Assisting Agricultural Development in Nepal

Excerpts from the report Summary: Nepal's development efforts over the past 17-18 years have generated an impressive list of results. A number of institutions have been created and a relatively large pool of manpower has been trained. Roads, ropeways, bridges, and trails have been developed. Air transport services to isolated areas are now provided. Power generating capacity has increased greatly and more people have access to electricity. Industrial enterprises have been established. A growing number are in school, and health facilities and services are more readily available. Nevertheless, much remains to be done. The economic and social development programs still cannot operate in many geographic areas because the necessary infrastructure is not in place. The primary agricultural development goal has been to increase agricultural production. Significant progress has been obtained. The cultivated area has increased. More land is irrigated. About 600 extension agents are helping the farmers. Four of the five research farms are nearly up to standard. The Agricultural Marketing Corporation and the Agricultural Development Bank have a growing capacity to provide the major farm inputs. Sales of farm inputs and credit extended have risen sharply since the mid-1960's, although still far below the optimum levels. The sum total of the agricultural development efforts apparently has been limited, however. Even though the area used to produce the major crops has increased, production has not increased at the planned rate. In fact, crop yields have declined for several crops. The actual increase in cereal grain production has been well below 1 percent a year.