The Ministry of Agricultural Development (MoAD) has proposed a compensation plan worth Rs 487 million to farmers for the damages caused by floods and landslides this year to crops, livestock and birds.
In a report forwarded to the Agriculture and Water Resources Committee (AWRC) of legislature-parliament on Wednesday, MOAD has proposed a compensation of Rs 298 million for the damages caused to crops in 21 flood and landslide-affected districts. Likewise, it has proposed Rs 189 million in compensation for damages to livestock and birds in several districts.
Earlier, MoAD had assessed total damages to crops by landslide and floods at Rs 2 billion. Last year, total production of rice stood at 4.5 million tons worth Rs 100 billion. Paddy is the main contributor to the agricultural gross domestic product (AGDP) and also a major component of the country´s economic growth.
According to MoAD, Rs 4.35 billion worth of crops and Rs 148 million worth of livestock and birds were damaged by flood and landslides this year.
Following submission of the report, AWRC had directed MoAD to come up with a plan for providing compensation to farmers. “We have only Rs 36 million allocated for distributing compensation to farmers. So we have asked the finance ministry to provide the remaining amount to compensate the farmers,” said Udaya Chandra Thakur, spokesperson for MoAD. Thakur also informed that they have so far only released Rs 500,000 to compensate for the damages by floods in Bardiya.
Figures compiled by MoAD from the affected 17 districts says the floods and landslides have damaged standing paddy and vegetables planted in 35,804 hectares of land. Of the 17 affected districts, eight are in Tarai, including Banke, Bardiya, Kailali, Kanchanpur, Siraha, Rautahat and Dang. The rest, including Sindhupalchok, Ramechhap, Achham, Bajhang, Darchula, Baitadi, Lamjung, Gorkha and Kaski, are in the hills.
Failing to encourage farmers to purchase insurance policy for crops and livestock with the provision of 50 percent subsidy in insurance premium, the government has announced 75 percent subsidy in insurance premiums this fiscal year. In the last fiscal year, only Rs 17 million was paid as the insurance premium subsidy out of total Rs 130 million earmarked for the purpose.
“Taking a leaf from the last year´s experience the budget has been reduced to Rs 60 million for the insurance premium subsidy and with the percentage increment in subsidy it is likely that the amount will be spent,” said Sunil K Singh, section officer at MoAD.
Source - http://www.myrepublica.com/
