Showing posts with label Agriculture. Show all posts
Showing posts with label Agriculture. Show all posts

Saturday, September 19, 2026

Five Solis tractors launched

Kathmandu, Sept. 17

Muktinath Agriculture Company has introduced Solis tractors to the Nepali market on the Bishwakarma Pooja on Thursday.  

The company unveiled five farm tractor models — 4720, 5220, 5720, 5720 4WD and 7020 — at an event held in Birgunj to mark the opening of its showroom. The tractors combine Japanese technology with European design, the company informed in a statement.

Before the formal launch of the product, the company conducted a three-day roadshow in agricultural areas around Birgunj in Madhes Province. "We received positive responses and demand from farmers and businesses during the roadshow, following which we began sales of the tractors across the country," it said.

Muktinath Agriculture has previously introduced agricultural inputs such as fertilisers, seeds and small tools and equipment, as well as new technologies. It has also brought a tracked combine harvester to the Nepali market. The company said the introduction of the tractors marks another step in agricultural mechanisation.

According to it, five Solis models were selected to meet the different agricultural and transportation needs arising from Nepal's varied geography, from the plains to the hills. It said the tractors are expected to help address challenges faced by Nepali farmers, including high production costs, the use of low-quality equipment and labour shortages.

The company said that Solis tractors are known for their engines, operating performance, fuel efficiency and structural strength, according to the company. It will provide sales, spare parts and after-sales services through its branch offices and dealer network across Nepal.

Published in The Rising Nepal on 18 September 2026.    

Saturday, July 25, 2026

PM commits to fix organic certification of agro products

Kathmandu, July 23

Prime Minister Balendra Shah has instructed the concerned government authorities to establish a system within Nepal for the certification of organic agricultural products.

In a meeting with the office-bearers of the Organic Association Nepal, the umbrella organisation representing organic agriculture entrepreneurs, at the Prime Minister's Office on Thursday, he responded to their demands including organic certification and subsidy for it.

During the meeting, the association's representatives pointed out that obtaining international certification for organic products is extremely costly, and urged the government to establish, under its oversight, an internationally recognised certification agency in Nepal.

They also noted that the government's subsidy covering up to 75 per cent of the cost of international organic certification had been discontinued, despite the high cost of the certification process.

"They requested that the subsidy be reinstated. Prime Minister Shah expressed support for continuing the subsidy until an internationally recognised certification agency meeting global standards is established in Nepal," read a statement from the Prime Minister's Secretariat.

He also said the government would take the necessary measures to promote organic agriculture while controlling the indiscriminate use of chemical fertilisers and pesticides.

Responding to the request of the entrepreneurs that the government provide subsidies for the production of organic fertilisers, PM Shah instructed the relevant authorities to introduce support grants for private industries and cooperatives engaged in producing organic fertilisers.

He also expressed support for extending to organic fertilisers the same facilities and incentives currently available for chemical fertilisers, whether for their production or purchase, read the statement.

The Prime Minister further noted that export subsidies for organic products had been suspended for the past two years. He said the relevant ministry was preparing the necessary operational procedures to resolve the issue through appropriate legal measures.

The meeting was attended by association's President Deepak Baskota, General Secretary Shanta Baskota Koirala, other association members, Gorkha Tea Estate Chairman Udaya Chapagain, Himalayan Shangrila Tea Factory Chairman Kamal Mainali, and Annapurna Organic Agro Industry Chairman Parshuram Acharya.

Following the meeting, Baskota said that since the discussions were held in positive manner and PM Shah was sincere, the entrepreneurs were hopeful of positive measures in the days to come. 

Published in The Rising Nepal daily on 24 July 2026.         


Reviving The Potential Underperformer

Tea, one of the most competitive products and potential exports of Nepal, has remained an underperformer for the past several decades. While the government and its agencies have remained mostly indifferent to the plight of developing markets abroad, according to tea entrepreneurs, the private sector has also failed in its strategic planning to diversify markets and make access to sophisticated markets for high-end premium products. 

As a result, Nepal's exports are massively concentrated on India. Nepal exported 11.74 million kg of tea of various types in the 11 months of the current fiscal year 2025/26, and 11 million kg of it was exported to the Indian markets alone, according to the statistics published by the Department of Customs. The rest of about three dozen countries, including Russia, China, Australia, Canada, Germany, France, the Czech Republic, Hungary, Iraq, Japan, Korea, Switzerland, the USA, the United Kingdom, and the United Arab Emirates – contributed only 740 kg. These exports drew Rs. 3.51 billion to Nepal. 

Udaya Chapagain, director of Gorkha Tea Estate and former president of the Himalayan Orthodox Tea Producers Association (HOTPA), said that the country currently produces 27 million kg of CTC, and 6.5 million to 7 million kg is orthodox, bringing the total tea production at about 33.5 million kg.

In FY 2024/25 and FY 2023/24, Nepal exported about 14 million kg of tea each year, with massive concentration to India. "As producers, we have failed to identify, develop and utilise the markets for our tea. Nepali farmers are doomed to sell their high-quality products at a lower rate," said Chapagain. 

Markets with extremely high potentials are in the vicinity. While China is the undisputed largest tea consumer in the world, there is high tea consumption in dry countries like Pakistan and Bangladesh. 

Nepal also has potential to export other top consumers like Turkey, Russia and the United Kingdom. Chapagain said that for Nepal, China is, probably, the best market since it also offers better prices compared to the South Asian nations. 

Entrepreneurs, including the orthodox tea producers, had been long lobbying the government to facilitate Nepali tea to China and promoting the product there, but there has been no progress so far. "The government and bureaucracy are not supportive in this initiative. We have submitted suggestions and demands in written form to the government via the HOTPA, but it was well-ignored," said Chapagain.

 Proven quality

In 2022, Nepal won six gold medals at the Second World Black Tea Quality Evaluation Competition organised in China. The winners from Nepal were Tinjur Tea Farmer Cooperative Society, Gorkha Tea Estate, Farmer Tea Processing Industry, Himalayan Shangrila Tea Producers, Siddha Devi Tea Estate and Kanchanjunga Organic Orthodox Tea Industry. But Nepal failed to use the achievement as an opportunity to expand exports to China and elsewhere. 

This failure from the government has helped to create the crisis situation, like export obstruction to India, as the Tea Board of India implemented mandatory testing of all products instead of samples to be eligible to enter its markets. Nepali tea was long stranded in ports and warehouses while the delayed certification resulted in an increased cost of trade, making Nepali tea less competitive. 

According to Chapagain, government here is mostly reactive and is activated when there is a crisis and takes an indifferent stance when the problem is solved. There have been no long-term initiatives or no development of strategies to position Nepali tea in the international markets. "Chinese tea-lovers have liked Nepali tea. We have found that they like speciality in tea as well", he said. "The government should execute economic diplomacy immediately to help us export high-end tea to China."

He also said that similar initiatives should be launched in Pakistan, Bangladesh, Turkey and in major European markets. His personal initiatives have helped to find markets for Nepal-made tea in European countries; if the entrepreneurs get even a small amount of support in promoting their products in those sophisticated markets, it can directly contribute to the farmers' income, entrepreneurs' profits, employment and national economy. Nepali entrepreneurs also initiated the 'Nepal Tea' trademark to implement collective branding and marketing, but since it was coldly received by the government and diplomatic missions, progress is not encouraging. 

Support to the farmers

Chapagain said that the tea promotion at the domestic front should begin with financial and technical support to the tea-producing farmers who are the foundation of the industry. According to him, Nepal should immediately provide subsidies on inputs and technology and subsidised loans to the tea farmers.  It is necessary to enhance their capacity and maintain the expected quality in the product. The Uttaranchal state of India followed a similar strategy, and now it has surpassed Darjeeling, the historical base of quality tea in India, in tea production. 

Gorkha Tea Estate has trained and supported more than 350 farmer families in producing quality organic tea. The company invests about Rs. 4 million in maintaining the quality to obtain and sustain the organic certification from the international regulatory bodies. It is certified by five quality organisations in Asia, Europe and America. 

The second step is to upgrade the Department of Food Technology and Quality Control (DFTQC). Despite an agreement between Nepal and India to upgrade the laboratory at the DFTQC, progress couldn't be made. Obtaining international/global accreditation for the DFTQC could solve half of the problems since the products certified by the domestic lab could be accepted by the international markets and regulatory bodies. Recent export glitches could also have been resolved had the country had an internationally accredited lab. 

Getting organic certification is also equally important for markets like Europe and Japan, said Chapagain, who exports about 40 tonnes of high-end organic tea under the 'Sundarpani' brand to countries like Germany. 

Tea evolution in Nepal

It's been 163 years since the first tea plant was planted in Nepal. Now commercial tea plantations are spread across about 21,000 hectares in 32 districts, with the eastern region becoming a leader in the production of both CTC and orthodox tea. When the then Prime Minister Jung Bahadur Rana brought tea seeds from China in 1863, he ordered his son-in-law, Governor of Ilam Gajraj Singh Thapa, to plant the seeds in Ilam, thus creating the first tea estate in the country – the Ilam Tea Estate. 

The period coincides with the launching of tea production in Darjeeling, across the border in India, where the climate was similar to that of Ilam. Tea connoisseurs say that the taste and flavour of the tea from Ilam and Darjeeling are identical. 

With the dawn of democracy in 1951, the first privately owned Budhkaran Tea Garden was established in the Jhapa district, while the government instituted Nepal Tea Development Corporation (NTDC), a profit-oriented business company, in 1966. For several decades, Nepal lacked a tea processing plant, and green tea leaves had to be sold to the factories in Darjeeling. The first processing plant in Nepal was established only in 1978. During the 1978-1988 decade, NTDC launched several programmes to encourage small farmers to engage in tea cultivation, which ultimately established the tea industry as a profitable enterprise, according to the National Tea and Coffee Development Board (NTCD). 

In 1982, the government declared Jhapa, Dhankuta, Terhathum, Panchthar and Ilam tea zones. While the tea plantation area in Nepal has dropped to 21,000 ha in 2023/24 from about 29,000 ha in 2018/19, production has gone up to 27 million kg from 25.20 million kg.   

Published in The Rising Nepal daily's Friday Supplement on 17 July 2026.         


Agri mechanisation expo in November

Kathmandu, July 19

The International Agricultural Mechanisation Expo 2026 is set to be held in Kathmandu from 20 to 22 November.

It is an agricultural mechanisation exhibition aimed at promoting the modernisation, mechanisation and commercialisation of Nepal's agriculture sector, said the organisers. This year's expo will bear the theme 'Machinery and technology in agriculture: Prosperity for farmers and the nation', and stall bookings opened on July 17.

It is being jointly organised by the Agricultural Infrastructure Development and Agricultural Mechanisation Promotion Centre

Sunita Nhemaphuki, Vice-President of the NAMEA and a central executive member of the Federation of Nepalese Chambers of Commerce and Industry, said the exhibition is expected to bring together more than 100 national and international exhibitors.

More than 200 stalls will be set up, displaying over 2,000 types of modern agricultural tools, machinery, equipment and technologies from around 10 countries.

According to the organisers, members of the association, as well as companies participating under the 'Made in Nepal' and 'Make in Nepal' initiatives, will receive special concessions on stall bookings to encourage domestic production.

The exhibition will feature machinery and technologies related to modern farming, livestock production, aquaculture, floriculture, commercial vegetable cultivation, modern irrigation systems, post-harvest technologies, agricultural processing and marketing, along with improved seed varieties. National and international manufacturers and suppliers have confirmed their participation.

Published in The Rising Nepal daily on 20 July 2026.         


Wednesday, May 6, 2026

SALICO launches index-based milk insurance scheme

Kathmandu, Mar. 25

Sagarmatha Lumbini Insurance Company (SALICO) Limited has launched an index-based milk production insurance policy to protect farmers from potential losses in milk yield of cows and buffaloes caused by rising temperatures.

The new insurance product is launched in technical collaboration with PlantSat, a technology-based Nepali digital insurance company.

The company said in a statement that the policy will be calculated based on daily maximum temperatures recorded over a 150-day period, from the fourth week of April to mid-September this year.

The insurance is based on heat stress caused by temperature increases and specifically covers reductions in milk production.

CEO Chanki Chhetri said the scheme targets cattle farmers, groups and cooperatives in Kanchanpur, Kailali, Bardiya, Banke, Dang, Kapilvastu and Chitwan districts. The policy is structured around predefined temperature thresholds.

So far, a total of 1,627 cows and buffaloes owned by farmers affiliated with various cooperatives and groups have been enrolled in the scheme. The policy has been approved by the Nepal Insurance Authority (NIA) and reinsured through Nepal Reinsurance Company (Nepal Re).

Suman Ghimire, founder and CEO of PlantSat, said compensation will be provided only when actual temperatures exceed the predefined threshold based on recorded data.

The policy uses an index-based trigger system to determine eligibility for claims, enabling a transparent and faster claims process, according to agriculture department head Umesh Dhakal.

Official temperature data from the Department of Hydrology and Meteorology Nepal will be used. Once the trigger level is reached, the insurer will initiate the claims process. Claims department head of the company Subhash Dixit said payments will be made electronically directly into the beneficiaries’ bank accounts within seven days of receiving the index data from the relevant authority.

Published in The Rising Nepal daily on 26 April 2026.         

Saturday, April 18, 2026

Governments stress inter-provincial cooperation in agriculture sector

Kathmandu, Apr. 12

Provincial officials have said that the sub-national governments are struggling to achieve development targets in agriculture amidst lack of budget and human resource crunch, and pragmatic planning.

Speaking at an interaction on 'Interprovincial relation and cooperation in agriculture sector' organised by Federalism and Localisation Centre (FLC) in Lalitpur on Sunday, they stressed on integrated planning, resource mobilisation and market development for agricultural produces.

Keshav Devkota, Joint Secretary of the Ministry of Agriculture and Livestock Development (MoALD), said that roughly 60 per cent of the budget allocated for agriculture is spent on fertilizer.

While development work should be executed in coordination among the three levels of the government, some programmes at province-level are merely copied from federal plans without context-specific customisation.

"The main challenge is one of decreasing resources paired with an increasing number of institutions," said Devkota.

Hari Prasad Pandit, Senior Agriculture-Economic Expert and head of Planning Department in Lumbini Province, shared that despite agriculture being a priority, Lumbini Province has only 38 per cent staff recruitment of the total required staffs.

The provinces receive less than 9 per cent of the total budget, while the federal government spends heavily on fertilisers. Investment in agriculture has declined by 3.46 per cent this year, with uneven provincial allocations.

Pandit said that the absence of a Federal Agriculture Act has stalled provincial and local legislation, caused audit biases and forced Lumbini to seek a grant act instead. The lack of expertise also causes problems. For example, in Lumbini Province, a cold store built for orange failed as the facility was suitable for potatoes only.

The produces kept rotting for three years. Meanwhile, given the huge electricity bills the farmers are not willing to use the cold store which requires 100 per cent electricity subsidy, said Pandit.  

Minister for Agriculture and Livestock Development Minister of Bagmati Province Madhusudan Poudel appreciated the achievements of provinces in agriculture sector.

“Agriculture is critical for local employment, yet Nepal faces the challenge of cheap cross-border products undercutting high-cost domestic agricultural production," he said.

While Bagmati Province has banned plastic flowers and runs a cold store, the federal government continues to buy milk from India despite an existing local powder plant. "To address these issues, the federal government should subsidise the electricity bills of cold store and prioritise preserving and utilizing national production," said Minister Poudel.

Likewise, Manjari Shakya Bajracharya, Deputy Mayor of Lalitpur Metropolitan City, said that the governments must take integrated data seriously, reduce legal hurdles, protect agricultural land, stop using fertilisers that developed countries discard.

Arjun Dev Jnagwali, Agriculture Extension Officer, Ministry of Land Management, Agriculture and Cooperative Development of Gandaki Province, said that the technical staffs are acting as administrative.

Dr. Khim Lal Devkota, Chair of FLC, presented a paper highlighting the significance of interprovincial learning and cooperation in agriculture sector.

Published in The Rising Nepal daily on 13 April 2026.       

Thursday, January 15, 2026

SKBLBS to offer 14.25% bonus shares to shareholders

Kathmandu, Jan. 10

Sana Kisan Bikas Laghubitta Bittiya Sanstha Limited (SKBLBS) has decided to distribute a 14.25 per cent bonus share to its shareholders.

The decision was made by the microfinance's 24th Annual General Meeting (AGM), held in Kathmandu on Friday.

The meeting approved a proposal to provide shareholders with a 14.25 per cent bonus share as a return on investment, along with a 0.75 per cent cash dividend for tax purposes. The institution also reaffirmed its commitment to further expanding its business in the coming days in order to deliver higher returns.

The financial institution has 1,463 partner organisations affiliated across 546 local levels in all 77 districts of the country. These affiliated cooperative institutions have mobilised and utilised internal capital amounting to Rs. 88.84 billion. By the end of the fiscal year 2024/25, the institution had successfully extended microfinance services to a total of 941,731 small farmer households.

Of these, Dalits account for 10.92 per cent, ethnic communities 42.21 per cent, and others 46.87 per cent, while women’s participation stands at 82 per cent, the institution claimed.

In fiscal year 2024/25, Sana Kisan's paid-up capital reached Rs. 4.31 billion, while total assets stood at Rs. 41.50 billion. Chief Executive Officer Bashu Adhikari said that earnings per share of the company stood at Rs. 20.29, book net worth per share at Rs. 239.38, return on total capital at 8.48 per cent, the price–earnings ratio at 43.40, and the capital adequacy ratio at 16.02 per cent.

He added that by mid-July 2025, the institution had invested Rs. 23.01 billion and recovered loans worth Rs. 24.84 billion from its affiliated institutions, while outstanding loans amounted to Rs. 35.90 billion.

With loan support from the government, the institution has been implementing a concessional livestock and vegetable farming credit programme for the past 15 years.

Under this programme, by the end of fiscal year 2024/25, it had targeted investments of Rs. 18.38 billion in meat and dairy-based livestock farming for 169,500 farmers, and Rs. 2.22 billion in vegetable farming loans for 17,500 farmers.

In practice, loans amounting to Rs. 43.80 billion were disbursed to 285,372 farmers for livestock farming, and Rs. 3.09 billion to 18,102 small farmers for vegetable cultivation. Through these investments, farmers have reared 1.78 million livestock—including goats, pigs, buffalo calves, buffaloes and cows—and cultivated vegetables on more than 10,000 bighas of land.

Published in The Rising Nepal daily on 11 January 2026. 

Thursday, January 1, 2026

Prixa acquires Dailo Krishi

 Kathmandu, Dec. 28

To make Nepal’s agriculture and food system more reliable and secure, technology company Prixa has acquired Dailo Krishi. With this move, Prixa has announced that it will develop a system through which consumers will be able to easily know where vegetables, fruits, and food grains were produced and how they reached them from the farmer, it informed in a statement on Sunday.

According to Prixa’s CEO, Manish Sharma, there is a significant lack of trust in Nepal’s food sector. “Trust in what we eat is the most important thing,” he said. He also noted that the company is working by viewing Nepal not merely as a market, but as a laboratory for developing new systems.

Dailo Krishi is a platform that has been delivering fresh and certified agricultural produce directly to consumers’ homes in collaboration with farmers and cooperatives. Under the leadership of its founder, Dhiraj Chapagain, Dailo Krishi has been working on traceability systems that clearly identify the source of production.

Prixa said that after acquiring Dailo Krishi, it does not plan to immediately change the brand name or pursue aggressive expansion. Instead, it will focus on the long-term development of a trustworthy, transparent, and sustainable infrastructure in the agricultural sector. 


Sunday, August 24, 2025

Sixth agricultural mechanisation exhibition to be held from Nov 27

Kathmandu, Aug. 19

Kathmandu is all set to host the Sixth National Agricultural Mechanisation Exhibition 2025 at Bhrikutimandap Exhibition Hall from November 27 to 29.

The three-day event is being jointly organised by the Centre for Agricultural Infrastructure Development and Mechanisation Promotion under the Department of Agriculture, Ministry of Agriculture and Livestock Development, and the Nepal Agricultural Machinery Entrepreneurs’ Association (NAMEA).

Themed 'Mechanisation and Technology in Agriculture: Prosperity for Farmers and the Nation', the exhibition aims to promote modern farming practices, industrialisation and commercialisation in Nepal’s agriculture and livestock sector, the NAMEA informed in a statement.

Around 150 exhibitors representing domestic and international producers, importers, distributors, service providers and educational institutions are expected to show their products and services. "Over 2,000 varieties of machinery, tools and technologies related to agriculture, livestock, fisheries, floriculture, vegetable farming, irrigation, post-harvest management, processing and marketing will be showcased," read the statement.

NAMEA said that the exhibition is designed to create a single platform where farmers, entrepreneurs, cooperatives, researchers, policy makers and consumers can learn about modern equipment, services and innovations. It also seeks to strengthen linkages between agricultural entrepreneurs and consumers, raise awareness about commercial farming systems, and highlight investment opportunities in mechanised agriculture.

Since its inception in 2013, five national agricultural mechanisation exhibitions, one regional exhibition and one international agritech fair have been organised. The organisers expect that this year’s event will further expand the market for agricultural technology and encourage greater collaboration among stakeholders.

Entry to the exhibition will be free for visitors, including farmers, cooperatives, students, researchers, businesspeople, and members of the general public. The organisers expressed confidence that the exhibition will not only provide farmers with access to new technologies but also contribute significantly to Nepal’s goal of modernising and commercialising its agriculture sector.

Published in The Rising Nepal daily on 20 August 2025. 

Wednesday, July 9, 2025

Dr. Khatiwada calls for dedicated financial for agriculture

  

Kathmandu, July 7

Economic Development Advisor to the Government of Nepal, Dr. Yuba Raj Khatiwada, has emphasised the need for a specialised financial institution for the development and transformation of the agricultural sector.

Speaking at the 24th anniversary programme of Sana Kisan Bikas Laghubitta Bittiya Sanstha Ltd. (SKBBL) in Kathmandu on Sunday, he said that a dedicated financial institution is essential to carry out focused activities for the expansion and progress of agriculture.

He highlighted the important role played by the SKBBL in involving small farmers in agriculture, livestock, and income-generating activities. He warned that microfinance institutions would not be sustainable in the long term if they failed to align their programmes with enhancing production among members.

"It is not enough to just provide loans; institutions must also ensure that the investments generate income for their members," he said while praising the efforts of Sana Kisan as a model in this regard.

Dr. Khatiwada, who had also served as the Finance Minister and Governor of the Nepal Rastra Bank, said that due to effective utilisation of government support, the SKBBL had gained the trust of international agencies as well.

Referring to Nepal’s potential for enterprise and income generation through agriculture and livestock, he stressed the need to shift from individual to group-based production and earnings.

Likewise, he noted that there is already a market in third countries for Nepal’s meat products, including buff and pork, and that encouraging farmers to produce healthy livestock with guaranteed market access could raise their income levels.

“For that, we need specialised programmes and financial institutions. Sana Kisan has made progress in this direction and should continue to do so,” he said.

Dr. Khatiwada also recommended that alongside linking members to production and market access through agricultural cooperatives, more efforts should be made in storage, processing, packaging, and branding to further boost income levels.

He raised concerns over the increasing trend of mismanagement in savings cooperatives and small financial groups due to their failure to operate according to cooperative principles. However, he expressed confidence that the problem will gradually be resolved.

As opaque financial activities became more prevalent, the Bank and Financial Institutions Regulation Department of the NRB introduced and enforced the 'Guidelines and Standards for Savings and Credit Cooperatives, 2081', which went into effect on April 3, 2025.

Speaking on the occasion, Chairperson of the institution, Khem Bahadur Pathak, said that poor institutional governance had bred challenges within the cooperative sector.

According to him, the SKBBL has been working with 1,710 partner organisations across all 77 districts, serving 8.8 million members from 2.2 million households. Its focus areas include wholesale lending, capacity building, technology transfer, and youth entrepreneurship.

Similarly, SKBBL's CEO Dr. Shivaram Prasad Koirala, said that honest leadership in cooperatives and microfinance institutions ensures operations run smoothly. He claimed that even during challenging times, small farmer agricultural cooperatives have demonstrated notable performance in terms of transparency, resilience, and member benefit, including liquidity and profit distribution.

The Small Farmers Development Programme began in Nepal in mid-1970s. From 2001, it is being operated as a microfinance institution. Previously, it was registered as the Small Farmers Development Bank.

The institution currently has a paid-up capital of Rs. 4.31 billion including 38.9 per cent from the banks and financial institutions, 27.45 from small farmers cooperatives, 2.36 per cent from international financial institutions, 30.06 per cent from general public and 1.23 per cent from others.

The SKBBL is currently in partnership with 902 small farmer cooperatives and 808 other cooperatives and microfinance institutions.

Published in The Rising Nepal daily on 8 July 2025.   

Sunday, June 22, 2025

Potato processing industry runs with Rs. 2 billion investment

Kathmandu, June 21

First Choice Foods Pvt. Ltd. has established a European-technology-based modern potato processing industry in Siddharthanagar Rural Municipality of Rupandehi District.

The Rs. 2 billion facility spans approximately five bighas with a 60,000 square foot industrial building, Executive Chairman of the company Krishna Prasad Poudel informed at a programme organised to launch the product of the company in Lalitpur on Thursday evening.

Deputy Prime Minister and Finance Minister Bishnu Prasad Paudel launched the products of the company. He expressed hopes that the products of the company would find their ways to the international market.

"It's a matter of happiness that the industry is supporting farmers and investing in agricultural research," said DPM Paudel.

The company produces world-class frozen potato products, including French fries, and has plans for potato tikki, burger patties, smileys, and hash brown potato wedges.

"First Choice Foods has obtained BRCGS international quality production certification, a standard in food safety and quality. The company is registered with the US FDA and is exporting to the Indian market," said Poudel.

The company also has plans for export to the United States, Dubai, Malaysia, and Saudi Arabia are in preparation.

Over the past five years, First Choice Foods has invested in research for processing-grade potatoes in the Tarai, hilly, and Himalayan regions. This year, the industry purchased approximately 2,000 metric tonnes of potatoes from farmers. The company is currently producing potatoes through thousands of farmers in 19 districts, including Kailali, Nawalpur, Sindhuli, and Kavrepalanchok.

First Choice Foods has received approval from the government for potato research and development and seed potato production.

According to Poudel, the company's team includes potato crop specialists, food scientists, potato disease experts, engineers, and chartered accountants.

The company aims to connect Nepali farmers to the market, balance agriculture and technology in Nepal, and establish 'Made in Nepal' as a respected global brand. First Choice Foods has initiated training for technical personnel in Frozen Potato Processing in Nepal.

However, the company faces challenges from low-quality imports, market perception of Nepali products, and illegal French fry imports, as well as policy-related issues.

It intends to provide Nepali consumers with healthy, safe, and internationally standardised potato products. The company markets its products under the "Himalayan Crisp and Hamro Fries" brands.

The company's products are distributed in major cities such as Kathmandu, Pokhara, Chitwan, Butwal, Itahari, Dang, and Nepalgunj through five distributors, 12 chain restaurants, 150 suppliers, over 400 restaurants, and 171 modern marts.

In the international market, Pal Frozen Group in Uttarakhand, India, is distributing First Choice Foods' French fries. 

Published in The Rising Nepal daily on 22 June 2025. 

Tuesday, June 17, 2025

Falfruits envisions new venture in fruit industry

Kathmandu, June 11

What began with just Rs. 1,200 and a bicycle 24 years ago has now grown into a thriving entrepreneurial journey.

Agni Kandel, Director of Falfruits Pvt. Ltd., is leading a new startup venture in Nepal’s fruit industry, turning a modest beginning into a fast-growing business that is empowering farmers, fruit vendors, and families across the Kathmandu Valley.

A team of traders and chartered accountants have joined him to launch the first outlet of fruits and juice at the Soaltee Mode in Kathmandu and plan to expand it across the country.

With the vision of mobilising small capital for big change, Kandel has built a strong community of fruit vendors, creating a ripple effect of economic benefit for dozens of families. "Our aim is not just profit but promoting farmers and building an ecosystem around agricultural entrepreneurship," he said.

A core aspect of Falfruits’ model is training farmers in fruit grading and packaging, helping them meet market standards and counter negative perceptions about Nepali produce. “Every time Nepali fruits reach the market, rumours fly about pesticides and poor quality. We are working to change that with transparency and training,” he explained.

These initiatives are the future plans of the company.

In a move that blends grassroots effort with corporate discipline, Falfruits is receiving crucial support from Tika Karki, a Chartered Accountant. “We’re creating a fusion — a business with a corporate structure grounded in family affiliation and community trust,” Karki added. From inventory management to expansion planning, the partnership aims to scale the business without losing its human touch.

Falfruits is set to launch an ‘outlet concept’ across the country, including fruit cafes that combine health, convenience, and community. Each outlet, with an investment of Rs. 1 million, is expected to create at least five jobs.

The company aims to create 50 outlets in the next five years.

Falfruits also plans to run e-commerce venture to supply fruits and processed products.

It is also planning to collaborate with nutritionists and doctors to promote healthy eating habits and provide guidance to customers.

As the company grows, Kandel remains focused on his original goal to uplift Nepali farmers and prove that even the smallest seed of capital can grow into something extraordinary.

Published in The Rising Nepal daily on 12 June 2025. 

Sunday, June 1, 2025

Technology, research key to become self-reliant in potato

Kathmandu, May 31

Stakeholders have pointed at the need to expand research, technology transfer and farming know-how and create sustainable value chain to make the country self-sufficient in potato production.

Speaking at the Second Potato Summit 2025 organised in Kathmandu on Friday, they stated that Nepal should reap benefits from the research for the varieties with high productivity potential and disease as well as climate change resistance is going on across the globe.

Varieties that can cope with the climate change scenario, survive in waterlogged situation and poor water availability are also being developed in India and China.

Potato is one of the primary agricultural and food commodities in Nepal and elsewhere with high demand for domestic as well as industrial uses. With the growing demand for chips, fries and many other varieties of industrial productions, demand for potatoes has also increased.   

The Summit, jointly organised by the Nepal India Chamber of Commerce and Industry (NICCI), the Ministry of Agriculture and Livestock Development (MoALD) and Food and Agricultural Organisation (FAO), aimed at enhancing seed value chain efficiency, optimising potato value chain, promoting potato processing and value addition and facilitating private sector engagement. 

Yubaraj Bhusal, Senior Potato Scientist, said that Nepal should focus on the research of variety of potatoes while informing that the NARC has developed 15 varieties, of which five have been registered. "Those new varieties of potatoes are drought- and disease-tolerant and have high production potential," he said.

Likewise, Santosh Dahal of Ficus Biotech suggested the policymakers and stakeholders to start planning or developing policies and new technologies such as aeroponics and hydroponics. "We need research facilitation, policy support and technology transfer to develop this sector," he recommended.

Ken Shimizu, FAO country representative for Nepal and Bhutan, stressed on better seed management system and coping with the climate change impacts.

He also suggested economic zoning and modeling, contract farming, cold storage facility and encouragement to farmers from the government for better production of potato.

Nepal has taken potato seriously from the perspectives of food security and nutrition. Its production is prioritised by the Prime Minister Agriculture Modernisation Project (PMAMP) while research and infrastructure has also been promoted, said Agriculture Secretary Govinda Prasad Sharma.   

Minister for Agriculture and Livestock Development Ramnath Adhikari said that productivity of potato should be increased with the application of modern seeds, technology and farming style.

We have preserved some local varieties of potatoes. "Two super zones and 17 zones are being promoted for potato production under the PMAMP. Indigenous potato farming and production is promoted in eastern hill districts," said Minister Adhikari.

He pointed to the need for quality cold storage facilities to support farmers as well as the industries to preserve the produce throughout the year and maintain steady supply in the market. However, the government could not clear the dues generated by the subsidy programmes to the cold storages.

Potato is a crop of family's self-reliance on food and about 90 per cent of the demand in Nepal is met by domestic production.

Published in The Rising Nepal daily on 1 June 2025. 

Saturday, April 19, 2025

PM Oli stresses on sustainable agricultural modernisation

Kathmandu, Apr. 15

Prime Minister KP Sharma Oli has stressed the urgency of agricultural modernisation, regional cooperation, and sustainable environmental practices, while warning against populist anarchy and regressive political tendencies that threaten democratic progress.

Speaking at the Second South Asian Farmers’ Federation Conference in Kathmandu, Oli said that Nepal and much of South Asia remain trapped in a ‘transitional phase’, where feudal remnants and outdated mentalities still linger despite dramatic social and political shifts.

“Colonialism is over, feudalism is nearly gone but their shadows remain. We must overcome these remnants to move forward,” he said.

Highlighting the contradiction between Nepal’s demographic and economic realities, Prime Minister Oli noted that over 60 per cent of Nepal’s population is engaged in agriculture, yet its contribution to the national economy remains disproportionately low. He called this ‘a matter of grave concern’ and stressed the need for mechanisation, commercialisation, and proper market access for farmers.

“Agriculture feeds us all, and it is the most essential profession, yet it has been neglected,” PM Oli said.

He drew attention to Nepal's growing reliance on food imports, describing it as a painful shift from its past as a food-exporting and self-sufficient nation. “We are importing food in a country once known for agricultural exports. This is unacceptable and must change,” he stated.

According to PM Oli, without modernising agriculture, the development of agro-based industries and the creation of jobs would remain limited. The lack of employment opportunities has led to a wave of outward migration, with young people leaving not just rural areas but the country itself. “It’s not just about joblessness; even those with jobs can’t sustain a living, which forces them to seek better lives abroad,” he said.

The Prime Minister also addressed the rise in dissatisfaction and populist sentiments across the region, criticising what he described as ‘anarchic elements’ who reject democratic processes and constitutional governance.

“They don’t believe in democracy or elections, yet they want to capture power from the streets,” he warned, arguing that such groups lack popular support and exploit public frustrations.

Likewise, speaking on environmental concerns, PM Oli emphasised the dangerous consequences of unchecked carbon emissions, open burning of crop residues, and rampant forest fires, particularly in the Kathmandu Valley.

He linked these practices to rising pollution levels, glacier melt, and disrupted ecosystems and called for a regional effort to combat climate change. “From Iran to Gujarat to Bangladesh, what happens in one place affects us all. We need joint action,” he said.

Similarly, PM Oli urged farmers to adopt sustainable practices, such as using crop residues as fertiliser rather than burning them, and highlighted the role of agriculture in combating climate change. “We are the custodians of the earth. Farmers feed the world, often silently, so we must empower them,” he said, adding that healthy food should nourish people, not just fill stomachs.

He also encouraged the South Asian farming community to formulate policies tailored to their local contexts, share best practices, and commit to a united agricultural vision. “Let us not merely gather to speak but to act. Let the Kathmandu Declaration become a serious document no one can ignore,” he said.

Published in The Rising Nepal daily on 16 April 2025.       

Saturday, April 12, 2025

Nepal-China collaboration in tech-transfer stressed

 Kathmandu, Apr. 11

Private sector and expert on Nepal-China relations have emphasized on enhanced cooperation and collaboration between the two countries in technology transfer especially in agriculture and tourism.

Speaking at the ‘Nepal–China Economic and Business Summit 2025’ held in Kathmandu on Friday, they suggested that both the government and private sector of the two neighbours should play proactive role to strengthen the economic cooperation in the rapidly changing scenario.

Former Prime Minister and Senior Leader of CPN (Unified Socialist), Jhala Nath Khanal, said that Nepal can learn and benefit immensely from the advancement and innovation achieved by China in various business, social, technological and economic sectors.

"We must not doubt the good relations between the two countries. It will be further refined and advanced in the days to come with more cooperation in multiple sectors," he said, "But we have not been able to exploit the immense benefits that could be made from the bilateral cooperation."

Leader Khanal called for facilitation at the immigration and customs as well as at tourism destinations in Nepal in order to attract more Chinese tourists.

According to him, Nepal should start with the transfer of agricultural technology and innovations from China to increase the productivity in agriculture. "It will help us to substitute the imports and increase exports of agricultural products which will benefits the producers, processors and exporters," he said.

Former Finance Minister and Vice-Chairman of CPN-UML, Surendra Pandey, emphasized the need to to create an environment for tourism exchange with China in order to strengthen Nepal's fragile economy.

According to him, if an environment can be created to attract five million Chinese tourists to Nepal annually, the country’s economy would be significantly strengthened in a short period, resulting in substantial changes to the GDP.

He also said that Nepal should move forward by capitalising on its domestic production and that a strong economy cannot be built solely on donor assistance without becoming productive.

Stating that China has significant role in the development of various sectors in Nepal, including the economy, he said that Nepal has always remained steadfast in its support of the ‘One China’ policy.

Published in The Rising Nepal daily on 12 April 2025.       

ADB forecasts 4.4% growth for Nepal in current fiscal year

Kathmandu, Mar. 9

Nepal’s economy is anticipated to grow by 4.4 per cent in the current Fiscal Year 2024/25, up from an estimated growth of 3.9 per cent in FY 2023/24, the Asian Development Bank (ADB) reported in its Asian Development Outlook (ADO) April 2025.

“Nepal’s improved growth forecast is being spurred by a gradual recovery of domestic demand, addressing of reforms in the private sector, and further revitalisation of tourism and related services,” said ADB Country Director for Nepal, Arnaud Cauchois.

According to him, key economic sectors, such as manufacturing and construction, which contracted in 2023/24, will expand this fiscal year owing to stable oil and raw material prices, increased liquidity, and declining interest rates, which have paved the way for increasing credit to all production sectors.

Gross domestic product (GDP) growth is forecasted to reach 5.1 per cent in the next fiscal 2025/26, fueled by government reforms to improve capital budget execution, advancements in tourism and related services, and enhanced agricultural productivity through mechanisation and better irrigation systems, contingent on a favourable monsoon.

Likewise, inflation is expected to moderate this and next year. The inflation forecast is expected to remain within the central bank’s ceiling, assuming a normal harvest and a modest decline in inflation in India, the major source of imports, read the report.

“Nepal’s external sector gained stability in 2023/24 with higher foreign exchange reserves and a prudent monetary stance. Despite higher imports in the latter half of 2024/25, strong remittance inflows are expected to keep the current account surplus at 0.1 per cent of the GDP,” according to the ADB. Next year, a deficit equal to 2.4 per cent of GDP is projected as goods and services imports accelerate.

Likewise, risks to the outlook tilt to the downside.

The multilateral donor said that ongoing tariff rises may cause a global economic downturn, affecting Nepal’s tourism receipts and remittances, and lower foreign aid could negatively impact growth as the country relies on foreign aid to finance development needs. Under-execution of the capital budget would also dent growth prospects.

The growth forecasts were finalised prior to the 2 April announcement of new tariffs by the US administration, so the baseline projections only reflect tariffs that were in place previously, maintained the ADB. However, the report does feature an analysis of how higher tariffs may affect growth in Asia and the Pacific.

Published in The Rising Nepal daily on 10 April 2025.      

Tuesday, March 25, 2025

Chefs Kandel, Khadka launch Nepali Cuisine Promotion Campaign

Kathmandu, Mar. 24

The Nepali Cuisine Promotion Campaign in coordination with farmers and the hospitality industry organised a food-tasting event Bhojanlipi-Swad in Kathmandu on Monday.

The campaign aims to establish direct contact with farmers and transform their produce into delicious dishes served in major cities across the country. The initiative also ensures that people can enjoy these meals either at hotels and restaurants or in the comfort of their own homes, said chefs Ghanshyam Kandel and Durga Bahadur Khadka.

The event held at the Hotel Himalayan Suite in Kathmandu, marked the official launching of the Campaign.

Talking to journalists after tasting the indigenous food prepared with multiple fusions, Minister for Agriculture and Livestock Development, Ramnath Adhikari, expressed the government's commitment to fully supporting the marketing of Nepali produce and cuisine.

At the event, a variety of dishes were prepared using fresh agricultural produce sourced from districts such as Ilam, Dhanusha, Sarlahi, Chitwan, Nawalparasi, Rolpa, Baglung and Jumla.

The Campaign promises to bring fresh agricultural produce from almost all regions of Nepal to Kathmandu and take it to the international markets.

The campaign coordinator, Amrit Sapkota, said that the initiative would facilitate the marketing of farmers’ produce, including grains, fruits, dairy, and fish and meat products. Initially, the focus will be on the market distribution of seasonal crops, with a gradual expansion towards promoting local handicrafts, tourism-related products, and small-scale enterprises.

Journalist and agro-tourism activist Devi Prasad Sapkota explained that he had joined the campaign to support farmers and cultivate a deeper appreciation for agriculture and soil. He also mentioned that he had been preparing for several years to assist in promoting government initiatives that encourage the production and consumption of domestic goods.

Kandel and Khadka are international chefs who have experience in preparing multiple cuisines in multiple countries including India, Japan and the USA. They are also making preparations to publish a recipe book of Nepali indigenous foods called 'Bhojanlipi'. 

Published in The Rising Nepal daily on 25 March 2025.    

Saturday, March 22, 2025

MoF holds discussion with Agricultural budget

 Kathmandu, Mar. 11

The government is all set to streamline and enhance the effectiveness of subsidies and incentives provided to the agricultural sector.

During a budget-related meeting for the upcoming Fiscal Year 2025/26 organised by the Ministry of Finance (MoF) with the Ministry of Agriculture and Livestock Development (MoALD) on Tuesday, the two ministries emphasised the need for a more result-oriented approach to their implementation.

According to a statement issued by the MoF, the meeting also deliberated on conducting a critical review of the existing subsidy programmes.

Deputy Prime Minister and Finance Minister, Bishnu Prasad Paudel, said that while various subsidy schemes have been introduced to encourage farmers and boost production, it is essential to review them to ensure they remain relevant and yield tangible outcomes.

Agriculture Minister Ramnath Adhikari stressed the importance of making subsidies more result-driven, increasing production in the agricultural sector, and achieving self-sufficiency in specific agricultural commodities.

Currently, the MoALD provides subsidies for chemical fertilisers, crop and livestock insurance premiums, and incentives for sugarcane farmers, among others.

According to the MoF, about Rs. 36 billion has been allocated for such subsidies and incentives in the current FY 2024/25.

Participants in the discussion said that subsidies should be directly linked to production incentives. They also highlighted the need to align federal programmes with the constitutional responsibilities of provincial and local governments, suggesting that some existing federal-level schemes should be transferred to lower tiers of government for better implementation.

The budget discussion was attended by National Planning Commission Vice-Chairman Prof. Dr. Shivaraj Adhikari, and high officials of the MoF, MoALD and departments under them.

Earlier, the MoF had also held discussions with ministries overseeing physical infrastructure, urban development, energy, health, industry, water supply, and federal affairs regarding the upcoming budget.

 Published in The Rising Nepal daily on 12 March 2025.   

Saturday, February 15, 2025

Agritech and Food Expo from Friday

Kathmandu, Feb. 13

The 7th Nepal Agritech and Nepal Food and Beverage International Expo is set to take place from 14 to 16 February at Bhrikutimandap, Kathmandu.

The event will feature exhibition stalls from domestic agricultural entrepreneurs and businesses, as well as international companies, informed the organisers of the event.

Organised jointly by Media Space Solutions Pvt. Ltd., Futurex Trade Fairs and Events Pvt. Ltd., and Exhibition and Trade Services India Pvt. Ltd., the expo aims to contribute to the development of Nepal’s agricultural sector.

The Prime Minister’s Agriculture Modernisation Project is promoting the event while the National Association of Rural Municipalities in Nepal, Nepal Poultry Federation, National Dairy Development Board, Nepal Agriculture Cooperative Central Federation Ltd., and the National Farmers’ Group Federation Nepal are supporting it.

"The exhibition will showcase a wide range of agricultural tools and machinery, from small-scale implements to dairy machinery and livestock equipment," the organisers informed in a statement on Wednesday.

They are hopeful that this event will contribute to making farming more efficient and cost-effective. Entry to the expo is free for all visitors.

The exhibition is expected to help identify the latest technologies and services suitable for Nepal’s agriculture sector, supporting increased production and promoting self-sufficiency in agricultural output.

"The event will cover various agricultural sectors, including poultry farming, fish farming, goat and cattle rearing, dairy production, agricultural machinery and tools, veterinary services, and food technology," read the statement.

Different sections of the exhibition will be categorised as 'trade fair within a trade fair' for easy access to the concerned industry and products, allowing visitors to explore their specific areas of interest.

 Published in The Rising Nepal daily on 14 February 2025.  

Saturday, January 4, 2025

Agriculture, tourism up, industry down in Karnali

Kathmandu, Dec. 31

A recent economic analysis of the Nepal Rastra Bank (NRB) has found that the agricultural production in Karnali Province has increased by 6.79 per cent in Fiscal Year 2023/24. Agricultural land is increased by 1.94 per cent in the same year compared to the previous year.

The production of major agricultural crops, paddy and wheat, increased by 12.04 per cent and 0.43 per cent while millet and barley yield went down by 18.87 and 18.98 per cent respectively, concluded the Economic Status Report of Karnali published by the NRB on Teusday.

Likewise, maize and buckwheat production decreased by 7.61 per cent and 8.46 per cent.

The central bank's analysis is based on the field study in Salyan, Kalikot, Dailekh and Surkhet districts and non-field study of Rukum West, Dolpa, Jumla, Mugu, Jajarkot and Jumla districts.

Last year, the area used for the production of vegetables and fruits increased by 36.4 and 5.98 per cent. Banks and Financial Institutions (BFIs) have mobilized 9.12 per cent of their total loan in agriculture in Karnali.

Meanwhile, the industries in the province are running at 48.51 per cent of their capacity with plastic industries running at their fullest and flour mills running at just 15 per cent of their capacity.

In 2023/24, industrial loan increased by 3.33 per cent to reach Rs. 4.11 billion. Loan to electricity, gas and water increased by 29 per cent that year. However, more than half of the loan (Rs. 2.60 billion) is mobilized in Surkhet district alone. The size of industrial loan in Dolpa is just Rs. 16.5 million. The largest size of loan (83.93 per cent) has been mobilised in service sector.

The province has 475 branches of BFIs with 30 branchless banking points.

Similarly, the number of tourists in Karnali Province increased by 23.40 per cent to cross 1 million in 2023/24. It produces just 17.41 MW electricity – a negligible size of the country's installed capacity of 3157 MW.

 

Provincial economic discrepancies

There have been discrepancies in the economic status and indicators of Nepal's seven provinces with Bagmati contributing 36.36 per cent to the country's Gross Domestic Product (GDP) and Karnali adding only 4.28 per cent in the last Fiscal Year 2023/24.

In terms of the producers' price, Bagmati's GDP is Rs. 2074 billion while Karnali has just Rs. 243 billion, according to the reports of the National Statistics Office (NSO).

Likewise, per capita income in Bagmati Province is US$2484 while Karnali has less than half of it – US$ 1036.

Sudurpaschim is the second poorest province in terms of GDP and its contribution to the national economy with 4.04 per cent economic growth in 2023/24 and 7.09 per cent share in the country's economy.

Koshi appears to be the second largest contributor to the national economy. It has Rs. 903 billion GDP and has 15.83 per cent contribution to the national economy.

 

GDP growth rates up

While the Nepal Rastra Bank (NRB) noted in the provincial status report of Karnali published on Tuesday that the economic growth rate of all provinces will go up in comparison to the previous year 2022/23, Gandaki and Lumbini provinces are likely to see the highest growth rates of 4.55 per cent and 4.05 per cent economic growth rate in 2023/24, well above the national average.

Among the provinces Karnali is projected to achieve the lowest GDP growth rate with 3.39 per cent followed by Sudurpaschim at 3.4 per cent, Koshi at 3.52 per cent, Madhes at 3.78 per cent and Bagmati at 3.96 per cent.

By the end of the last fiscal year (mid-July 2024), with 3.54 per cent GDP growth, the size of Nepal's economy is estimated to reach Rs. 5704 billion.

In 2022/23, Nepal witnessed the GDP growth of 1.95 per cent (at the producer's price).

In terms of sectoral contribution, all provinces have strong service sector with its contribution as high as 77.42 per cent in Bagmati. Industry sector is better in Gandaki and Koshi while agriculture contributes the highest in Madhes and Sudurpaschim.

Nepal's national economy is formed with 62.9 per cent contribution from service sector, 24.09 per cent from agriculture and 13 per cent from industry sector. 

Published in The Rising Nepal daily on 1 January 2025. 

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