Boosting domestic agricultural production is not a choice; it is an imperative for our nation's security, stability, and economic prosperity. The time has come for the government to translate its promises into meaningful action and seize this opportunity to transform our agricultural sector and pave the way for a self-reliant and prosperous Nepal.
It is both ironic and concerning that our country, known for its agrarian economy, has imported agricultural products worth a staggering Rs 250 billion in the first 10 months of the current fiscal year. This not only highlights the alarming trade deficit, which stands at Rs 1.2 trillion, but also emphasizes the urgent need for the government to take immediate and effective measures to boost domestic agricultural production. The recent disruption in the global supply chain caused by the Russia-Ukraine war serves as a stark reminder that self-reliance in basic necessities, such as food items, is essential for the stability and security of any nation.
Provide incentives to boost agriculture in Karnali province
Year after year, the government includes provisions in the budget aimed at increasing domestic production to substitute imports, but the results have been consistently disappointing. The trade deficit continues to widen as goods that can be adequately produced within our borders are needlessly imported from abroad. In just ten months, agricultural and commodity goods worth Rs 250 billion have been imported, including staples like rice, fish, meat, oil, onions, potatoes, and coriander. It is disheartening to witness the unnecessary reliance on countries such as India, China, Uganda, Kenya, the United Arab Emirates, and Greece for products that could easily be cultivated domestically. Even items as commonplace as coffee, which could be sourced from within our own borders, are being imported from distant lands such as Cyprus, Ethiopia, Hong Kong, Thailand, and the UK. This alarming trend extends beyond agricultural products alone, as we find ourselves dependent on foreign countries for fish, meat, and even basic dairy products. Lamb meat is imported from Australia, while milk products arrive from Japan, India, Qatar, and the UK. In the first 10 months of the current fiscal year, a staggering Rs 47.29 billion was spent on purchasing food items, further exacerbating the trade deficit.
The Department of Customs reveals concerning statistics regarding food imports, including ready-made food items worth Rs 11.69 billion, vegetables worth Rs 27.53 billion, fruits and spices worth Rs 16.19 billion, and tea, coffee, and spices worth Rs 6.64 billion. Additionally, tobacco products worth Rs 2.76 billion, dairy products worth Rs 21.19 billion, and mustard oil, fruits, and other seeds worth Rs 20 billion were imported during the same period. These figures clearly demonstrate the urgent need for concrete actions to reduce our dependence on foreign goods. The government's promise to increase the production of agricultural products through budgetary allocations has largely remained on paper. Although an allocation of Rs 55.97 billion has been made for the Ministry of Agriculture and Livestock Development (MoALD) in the current year, and Rs 45.90 billion in the financial year 2022/23, the import of agricultural products has only marginally decreased. The MoALD claims that this decrease is due to the economic recession, rather than a concerted effort to boost domestic production. It is high time for the government to prioritize self-sufficiency in agriculture and take substantial steps to address this pressing issue.
Officials at MoALD say they are unveiling plans to increase production by utilizing barren land to replace imports. While this is a step in the right direction, it is imperative that a comprehensive strategy be implemented to increase the production of rice, corn, vegetables, oranges, apples, fish, and milk, among other essential products. Furthermore, a policy of promoting exports should go hand in hand with efforts to reduce imports, ensuring a balanced trade equation. The steady rise in agricultural imports over the past five years highlights the deepening dependence on foreign products. In 2018/19, imports amounted to Rs 171.30 billion, a figure that has more than doubled in just five years. The import of agricultural products was worth Rs 187.65 billion in 2019/20, Rs 212.72 billion in 2020/21, and a staggering Rs 284.98 billion in 2021/22. This data clearly reveals the stark disparity between the government's rhetoric on agricultural self-sufficiency and the actual state of affairs. Without modernization, mechanization, and commercialization in agriculture, our dependency on foreign goods will only continue to grow.
It is high time that the government realizes the critical importance of revitalizing the agricultural sector and prioritizes policies and investments accordingly. By providing incentives and support for farmers, investing in research and development, and fostering innovation in farming techniques, we can empower our agricultural sector to meet the demands of the domestic market. It is crucial to bridge the gap between supply and demand for staples such as rice, corn, wheat, potatoes, bananas, and apples, among others. Embracing modern technologies and sustainable farming practices will not only increase productivity but also contribute to environmental preservation.
A concerted effort is required from all stakeholders, including the government, farmers, and the private sector to achieve true agricultural self-reliance. The government must ensure the effective implementation of policies, provide necessary infrastructure, and create an enabling environment for farmers to thrive. Simultaneously, farmers should be encouraged to adopt modern farming practices, explore crop diversification, and form cooperatives to enhance their bargaining power. The private sector can play a crucial role by investing in agribusinesses, facilitating value chains, and promoting market linkages for agricultural products. Boosting domestic agricultural production is not a choice; it is an imperative for our nation's security, stability, and economic prosperity. The time has come for the government to translate its promises into meaningful action and seize this opportunity to transform our agricultural sector and pave the way for a self-reliant and prosperous Nepal.
