Abdul Wahid
(PART 1)
Poverty obliteration remains one of the most persistent challenge for Pakistan, where millions of people still struggling to access basic necessities of life such as food, education and healthcare. While the main avenue to prosperity is complex.
According to the World Bank report dated January 1, 2025, Pakistan’s poverty rate increased to 25.3% in 2024, up from 18.3% in 2023, adding approximately 13 million people to the impoverished population. This rise is primarily attributed to high inflation, coupled with the devastating floods of 2023, which destroyed countless homes, agricultural lands, and critical infrastructure across the country.
Poverty can be alleviated in Pakistan?
The Government of Pakistan and its people possess the potential to alleviate poverty through strategic reforms and impactful initiatives. Achieving this goal requires learning from global success stories, such as China’s exemplary poverty alleviation model. By drawing insights from these experiences and adapting them to Pakistan’s unique context, the nation can chart a path toward sustainable development and economic prosperity. Over the past four decades, China has lifted more than 800 million people out of poverty- a feat recognized by the United Nations as the most remarkable poverty alleviation achievement in human history. China’s success was not accidental; it was the result of targeted policies, grassroots empowerment and a relentless focus on rural development. By implementing reforms tailored to its unique challenges, China addressed poverty at its core, transforming impoverished regions into engines of economic growth.
For Pakistan, adopting similar strategies can serve as a roadmap to create a more equitable and prosperous society.
Rural Revitalization Strategies and Agricultural Reforms:
The economic reforms initiated in 1978 marked a turning point for rural development in China. By introducing the Household Responsibility System, farmers were granted autonomy over their land, allowing them to decide how to cultivate and directly benefit from their produce. This policy not only boosted agricultural productivity but also significantly increased rural incomes. To further strengthen rural economies, the government adopted the principle of “more giving, less taking”, ensuring public financial support reached the countryside.
In 1983, China adopted the concept of “One Village, One Product” (OVOP) after an inspiring visit by Morihiko Hiramatsu, the visionary behind Japan’s successful OVOP model. The initiative aimed to transform villages into economic hubs by specializing in unique, locally produced goods, such as tea, textiles, handicrafts, fruits and many others.
Each village focused on a single product or industry that aligned with its natural resources and local expertise. For example, villages in Zhejiang Province became known for their premium tea production, creating niche markets for high-quality goods. The program’s success relied on robust government financial backing, including subsidies, low-interest loans and marketing assistance. Villages producing unique goods also became tourist destinations. For instance, the Tea Sea Ecological Park attracted visitors eager to explore scenic landscapes and learn about tea cultivation. By 2011, the One Village, One Product initiative had expanded nationwide, with over 3,600 villages and towns officially recognized as demonstration zones. These villages became beacons of economic empowerment, showcasing how focused strategies could drive sustainable rural development. These specialization and access to broader markets significantly increased earnings for rural residents. These program generated job opportunities in production, tourism and supply chain management, reducing rural unemployment. Many villages became self-reliant, minimizing their dependence on urban centers for economic survival.
Lessons for Pakistan
China’s “One Village, One Product” (OVOP) initiative demonstrates how rural economies can be revitalized through targeted strategies, supported by government planning and financial backing. Pakistan can adopt a similar approach by leveraging its regional strengths, as every district is known for unique specialties—such as mangoes from Multan and parts of Sindh, citrus fruits from Punjab, rice from Sindh and some areas of Punjab, dates from Sindh, potatoes from various regions and cotton from southern Punjab. By recognizing these local strengths and implementing the following steps, Pakistan can unlock the economic potential of its rural areas by providing subsidies, technical training and infrastructure to improve production capacity. These village Market can be recognized as tourist destinations, blending cultural heritage with economic activities. Result: Boosted agricultural productivity and rural incomes. Primary education should be made accessible in most villages to improve their specific knowledge related to their specific and unique production.
The Author is a Senior Manager Administration Pak China Investment Company Limited
