ISLAMABAD: Securities and Exchange Commission of Pakistan (SECP) Chairman Dr. Kabir Ahmed Sidhu has stressed the importance of agricultural market reforms, saying agriculture contributes 23.44 percent to Pakistan’s Gross Domestic Product (GDP).

He made these remarks while addressing the international conference titled “Mission $100 Billion,” organized by the Pakistan Institute of Development Economics (PIDE).

Dr. Sidhu said the total value of Pakistan’s crops was approximately Rs8,800 billion, while post-harvest losses were estimated at 20 to 40 percent. He noted that every one percent loss in crops represents an estimated financial loss of around Rs88 billion.

The SECP chairman revealed that the country’s total approved warehousing capacity stood at just 326,000 metric tons, compared with approximately 55.7 million metric tons of storable dry agricultural commodities produced in Pakistan.

He said efforts were underway to promote a modern warehousing system based on electronic warehouse receipts. He also proposed establishing a national agricultural spot market to facilitate bank financing and ensure transparent trading.

Under the proposed system, agricultural markets would be connected to an online trading platform. Provincial authorities would retain responsibility for market oversight, while the SECP would provide technical support.

Dr. Sidhu said investment in modern warehouses, cold storage facilities and transportation systems could strengthen Pakistan’s agricultural sector. Secure crop storage and improved financing facilities could help farmers avoid the pressure to sell their produce immediately at lower prices after harvesting.

He added that electronic warehouse receipts would enable farmers to obtain bank loans against their stored crops, improving their access to financing and helping them manage their produce more effectively.

The proposed agricultural spot trading market would gradually include wheat, rice, maize, cotton and sugar.

Highlighting the importance of quality standards and grading, the SECP chairman said uniform standards for quality, weight and grading would help farmers secure better prices for their produce. He added that registering commission agents and traders, along with maintaining digital transaction records, could improve protection for both farmers and buyers.

Dr. Sidhu also emphasized the need to introduce a reliable system for ensuring timely payments to farmers. He called for modernizing agricultural market regulations, licensing procedures, fees and systems governing the movement of agricultural commodities.

He said modern storage infrastructure could reduce post-harvest losses and improve Pakistan’s access to export markets, while more transparent trading mechanisms could help attract investment and strengthen the agricultural economy.