible sources, however labor man-days

have been calculated from the production cycle of autumn and vertical gardening practices to

highlight the importance of employment generation within this high value crop and

benchmarking for improved production technologies.

It is estimated that vertical gardening generates

570,000 labor man-days during tomato production and

post production activities in district Charsadda, and

88,000 man-days during autumn tomato crop. The

highest share of labor man-days in vertical gardening

are recorded in post-harvest management where

extensive production need to be taken care off, while

autumn crop engages more labor in production

function owing to difficult terrain for production.

Increasing shortage of skilled laborers is of significant

concern in both management patterns and labor Figure 19: Farmer Using Hand Made Cultivator for Hoeing



efficiency need improvement either through skill enhancement or with promoting

mechanization.

The picture above is taken during Punjab visit where simple but state of art thinking improve

labor efficiency with this local made hoeing tool.

Table 19: Distribution of Labor in Tomato VC Functions (1 acre)

VC Functions

Vertical Tomato Autumn Tomato

Man-days (1 acre)

Percent Share

Description Man-days (1 acre)

Percent Share

Description

Management practices

220,000 19% Nursery, transplanting, hoeing, irrigation

66,000 38% Nursery, transplanting, hoeing, irrigation

Post-harvest management

720,000 63% Picking, packing Loading

50,000 28% Picking, packing Loading

Trading 200,000 18% Trading, unloading, transportation

60,000 34% Trading, loading transportation

Total 1,140,000 100

176,000 100

The MEP support is projecting to create conducive environment for improving efficiency of

tomato production in Charsadda and ultimately have a positive impact on direct/in-direct

employment generation in tomato value chain functions. The expansion of improved

technologies like vertical gardening to areas like shabqadar will improve employment capacity

manifolds. Vertical gardening generates at least 440 man-days from one acre of tomato

production while ground tomato generate 96 job opportunities from 1 acre of production. MEP

has a greater chance of converting at least 100 acres of land in shabqadar on vertical farming

tomato to generate additional 34,400 additional jobs.

Table 20: Projected New Labor Opportunities of Conversion from Ground to Vertical Tomato Production

Description Unit Value

Labor requirement in the vertical gardening of tomato

Labor man-days

440

Labor requirement in ground tomato production

Labor man-days

96

Conversion of ground tomato to vertical farming with MEP support

Acres 100



Project increased labor opportunities in Shabqadar

Labor man-days

34,400

(Production function = 3400)

(Post Prod./marketing function = 31,000)

Distortions and Inefficiencies

Distortions and inefficiencies have been analyzed to identify lost economic value in tomato

value chain for autumn and vertical gardening. Primary data was available for potential yield

loss, pre/post-harvest losses and labor inefficiency from representative farming practices in

district Charsadda.

The analysis identified lost value of PKR 937,000 in tomato vertical gardening and PKR

629,600 in autumn tomato production for an acre of land. The seed companies’ claim of

potential yields is realized in control environment which is difficult to attain such high standards

of production during field conditions. However, this imply opening for concerted efforts to adopt

scientific approaches in minimizing this gap between potential and actual yields. For instance,

seed companies recommended producing nursery in trays using hydroponics technology to

maintain plant vigor and germination rate but farmer tend to produce nurseries in open field

which impact seedling vigor and production capacity.

Similarly, the overall magnitude of post-harvest

losses reaches up to 35%, comprised 20-25% at

the farm level, 5% at the wholesale level, 5% at

the retail level respectively. The most important

reasons were poor harvesting methods,

improper ripening places in the heaps, poor

grading/mix grading, low-quality packaging

materials and poor transportation infrastructure.

This imply a strong need of further research on

improved post-harvest capacity, improved

packaging and encouraging varieties which has

a longer shelf life and improved resistance

towards insect pests.

The labor inefficiency comes across tomato production cycle with complete dependence on

labor intensive technologies. Mulching has tested results to improve labor efficiency and

effective weed control; however, this culture is not yet penetrated in the production cycles of

district Charsadda, which is not only stretching the limited labor pool but also not very helpful

for crop efficiency.

The inefficiencies and distortions are listed in the Table below;

Figure 20: Post-harvest Losses of Tomato



Table 21: Distortions and Inefficiencies in Tomato Value Chain (1 acre)


Vertical Gardening Autumn Crop Benchmark29

Percent Losses


Percent Losses


Yield Loss (potential)

75% 660,000 70% 476,000 Company Standard

Pre/post-harvest Losses

25% 220,000 20% 136,000 Local

Labor Inefficiency 20% 57,000 20% 17,600 Technology trade off (mulching)

Total 937,000 629,600

SWOT Analysis – Tomato

The SWOT analysis is presented here, based on the information gathered from primary and

secondary sources during field research. The SWOT provides subjective analysis of any

particular sub-sector, capitalizing on strengths and opportunities while keeping in view the

weakness and threats inherent in the system and processes.

Table 22: SWOT Analysis of Tomato Crop

Strength Weaknesses

- Diverse plantation pattern and advance technological improvements available;

- Vital food ingredient for every HH; - High profitability margins when market

price remain stable

- Highly perishable crop and least shelf life;

- Rate of investment is high and risky, - Intensive management practices; - Water intensive crop and prone to

insect pest attacks

Opportunities Threats

- Market opportunities could be capitalized with efficient MIS;

- Crop efficiency can be improved – either reducing input cost or increasing production capacity;

- Technological improvement (mulching, nursery raising in hydroponics culture);

- Capacity building on standard management practices

- Price fluctuation discourage production pattern;

- Malpractices in input provision; - Lack of association impact level of

trust between VC players

29 Data adopted from Field Survey



Road Map – Value Chain Development of Tomato

➢ Land leveling, water retention structures, rain water harvesting structures are required

in autumn crop area for bringing new area under cultivation; scarcity of water in the

autumn production cluster demands further research on water use efficiency/drip

irrigation for this high value crop;

➢ Developing and maintaining a pool of master trainers (either in Agriculture Extension,

registered growers of farm service center or private sector) to improve service delivery

of extension and outreach activities; capacity building sessions, exchange visits and

promoting networks with formal/informal institutions will definitely add value to the

service delivery mechanism;

➢ Development and distribution of crop manual and topical extension material on good

agricultural practices and recommended technologies of tomato crop will create a

positive impact on the learning capacities of farming communities;

➢ Strengthening the capacity of Agriculture Research Station in Charsadda for regular

fertility mapping of production belt in the district, and highlight optimum dosages of

fertilizers and micro-nutrients for enhancing profitability and farm efficiency; the

practice will positively impact the choice of high value crops and new technological

innovations. For instance, salad production is a new concept in district Charsadda,

only few progressive farmers have taken a start in the district however the scale and

coverage could be encouraged further but with improved decision making.

➢ Promote the use soil less medium and tray culture (Peat moss/hydroponics) for tomato

nursery raising to ensure compliance with the recommended practices of hybrid seed

companies;

➢ Organizing Farmer Field Schools (FFS) and Farmer Business Schools (FBS) to

promote Good Agriculture Practices and efficient post-harvest management has tested

success rate for development interventions and capacity transfer on recommended

techniques; this could be successfully replicated in district Charsadda;

➢ Capacity building and awareness on the use of sub-standard hybrid seeds (trials on

economics of sub-standard “Glassy” hybrid seeds of tomato); Value chain based

interest groups can help advocate policy reforms and stringent measures on quality of

imported inputs and safe use of agro-chemicals among the farming communities.

➢ Market information System on selected marketing venues for updating information on

market situation and prices, and promoting the culture of collective marketing for

realizing economies of scale;

➢ Strong advocacy campaigns with ministry of Agriculture and Irrigation for the timely

opening of canal system that farming activities in this critical time period is not affected.

➢ Labor inefficiencies could be improved with the use of simple technologies like mulching and introducing pool of small machineries.

ANNEXURES


Annex I: Terms of Reference

Tasks and Deliverables:

• Identify and shortlist the prioritized sub sectors/value chains in the study district and

carry out detail assessment for the first two prioritized sub sectors/value chains

applying the following terms;

• Review of existing work done by different organizations and further build this analysis

based on assessments.

• Current picture: Brief description of the sub-sector; geographic focus; total number of

people involved; overall economic significance etc.

• The role and position of the project target group in the sub -sector, how do they operate

in the sub sector?

• Determine the possibilities for creation of job opportunities (direct/indirect employment

opportunities) for the target group (unemployed youth; including women and disabled)

of the project at each level of the value chain.

Explore in detail that why the market is not working (well) for the project target group.

i.e. What are the barriers for project target group to entering the sub sector?

Particularly how do women and disabled persons participate in the market? In which

numbers?

• Value chains: what are the main value chains (defined by their end market)? What

are the main functions in the value chains? Who are the actors who take up these

functions? Also emphasis on the missing actors and their services in the project areas.

• Based on the above mentioned assessment, draw Map of the sub sector (i.e. different

value chains, functions, Service providers)

• Identify the winners and losers in each value chain (weaker and stronger value chain

actors - who is making high profits in the value chain and how can the project help in

enhancing equity in the value chain. – profit margin

• Analyze the capacity of producers (farmers and their organizations (FOs) to access

services (credit, information) and other resources.

• Assess the existing market situation and nature of bargain taking place between

different market players in the study area (relationships, attitudes and behaviors).

• Detail the critical constraints that prevent project target group to engage at each step

of the value chain (production, processing, marketing etc.) and assess the potential

difficulty in overcoming each constraint in a sustainable manner,

• Identify which market actors can project potentially work to achieve changes in the

market system?

• Develop the seasonal and supply calendar of the sub sector/value chain and determine

the production economics in the project area.

ANNEXURES


• Support Services: which support services are available to value chain actors? How

well these support services perform? Do the project target groups benefit from the

services? Which ones and how?

• Assess the resources, skills and capacities of the weaker player of the value chain

(smallholder farmers, small scale producers/artisans etc.) related to technology

adaptation, procurement of inputs and production of the product (tomato, strawberry

etc.)

• Rules and regulations: Which rules impact the sub sector? Government legislation?

Informal rules? Private sector standards etc.?

• What are the governance issues of the sub sector that may require private / public

sector dialogue?

• Assess the state of institutions capacity, technology, service providers, policies, and

other production conditions that influence the performance of the value chain players

either positively or negatively,

• Develop detailed recommendations, specific value chain interventions, on how to

“upgrade” the selected value chains and maximize its impact for the project target

group, keeping in view the sustainability and outreach of the proposed interventions.

Swat/Dir (Runner providers and Swat Research Station);

• Analyzing backward and forward linkages of runner producers with research

institutions and strawberry farmers;

• Varietal developments of strawberry crop and scope of improvement in production

technologies;

• Assessment of critical constraints prevailing in the production of runners and its

impact on the production of strawberry in Charsadda

• Assess the malpractices practiced by the runner’s suppliers as reported by the

farmers in Charsadda and its impact on the overall business (both runner producers

and strawberry producers)

• Assess the possibility of linkages development with processing industry in Swat for

both strawberry and tomato.

• Analyze the outreach of Research Station Swat to other areas of KP

Comparative Analysis of the Model Farming (practiced in Lahore/Sheikhupura) with

Charsadda Farmers practices:

• Detailed analysis of production technology of strawberry crop in Lahore and

Sheikhupura;

• Stipulating farm budget and profitability margins of strawberry model farms and

conduct comparative analysis with strawberry farming in Charsadda;

• Tracking model farms of strawberry crop in these regions of Lahore and

Sheikhupura, and analyzing production/marketing cycle of such farms;

• Lesson learnt from new technologies practiced in strawberry production and seeking

ways of collaboration between progressive farmers in these two distinct regions;

ANNEXURES


Project Locations: - Assessment will take place in the targeted locations; District Charsadda

Report:

The Consultant will produce a report (no more than 50 pages) in hard and soft form along with

relevant photographs, annexes, in Microsoft Word using Arial font 11. The report should

include:

− Basic Information (sector, share of concerned value chain in overall economy,

importance etc.)

− Executive Summary

− Introduction/Background of the concerned value chain

− Study methodology

− Findings in accordance with the tasks and deliverables as mentioned above

− Recommendations

− Annexes – Methodology tools, Study schedule, List of persons/ stakeholders

interviewed and sites visited, Documents consulted etc.

Consultant will submit technical and financial proposal for the value chain study along with the work plan.

ANNEXURES


Annex II: Checklist for FGDs/Key Informant Interviews

1. Major pockets/areas of production in Charsadda (for clustering):

2. Map of Charsadda district (for showing production areas) and its connectivity with

major markets;

3. Key local markets (Charsadda + Peshawar + Islamabad + Mardan);

4. Total area and production of Strawberries in Pakistan (by province);

5. Demographics of the district;

• Population and its growth trend;

• number of administrative divisions (tehsils/towns/villages);

• Number of people living below poverty line as per the official figures;

• Average life expectancy;

• Average income per household;

• Major occupations (subsectors in the project area);

• Average income of the households involved in different sectors of businesses

etc.;

6. History and comparative advantage of the area? What are the agro-

ecological/demographic advantages?

7. Average farm size;

8. Number of producers (farmers, micro entrepreneurs, households, SMEs) involved;

9. Total number of people involved including women and poor and out of this how many

are self-employed, how many work for others;

10. Average size of investment per enterprise/household;

11. Average income from the business per household/business;

12. Size of businesses and their numbers throughout the value chain (i.e. input suppliers,

producers, processors, traders and sales outlets);

13. Process flow chart of the business (showing production flow how product moves

through the input, production, processing to consumption level);

14. Cropping cycle

15. Detailed economics of production and marketing in the flow diagram from farm to

market;

16. Description of the major markets. Who buys from farmers/producers, where are they

sold;

ANNEXURES


17. Description of the competitors for the business (specific to that location);

18. Current policies/incentives from the government to promote this value chain;

19. Presence of stakeholders and their roles: common interest groups such as business

association, cooperative, self-help group etc. and their role in chain governance;

20. List of government ministry and departments responsible to support/facilitate the VC

and their roles/functions and status of services;

21. Sources of finance/credit, mark up and constraints;

22. Existing service providers in the project location and what kind of services are they

providing (both private as well as public sector);

23. Potential impacts (outreach, employment generation and income earning);

24. Listing of key constraints and opportunities in the form of SWOT;

25. Paired ranking of the constraints for prioritization;

26. Quantification of losses/wastes and distortions – absolute or percent (poor pre and

post-harvest management, transit losses, absence of cold storages, absence of

processing facilities, high costs – fuel, lack of improvements etc.);

Check List for Market Assessments

1. Total number of agents dealing in horticulture commodities;

2. Status of the market (private, public/ regulated, non-regulated);

3. No. and types of market agents dealing in Strawberry;

4. Approximate quantity (per annum) dealt;

5. Trends in supply;

6. Important local markets that are supplied by this market (inter-market trade);

7. Important local markets that send supplies to this market;

8. Preferred varieties in domestic and export trades and for processing;

9. Existing pack sizes and packaging types;

10. Pricing mechanisms;

11. Market charges and costs (market entry, commission etc.);

12. Market channels and pricing structure;

13. Infrastructure and facilities (cold storage, holding sheds, auction sheds, parking,

weighing bridges, water supply, sanitation, electricity etc.);

14. Institutional services; and,

15. Marketing constraints and opportunities for domestic and export trades.

ANNEXURES


Annex III: Overview of Strawberry Production in Punjab

- Sheikhupura, Multan, Lahore, Qusoor, Narowal are prominent production belt in

Punjab;

- Season varies slightly in Punjab, slight earlier than KP and later than Sindh (Sukkur,

Khairpur, Matiari) crop;

- Sharaqpur in Sheikhupura is the main production belt; 20-25 km distant from Lahore

- Wheat, potato and peas area is converted to Strawberry production;

- Corporate farming is increasing rapidly in Punjab with new market opportunities like

METRO and HYPER STAR; though large business group own such initiatives with

large scale investments on technology intensive farming of high value crops, it open

venues for technology innovation and improved practices

- Market options are wide for strawberry crop in Punjab; main fruit and vegetable market

(Badami Bagh), Kana Mandi, Multan Chungi, Singpur Mandi; it provides leverage to

strawberry farmers with open options and flexibility of marketing

- Improved technologies like mulching (more than 95% of cropped area), drip irrigation,

plasticulture, and vertical/pot farming (4-5 farms) is being practiced as improved

technologies in strawberry cultivation.

- Drip irrigation

o help to reduce mortality in late September transplanting i.e. mortality is 10-12%

in drip irrigation as compared to 30-35% in flood irrigation conditions;

o reduces the cost of fertilizer 2-3 times and help maintain water use efficiency

o weed control is much efficient in drip irrigation

o cost 100,000 per acre of land;

o Punjab On-farm Water Management Department is supporting installation of

drip technology to maximize water use efficiency since 2012 (60:40 share), the

technology is replicated rapidly among strawberry farmers owing to its positive

impact on growth as well as reducing cost of production30

- Mulching

o Weed control, cost of labor is reduced

o Improve quality of produce at harvest stage, fetch higher price at marketing

stage

o Black mulch cost 17000 per acre (8000 for plastic, 9000 for installation labor)

o Bakshi et al (2014)31 informed that the use of black polythene mulch improve

the overall quality and performance of strawberry crop by reducing weed

population, increasing plant height, plant spread, number of leaves per plant,

number of flowers per plant, number of fruits per plant, number of achenes/fruit

and fruit weight, hence highly recommended practice in strawberry crop.

- Tunnel farming

o Though tunnel farming is not a usual practice in strawberry cultivation, but few

progressive farmers installed high tunnels to fetch early maturity/production as

well as prevent from frost and rain damages

30 http://ofwm.agripunjab.gov.pk/system/files/Strawberry.pdf 31 “Growth, yield and quality of strawberry (Fragaria x ananassa Duch.) cv. Chandler as influenced by various mulching materials”, Parshant Bakshi*, Deep Ji Bhat, V. K. Wali, Akash Sharma and Mudasir Iqbal 2014; African Journal of Agricultural Research, Vol. 9(7), pp. 701-706, 13 February, 2014

http://ofwm.agripunjab.gov.pk/system/files/Strawberry.pdf

ANNEXURES


o Cost: 270 kg of plastic required for 1 acre of land; 250 T-iron beams are

required costing 300 per beam

o It is not a permanent structure and can be easily part away on a day notice

- Green House Technology (Controlled Shed)

o Labor efficient technology, with controlled environment (optimum temperature,

humidity, balanced application of nutrients, pest control); hydroponics with

imported peat stuff, cooling pads, drip fertigation, fogger/fans;

o Cherry tomato, paprika (red/yellow), strawberry crop

o Strawberry cultivation in 4 steps vertical farming

o Extended production cycles of paprika (10 months), cherry tomato (8 months),

strawberry (5 months)

o Strawberry cycle: August (nursery purchase), September 15 (nursery transfer),

November 15 (Fruiting starts), May 20 (Production)

▪ No major disease/pest outbreak

▪ Production capacity was higher per plant (half kg per plant, which is

almost double than conventional farming)

▪ Good quality crop (only 20% small fruits), 500 kg good quality packs

(half kg pack) supplied to METRO Cash & Carry and presented on

shelves without any further processing

▪ 150,000 plants of strawberry on 6 kanal of land (0.75 acre)

- Crop expense is touching Rs. 300,000 per acre of land; largely due to extensive

expenditure on fertilizer and micro-nutrients (8-10 different type of micro-nutrients have

been sprayed on strawberry crop without knowing the efficacy and actual requirement

- Extension services are weak in Punjab also, farmers depend mostly on the advice of

input providers and word-of-mouth communication from interacting farmers; “GALOR”

is one such example of plant regulator, sprayed on strawberry for early

flowering/fruiting but restricting production capacity of strawberry plant;

- The firm has moved a step further and ordered seedlings from abroad (costing Rs 35

per plant), the variety will be planted in the month of March and will continue producing

strawberries until October/November to reap maximum benefit from off-season

cultivar;

- Social media has an impact on strawberry farming, a Facebook group was registered for interaction but idle these days; however, an active WhatsApp group was initiated in early 2016 and caught the attention of 125 members to date, provide useful information sharing platform where strawberry farmers interacted frequently on daily basis for sharing experiences, issues faced and seek advice on possible remedial measures

ANNEXURES


Annex IV: Key Contact List

S.No Name Designation Contact Number Location

1 Liaquat Ali District Director Agriculture

091-9220117-118 Charsadda

2 Muhammad Idress Subject Matter Specialist

0346 9029622 Charsadda

3 Rafiq Jan Field Assistant 0303 8420235 Sarkee

4 Arshad Ali Field Assistant 0345 8801706 Tangi

5 Jahanzeb Khan Key Informant - Strawberry

0300 5801940 Sarkee

6 Israr Khan Key Informant - Strawberry

0300 5776696 Sarkee

7 Hakim Khan Key Informant - ASF Islamabad

8 Ghulam Farooq Regional Manager WELCON/WheaAg

0344 4472038 Peshawar

9 Mohammad Bilal Input Supplier 0343 3048203 Sarkee

10 Zia Ur Rehman Key Informant – Salad Production

0301 5951728 Sarkee

11 Khaista Gulab Key Informant – Tomato

0315 5940356 Abazai

12 Haji Akbar Key Informant – Tomato

0345 9120516 Harichand

13 Azam Khan Key Informant – Tomato

0344 5356564 Harichand

14 Mukarram Sher Key Informant – Tomato

0301 8805585 Kirra (Bar Behram Dheri)

ANNEXURES


15 Miraj Shah Key Informant – Strawberry Dealer

0301 2152442 Sarkee

16 Wajid Ali Key Informant – Strawberry Dealer

0305 9447052 Sarkee

17 Akbar Ali President Tangi Market

0300 5954390 Tangi

18 Shah Khalid Commision Agent 0321 9320838 Tangi

19 Nasr Ali Khan Commision Agent 0345 8195347 Tangi

20 Daud Jan Input Dealer 0345 9393178 Tangi

21 Sami Ur Rehman Input Dealer 0301 8886903 Amir Abad

22 Aminullah Input Dealer 0300-9339132 Charsadda

23 Shams ur Rehman Key Informant – Tomato

0342 8901525 Sro Korona - Abazai

24 Alamgir Key Informant – Tomato

0345 8391551 Abazai

25 Dr Arsalan Food Technologist 0314 9602556 Tarnab Farm

26 Dr Ijaz Akhtar Agriculture Research Directorate

0300 5844945 Peshawar

27 Kazim Bacha Key Informant – runner Producer

0302 5790420 Mingora

28 Abdul Sattar Key Informant – runner Producer

0300 5740269 Mingora

29 Ajmal Khan Key Informant – runner Producer

0301 8523270 Mingora

30 Liaquat Khan Key Informant – runner Trader

0346 9459073

0303 8502167

Fatehpur

31 Saeed Ur Rehman Input Provider 0348 8978508 Fatehpur

ANNEXURES


32 Muhammad Daud Key Informant – runner Trader

0345 8955629 Durushkhela

33 Fazli Maula SRO Entomology – ARI Swat

0314 9748500 MIngora

34 Khalil Ur Rehman SRO – Pathology (ARI Swat)

0348 9088893 Mingora

35 Miss Nadia Research Officer – Horticulture (ARI Swat)

Mingora

36 Malik Asif Input Dealer 0348 4061029 Sharaqpur

37 Khalid Manzorr Stawberry Farmer 0322 4954533 Sharaqpur

38 Saida Khan Key Informant – Strawberry

0343 0939352 Sharaqpur

39 Mian Safeel Key Informant – Strawberry Grower (Sub E Noor Group)

0300 6931868 Lahore

40 Abdul Wajid Bilal Hydroponics Farm 0321 8476889 Sharaqpur

41 Tasleem Munir Agronomist – Classic Agriculture Farm

0302 5194458 Sharaqpur