Nepal | August 07, 2020

MoALD asks MoF to manage loans for farmers

Himalayan News Service
Share Now:


The Ministry of Agriculture and Livestock Development (MoALD) has requested the Ministry of Finance (MoF) to arrange a provision for farmers to receive loans on the basis of their products.

In a letter to the MoF on July 7, MoALD made a request to introduce a provision whereby dairy farmers will be able to avail loans from banks by keeping their products or livestock as collateral.

According to MoALD, dairy farmers are facing problems due to COVID-19 and their products and livestock are the only assets they can put up for collateral to take loans.

Hence, MoALD has requested MoF to arrange for easy loan access for dairy farmers based on their products and livestock.

As Nepal Rastra Bank (NRB) is in the process of preparing the Monetary Policy for the next fiscal year, MoALD has requested for the aforementioned provision to be included.

The letter has mentioned that the proposal has been made based on the decision taken during a meeting of MoALD.

Prior to this, Nepal Dairy Association (NDA) and Dairy Development Board (DDB) had also raised this issue and requested MoALD to urge MoF to introduce this provision not only to sustain their businesses but for the benefit of farmers as well.

As per NDA, the dairy industry has lost around 80 per cent of market during this lockdown period. Due to the lockdown, all large consumers like party palaces, schools, hotels, restaurants, cafés and canteens are closed at the moment due to which consumption has declined drastically.

As per the association, there is an investment of around Rs 30 billion in the dairy industry. It also stated that approximately 500,000 farmer households are directly or indirectly involved, while around 20,000 people are directly employed in the industry.

Hence, to secure the farmers, investment of factories and jobs in the sector, MoALD had sent the letter to the MoF on the basis of frequent meetings held with DDB and NDA.

A version of this article appears in e-paper on July 12, 2020, of The Himalayan Times.

Follow The Himalayan Times on Twitter and Facebook

Recommended Stories:

More from The Himalayan Times:

Below-strength Man United move into Europa League last eight

MANCHESTER: Former Europa League winners Manchester United booked a quarter-final spot in the tournament after their second-string side laboured to a 2-1 home win over LASK Linz on Wednesday to seal a 7-1 aggregate rout of the Austrian side. United's reward is a clash with FC Copenhagen in Read More...

Beirut reels from huge blast as death toll climbs to at least 135

Toll expected to rise as worker search rubble for missing Warehouses stored highly explosive material Shockwaves ripped off building facades, smashed homes Beirut mayor says Lebanon in grip of a "catastrophe" Government promises justice, orders port workers detained BEIRUT: Leba Read More...

US, coronavirus, Anthony Fauci

Fauci expects tens of millions of coronavirus vaccine doses at start of 2021

WASHINGTON: Drugmakers will likely have tens of millions of doses of coronavirus vaccines in the early part of next year, Anthony Fauci, the top US infectious diseases official, said in a Reuters interview on Wednesday, offering a more conservative view of the ramp up than some Trump administrat Read More...

Singh Durbar

Entry into Singha Durbar restricted

New rule restricting entry into Singha Durbar doesn’t apply to those who seek urgent service Kathmandu, August 5 The Ministry of Home Affairs has restricted the general public from entering the country’s main administrative hub, Singha Durbar, due to the growing threat of COVID-19 inside the Read More...

Encroachment of forest land rife in Kailali

KAILALI, AUGUST 5 Growing trend of constructing physical structures encroaching upon forest land in the vicinity of Godavari Municipality is on the rise. The municipality in Kailali district is the headquarters of the Sudurpaschim Province. This trend that started a few years ago, has intensif Read More...

Ayurveda university infrastructure development board formation order issued

KATHMANDU, AUGUST 5 Bidushi Yogmaya Ayurveda University Infrastructure Development Board Formation Order-2020, issued by the Ministry of Education, Science and Technology, stipulates a nine-member board under the chairmanship of a person appointed by the Government of Nepal. Its members includ Read More...

Banke district

Seven govt offices in Banke district sealed

NEPALGUNJ, AUGUST 5 COVID-19 was detected in a government employee for the first time in Nepalgunj on July 27. A female staff working at the Banke Transport Management Office tested positive for the virus. Since then, employees in seven government offices have contracted the deadly virus in th Read More...


Encroachment blamed for inundation

CHITWAN, AUGUST 5 Encroachment of the main city area of Bharatpur Metropolitan City and the canal of Narayani lift irrigation project has caused inundation of the city area. Construction of road in the area and building of structures by burying the canal has led to inundation in the city, said Read More...