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Despite the crucial importance of information on intersectoral terms of trade in the formulation of a host of public policies, the official statistical system in Pakistan is yet to generate a statistical series of the terms of trade for the .agricultural sector on a regular basis. A number of views expressed on Pakistan's agriculture appear to be based either on results of studies that are now outdated, or on a com. plete neglect of the existing data that could be processed to calculate the terms-of. trade indices. This paper attempts to provide information on the movement of terms of trade for the agricultural sector for the period from 1951-52 to 1983-84. The impact of changes in terms of trade on farm output, distribution of income and efficient use of resources is also traced.

Domestic Terms of Trade and Public Policy for Agriculture in Pakistan