1950's Trade Policies of Pakistan
Period II: The Golden Sixties, 1958 to 19695
Ayub Khan, the first military dictator of Pakistan, assumed complete control of the state in October 1958 and reigned over the golden period of Pakistan’s economic history. With the help of Harvard advisors, Khan vigorously implemented the Planning Commission on Economic Management and Reforms with impressive results.6
GDP growth in this decade jumped to an average annual rate of 6 percent from 3 percent in the 1950s. The manufacturing sector expanded by 9 percent annually and various new industries were set up. Agriculture grew at a respectable rate of 4 percent with the introduction of Green Revolution technology. Governance improved with a major expansion in the government’s capacity for policy analysis, design and implementation, as well as the far-reaching process of institution building.7 The Pakistani polity evolved from what political scientists called a “soft state” to a “developmental” one that had acquired the semblance of political legitimacy
The Flat Fifties, 1947 to 1958
The main features of the 1950s was the establishment and expansion of thelarge scale manufacturing sector, which ranged from a high annual growthrate of 28.7% in 1953/4 to a low 4.9% in 1957/8. With industry growing athigh rates, there was reverse picture in the agriculture sector, which onlyonce in this period achieved double digit growth rates. Agriculture stagnated to the extent that its growth was not even enough to cope with the growth inpopulation, resulting in a fall in per capita consumption of food grain and theneed to import food as well. A stagnant agriculture in a predominantlyagricultural economy meant a slowly growing economy. The major impact of economic policy in the 1950s was to transfer income away from agricultureand from urban consumers and to the new and rapidly growingmanufacturing sector
7.2.1 The Trade Regime: 1950-60
The major instrument of protection to import-substituting industries during the 1950-60
Ayub Khan, the first military dictator of Pakistan, assumed complete control of the state in October 1958 and reigned over the golden period of Pakistan’s economic history. With the help of Harvard advisors, Khan vigorously implemented the Planning Commission on Economic Management and Reforms with impressive results.6
GDP growth in this decade jumped to an average annual rate of 6 percent from 3 percent in the 1950s. The manufacturing sector expanded by 9 percent annually and various new industries were set up. Agriculture grew at a respectable rate of 4 percent with the introduction of Green Revolution technology. Governance improved with a major expansion in the government’s capacity for policy analysis, design and implementation, as well as the far-reaching process of institution building.7 The Pakistani polity evolved from what political scientists called a “soft state” to a “developmental” one that had acquired the semblance of political legitimacy
The Flat Fifties, 1947 to 1958
The main features of the 1950s was the establishment and expansion of thelarge scale manufacturing sector, which ranged from a high annual growthrate of 28.7% in 1953/4 to a low 4.9% in 1957/8. With industry growing athigh rates, there was reverse picture in the agriculture sector, which onlyonce in this period achieved double digit growth rates. Agriculture stagnated to the extent that its growth was not even enough to cope with the growth inpopulation, resulting in a fall in per capita consumption of food grain and theneed to import food as well. A stagnant agriculture in a predominantlyagricultural economy meant a slowly growing economy. The major impact of economic policy in the 1950s was to transfer income away from agricultureand from urban consumers and to the new and rapidly growingmanufacturing sector
7.2.1 The Trade Regime: 1950-60
The major instrument of protection to import-substituting industries during the 1950-60