Agribusiness and the Problems Facing Agriculture in Nepal

Agribusiness and the Problems Facing Agriculture in Nepal


Agriculture in Nepal
Agriculture is the main source of food, income and employment in Nepal. However, taking this into consideration, we still rely heavily on food sourced from outside of the country. This is a result of the inability of the agricultural sector to keep up with the growing population of the country. The new and innovative methods of irrigation, livestock farming, cultivation techniques, etc have yet to be adopted by our farmers. Most farmers opt for rice cultivation to survive. Rice cultivation itself is a complex process with a lot going into it for optimum quality produce. Other food crops, such as wheat, millet, barley, and coffee are also grown but at a considerably lower rate.

Problems of Agriculture in Nepal
Agriculture in Nepal requires modernization, diversification, commercialization and promotion for creating crops to sustain the country and to increase export. There is a massive shortage of distribution, extension channel, knowledge, production and competition. Additionally, there is also a lack of proper agricultural infrastructures like storage facilities, market centre, roads, telecommunication and irrigation networks. The government policies put inadequate constraints on agriculture practices which only go to show poor governance. The state of production of agriculture is affected by scarce or small productions, obsolete technology, lack of farm managerial skills, fragmented and small-sized land, policy level constraints, and most importantly lack of information services.

Solving issues faced by agribusinesses
The private sector should be more active in the promotion of commercial farming, focus on export of quality goods, and maintain marketing networks. There should be more focus on market-oriented and competitive agriculture. The changes that the agricultural sector requires can be brought about with dynamic and robust changes to the cultivation and marketing processes. In an economy where agriculture plays a leading role, production is stagnant and we are relying more and more on imports. When it comes to the marketing of agricultural produce, the marketing facilities and sales networking could do with major improvements. The marketing systems and channels for distributing information to all personnel involved in the process of agriculture, from the farmers to distributors and stakeholders of the market, need to be improved. Many of these problems can be overcome by improving the functioning of agribusinesses in Nepal.



Venture Talk with Mr. Anand Bagaria on ‘Unleashing Agro Business in Nepal’
There is an abundance of opportunity for growth in the agriculture sector of our country. This edition of Venture Talk with Mr. Anand Bagaria is a step towards realizing these opportunities.

Mr. Bagaria completed his bachelors in industrial engineering from R.V. College of Engineering, Bangalore. He also completed an Entrepreneurial Masters Program (EMP) at MIT from Entrepreneur’s Organisation.

He has been involved in various organizations throughout his career. He is the co-founder of Himalayan Climate Initiative (HCI), executive member of FNCCI, Treasurer at the Nepal India Chamber of Commerce & Industry, member of Young Presidents Organisation (YPO) and so on. He was honored with the ‘Person to Watch’ Boss Business Excellence Award, some years ago. His company was recently recognized as the leading agribusiness in Nepal. Besides being actively involved in the agribusiness sector, he has diversified his business interests into poly-woven & non-woven fabric production, chemical processing, grain trading, solvent extraction, edible oil refinery, and animal health and nutrition.

Mr. Bagaria will share his insights in the agribusiness and the challenges that are yet to be overcome to optimize the production and marketability of agricultural sector in Nepal.


  • Guest
    manoj khadka Monday, 06 August 2018

    Hi all entrepreneurs there
    Enen I have not that idea regarding starting a agriculture business but since few years back I have been thinking to doing a agriculture business back to Home(gorkha).As only planning is not enough for doing business,I would like to meet some people who are in this business already want to talk with them about the opportunities and challenges.
    Waiting fir positive response
    Thank you

  • Guest
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