10th Five Year Plan of Nepal descriptions, targets, achievements in overall and agriculture sector especially.

1. PRESENTATION ON
ANALYSIS OF AGRICULTURE IN 10TH FIVE-
YEAR PLAN(2002-2007)
SUBMITTED BY
Dipa Sharma (21)
Gaurab Neupane (22)
Gresha Suwal (23)
Hemant Kumar Sahani (24)
Himani Chand (25)
BSc. Ag. 6th sem
SUBMITTED TO
Kamal Regmi
Assistant professor
Department of
Agriculture Economics

2. INTRODUCTION
⮚After reinstatement of democracy, the tenth plan was third periodic plan that aimed at expanding economic
activities with the active involvement of private sector in line with the market economy and the role of the
government in these sectors has been limited as facilitator and promoter of the private sector.
⮚The envisaged objective and the sectoral targets could not be achieved and the overall development process
hindered due to the deteriorating condition of peace and security within the country in the last two years of the
Ninth Plan.
⮚Despite the critical situation, and taking into account the fact that without a clear-cut framework of poverty
reduction for overall national development, investment and development programmes cannot be effective, this plan
has come into existence.
⮚The National Planning Commission launched the 10th five-year Plan(2002-2007), which came into effect from
mid-July 2002.
⮚ The draft Approach Paper of the Tenth Plan approved by the National Development Council under the
chairmanship of the Rt. Honorable Prime Minister and the additional guidelines and the suggestions of the donor
communities have been incorporated while formulating the plan.

3. ⮚This document has attempted to incorporate the guidelines of the Third United Nation Conference on the
Least Developed Countries held in Brussels in 2001. As in the last plan periods, poverty has remained
the first and foremost challenge of the country, where more than 38% people are still under poverty line
even for this plan.
⮚The poverty in Nepal is a multi-dimensional problem encompassing economic, social and 29 human
aspects, alleviation of which has been the main challenge of national development. As in earlier ones,
agriculture sector has got the first priority to meet the objective of poverty alleviation.
⮚ Arrangements have been made for coordinated development of and giving top priority to agriculture and
rural infrastructures by recognizing the fact that agriculture is the main source of income of entire
Nepalese people residing in rural areas. The 10th plan has also emphasized on the public participation to
improve the qualities of project and on decentralization to maintain good governance in the country.
⮚In view of the role of various agencies and inter sectoral strategy, the Tenth Plan has clearly specified the
roles of the government, local agencies, private sectors and civil society that helped to implement
targeted programmes for the upliftment of the backward and vulnerable groups and to create necessary
environments for the private sector development.
⮚Past experiences show that positive macro-economic indicators alone are not enough to bring poverty
incidence down to the targeted level. This fact establishes the need to direct economic growth and its
distribution pattern basically towards social justice, human development, social balances, empowerment
and good governance simultaneously and cumulatively.

4. It was prepared on the basis of Millennium Development Goal (MDG) which
was 15-year’s commitment of the nation. Mainly MDG took 8 goals:
1. Eradicate extreme poverty and hunger (by half)
2. Achieve universal primary education (education for all)
3. Promote gender equality and empower women
4. Reduce child mortality
5. Improve maternal health
6. Combat HIV/Aids, malaria and other diseases
7. Ensure environmental sustainability
8. Develop a global partnership for development

5. The Tenth Plan has given an emphasis to make it different and more realistic
than the earlier periodic plans. The plan has focused on the following aspects:
1. Wider public discussion
2. Direct participation of ministries and departments
3. Prioritization
4. Log-frame of policies and programs
5. Growth rate and investment analysis
6. Clarity in the role of different agencies
7. Poverty analysis

6. Goals of 10th five-year plan
⮚The goal of 10th plan is to achieve an average annual growth rate of 6.5 percent, against the three yearly
averages of 5.3 percent since 1997/98.
⮚This would require achieving 4.2 percent growth in agriculture-against the 3.17 percent average of the
past four years-and 8 percent growth in the non-agriculture sector, up from the present average of about
6.3 percent.
⮚The overall goal of the plan is to expand employment opportunities to reduce the number of people in
absolute poverty from the present 38 percent of the population to 32 percent at the end of the 10th plan.
⮚The numbers look good, but going by the NPC's past record they may also be difficult to achieve without
a major overhaul of the planning, implementation and governance processes.
Some other goals are:
1. Reduce infant mortality from 75 per 1,000 to 50.7 and maternal mortality from 435 per 100,000 to 350.
2.Expand primary education coverage from 70.5 to 85 %
3.Raise adult literacy (15 years and above) from 53 to 70%
4.Raise female literacy from 26 to 50%, and
5. Keep population growth rate at 2.1%, against the present 2.4

7. ⮚The plan also envisages building motorable road links to 70 districts, up from the 58 that are
currently connected-even though some of these roads are not black-topped-and take telephone
connections to every 50 lines per 1,000 people from the present 11.
⮚ The coverage of electricity is to be increased by seven percent to reach 22 percent of the
population. The fixed capital investment needed to achieve the five-year goal is Rs 689.5 billion-
almost seven times the money budgeted for spending in fiscal 2001/01.
Objective
• The main objective of the Tenth Plan is to alleviate poverty by mobilizing optimally the means
and resources on the mutual participation of government, local agencies, non-governmental
sectors, private sector and civil society to extend economic opportunities and open new ones
enlarging employment opportunities and widen the access to means and economic achievements
for women, Dalits, peoples of remote areas and poor and backward groups through programmes
like empowerment, human development, security and targeted projects thereby improve the
status of overall economic, human and social indicator.

8. 10th plan Agricultural sector objective:
1. Reduce poverty by increasing production, productivity and income in the
agricultural sector and contribute to food and nutritional security.
2. Contribute to the sustainable production and growth by adoptive research and
development of the technology to be used in agriculture, protect and use of agro-
biodiversity and balance the environment by reducing pollution from the use of
external inputs.
3. Develop internal market and promote export opportunities by promoting agro
based industries and enterprises with the participation of cooperative and private
sector.

9. Strategies
⮚The macro strategy of the Tenth Plan shall be the creation of fundamental basis to promote
economic opportunities through high, sustainable and broader economic growth and a fair
system of distribution of opportunities through women empowerment and mainstreaming of the
Dalit and indigenous people classes thus created to achieve the fixed target of poverty
alleviation by controlling population growth rate and emphasising on good governance.
⮚Along with these, social security programs such as income generation, self-employment etc.
shall be operated with a view to directly benefiting all people living under poverty line including
geographically and socially disadvantaged classes, castes and blinds and disabled and other
vulnerable people.
Grouped into 4 categories:
1. High, sustainable and broader economic growth
2. Social sectors and rural infrastructures development
3. Targeted programs
4. Good governance

10. Main Strategies Related To Agriculture
❖ Strategies related with objective 1
1. Disseminate and use the available agricultural technology massively.
2. Increase accessibility of agricultural inputs and credit for agricultural production.
3. Commercialize and diversify agriculture.
4. Operate agricultural support services even with use of partnership and contractual arrangements.
5. Activise planning monitoring and evaluation effectively.
❖ Strategy related with objective 2
6. Sustain agricultural development by developing agricultural technology and by protection, promotion
and use of agro-diversity and environment.
❖ Strategies related with objective 3
7. Support the promotion of agricultural market and related infrastructure development by mobilizing
cooperative and private sector as well.
8. Promote cooperative and contract farming.

11. Areas With Special Thrust
Following area with special thrusts are identified in the Tenth Plan on the basis of national priority, existing problem and
development prospectus:
a. Agriculture development, sustainable management of natural resources and biodiversity
b. Rural infrastructure development and rural energy
c. Population management, social service and basic social securities.
d. Under the role of private sector, development of tourism, water resources, information technology, industrial and commercial
sector
e. Human resource development and women empowerment
f. The targeted programs for upliftment, employment and basic security of Dalits, indigenous people and disabled class
g. Strengthening of local bodies, non-Government and community-based organization (NGOs, CBOs)
h. Thrust on Area wise development and remote areas
i. Use of better high-tech technology in rural area
j. Reform and assurance of good governance
k. Protection and conservation of environment
l. Development of national and regional infrastructures

12. Programmer
s
Production
of FY
2002/03(00
0mt)
Production
target for FY
2002/03(000mt)
under expected
growth rate
Production
target for FY
2002/03(000mt
) under normal
growth rate
Additional
production
target for FY
2006/07(000mt
) as compared
to base year
Achievement
at end of FY
2006/07(000
mt)
Achievemen
t %
Food grain
(including Rice,
Wheat, Maize,
Barley Millet etc.)
7254 8700 8240 1440 7329 0.84
Cash crops
-Sugarcane
-Oil seed
-Tobacco
-Jute
-Potato
2248
135
3.80
16
1380
2600
160
4.1
20
1800
2488
152
4
19
1667
352
13
420
2600
135
2.6
16
1943
1
0.84
0.63
0.8
1.07
Horticulture
-Fruits
-Vegetables
480
1780
585
2300
552
2135
104
520
552
2329
0.94
1.01
Pulses 250 280 271 30 (Lentils) 274 0.97
Targets And Achievements of Agricultural Commodities

13. Livestock
-Milk
-Meat
-Egg (million
unit)
1159
199
540
1400
260
920
1323
241
800
241
61
308
1351
227.3
61.5
0.965
0.87
0.67
Fish 35 49 45 14 46.75 0.95
Others
-Coffee
-Tea
-Mushroom
-Silk
-Spices
0.09
7.00
1.00
0.031
124
1.00
10
1.60
0.062
172
0.097
9
1.41
0.052
157
31
0.30
13.65
0.4
0.047
227
0.3
1.365
0.25
0.75
1.41
Source: NPC (10th Five-year plan and 11th interim plan)

14. •Additional expected targets
• 1. Additional participation of 80 thousand farmers in the production of each vegetable and fruits which
will provide additional employment opportunities to 160 thousand farmers. ·
• 2. With the development of fisheries, silk farming and bee keeping, income level of 13 thousand, 10
thousand and 6150 farmers will be benefitted respectively.
• 3. A total of 97,000 additional farmers will be benefited from potato farming.
• 4. There will be an increased participation of 32,500 farmers in animal husbandry.
• 5. The skills of farmers and technical supporters will be enhanced and rural youths will have the
opportunity of long-term self-employment Training in the sector of agriculture and animal husbandry.
• 6.Expected contribution to the regional development and balance:
• a. Crops: The commercialization in the farming of cereals, lentils, cash crops and industrial crops in
Terai. Food security will be enhanced in the mid and upper hills.
• b. Fruits: Income and employment opportunities in the high and mid hills will grow because of the
increased horticultural activities.

15. c. Fisheries: The development of fishery will take place in different parts of the Terai districts. This apart,
there will be the protection and enhancement of cold-water fishes in the mid and high hills.
d. Potatoes: A great deal of contribution will be made to the food security situation in the food deficit hilly
areas through the commercial use of tissue culture technology for enhancing the production of potatoes.
e. Silk: As the consumers of silk will be the rich and well-off people, there will be a flow of resources from
the urban areas to the rural areas.
f. Poultry and Animal Husbandry: The income in the urban areas will be transferred to the rural areas
through the means of animal husbandry and poultry.
Agricultural Sectoral Quantitative Targets
1. To contribute in the reduction of poverty from the present 38% to 30% by the FY 2006/07.
2. To raise annual agriculture growth 4.11%.
3. To raise per capita food availability (including potato and pulses) to 286 kg/person, Sugar 9.03 kg, oil
2.30-liter, meat 9.94 kg, milk to 50.85 liter, vegetables 79.15 kg, fruits 17.89 kg and fish to 1.87kg.
4.Under normal economic growth, availability of food per grain per person was targeted only269 kg from
264 kg.

16. OBJECTIVES PROGRAMS RISKS AND
OBSTACLES
1. The entire productivity
and income growth rate of
the agricultural sector will
be witnessed by high and
sustained growth through
the use of improved
agriculture technology and
promotion of market
1. Development of programme for growing cereal, fishery cash crops
and other high value crops.
2. Development of livestock services.
3. Development of agro forestry.
4. Food technology development and quality control of food stuff and
animal products.
5. Development of programme for the production, storage and marketing
of milk, fish and meat products.
6. Development and extension of the desirable technology for small
farmers’ group and rural agro industries.
7. Planning, monitoring and evaluation programme.
- Market fluctuation
- Continuity in investment and
priority to agriculture development
2. Growth in production
and productivity of food,
fish and cash crops high
value crops and
development of exportable
goods.
1.Quality production program of vegetables, fruits, tea, coffee, silk, honey,
and mushroom.
2.Resource Center Development program to supply necessary seeds,
plants, fishing from the government and private sector.
3. Karnali and other remote area integrated development program
4. Fertilizer, seed, breed supply and management program.
5. Growth of crop integration by extra crop cultivation in small irrigation
development and new irrigation areas and diversify by cultivating crops
like potato, onion instead of winter crops.
- Continuity of financial institutions,
local cell, electricity authority and
irrigation department.
- Market fluctuation.
Major Programs in Agriculture And Problems Related To These Programs

17. 3. Growth in animal
production and productivity
1. Program to raise income by raising in production of
animal products.
2. Program to support in public health.
3. Mobilization of agricultural Credit.
4. Promotion of milk processing industries.
5. Rearing of animal calves and kids etc.
- Market fluctuation
- Continuity of cooperation of financial
institutions.
-Recognition to animal industry as
Agro-industry.
4. Growth in production of
Agro-forestry
1. Publicise extension of agricultural forest management
technology.
2. Promote Agro-forest.
3. Establish agricultural forest nursery.
4. Develop herbs grass in forestry areas
5. Bee-keeping.
6.Commercial livestock rearing.
-Legal disparity between agricultural
Forest produce and forest product.
-Coordination between agriculture
ministry and forest and soil
conservation ministry.
5. Growth in quality control
and technology development
of food and animal products.
1.Analysis program
2.Feeding reform program
3. Food industrialization and support in poverty alleviation
program.
4.Sample collection program
5. Training and publicity program
-Continuity in the coordination of the
responsible units.
-Creation of more posts for food
inspectors
6. Management of storage
and market of milk, fish, meat
and food products
-Establishment of slaughter house and cold storage
program
-Build wholesale market, collection center for development
of market infrastructure.
-Develop hat bazaar.
-Convert groups in cooperatives.
-Initiative of farmers in cooperatives.
-Market fluctuation
-Continuity in initiative of local bodies.
-Sufficient participation of the private
sector

18. -Help private sector in market management and establishment of
cold storage.
-Manage Transport and processing after the production.
-Raise agriculture credit investment
-Training of entrepreneurship to meat sellers.
-Strengthen the animal hat bazaar
7. Development and publicity
of useful technology needed
for small farmers and small
agriculture industries.
-Conduct research and publicise low-cost technology.
-Conduct research and publicise promote use of appropriate
technology to maintain soil fertility.
-Conduct realistic research and promote cross breed.
-Develop and extend appropriate technology for rain-fed area.
8.Planning Monitoring and
evaluation activities to be
made effective.
-Adoption of BUP and devolution. Training for capacity
development and participatory monitoring.
-Agriculture decade program.
-Verification of regular monitoring and review and evaluation
program at different levels.
-Agricultural statistics, agriculture economic analysis, Agro-
business promotions program.
-Program for impact study.
-Program formulation and implementation in contract and
partnership basis.
-Capacity development program by agriculture and livestock
manpower training.
-Sufficient creativity of
agricultural development
committee at different levels

19. Major Agricultural Target And Achievements
1. Against the targeted annual growth rate of 4.11% in the agriculture sector, the average annual growth rate during
the Tenth Plan Period remained at 2.67% due to adverse climatic condition, less investment than expected and
political instability.
2. Against the target of production of consumables (including potatoes and pulses) from 264 to 286 per capita,
progress was 280 Kg per capita, sugar production was 9.44Kg per capita, vegetables (including off-season) were 80
Kg per capita, fruits 21.63 Kg per capita, fish production 1.87 Kg per capita, meat production was 8.6 Kg per capita,
milk production 51 liters.
3. In addition to this, high value agricultural production and high-quality farming technology had been developed. In
a similar way, attempts to diversify and modernize the agriculture sector, had been initiated.
Additional achievements
∙ 26 improved species of food crops, pulses, oil seeds, vegetables, cash crops and fodder plants and their cultivation
technologies had been recommended by NARC.
∙ “Seed bank has been established with the successful operation of “In-Situ” program at the farmers level for the
conservation, promotion and utilization of biodiversity with the institutionalization of the selection and
fertilization systems of various crops with farmers’ participation.
∙ Standardization of 18 edible cereals and quality regulation of 4630 exportable and imported edible cereals have
been completed.
∙ Machines such as pearler, jab seeder and pulper have been developed and are being used on a large scale.

20. ∙ Identification and quality determination of various productive locals’ cows, buffalo and goats have been
completed along with embryo transplantation in cows, improvements in sperms of male’s buffaloes, change in
menstruation period of cows and buffaloes and rise in technology of the farming of the turkey and common quail.
∙ Technology such as production of green forage in dry season, plastic bag silage, creep feeding and urea-molasses
mineral block had developed.
∙ Commercial cultivation technologies in high value fish species like trout have been initiated and trout farming has
been successfully started at farmers’ level. Fertilization technologies of local fish species such as Sahar, Asla and
Gardi have been developed.
∙ Technologies have been developed and identified for agricultural products like Swertia, Girardinia, and Saffron.
Policy Level Achievements: Government brought
- Poverty Reduction Strategy Paper (PRSP) was first formulated and endorsed into 10th plan.
- National Water plan 2005
- The National Agricultural Policy 2005
- The National Agricultural Vocation Policy 2007
- Dairy Development Policy 2004

21. ECONOMIC GROWTH
1. The normal economic growth rate for the Plan period was 6.2%. Of this, the projected growth rate in the
agriculture sector was 4.11% while it was 7.5% in the non-agriculture sector. In the same way, if the
internal security situation would improve only at a later stage of the Plan, the economic growth rate was
expected to increase at about 4.3%. Of this, the annual average for agriculture was 2.8%, and for non-
agriculture about 5.2%.
2. In the FY 2002/03, the total value added was 3.4%. In the same way it increased to 5.1% in the FY
2003/04, 3.2% in the third year, 3.3% in the fourth year and 2.5% in the fifth year. This growth rate was
0.9% point less than the normal growth rate where, in the agriculture sector, the annual average growth
rate remained at 2.7% as estimated, which was less by 0.1% point from the normal growth rate.
3. In the base year 2001/02 of the Plan, the contribution of the agricultural sector in the GDP was 37.4%
which was gradually reduced and reached 33.1% in the fifth year.
4. The Tenth Plan had estimated Rs. 277.9 billion for the regular expenditure and Rs. 178.4 billion for the
development expenditure, making in total expenditure of Rs. 456.3 billion. During the review period, 6.7%
of the total development expenditure was spent on agriculture, 6.5% on irrigation and 1.6% on forestry. 5.
According to Nepal Living Standard Survey 2003, the incidence of poverty reduced from 38% to 31% by
the fourth year of the plan due to the cumulative effects of above achievements.

22. The reasons behind this poverty reduction were:
∙ Increased wage rate in both the agricultural and non-agricultural sector
∙ Increasing urbanization
∙ Increased proportion of active human resources in the population
∙ Inflow of huge amount of remittances
OBSTACLES/ PROBLEMS
Major problems were:
1. On the whole, agricultural production has not been encouraging in the first, third, fourth and fifth year of the Plan
due to unfavorable weather condition.
2. Conflict between Maoist and Government could not come into peace
3. Diversion of development expenditure into security perspective which makes corrective policy intervention in this
field as a very challenging task.
4. Poor investment in APP targeted intervention, and still the agriculture and micro-credit supply modality is not yet
clear.
5. Problem of expanding foreign aid on development on time because of Maoist movement
6. Research problem while providing relief and rehabilitate all the people affected by the past conflict and to
reconstruct the damaged infrastructure.

23. 7. Poor assurance of development outcomes to the targeted, voiceless community/groups.
8. Interest rate offered by the banking sector is not positive when compared to the inflation rate and the rates offered
by the banks across the border.
9. Moreover, due to uncompetitive market practices such as cartelling, hoarding and transport syndicates, there is
pressure on prices from time to time causing market price fluctuation even when the goods and services are available
adequately.
10.The food problems in the remote hill areas are critical due to difficulties in transportation and the competitive
nature of the markets. Food security has deteriorated due to reduction in the access of means and resources, inequality
within households, shortfalls in emergency assistance, consumption of easily available but unhealthy food. The major
problems are seen as follows:
• Identification and implementation of various kinds of instruments relating to insurance of deposit, agriculture crops,
extension in livestock insurance, and micro-insurance also remains as challenges due to the absence of an institutional
set-up to regulate such instruments, investment and physical facilities in an effective manner.
• Reduction in crop intensity.
• Inadequate supply of chemical fertilizers, improved seeds, irrigation, loans and other basic agricultural inputs, and
their limited use.

24. • Weak market mechanisms, risks in production.
• Mechanisms for agricultural extension not being effective.
• Agricultural research not conducted in the desired areas.
ANALYSIS
1. One of the limitations of 9th five-year plan was that, there was no concrete improvement in the central structure of
the cooperatives and no qualitative development in the institutional development, entrepreneurship, resource
mobilization and transect on aspects even though there has been increase in the number of cooperatives and
associations but Tenth Plan focused on decentralization which clearly specified the roles of the government, local
agencies, private sectors and civil society.
2. Other limitation of 9th plan was inadequate development of infrastructure for livestock and fisheries research and to
overcome this limitation, programmes for development of livestock services and for growing cereal, fishery, cash
crops and other high value crops were conducted during 10th plan implementation.
3. Market fluctuation was the major obstacle during implementation of most of the programs of 10th five-year plan
which was due to uncompetitive market practices such as cartelling, hoarding and transport syndicates. So,
government should restrict such practices and fix such market price that won’t affect both seller and buyer.

25. 4. The Ninth Plan policy didn’t discuss over the women participation in agricultural programmes. But in the
Tenth Plan Policy with the perspective of gender equity, women participation in the agricultural programmes
was prioritized on an average with 40% participation while programmes like vegetable farming, horticulture
and silk farming had more than 60% involvement by providing skill enhancing trainings and establishing
women cooperatives groups.
5. In 10th five-year plan, there was problem in conducting researches because focus was on providing relief and
rehabilitate all the people affected by the past conflict and to reconstruct the damaged infrastructure. By
bringing coherence between research and marketizing policy in the agriculture and livestock production, quality
goods can be produced holding competitive capacities of Nepal in the commercial market of both national and
international platforms.
6. One of the main objectives of 10th five-year plan was to extend economic opportunities and open new ones
enlarging employment opportunities and widen the access to means and economic achievements for women,
Dalits, peoples of remote areas and poor and backward groups but there was poor assurance of development
outcomes to the targeted, voiceless community/groups. Inclusive programs focused on individual voiceless
groups based on low-caste, culture, religion, from local level to end different types of exploitation and social
misconceptions, and developing social and economic development programs to alleviate poverty, promote
better health. Those communities can be prioritized by the government for conservation and promotion of their
culture, customs, language.
7. Priorities could have been given for the source seed and materials production with the construction of plant
quarantine centers, laboratory to strengthen quality commodities production.

26. THANK
YOU!!!