The Ministry of Agriculture and Livestock (MoAL) has allocated Nu 910.5 million in the 13th Plan for agriculture marketing and cooperatives. The ministry aims to strengthen its GDP contribution through enhanced marketing.
In the National Assembly (NA) deliberations on June 18, Mongar MP Naiten Wangchuk raised a question on the government’s promise to increase the agriculture ministry’s GDP contribution to Nu 50 billion by 2029 from Nu 27 billion in 2027 with the focus on commercialisation of crops and livestock production, priority being given to high-value crops and livestock products.
He said that, given the limited capacity of the domestic market to absorb commercial agriculture products, the ultimate objective is to export and attain the targeted GDP contribution.
“There is a need to prioritise enhancing the capacity of the National Food Testing Laboratory,” he said. The investment, he added, should be made in human resources and integrating regional collaboration through memorandums of understanding to harmonise food safety standards.
“In the 13th Plan, the budget for the Department of Agriculture Marketing and Cooperatives (DAMC) and the Bhutan Food and Drug Authority (BFDA) should be reviewed and reprioritized under the project-tied assistance or the Economic Stimulus Programme (ESP),” he said.
In response, the MoAL minister, Lyonpo Younten Phuntsho, reported that, in the 13th Plan, the DAMC had been allocated a total budget of Nu 910.5 million.
He said the DAMC had proposed three projects, namely the promotion of large-scale commercial farming to increase farmers’ income and agri-economic development, enhancing support to subsistence farming for improved livelihood and food security, and promotion of high-value products for export.
To achieve this, Lyonpo said activities include strengthening farmers’ groups and cooperatives, strengthening renewable natural resources (RNR) enterprises, and enhancing RNR marketing and value chain.
“An agri-food economic hub will be established in Paro for high-value export commodities like asparagus, strawberry, mushroom, trout, and broccoli,” he said. Another agri-food economic hub will be established in Sarpang to export bulk commodities like ginger, areca nut, turmeric, mandarin, potato, and cardamom.
Similarly, to support subsistence farming activities, accessibility and affordability of essential food items will be prioritised.
Lyonpo also said that high-value products for export will be promoted through premium-quality product development for the high-end market and the establishment of new markets.
“The agriculture sector has been allocated Nu 2 billion from the ESP,” Lyonpo said. “However, it will be implemented by the Farm Machinery Corporation Limited, the Bhutan Livestock Development Corporation Limited, and the Bhutan Development Bank Limited.”
The ministry will liaise closely with these agencies to ensure that the ministry’s priority activities are undertaken. A budget has been allocated for the product certification process.
Lyonpo said that the BFDA had been streamlined under the health ministry. In the 13th Plan, the budget for the BFDA is 656.57 million. If it needs more, the health ministry will allocate additional funds.
