Sudur Paschim govt to promote cottage industry and herbal processing in 2020/21

Published On: June 16, 2020 08:10 AM NPT By: Republica | @RepublicaNepal

KATHMANDU, June 16: The Sudur Paschim government has enlisted installing small and cottage industries and promoting agricultural products and herbs on top priority in the province’s budget for 2020/21 announced on Monday.

The provincial government has allocated a budget of Rs 33.38 billion for the next fiscal year. Of the total budget, Rs 14.18 billion will be spent on recurrent expenditure while Rs 16.75 billion has been earmarked for development projects.

Unveiling the budget for 2020/21, the Minister for Economic Affairs and Planning of Sudur Paschim Province Jhapat Bahadur Bohara said the province government has allocated Rs 120 million for installing a herbs processing plant in the region. For the purpose, the provincial government has already inked an agreement with Herbal Development Company Limited and the private sector.

Sudur Paschim Province is rich in medicinal herbs and aromatic plants. According to Bohara, funds have been allocated for the plantation of 1.86 million saplings of fruits, herbs and production of other agricultural inputs.

Under a ‘One Local unit, One Industrial Village’ program, Rs 50 million has been allocated. Similarly, subsidies worth Rs 32 million will be provided to set up two new industries in each constituency. Targeting to provide some respite to the micro enterprises and cottage industry devastated by the impact of the COVID-19, the budget is providing subsidies worth Rs 91.5 million in the sector.

Targeting to mobilize the youth for local development, the province is spending Rs 16 million on the Youth Entrepreneurship Program. A fund of Rs 600 has been earmarked to facilitate jobless people in the promotion of agricultural productivity. The province government is forwarding a targeted program titled ‘One Local Unit, One Agriculture Product’ to promote agro enterprises.

In its third budget announcement, the province government has also announced to reduce the number of allowances being provided to officials other than the security personnel and health workers.