The economy of Pakistan is largely dependent on agriculture sector which contributes about 21 percent to the GDP and employs about 45 percent of the labor force. Agriculture and agro-based industrial products contribute more than 60percent of the total foreign exchange earnings from export. About 62 percent of the population lives in rural areas of Pakistan and directly or indirectly depends on agriculture for their livelihood (GOP, 2010-11). However, the performance of the agriculture sector is relatively poor and agricultural families have low levels of income. The country is not producing enough commodities like wheat, rice and edible oil etc. to meet even the basic food needs of the population and as a consequence poverty is on the rise, particularly in the rural areas. The food supply and demand gap is large. In order to reduce this gap as well as the poverty in general and rural poverty in particular, agriculture has to grow faster on sustainable basis.