On September 13th, 2024, a Policy Oversight on the Effectiveness of Agricultural Interest Subsidy Programs in Karnali Province was held in Birendranagar, Surkhet. Organized by Hriti Foundation in collaboration with the Karnali Province Assembly and UNDP/ PSP, the event brought together key stakeholders, including the chairpersons and MPs of related parliamentary committee, farmers, local government officials, bank representatives, agricultural experts, and civil society representatives.
The discussion centered on evaluating the impact of the Agricultural Interest Subsidy Programs introduced to support local farmers in Karnali Province. Participants reviewed the effectiveness of the subsidy distribution mechanisms, the discussion highlighted several issues, including challenges with the loan system, difficulties in identifying eligible farmers, and gaps in policy implementation. Recommendations included improving transparency in fund allocation, enhancing capacity-building initiatives for farmers, and addressing bureaucratic delays in subsidy disbursement.
The need to align the programs with the broader agricultural development strategy of the province was also emphasized. There was a strong emphasis on developing collateral relationships between stakeholders to foster a sense of ownership over the subsidy programs and improve their overall effectiveness.
Several key recommendations emerged from the event, including better transparency in fund allocation, enhancing capacity-building initiatives for farmers to improve crop yield and market access, and addressing bureaucratic delays in subsidy disbursement.
Hon. Rana Singh Pariyar, former minister and member of social development committee, highlighted the difficulties in identifying actual farmers who need subsidies, noting that the documentation process is difficult. Hon. Kalyani Khadka, chairperson of provincial affair committee, pointed out the policy gap and the lack of follow-up mechanisms with farmers after subsidies are granted.
An Agriculture Officer from Birendranagar Municipality Mr. Hem raj K.C suggested creating a strong linkage between farmers and the municipality to improve program delivery. According to him, there is no role of local level in this subsidy program. In response, Hon. Kal Bahadur Hamal committed to taking these concerns to the Provincial Assembly Meeting and parliamentary committee.
Mr. Suman Rijal, representative of Agriculture Development Bank Limited, presented a brief overview of this program, challenges in implementation and statistical updates.
