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Government of Sudurpashchim Province

Sudurpashchim Investment and Development Summit

Dhangadhi, Kailali
Latest News

Agricultural Opportunities

Agriculture and Herb

1.    Overview

Sudurpashchim Province, located in the far-western region of Nepal, boasts a diverse topography that ranges from the Terai plains to the Himalayan highlands.  It is predominantly an agrarian society where most of the population depends on agriculture and livestock for their livelihood. The province has a total of approximately 2.69 million households, with around 85 % of households engaged in agricultural activities.

🌾 369,796 hectares of arable land

🚜 318,526 hectares cultivated area (86.13% of total arable land)

🏠  2,694,783 (85%) households engaged in agricultural activities

 🌾    Cultivable Land Availability per Farming Household (hectares): 0.53

 gross, domestic, product, economy, national    Agriculture accounts for 33.4% of the total Gross Domestic Product (GDP)

💧56.43% of the total arable land in the province is irrigated.   56.43% of the total arable land in the province is irrigated.

      31% surplus food grain in agriculture

Food security strategy - availability of food in a country or region, ability to access, afford, and source adequate foodstuff. Conceptual emblem in geometric style      88% Food Security

🛳️    2,028 MT of agricultural products exported (Last FY)

 

2.     Investment/Opportunities

🌱 Establishment of an organic and indigenous seed production and processing plant (14,000 metric tons of millet, 2,780 metric tons of maize are produced every year).

          Integration of Local Agriculture with various Local Economic Programs (School Meal Program)

🌾🏭Establishment of a rice processing plant (Rice is cultivated on 160,000 hectares, producing 59,000 metric tons).

🌾🏭 Establishment of a wheat processing plant (Wheat is cultivated on 160,000 hectares, producing 59,000 metric tons.

 🫒🏭  Establishment of an olive processing plant (for the hilly districts of Bajura)

🌻🏭   Establishment of oilseed farming enterprises (Processing mills for almonds and sunflower)

🐟🏭   Establishment of fish-related industries

      Commercial dear farming

 Juicy Sweet Apples in Woven Basket. Vector Illustration   Establishment of Commercial Fruit Orchards (Walnut, Pecan, Kiwi, Apple, Citrus Fruits)

        Coffee-related enterprise establishment

Flower, Seed, plant Icon      Establishment of a seed processing plant

🧪 Single Super Phosphate (SSP) fertilizer production plant

🏭   Feed Industry Establishment

🐑   Sheep and Chyangra Farming (Meat and Wool Production, Processing, and Marketing

🧀🥛   Commercial Dairy Product Production and Marketing

 🐣  Hatchery Business

🍊 Establishment of Citrus Fruit Processing Industry (Jelly, Juice, and Jam Production Plant).

🌶️ Spice-based Industry (Ginger, Turmeric, Chili).

🍷🍎 Establishment of Wine and Distillery Industry (Apple and Other Fruits)

3. Key Strengths & Untapped Potential

Ø  Olive cultivation and its potential: Olive species are found in the forests of four local levels in Bajura district, covering approximately 250 hectares. There are about 52 to 180 fruit-bearing trees per hectare. According to a study conducted in 2018, around 19,000 hectares in Bajura, 18,000 hectares in Bajhang, and 11,000 hectares in Achham district have been identified as highly suitable land for olive cultivation.

Ø  A multipurpose herbal processing industry based on aromatic oil-producing plants (such as Timur, Jatamasi, Cinnamon, Sugandhawal, Chiuri, Walnut, and Olive) is proposed in Bajhang. The estimated cost of the project is NPR 13.6 million, with an expected annual sales value of herbal products and oils worth approximately NPR 10 million. The industry is projected to provide seasonal employment to around 200 people and permanent annual employment to 25 individuals.

Laws Passed by the Provincial Assembly

🛠️  Cooperative Act of Sudurpashchim Province, 2018 (2075 BS):  Promote, regulate, and strengthen cooperative organizations within Sudurpashchim Province.

🌾🐄 Agriculture and Livestock Business Promotion Act of Sudurpashchim Province, 2019 (2076 BS): To promote, develop, and regulate agriculture and livestock-based businesses in Sudurpashchim Province, enhancing productivity, sustainability, and economic growth in the sector.

🌱     Seed and Planting Material Act of Sudurpashchim Province, 2020 (2077 BS):
To regulate, promote, and ensure the quality of seeds and planting materials in Sudurpashchim Province, supporting sustainable agricultural productivity and food security.

🐄🧀 Dairy Development Board Act of Sudurpashchim Province, 2020 (2077 BS):
To establish and empower the Dairy Development Board for promoting dairy farming, improving milk production, quality, and supporting sustainable dairy industry growth in Sudurpashchim Province.

🐾🩺Animal Development and Animal Health Service Act of Sudurpashchim Province, 2021 (2078 BS): To promote the development of animal husbandry and provide comprehensive animal health services to improve livestock productivity and ensure animal welfare in Sudurpashchim Province.

🏛️  Rules and Formation Orders Approved by the Provincial Government (Council of Ministers):

📋  Cooperative Regulations of Sudurpashchim Province, 2019 (2076 BS):
 
To provide detailed guidelines for the implementation, management, and regulation of cooperative organizations in Sudurpashchim Province, ensuring transparency, accountability, and effective operation.

🌾🐄 Agriculture and Livestock Business Promotion Regulations of Sudurpashchim Province 2022 (2079 BS): To outline procedures and standards for promoting, supporting, and regulating agriculture and livestock businesses to boost productivity, sustainability, and economic development in Sudurpashchim Province.

📊 Strategy Approved by the Provincial Government (Council of Ministers):

🌾 Agriculture Development Strategy of Sudurpashchim Province (2022/23 - 2036/37) (2079/80-2093/94 BS): To guide sustainable agricultural growth in Sudurpashchim Province by improving productivity, adopting modern technologies, ensuring food security, enhancing farmers' livelihoods, and promoting climate-resilient farming practices over the long term.

Agriculture is the mainstay of the Sudurpashchim province’s economy, providing a livelihood for three-fourths of the population and accounting for 32.9% of GDP. Out of the total paddy production in the country Sudur Paschim Province comprises 11.6%. Similarly, 17% of Wheat, 4.2% Maize, 5.5% Buckwheat and 21.9% Barley is produced in the province.

the province is divided into four main regions starting from the high Himalayan Region, Mahabharat region, mid mountains, and plain lands of Teria in the south. The highest peak point of the province is Api Himal (7132 m). Similarly, the lowest elevation of 109 m lies in Kailali district. The province shares an open border of India's states of Uttarakhand and Uttar Pradesh to the west and south, a huge, duty-free market for agricultural products.

Major investment opportunities in agriculture includes following.

  1. Commercial Farming:
    • Large-scale commercial farming of high-value crops like vegetables, fruits, and cash crops.
    • Integrated farming systems that combine crop cultivation with livestock farming.
  1. Organic Farming:
    • Growing demand for organic produce globally presents an opportunity for organic farming in Nepal.
    • Certification and export of organic products can be a lucrative venture.
  1. Agro-Processing:
    • Establishing agro-processing units for value addition to agricultural products.
    • Processing and packaging of fruits, vegetables, and other agricultural products for domestic and export markets.
  1. Dairy Farming:
    • Investment in modern dairy farming practices, including improved breeds, better feed management, and dairy product processing.
    • Establishing dairy processing units for the production of milk-based products.
  1. Poultry Farming:
    • Commercial poultry farming with a focus on egg and meat production.
    • Investments in modern and sustainable poultry farming practices.
  1. Fisheries and Aquaculture:
    • Development of commercial fish farming operations.
    • Investment in sustainable aquaculture practices for both domestic consumption and export.
  1. Technology in Agriculture:
    • Introduction of modern agricultural technologies, such as precision farming and smart farming practices.
    • Investment in agri-tech startups focusing on innovations in crop monitoring, irrigation management, and farm management systems.
  1. Cold Storage and Logistics:
    • Establishing cold storage facilities to reduce post-harvest losses.
    • Investment in efficient logistics and supply chain management for agricultural products.
  1. Rural Tourism and Agro-Tourism:
    • Development of rural tourism initiatives linked to agriculture.
    • Investment in agro-tourism, where visitors can participate in farming activities and experience rural life.
  1. Government Initiatives:
    • Explore opportunities aligned with government schemes and incentives for promoting agriculture.
    • Participation in public-private partnerships related to agricultural development.
  1. Water Resource Management:
    • Investment in sustainable water resource management for irrigation purposes.
    • Implementation of water-saving technologies and practices.