Natural Resources of Pakistan: CSS Solved Answer

Exam question: CSS 2019, Q8: Efficient use of natural resources can make Pakistan a prosperous nation. Discuss in the light of present situation of Pakistan.

Syllabus topic: Topic II of the CSS Pakistan Affairs syllabus.

Short answer

Pakistan’s natural wealth is real, but wealth in the ground is not prosperity. Water is wasted, land is under-productive, minerals have been left undeveloped and energy resources are under-used. Efficient use, through good governance, investment, technology and value addition, can turn these resources into exports, jobs and self-reliance.

Outline for quick revision

Introduction
Pakistan’s Natural Resource Base: Land and agriculture; Water; Minerals; Energy resources; Coast and sea; Forests and tourism
Present Situation: Why Resources Have Not Brought Prosperity: Under-used and wasted water; Low agricultural productivity; Minerals left undeveloped; Energy mismanagement; Governance and policy failures; Climate change and disasters
How Efficient Use Can Make Pakistan Prosperous: Water efficiency and storage; Modern agriculture; Mining with value addition; Indigenous energy; Blue economy and tourism; Policy stability and investment
Conclusion

Reference colours:
Quotation / documentPersonality / historySyllabus bookCurrent referenceOfficial report / policy

1. Introduction

Pakistan is rich in natural resources: fertile plains, one of the world’s largest irrigation systems, vast coal reserves, copper and gold, salt, gemstones and a long coastline. Yet it remains a lower-middle-income country dependent on loans and imports.

The statement is correct: the problem is not a shortage of resources but their inefficient use, poor governance, lack of investment, waste and mismanagement. Efficient use could turn Pakistan’s resource wealth into prosperity.

2. Pakistan’s Natural Resource Base

Land and agriculture

The fertile Indus plains make Pakistan a major producer of wheat, rice, cotton, sugarcane, fruits and milk; it is among the world’s largest producers of milk and a leading rice exporter. Agriculture still employs about a third of the workforce, so the land is the most important resource for jobs and food security.

Water

The Indus Basin Irrigation System is one of the largest contiguous irrigation networks in the world; the northern glaciers feed the rivers. But per-capita water availability has fallen below 1,000 cubic metres, the threshold of water scarcity.

Minerals

Thar holds about 175 billion tonnes of lignite coal; Chagai has the copper-gold deposits of Reko Diq and Saindak; the Salt Range (Khewra) has one of the world’s largest salt mines; there are large reserves of gypsum, limestone, marble, chromite and gemstones.

Current reference: Reko Diq in Chagai, Balochistan, one of the world’s largest undeveloped copper-gold deposits, is a $6.6 billion project (Barrick Gold 50%, federal and provincial governments 50%). In 2025 the ADB approved a $410 million package; first production had been targeted for 2028, at 200,000 tonnes of copper a year. But in April 2026 Barrick slowed development and extended its review to mid-2027, citing worsening security, proof that insecurity can stall even Pakistan’s biggest projects.

Energy resources

Pakistan has natural gas (Sui and other fields), some oil, and hydropower potential of tens of thousands of megawatts in the northern rivers, of which only a fraction is used. Sindh and Balochistan have some of the best solar and wind conditions in the region, especially along the Jhimpir-Gharo wind corridor.

Coast and sea

A coastline of about 1,050 km gives Pakistan fisheries, mangrove forests and the deep-sea ports of Karachi, Port Qasim and Gwadar. Its exclusive economic zone at sea is large, yet the “blue economy” contributes very little to national income.

Forests and tourism

The northern mountains, including K2 and four other peaks above 8,000 metres, lakes, valleys and forests give large tourism potential. Forest cover, however, is only about 5% of the land, far below what a healthy environment needs.

Map: Pakistan's major natural resources — **Map:** Pakistan’s major natural resources

From resources to prosperity

Resources: land, water, minerals, energy, coast
Efficient use: governance, investment, technology, value addition
Prosperity: exports, jobs, self-reliance

3. Present Situation: Why Resources Have Not Brought Prosperity

Under-used and wasted water

Flood irrigation, unlined canals and watercourses, and silting of dams waste a large share of water before it reaches the crops. Pakistan can store only about 30 days of river flow, compared with hundreds of days in many countries, so floodwater runs to the sea while farmers face shortages.

Current reference: After the Pahalgam attack, India placed the Indus Waters Treaty (1960) “in abeyance” on 23 April 2025; Pakistan’s National Security Committee declared that any attempt to stop or divert its water would be treated as an act of war. The river dispute that began when the 1947 boundary left key headworks in India is still unresolved.

Low agricultural productivity

Yields of wheat, rice and cotton per acre are well below those of regional competitors because of poor seeds, little mechanisation and weak extension services. As a result Pakistan, once a food exporter, now spends billions of dollars a year importing food and edible oil.

Current reference: Pakistan’s food import bill reached a record $8.14 billion in FY2024-25; palm oil alone cost $3.4 billion and pulses $1 billion (Pakistan Bureau of Statistics).

Minerals left undeveloped

Legal disputes, weak policy and insecurity delayed projects such as Reko Diq for decades. Most minerals are still exported raw, without processing or value addition, so the country earns little and local communities in Balochistan see few benefits, which feeds resentment.

Energy mismanagement

Despite coal, hydro and solar potential, Pakistan relied heavily on imported oil, LNG and coal for power. This drains foreign exchange, while circular debt and high tariffs burden industry and households.

Syllabus book: Robert M. Hathaway and Michael Kugelman (eds.), Powering Pakistan (2009), argue that Pakistan’s energy crisis is mainly a crisis of governance, pricing and planning rather than a lack of resources.

Governance and policy failures

Corruption, weak institutions, unclear property rights and frequent policy reversals discourage both local and foreign investors. Resources need long-term investment, which comes only when rules are stable.

Syllabus book: Atif F. Qureshi, Pakistan: Manifest Destiny (2009), argues that Pakistan can still fulfil its potential through strong property rights, sound money, rule of law, low taxes and limited government.

Climate change and disasters

Floods, droughts and heatwaves destroy crops, livestock, soil and infrastructure, and glacier melt threatens long-term water supply. Without adaptation, climate change will erode the very resource base on which prosperity depends.

Current reference: The floods of August 2025 killed more than 900 people and displaced about 4 million, destroying crops and livestock (Human Rights Watch, World Report 2026).

4. How Efficient Use Can Make Pakistan Prosperous

Water efficiency and storage

Drip and sprinkler irrigation, lining of canals and watercourses, and realistic water pricing would save a large share of water. New storage, Diamer-Bhasha and Mohmand dams, and smaller dams and rainwater harvesting, would capture floodwater and reduce both floods and shortages.

Modern agriculture

Certified seeds, mechanisation, better extension services and access to credit can raise yields. Corporate and cooperative farming and value-added agro-industry, processing fruit, milk and cotton instead of selling them raw, would raise farm incomes and exports.

Mining with value addition

Transparent contracts, local processing and refining, and a fair share of revenue, jobs and royalties for local communities in Balochistan would make mining both profitable and politically sustainable. Reko Diq, once developed, can show how this model works.

Indigenous energy

Using Thar coal, hydropower, solar and wind instead of imported fuel would cut the import bill, stabilise the rupee and lower power costs. This needs integrated planning across ministries and provinces rather than piecemeal projects.

Syllabus book: Ziad Alahdad, Pakistan’s Energy Sector: From Crisis to Crisis, Breaking the Chain (PIDE, 2012), attributes recurring energy crises to delays, weak implementation and reform reversals, and calls for Integrated Energy Planning.

Blue economy and tourism

Modernising fisheries and processing, developing Gwadar and coastal tourism, and improving roads, hotels and safety in the north could create many jobs. Tourism and the sea are resources Pakistan has barely begun to use.

Policy stability and investment

Investors need a stable, transparent framework that survives changes of government. The Special Investment Facilitation Council (2023) and the Pakistan Minerals Investment Forum (Islamabad, April 2025) are steps in this direction.

Official report / policy: The National Minerals Harmonisation Framework 2025, presented around the Pakistan Minerals Investment Forum (8-9 April 2025), aims to create a one-stop shop for mineral investors, proposes harmonised royalties for the provinces (which control minerals after the 18th Amendment), and protects existing mineral titles.

Natural Resources of Pakistan: CSS 2019 Solved Answer