INTRODUCTION:
Government of Nepal has announced ODOP program on Budget Speech of FY 2069/70 and selected nine districts namely, Bhojpur, Dolakha, Gulmi, Lamjung, Morang, Nawalparasi, Panchthar, Rupandehi and Sunsari in FY 2073/74 This program is implementing under the public private partnership (PPP) for the purpose of balanced economic growth and employment generation through creating employment opportunities for poverty alleviation. Main objectives of this program are the production, promotion, and value addition of niche agro product of the district and establishing, marketing the agro based industries in the district. ODOP program is functional which is supported by four committee viz. steering committee, technical committee, district committee and coordination and monitoring committee. Private sector is supposed to be the key actor for implementing this program. As an implementing agency, government decrees authority to AEC/ FNCCI.
Resource for this program has been generated by government of Nepal, FNCCI, DCCI or CCI, shareholders, I/NGOs assistantship, grant from districts offices, local bodies, communities and other groups. The resources will be financed for industrialization of the agro product. According to the guidelines of ODOP, there will be four key stakeholders and their share for financing the process of establishing industries is given in the table below.
Table 1: Investment Composition of ODOP Program
S. N Stakeholders Share
1 Government 50%
2 DCCI or CCI 5%
3 Major Investors 30%
4 Farmers 15%
Field visit, key informants survey, focused group discussions and secondary information analysis were the methods used during the study to determine the potential products of each district.
OBJECTIVES:
The main objective of the feasibility study of ODOP is identifying potential products for the selected districts.
FINDINGS:
Bhojpur District
1. Bhojpur district has around 41.25% of its total of 1,51,019 hectare of land suitable for agriculture and around 65% of the population are depending on agriculture sector.
2. In Bhojpur district, ginger has proven potentiality. While supplying to the market, it can be supplied fresh without going through drying and further process. The second potential product is Cardamom. As listed in NITS 2010, it is the most potential product to be exported from Nepal.
3. Another potential product for this district is orange. It can be bought at Rs. 10 from local Haat bazar. If it can be converted into juice, that can have great market in Nepal.
Dolakha District:
1. Dolakha district is mostly mountainous and hilly and nearly 65% population depend upon the agriculture for the livelihood.
2. Kiwi is massively farmed in Dolakha district and the individual farmer, farmers group, DADO, DCCI and the Chief of Tropical Fruits Rootstock Development Center agreed that Kiwi will have the emerging high-value product in the district in near future.
3. Potato being the traditional and indigenous crop, it is the second most potential product for ODOP in Dolakha district.
Gulmi District
1. Gulmi is a hilly district and terrace farming is the characteristic of the district. The agriculture employs roughly 115,163 persons including permanent and seasonal workers.
2. Commercial Pesticide development program, tea and coffee development program, self-dependent program on potato seed, mid-hill maize production program are some of the agriculture extension programs of Gulmi, which has helped farmers to increase production and productivity.
3. Maize is regarded as the viable product of this region. Since last few years, the Government of Nepal and some I/NGOs have been providing various types of grants to attract farmers for the farming of this crop.
Lamjung District
1. Lamjung has diverse geo ecological climate comprising of fertile valleys and mountain. Terrace farming is prevailed and widely popular in the district. Still the agriculture sector is dependent on traditional agro tools and technology.
2. On Chaitra 20, 2071, DCCI called upon a meeting of the local people and DCCI members to discuss and finalize the products for ODOP. They envisaged to promote Allo for the program. But due to the procedural and operational concerns regarding Allo, the team agreed to look at the alternative products to be taken up.
3. The cultivation and commercialization of cardamom has feasibility under this program.
Morang District
1. Out of 1855 sq. km area, 63% land of Morang is suitable for agriculture. The agriculture sector has employed roughly 115,163 people including permanent and seasonal workers.
2. Maize farming is chosen as the potential product for this district. Also government has been providing various types of grants to attract farmers for this crop farming since last two fiscal years.
3. Vegetable production including or excluding potato is found to attract farmers in this district. Farmers are shifting from wheat, sugarcane farming to vegetable farming nowadays.
Nawalparasi District
1. Out of the 2,182 sqkm area, 70,143 hectares (34.79%) land of Nawalparasi is suitable for agriculture. Altogether 220,257 people are involved fulltime in agriculture in this district.
2. There are 27 local diary in between Narayangad and Sunawal operated by local and farmers group. The dairy farm produces 22,000 liters to 26,000 liters of milk every day. Also, DCCI has reported the significant reduce in cost of dairy products along with the increase in productivity due to dumping of grass of the hilly areas and the waste barley grains by Chaudhary Group of Industries.
Panchthar District
1. More than 80% of the total population in this district are dependent on agriculture for the livelihood.
2. In order to select the product for ODOP in this district, the following selection criteria were used:
• Possibility of commercialization of Agro product
• Possibility of establishing Value Chain
• Feasibility of National and International Market
• Niche Product
• At least 50% of districts labour forces use
• Use of at least consume 50% of the district’s raw materials
• Contribution to employment generation
Rupandehi District
1. Rupandehi, which lies in Terai region has 100% plain land. The climate here is extreme type.
2. In order to select the product of the district, the following selection criteria were used:
• Link with the product identified by Prime Minister Agriculture Modernization Project
• Possibility of commercialization of Agro product
• Possibility of establishing Value Chain
• Feasibility of National and International Market
• Niche Product
• At least 50% of districts labor forces use
• Use of at least consume 50% of the district’s raw materials
• Contribution to employment generation
3. Paddy was found to be massively farmed in this district and was suggested as the emerging high-value product in the district if the industry produces Fine and Aromatic rice by the individual farmers, organized farmerssss, DADO and DCCI.
Sunsari District
1. Sunsari is one of the most potential and fertile districts in terms of agro based production. The district even has surplus of food as they produce abundant amount of crops. In term of employment generating and providing sector, agriculture, forestry and fish farming occupies half of the total employment.
2. According to the regional office of NARC, Itahari, farmers here have self-generated market of their own.
3. While conducting research with DCCI, Sunsari, the region is promoting OVOP program in full swing producing optimum level of turmeric.
4. There was positive enthusiasm in participating in ODOP as researcher met with the CCI, Itahari team. They are ready to emphasize on fisheries, dairy product, off-seasonal vegetables and maize. Their priority is getting support to develop regional level’s high facilities based cold store in Itahari
RECOMMENDATION:
1. Ginger processing industry should be established in Bhojpur district as it belongs to the top 15 world exporters from Nepal.
2. Cardomom being the second potential product of Bhojpur district. According to the meeting with DADO, Bhojpur, it was recommended to develop Nursery and drier for the cardamom. The possible mean also could be to pack dry large cardamom capsules in polythene-lined jute bags which considerably reduces moisture and volatile oil exchange under normal storage conditions and causes high value addition in the market.
3. Different stakeholders opinionated that there is a necessity of Cold Stores for the storage of agricultural products in Dolakha district. Also, MaDRA recommends Multi-chamber Cold Store for the district.
4. The establishment of a maize processing industry under the ODOP program in Gulmi district ensures farmers for buy back facilities/guarantee of their products. As a result, the production of maize can be increased significantly.
5. An organized cold storage could add a better environment for vegetable farming in Morang district. Further, Maize processing industry is recommended as the most emerging and viable product of this district under ODOP program.
6. After information collected from study, the team recommends the establishment of a diary industry under ODOP program in Nawalparasi district.
7. As Ginger was suggested by all stakeholders, MDRA would also like to recommend Ginger Processing as primary product for identification of ODOP to Panchthar district.
8. MaDRA study team recommends an Agro Processing Industry under ODOP in Rupandehi district.
9. After reviewing facts and figures of Sunsari, MaDRA team recommends Fingerling on the top which has double head to replace import. Poultry is placed in second priority as farmers are noticed to boom poultry farm on their own. It is the tiny support from government that can boost up this sector in massive scale.
