Thursday, July 18, 2013

Government of Nepal has announced budget for fiscal year 2013/14. This year total budget to Ministry of Agricultural Development has almost doubled reaching 21 Arb ( 2100 million NRs ). Some new programs are incorporated whereas most of the programs are continued from earlier years. Here under is budget speech for Agriculture and Irrigation Sector from Honorable Finance Minister Mr Shankar Prasad koirala, as such in his words.
Transformation of Agriculture

79. Marketing, modernization and commercialization of agriculture will be
emphasized in order to increase the production and productivity of this sector.
A 20 year Agricultural Development Strategy and a 10 year food and nutrition
plan will be implemented from the next fiscal year.

80. I  have appropriated Rs. 6.07 billion to provide subsidy for chemical and
organic fertilizer and also for improved seed, technology and mechanization
of agriculture. I have made a provision of 50 percent capital  subsidy  to 13
establish the organic fertilizer factory. I have made arrangement of funds for
the feasibility study of chemical fertilizer factory.

81. I have given continuation to the provision of transport subsidy in seed and
fertilizer to 26 remote food-deficit districts. I believe this provision will
enable the farmers to get fertilizer, seed and technology in time.

82. I  have allocated funds to build the agriculture infrastructure like irrigation,
agriculture roads, energy, processing centre, cold storage, etc., in order to
attract commercial investment in agriculture.

83. I have made provision of Rs. 1.75 billion for agriculture research programme
for coming fiscal year. The agriculture research is expected to directly
contribute to improve agriculture technology, mitigate the adverse effect of
climate change and the use of the local production potentiality.

84. The cattle-shed improvement programme will be expanded to 40 districts with
a view to increase soil fertility through the production and use of the compost
fertilizer.

85. I have expanded the maize production campaign to 16 districts that was being
implemented in the Terai-Madhesh. "Comprehensive Maize Production
Programme" will be commenced in mid-hill districts from next fiscal year.
Under this programme, I have made arrangement to provide 3 hundred power
tillers in 50 percent cost subsidy to the farmer groups and agriculture
cooperatives. I have allocated the necessary budget for this programme.

86. For safe storage of onion, I have made provision of 50 percent capital subsidy
to the private and cooperatives for constructing the ventilated cold storages in
Pathalaiya, Butwal and Nepalgunj.

87. Orange Garden Strengthening Campaign will be implemented in 8 districts of
Western Development Region for the increment of production and
productivity of  orange. Targeted programmes will be implemented for self
reliance in apple, pommegranate, lemon and banana production. I have made
provision of cash subsidy of one hundred to each apple plant per annum for
those farmers who plant and grow apple for 3 years in the districts namely 14
Kalikot, Mugu, Jumla, Dolpa, Manang and Mustang where 'Apple Self
reliance' programme is implemented.

88. I have made provision of budget to cure the disease appeared in cardamom
farming and substitute the garden in Ilam, Panchthar, Taplejung, Terhathum,
Sankhuwasabha and Dhankuta districts to suport the farmers.

89. 'Vegetable Production Pocket Programme' implemented in Terhathum,
Sankhuwasabha, Kavrepalanchowk, Dhankuta, Nuwakot, Sindhupalchowk,
Magdi, Gorkha, Lamjung, Surkhet, Baitadi, Dadeldhura, Dailekh, and Salyan
districts will be expanded.

90. Farmers producing honey will be provided training related to bees, beehives
and beekeeping. I have provisioned the budget for processing, marketing and
production of  CHIURI-honey recognised as the  traditional occupation of
Chepang community.

91. In order to fulfill the commitment of eradication of foot and mouth disease
from SAARC region by 2020, vaccination programme against foot and mouth
disease prevailing in cattles will be expanded.

92. A resource centre will be established and strengthened in order to increase the
commercial production of cows, buffalos, sheep, goats, and pigs. Initiation
will be taken to establish the hybrid cow breeding center in five development
regions in collaboration with the Public, cooperatives and private sectors.
National hybrid cattle campaign will be expanded in 40 districts. Liquid
Nitrogen plant will be established for artificial fertilization in Public
Cooperatives-Private Partnership modality.

93. Forage  Mission Program will be implemented in 25 districts in order to
produce non food based forage. Under this programme, winter, rainy and
multiyear grass will be produced in 7 thousands and 6 hundreds hectors of
land.

94. I have expanded "One Village One Product" program to 32 districts from
existing 21 districts. Similarly, "One District One Product" program, which is
being implemented in partnership of the Government and the private sector,
will be expanded to 15 districts in next FY.

95. Small and cooperative irrigation program will be implemented in all 75
districts. From this, additional 7,842 hectare land will be irrigated. In Mid
hills, 300 plastic ponds will be constructed and vegetable farming program
will be launched through drip irrigation.

96. Subsidy will be made available for fish farmers to construct 3000 fish ponds
in 470 hectares of land in Terai and mid hills. Under this, 180 million fish
fries will be produced and distributed.

97. To attract youth in agriculture commercialization, youth targeted program
including the provision of training, technology and seed money, will be
conducted.

98. Additional 100 agriculture collection centers and wholesale markets will be
established in assigned places for the systematic sales and distribution of
fruits, vegetables and livestock in partnership with cooperatives and
community organizations in the next FY.

99. "Extraordinary Farmers Presidential Award" will be established to give
incentive for extraordinary farmers.

100. To  provide  relief to farmers from the loss due to Bird Flu disease, I have
allocated Rs.50 million to establish Compensation Fund in partnership with
the government and the poultry farmers.

101. Agriculture and Food Security Program will be launched in 19 districts of mid
and far western development regions and Improved Seed Program in Rukum,
Rolpa, Salyan, Pyuthan, Arghakhachi and Gulmi districts for enhancing food
security in those areas.

102. I have allocated Rs. 1.45 billion for Commercialization of Agriculture and
Trade Project. To help in agriculture production, processing and marketing,
subsidy support, based on demand, will be made available for 500 projects.

103. To ensure the rights of consumers to have fresh and nutritious food products,
regular supervision and monitoring activities will be made effective to inspect
food industries, hotels, restaurants and markets.

Irrigation Sector Expansion and Improvement
104. A balanced large, medium and small irrigation programs, will be carried out
for speedy irrigation facility in those agriculture potential lands where
irrigation facility is not available.

105. I have allocated Rs. 200 million for the construction of canals and structures
under the Mahakali Irrigation Project III Phase.

106. I have allocated Rs. 50 million for irrigation sector development of Karnali
Region.

107. For equitable irrigation development, the focus will be  given to the
implementation of small and medium irrigation projects. I have allocated Rs.
880 million in next FY to complete the additional 35 medium projects.

108. Ground water based shallow and deep tube-wells will be constructed and
expanded in those areas of Terai Madhes, dry valleys and Tars where surface
irrigation facility does not exist in arable lands.

109. I have allocated Rs. 500 million for shallow and deep tube wells program. In
next FY, 12 thousands shallow tube wells and 26 deep tube wells system will
be constructed and about 30 thousands additional hectares of land will get
irrigation facility.

110. I have allocated Rs. 440 million for activities such as canal improvement,
operation, land acquisition of Bagmati Irrigation Project.

111. I have allocated Rs. 1.36 billion for Irrigation and Water Resources
Management project. Under this, irrigation management system of 23,100
hectares of land of Kankai, Sunsari-Morang, Narayani and Mahakali Irrigation
projects will be transferred to the Communities. Rest 28 irrigation projects
will completed in next FY.

112. I have allocated Rs. 460 million for rehabilitation of large irrigation projects
and regular maintenance of already constructed projects. I have given
continuity for rehabilitation work of Koshi Pump Canals, Chandra Canals,
Kamala, Narayani and Narayani Lift Irrgiation Projects.

113. I have allocated Rs. 1.77 billion for the river training, landslide management
and watershed conservation projects. By this, construction of 46 Kilometer
embankment of 14  rivers will be completed under people's embankment
program. Works will be continued for river training, landslide management,
watershed conservation of Mugling-Narayanghat and Sindhuli- Bardibas road
corridor and Tar settlement Protection works.

114. I have allocated sufficient budget for reconstruction works in various parts of
the country including Darchula district which are affected by river  erosion,
flooding and landslides.

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Badri Khanal is An Agriculture Economist from Nepal
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