The Government of Pakistan is working on a proposed diesel subsidy program aimed at easing production costs for small-scale farmers across the country, according to official sources.
Under the plan being developed in coordination with provincial authorities, farmers owning up to five acres of land may receive financial support of up to Rs1,500 per acre for the upcoming cropping season. The initiative is intended to help offset rising fuel expenses and provide targeted relief to the agriculture sector.
Authorities are considering a digital payment mechanism, with subsidies to be transferred directly into farmers’ digital wallet accounts. This approach is designed to improve transparency and ensure timely disbursement of funds without intermediaries.
Provincial governments are expected to finance the scheme through their respective budgets, with an estimated collective allocation of around Rs150 billion. Data of eligible farmers is already available in some provinces, including Punjab and Sindh, while millions of additional beneficiaries are expected to be identified in other regions.
Officials are also reviewing proposals to extend similar fuel relief measures for motorcycle and rickshaw users, though final decisions and formal announcements will be made at the federal level.
So far, things remain under control in Pakistan except for the rise in prices. But then that is a worldwide situation. Brent crude oil is hovering around $116 per barrel. The high fuel prices are being felt across the world, including the United States where it is available for around $4 per gallon.
