Agriculture is a major sector of the Nepalese economy. It provides employment to about 65 percent of the total population and contributes about 27 percent to the GDP. From this point of view, development of agriculture sector is important for the development of national economy. Therefore, we have the
Ministry of Agriculture and Livestock Development. It has been established with the main objective of
formulating and implementing the policy related to agricultural development in accordance with the
needs and potential of the country.
Its goal is to contribute to food security and poverty alleviation by achieving high and sustainable
economic growth through commercial and competitive agricultural systems. However, without
addressing some important issues, it is not possible to achieve the goal of rapid development in the field
of agriculture and livestock.
Some of the issues discussed in this article are outside the purview of the Ministry of Agriculture and
Livestock Development. In order to make it work, other ministries or the Government of Nepal must
play a leading role.
In order to make a radical change in the agricultural sector in Nepal, there is a provision of 50 percent
subsidy in the electricity tariff used for commercial production of crops including vegetables, fruits, etc.,
including irrigation. However, the Nepal Electricity Authority (NEA) has not provided subsidy to fisheries
as an industry group. As a result, the production cost of fish entrepreneurs and businessmen has
increased and there is difficulty in commercial production.
In order to encourage the fishery business, it is necessary for the Ministry of Agriculture to coordinate
with the Ministry of Finance and speed up revising the procedures related to grants. It seems to be
necessary to work out guidelines and procedures for the grant of agriculture and livestock development
program.
The performance of various offices and farm centers under the Ministry of Agriculture and Livestock
Development is not satisfactory. Organization and management have not been measured and evaluated
according to the federal structure in the ministries and subordinate bodies.
This is affecting the proper management of technical manpower. The organization and management
measurement and evaluation survey should be done immediately, and the ministry should coordinate
effectively with the Ministry of Federal Affairs and General Administration and the Public Service
Commission to fill the vacancies.
Nepal Agriculture Research Council has not been filled for a long time. As there is no amendment in the
regulation of Nepal Agriculture Research Council, the public service has not given approval. Amended
regulations have been submitted to the Ministry by the Council. However, no proposal has been
submitted to the Council of Ministers for amending the regulations.
There is a situation where chemical fertilizers must be imported from other countries through global
tenders, but adequate resources are not being ensured. Another problem is the constant rise in the
price of manure and the limitations of the ports. The budget allocation is increased every fiscal year by
giving priority to the purchase of chemical fertilizers.
Necessary guidelines have been prepared for the distribution of manure in the grant. However, since the
issue of manure management is a national priority, the Ministry of Finance has not ensured timely
supply for supply according to international rates and demand figures. To get rid of this problem, it is
necessary to have a G2G agreement between the two governments.
Fiscal year 2071/72 and 2072/73, the total amount of manure supply and sale distribution was Rs. The
tax arrears have been kept from the big taxpayer’s office saying that the income tax should be changed
in the tax audit of 2075 BS. There is a situation where it is not possible to collect the previous tax and
even go for review.
The bidding does not include the issue of advance deduction when the company imports chemical
fertilizer through global tender. Therefore, a letter has been sent to the Revenue Advisory Committee
and a letter has been sent to the Ministry of Finance. A request has been made to the Ministry of
Agriculture and Livestock Development for a solution.
Even the efforts made for the solution by including it in the fiscal bill do not seem to have paid off. In
such a situation, it seems that the Ministry of Finance should take the initiative to reconcile the arrears
of advance tax on the amount of government grant.
The productive lands of various farm centers including Agriculture Development Farm and Chandra
dangi are being used by other offices and squatters. It is difficult to bring these lands under the Ministry
of Agriculture and Livestock Development as the entire land of the farm is not redistributed.
This situation has arisen due to the inability of the Ministry and the concerned District Revenue Offices
to take the necessary initiative. Despite repeated requests and initiatives from the office and personally,
the problem is still there. For this, there must be a long-term solution to the squatter problem.
Determining and regulating the quality of grains in a timely manner has been challenging. The Grain Act,
2033 and its Rules, 2041 have not been amended. For this, a revised draft of the Act was prepared and
submitted to the Ministry as per the instructions of the House of Representatives, Natural Resources,
Agriculture and Cooperatives Committee.
“The efforts and capacity of the Ministry of Agriculture and Livestock Development alone are not
enough for the development of agriculture and livestock sector. This requires inter-ministerial
coordination. Otherwise, the risk of the country becoming dependent on imports seems to be
increasing.”
This has not been done as the Department of Animal Services should be responsible for the regulation of
grain and animal feed as per the demand and international practice of farmers, businessmen and animal
service workers by timely amendment of the Grain Act, 2033 and its Rules, 2041.
The Pharmaceutical Act, 2035 has made it difficult for agri-entrepreneurs to manage and regulate
livestock medicine and there may be a complex problem of quality production of livestock products and anti-microbial resistance.
Due to lack of amendment in the Medicines Act, 2035 BS, the Medicines Act has not paved the way for
regulation of veterinary medicines. It seems that there should be a timely amendment of the Medicines
Act, 2035 so that the responsibility of regulating the veterinary medicine remains under the Department
of Veterinary Services.
Organizational structure and manpower management is another challenge. The organizational structure
and manpower of the Central Plant Health Laboratory has not been managed yet. After repeated
requests and discussions in the Ministry, the organizational structure has been submitted to the Ministry for necessary action. S.P.S. There is a need to bring separate laboratory organizational structure and
necessary manpower into operation immediately.
Government of Nepal, as per the decision of the Council of Ministers dated 21st Paush 2076. Customs
Department, Customs Inspection Pass Testing Office, two International Customs Offices, 26 Customs
Offices on Nepal-India Border, 9 Customs Offices on Nepal-China Border, one based on Railways. The
organization structure of the customs office as well as 133 small customs offices has been approved.
The last added customs offices are Gautam Buddha Airport Customs Office, Triveni Customs Office and
Darchula Customs Office. Diplomatic initiatives and facilitation are needed for the availability of
agricultural and animal quarantine at additional checkpoints in different parts of the country.
As there is no quarantine office at Chobhar Dry Port, Lumbini and Pokhara Airport, it seems necessary to
establish service as soon as possible. The customs department has been carrying out export and import
work through 38 different customs offices and 133 small customs offices but there are problems in the
service flow as there are only 15 offices in the plant quarantine. Since there are only plant quarantine
offices in limited places, arrangements should be made to set up additional offices and provide services
in urgent places.
Biological security has been directly affected by the importation of various consignments without
quarantine process on public holidays and after office hours. Various customs offices are requesting to
operate the office even on public holidays. However, the office of the Plant Quarantine Office only
provides services from 10 a.m. to 5 p.m. There is a need to add services to the list of essential services.
There is also a difference of opinion regarding the body that pays rent. The Kathmandu Metropolitan
Corporation has written to the Metropolitan Revenue Office to submit the tax on the house restoration
received from the businessmen as per the Income Tax 2058 BS.
Fiscal year 2076/77 and 2077/78, there should be an attempt to solve the problem through interaction
in the presence of the Inland Revenue Office, Kathmandu Metropolitan City, committee officials and
businessmen. The committee needs to get instructions from the Government of Nepal as to which body the house restoration tax should be paid to.
The last installment of the last installment of purchase of land of Chobhar-based Krishi Lime Industry has
not been paid and transfer of ownership by the Government of Nepal. As per the agreement with the
Ministry of Finance, the committee has already paid Rs. 102,12,500 out of the amount of Rs.
Even after the transfer of ownership, there is a situation where the entrant comes to claim the right as the entrant remains. Regarding the payment of the remaining amount of land without ownership
transfer, the Ministry of Finance has been pointing out various fines.
Land and boundary disputes were seen during the construction of the market. No decision has been
taken on the transfer of ownership of the remaining land despite repeated correspondence between the
Ministry of Finance and other agencies. In case of non-transfer of ownership of the remaining land, it seems necessary to take a decision regarding change in tenure and amount, deduction of interest and
penalty amount and compensation.
Due to the fire that broke out in Kalimati Bazaar on 20 Falgun 2068, the committee has requested the
Ministry of Finance to release the remaining installment of land on different dates. The problem persists after the Ministry of Finance replied that it could not be waived.
The above questions show that the efforts and capacity of the Ministry of Agriculture and Livestock
Development alone are not enough for the development of agriculture and livestock sector. This
requires inter-ministerial coordination. The Government of Nepal, the Council of Ministers, and the Prime Minister's Office need to play a similar and leading role. Otherwise, the risk of the country
becoming dependent on imports seems to be increasing.
