Tuesday, February 15, 2011

Nepal produces veggies worth Rs 45 billion annually: Report

SANGAM PRASAIN

KATHMANDU, FEB 15 -
Nepal produces vegetables worth Rs 45 billion annually, according to Nepal Vegetable Crops Survey 2009-10. And, Rs 9 billion is invested in vegetable farming every year. The report says that around 70 percent of Nepal’s total household is involved in vegetable farming.

The first of its kind survey reveals interesting facts about vegetable farming in the country—description of vegetable holders, total area for vegetable cultivation, expenditure on vegetable farming, total production and uses of vegetables, and farmers’ access to agricultural services.

The survey carried out by the Central Bureau of Statistics (CBS) with assistance from the Asian Development Bank says that vegetables are cultivated in 232,295 hectares of land in the country.

Terai is the major vegetable growing area with an annual production of 1,437,921 tons, followed by hilly region with 1,261,041 tons. As per the survey, total annual production of vegetables in Nepal is 2.82 million tons. Of the total output, 39 percent (1.10 million tons) is used for household consumption and 61 percent (1.71 million tons) for sale. However, of the total vegetable farmers, only 18 percent are engaged in commercial farming.

In terms of cultivation area, production and value, cauliflower is the number one vegetable crop. A total of 404,580 tons of cauliflower is produced in 33,172 hectares of land in the country. According to the survey, cauliflower worth Rs 6.5 billion is produced annually in Nepal. Other major vegetable crops in terms of production are tomato (317,657 tons), cabbage (302,067 tons), pumpkin (166,424 tons) and radish (164,076 tons).

According to the survey, cauliflower, tomato and cabbage are the major money-spinners among vegetable crops. It says most commonly sold vegetables are cauliflower (339,273 tons), tomato (283,999 tons) and cabbage (269,294 tons). “As cauliflower, tomato and cabbage can be cultivated throughout the year, it is natural that they are the top three vegetables,” said agro-expert Tulasi Gautam.

Although the Terai region produces and sells more vegetables, vegetables grown in hilly region have better value. According to the survey, vegetables produced in hills in a year are valued at Rs 21.79 billion, whereas Terai products are valued at Rs 21 billion. “The reason behind the difference in value is vegetables in hills are produced during rainy reason when prices are relatively higher,” said Gautam. In terms of value, cauliflower tops the chart. It is followed by tomato, cabbage, asparagus bean, cucumber and broad leaf mustard (Rs 2 billion each).

A majority of vegetable farmers in the country are self-financed with only five percent taking loan for vegetable farming. Around 55 percent of the farmers rely on informal sectors for loans.

Among those taking loans, only 24.3 percent take loans from banks. Relatives and friends are the largest sources of loan for the farmers. “Farmers are still relying on traditional loans with high interest rates. This means they are not earning up to their potential,” said Puskhar Bajracharya, a member of the National Planning Commission (NPC). “There is a need for expanding banking services in rural areas to encourage farmers.”

Interestingly, 15.1 percent of farmers have taken loans from co-operatives. It shows that agriculture cooperatives and agriculture and fruits cooperatives are emerging as major sources of financing.

A total of Rs 9 billion is invested in vegetable farming in the country annually. The largest portion of the amount (Rs 2.3 billion; 26 percent) is invested for purchasing organic fertilisers followed by purchase/production of seeds (22 percent) and land preparation (16 percent). The rental cost of land is the highest in Terai, according to the survey.

There are 55 vegetable crop groups identified in the survey. Vegetable farming is slowly emerging as the major source of income for farmers with 12 percent of them saying that income from vegetable farming is sufficient for a year. According to the survey, on an average, five months’ expenditure can be maintained by the income form vegetable farming. The survey revealed that almost half of the vegetable farmers (48 percent) use pesticides (insecticides or fungicides). The use of pesticides was observed most prominently (72 percent) in the Eastern and Central Terai.

According to the survey, organic vegetable farming is still in its nascent stage in the country. Of the total vegetable farmers, only eight percent use organic pesticides, while 92 percent use chemical pesticides. Uttam Narayan Malla, director general, CBS, said the survey will be of a great help for planners, policy makers and researchers for the development of vegetable crops.





Top five vegetable products

Vegetable Production in tonnes

Cauliflower 404,580

Tomato 317,657

Cabbage 302,067

Pumpkin 166,424

Radish 164,076