KSA wants to barter oil against land lease for plantation from Pakistan.

[BATMAN]

Not sure if that would be easy and acceptable since it may effect time frame.

Nothing is impossible, but thal dessert of Punjab to irrigate and grow, would be a doable project in short time frame.

 

[Pakistanisage]

Great offer by KSA and Pakistan should not only accept this offer but also expand our relations with Saudi Arabia in all sectors and find other avenues of Cooperation as well including Defense, Industry, Education, Health Care and Trade as well.

KSA can also help Pakistan reclaim some of the barren land as they have developed Technology to build Agricultural Farms in the Desert.

 

[bunty8591]

We can offer KSA, land in Baluchistan, and ask them to build canal system for irrigation!
I hate to tell this, on a forum infested by RAW, Pakistanis are growing crops in Africa, as it is more profitable to them.
I'm afraid, we'll loose this golden opportunity. If the news is true.

Don't get excited.

Trade between countries are always on some business constructs. Contacts, emotions and Affliation counts, but at the end, business is based on business principles and constructs.

Pakistan doesn't have any business constructs.

Worst things is the politicians don't want any sort of solid business base in the country.Reason is they don't want anyone to be financially powerful.

So I am not very excited with all this.

 

[American Pakistani]

I don't see any harm in this offer. Saudi Arabia is a brotherly nation of Pakistan...so leasing them the land cannot be a threat. Plus Pakistan's energy problems will be reduced. I think Pakistan should go for it but for 50 years as after 50 years Pakistan's own population will be doubled most likely.

 

[Menace2Society]

Lease in 10 year blocks.

Ask for 400,000 barrels daily.

Land is a premium commodity.

 

[Kaniska]

ISLAMABAD: The Kingdom of Saudi Arabia (KSA) has made a significant offer to its ally country for provision of 250,000 barrel oil daily against price of 100,000 acres agriculture land in Pakistan.

Saudi Arabian authorities have formally sent its multi-million offer to the Pakistani officials due to increasing shortage of water in their country.

According to KSA notification, Saudi Arabia would close self-production of wheat and other food products by 2016 keeping in view of severe shortage of water.

However, Saudi government decided for a commodities exchange in accordance to barter system with its ally country before launching of new food policy, local newspaper reported.

The written offer has been forwarded to the Secretary Defence Lieutenant General Asif Yaseen Malik and Secretary Cabinet Sami Saeed.

The reports claimed that Saudi Arabian government seemed serious over its decision to purchase 10 million acres of rich land in Pakistan on lease of 99 years.

It is a good offer...why can not SA make an agreement to supply food and agri items to its country rather than leasing the Agri field.

 

[bunty8591]

I don't see any harm in this offer. Saudi Arabia is a brotherly nation of Pakistan...so leasing them the land cannot be a threat. Plus Pakistan's energy problems will be reduced. I think Pakistan should go for it but for 50 years as after 50 years Pakistan's own population will be doubled most likely.

In international trade, there is no term as brotherly. International trade runs on profits, benefits and financial favors.

I heard from unconfirmed sources, one time, Microsoft tried to establish their company in Pakistan. Politicians start asking bribes. Ultimately they left for China.

Condition in Pakistan is not good. Completely undisciplined system is running the country.

 

[TOPGUN]

Outstanding offer Pakistan should not even think twice about this and just get right to yet , I really hope this deal goes through it will help each nation with their issue.

 

[American Pakistani]

In international trade, there is no term as brotherly. International trade runs on profits, benefits and financial favors.

I heard from unconfirmed sources, one time, Microsoft tried to establish their company in Pakistan. Politicians start asking bribes. Ultimately they left for China.

Condition in Pakistan is not good. Completely undisciplined system is running the country.

Did you comprehend my post before replying?

 

[SHAMK9]

Just monitor the land and enjoy the oil

 

[slapshot]

It is a good offer...why can not SA make an agreement to supply food and agri items to its country rather than leasing the Agri field.

Maybe they will able to control cost and quality this way.

 

[AZADPAKISTAN2009]

What Pakistan Gets:
Cost of Barrel of Oil $112 / Barrel
Oil being offered 250000 barrels
Net value of Deal 28 Million Dollars / Day
10 Billion per year good deal for Pakistan

What Saudis Gets:
100000 Acres
Cost of 1 Acre 100000 USD (1 Crore Rupee) is average farming land in Pakistan

Net value : 10 Billion Dollars (The goods produced on land might be sold for 100 Billion), the value of land rental alone is equal to oil value

• I think the deal is good provided Pakistan gets 30% of food generated for Local markets by Pakistan Agricultural Entity.
  
• And for water to the Land Saudis helps construct a Water Dam/ Canal project
• Local people must be trained to work on the facilities

Ideally land location in Baluchistan area is idea

 

[PurpleButcher]

Cost of 1 Acre 100000 USD (1 Crore Rupee) is average farming land in Pakistan

Let me know if you are will to pay this price.... i own very good farmland in Gujranwala dist. ... one of the most fertile regions of Pakistan... and my land also lies on one of the main roads of the area....

 

[AhsanAmin]

The original post in Urdu has area of 100,000 Acres. In English there are 2 figures; 100,000 Acres and 10 Million Acres. One figure is 100x higher than other. Which one is correct?
Pakistan has 34% of it's land cultivable; which turns out to be about 65 Million Acres. 1 Million Acres probably seems enough to be leased. Hopefully, Saudis will bring State of the Art technologies and research which could then also be applied to other areas of Pakistan. Of course Saudis will also demand enough water for irrigation. If there was only water problem, probably Saudis could have procured that through de-salination plants running on oil. Our soil quality is probably also better.
Pakistan's Daily oil consumption is 410,000 Barrel. 250,000 Barrel daily means we will be getting 60% of Oil without spending a penny of Foreign Exchange. This may bring a positive change in our balance of payments.
In addition to saving foreign exchange, we will also be saving all the produce that goes to Saudi Arabia and this will bring down their price in domestic markets, making them more affordable for people of Pakistan.
The deal seems very attractive to me, even though estimates say that we are a water-starved country.

The post seems to be good, in general. May be we should project some future price of oil, and make an expert calculation and comparison with the projected cost of agricultural commodities grown (which will also maintain an upward trend) on the leased farmland. And cost of agricultural water has to be added. This way we will have a sense of where the fair deal will fall. It might be wise to ask them to find ways of sustainable water table management, may be on lines of what Narendra Modi did in Indian state of Gujrat. I think it would be right to get as good a deal for us as we can, by asking them to make the terms more favorable.

But there might be issues with leasing land to foreigners that we will have to carefully take into account, may be by fixing a 'reasonable life of the lease' that is not too long after which the land will revert to state of Pakistan, and the lease will be renewed only if considered appropriate in the future. This seems to be one of the most important conditions that have to be associated with the deal.

 

[stockmarketsltd]

This is excellent if it happens. The mini industries it would create would be worth a heck a lot more than the value of the land.

If anything it would make Pakistan more powerful and in a commanding state. Oil dependence would decrease in the coming decades, but food needs would only grow.

Now if this actually ends up happening is anyones guess. Kind of like flipping a coin in terms of chances.