Present scenario and future perspectives of

Nepalese agriculture: Focus on livestock

development and vegetable seed

production

Prabhat Khanal, PhD

Subash Neupane

Nepal – country profile Small land-locked country

Highest peak in the world to the plains in Terai

147181 sq. km (800 km east to west; 144 to 240 km north to

south)

India (East, South, West) and China (North) at borders

Nepalese agriculture

Distinct land use patterns (climatic variation,

altitude)

Migration of people from hills to plains

(deforestation)

Subsistence type of agriculture

Agriculture associated with ethnic groups and

religion

Nepalese agriculture - overview

Land type (Mountain region 35 %; Hilly region 42

%; Terai region 23 %)

Cultivated agricultural area – 20.5 %

Uncultivated agricultural land – 7 %

Forest area (including shrubsland) – 39.6 %

Grassland and pasture – 12 %

Contribution of agriculture to NGDP - 35 %

Population engaged in agriculture – 65.6 %

Livestock in Nepal Livestock – a major component of Nepalese

agriculture (11 % - GDP)

Different management systems (transhumant,

sedentary, stall-fed)

Livestock population associated with agro-zones

Eco-zones Cattle Buffaloes Sheep Goats

Mountains 12.46 8.79 43.42 13.87

Hills 47.16 52.57 44.21 49.66

Terai 40.38 38.65 12.38 36.47

MoAC, Nepal

Livestock Production Milk production

Buffalo milk (71 %)

Cow milk (29 %)

Meat production

Buff (65 %)

Lamb/mutton (1 %)

Goat/chevon (20 %)

Pork (6.9 %)

Fowl (7 %)

Duck (0.1 %)

Livestock production status and demand

Commodity Production Growth rate (%)

Required quantity

Balance

Meat (000 mt)

203 3.95 331 -128

Milk (000 mt)

1154 2.72 1345 -191

Eggs (ten millions)

54.8 5.04 113 -58.2

Department of livestock services, Progress Report

Milk availability: 109 liters of milk per person per year (Lack of 57

liter per person per year in Nepal)

Livestock market and trading practices

Traditional markets – Terai regions (communications, availability of marketable products, long porous border with India)

Major consumption areas/ Meat processing industries - city areas

In hills and mountains, permanent markets - only in district headquarters or a few other centers

Market agents/traders visit villages

Livestock trade

Nepal imports appr. half of its current meat and milk

requirements

Livestock exports - 0.2 % of total exports

Livestock imports - 1.1 % of total imports

Growth in animal numbers a significant contribution to output

growth

Average annual average growth of livestock population

(cattle - 0.39, buffaloes - 3.4, goats -3.72, pigs - 1.65, fowls -

2.38 %)

Department of Livestock Services

Trade policies 1990 (Restoration of democracy)

Market-friendly economic policies

1992 (Eight development plan)

Liberalization of domestic and international markets

Promotion of private sector initiatives

2000 (Ministry of land reform and management)

Integrated land use policies to prevent keeping land

fallow and land fragmentation

Development of national geographic land information

system

Trade policies

Agriculture perspective plan (1997 – 2017)

Livestock production and productivity as an engine for growth

in agriculture

Free trade zone agreement with SAARC countries and

member of WTO (2004)

Bilateral agreements with different countries

Tenth development plan (2002- 2007)

Livestock as a means to meet poverty reduction targets

Livestock and Poverty ?

Livestock and poverty

About 70 % of households keep some type of

livestock

Farmers with landholding size of:– 0.2 - 0.5 ha keep ~25 % of livestock

– <0.2 ha of land own ~11 % of livestock

Nepal - one of highest ratios of livestock to humans

in Asia (5.8 livestock and poultry/ household)

Development of livestock sector – a way to reduce

poverty in Nepal

Core problems

ADS (2012)

Low productivity of animals – a major problem of

livestock sub-sector

Genetic inferiority of local breeds

Poor livestock practices

Breeding and forage management

Lack of commercialization

10 – 20 % of livestock – commercially managed

40 – 45 %: Poultry

ADS, Agricultural Development Strategy

Future opportunities

Increased milk productivity

Now, low average milk production: 426 per cow and 824

kg per buffalo/ year

Improved breeds

Feeding strategy

Investment

Israeli-Holstein Cow, Photograph taken in 2009

Future opportunities Increased meat productivity

Improved breeds

Genetic improvement

Commercial management

Feeding strategy

Integrated farming

External investment

Future opportunities

Reproduction and breeding

Improved breeds / efficient milk and meat producers

Feeding

Feed availability throughout the year

Feed preservation

TMR / Complete ration systems

TMR, Total Mixed Ration

Agro-industry

Productivity

Better management o Breedso Feedingo Health of animalso Commercialization o Technology

Investment !

Agro-industries

Sufficient capacity

Quality control

Productivity Agro-industries

Agricultural products

Quality control

Industrial products

Quality control

Market

Marketing

Cost of production

Good quality

Export volume

Stability in supply

Product diversification

Processing plant

Collaboration with external

partners

Efficient

marketing

systems/

channels

What we have now? - ExamplesPoultry farming in Chitwan district Location

Suitable agro-climatic condition

Feed companies

Agriculture university

Veterinary services available

Future? Lands – residential areas

Poultry health

Competition Breeds

Processing and market

Israeli featherless chicken, Photograph taken in 2009

Meat production

"Animal Slaughterhouse and Meat Inspection Act (1999)”. License for slaughterhouse

Appointment of meat inspector and supervisor

Quality and quantity of meat for marketing

Future? More attraction to commercial farming

Meat processing and product diversification (value production?)

Efficient marketing channel

Dairy sector

> Half of livestock sector contribution to AGDP

Crop-Livestock-Forest integrated system

Bilateral agreements with New Zealand, Switzerland and

Denmark (e. g. cow farm in Dolakha under PPP)

DDC in 1964 under corporation act and DANNIDA supports

programs by NDDB (1992)

Future? Attraction to commercial farming

Marketing and product diversification (Yak cheese production!)

DDC, Dairy Development Corporation; AGDP, Agricultural Gross Domestic Product; PPP, Public-Private Partnership

Productivity Human resources

Agricultural inputs (feed, breeds etc.)

Quantity

Product quality Processing

Diversification

Government policy Favorable trade policies

Marketing system Local market

Product internationalization

Future investments

Commercial farming and development

Commercial farming and agricultural productivity

Agribusinesses and agro-based

industries

65.6% of total population

Increased number of people

in industries

Thank You

Vegetable seed production in Nepal

Status and Overview

Vegetable holdings : 69% of total household (18% involved in commercial production)

Expense on farm input : 26% for seed/seedlings

About 58% of vegetable farmers receive quality seed (around 40% in both hills and mountain)

Status and overview contd…

51% of total household

Area: 246392 hac , Yield: 13.4 mt/hac (30 mt/ha in developed countries in average)

Traditional management practice Lack of fertilizers Lack of Improved seeds (20-25% reduction)

Insufficient vegetable consumption

Status and Overview contd…

0

50

100

150

200

250

300

350

2009 2010 2011 2012

Am

ount

ton

Vegetable seed trade status

Veg seed import

Veg seed export

Trade and export promotion center, 2013

Seed system in Nepal

Informal

Farmer’s produced and preserved for

own purpose

50% supply of seed requirement

Formal

Vertical production and distribution of

registered and improved seed

50% supply

Scope for vegetable seed production

Vegetable seed: High value low volume

commodity

Diverse climatic zones: Production diversity

Increasing seed replacement rate

Increasing trend of hybrid seeds use

Situation of food shortage and import

Increasing import led seed business

Lack of national hybrids

Qualified manpower

Potential export market: Asia and Europe

(Through participation of European investments)

Scope for vegetable seed production

Seed security : prerequisite of food security

Potential seed production niches surveyed by MoA

Thak Marpha2516 masl

Mushikot1460 masl

Kathmandu1100 masl

Sarlahi60 masl

Cabbage CarrotCressPeas Turnip Broad leaf mustard

Onion Radish Peas CauliflowerTurnip Spinach

Cauliflower Cress Spinach Turnip Radish Broad leaf mustard Tomato

Tomato Egg plant Cucurbits Capsicum Okra

MoA : Ministry of Agriculture, masl: meter above sea level

What is quality seed???

Genetic purity

True to type and Physical purity

High germination %

Optimum moisture and vigour

Free from disease, pests and noxious weeds

Increased productivity

What can be produced?

Nucleus seed: Genetically pure parent material

produced by breeder

Breeder seed: Progeny of nucleus seed under

complete supervision of breeder

Foundation seeed: Progeny of nucleus or breeder

seed in multiplication farm

Certified seed I and II: Progeny of foundation

seeds in farmer’s farm or research farms

Organizations involved in veg seed production

NARC and DoA

National seed company limited (NSCL)

NGO’s as CEAPRED, FORWARD, LIBIRD

Private seed companies

Community based seed production (CBSP)

District level seed self sufficiency programmee

(DISSPRO)

NARC: National agricultural research center, DoA: Department of agriculture

Vegetable Seed development projects

Koshi hill agriculture project (1987-1992)

Fresh vegetable and vegetable seed production

project (1979-1994) : Swiss govt and FAO

Community based economic development project

(1997-2002)

Vegetable seed project (2004-2014): Veg seed

production and marketing utilizing resource poor

farmers

Seed vision 2013-2025Opportunities in seed sector

Foreign investment friendly policy

Varietal development

Seed multiplication

Seed processing

Seed supply

Seed use

Constraints of seed multiplication

Inadequate supply of source seed (BS/FS)

Lack of research for development of new varieties

Cross border flow of non notified seeds

Preference of farmers : Quick return from

vegetables rather than seed production

Fragmented land use

Ways forward

Inclusion of biotechnology and plant breeding

Development of new varietal options

Establishment and maintainence of seed banks

Establishment of hybridization program

Areas we can contribute

Varietal and hybrid development

Research and collaboration with NARC, Agricultural

universities

Seed multiplication and dissemination

Private commercial, collaboration with farmers, MoA and

I/NGOs

Thank You