Public agricultural research in Pakistan is conducted by the federal and provincial governments and by various higher education agencies. In 2003, agricultural research investments totaled more than 2 billion Pakistani rupees (in 2000 prices)— the equivalent of 188 million international 2000 dollars (Table 1) PARC, the National Agricultural Research Center (NARC), and 11 other federal agencies accounted for 38 percent of this total that year. Each of the country’s four provinces has its own agricultural research facilities. In 2003, these facilities constituted a combined $96 million, or about half of all investments that year—though the Punjab region alone constituted $57 million. We identified 29 faculties, colleges, and other higher education agencies involved in agricultural research in Pakistan. Together, they accounted for 11 percent of the country’s total agricultural research investments in 2003. Private-Sector Investments: Agricultural research conducted by private companies is limited in Pakistan. We identified 13 business enterprises involved in agricultural research, accounting for a combined estimate of 6 percent of total public and private agricultural R&D spending in Pakistan in 2003. So therefore public sector has large part of investment as compare to private sector in agriculture research and agriculture industry. Still a quite some opportunities of investments are available for private sector in agriculture industry, particularly in fields of fertilizer and pesticide industry.
In Pakistan agricultural industry fertilizer share GDP 22% with agriculture. Competition main players are FFC, FFBL, Dawod Hercules chemicals, Engro Chemicals.
Low level of competitions is observed among these key players holding 80% of fertilizer market of Pakistan. Low level of competition because of easy availability of raw material such as natural gas etc. large number of customers and less number of suppliers also resulted in low level of competitions in fertilizer industry of Pakistan.
In seed sector of low level of competition is observed because of large number of firms are available, which provide quality seed to large number of customers. Competition is low because of that customers can have their own seed mean controlling of suppliers raw material by customers.