SOYBEAN PROMOTION PROGRAM

Implementing partner: Nirdhan (contact for Nirdhan: 9851096192, 01-4102969, Krishna Pd. Tiwari, PO at Kathmandu, Nepal) Technical and financial partners: Nirdhan Uthhan bank Limited (NUBL), Nimbus, Nirdhan Project duration: March 2014 December, 2014 (10 months) Project Budget (NRs.): 14,84,100 (AgBDS income: 1,48,200, Actual expense: 13,35,900) Budget requested from Nimbus: NRs. 6,67,950

Background of information Soybean (Glycine max L. Merr.) is highly nutritional protein supplement and is used in the form of cooking oil or snacks items, animal feed as well as in the form of soya sauce, soya milk, etc. in recent years; deoiled soya cake has been used as a major component of livestock and poultry feed, a very lucrative value adding byproduct after oil extraction. The protein content in soybean has been found up to 43% of its dry weight. A few years ago, soybean production had a tremendous trend of increase in area of production (increased by 10 folds from 17 million tones in1950 to 179 million tones in 2002). It has been observed that the trend of increase in production and productivity to meet the market demand was not continued after that period except in 2011. After 2011, total grain soybean production in Nepal has been decreased, however, in many parts of Nepal (far western hills, mid western hills, central terai, central hills), farmers are still producing the crop as an important intercrop with maize mainly in hills and as a bund crop between rice fields in plain areas. The crop still keeps itself as one of the important legume crops of Nepal, where it is grown covering 29,282 ha area with annual production of 28,270 tones (FAO-stat, 2013). The yield potential of soybean in mid hills of Nepal is 4.5 t/ha (NARC 2002), while average national yield is only 0.96 t/ha (FAO 2013). Some of the important factors affecting soybean production in Nepal are the effectiveness of native bradyrhizobia existing in the soil, crop management in response to intercrop and sole cropping system, seed inoculation with rhyzobium for effective nodulation (major is the bradyrhizobia which may not always be sufficient and efficient for providing adequate nitrogen to the growing soybean under existing conditions). The others are irrigation and nutrient management, adoption of descent varieties, weak marketing channels, lack of technical knowhow and economics of soybean production at farmers' level.

Objectives: Nirdhan and Nimbus has agreed to work for promoting the sub sector which will contribute for industrial agriculture with the missionary commodity promotion activities. The major objectives of the missionary intervention will be: Organize and Capacitate the farmers/producer groups on cash crop cultivation Increase the area of production and productivity of soybean in piloted districts Increase the maize based intercropping; reduce production risks through crop diversification Prepare the tri-party platform for effective agro- production and marketing Contribute for sustainable agriculture business development service (AgBDS)

Execution methodology Nirdhan will take lead in executing the AgBDS for soybean promotion mission with the help of Nimbus, and ensure the following activities: 1. Selection of the area/district in coordination with the partner organization (most probably Bara and Dadeldhura district) 2. Producer group initiation 3. Orientation on fee based (nominal fees) AgBDS services and advantages to join AgBDS 4. Trainings on improved technologies of soybean production (sole soybean, maize and pigeon pea based intercropping, rice bund farming) - The trainings and orientation to farmers will encourage them to adopt better varieties such as Pooja and PK416 of soybean and new hybrids of maize considering the location/farm condition and purpose of consumer/agro-industries. 5. Visits, guides and technical backstopping on good and safe agriculture practices (GAP/SAP) focused on soybean 6. Capacitating farmers on improved methods of market based production (encouraging machinery harvesting, weeding, and packaging based on market demand) 7. Distribution and supports on seed inoculums, rhizobium/bradyrhyzobia, and biopesticides 8. Printing and distribution of pamphlets, leaflets and other information sheets to farmers for effective extension of modern agro-practices and marketing 9. Collection of grains (soybean and maize) and facilitation to the marketing

Output The pilot program targets at least 250 farmer/families from both of the districts (1 from mid hill and 1 from terai area) and will promote farmers capacity and processes for enhancing soybean cultivation. The major quantitative achievement will be as follows: Uniting 250 farming families (150 HHs in hills and 100 HHs in terai area) Ensuring at least 150 ha of soybean and maize based (either sole soybean or intercrop with maize) area of production that will be able to produce at least 170 tons of soybean grain and 300 tons of maize in first year/season. Collection of grains (soybean and maize) from the vicinity area (neighbors of the clients) will be at least 30 tons of soybean and 40 tons of maize so that the total collection and marketing will be: Soybean 200 t Maize 340 t AgBDS service (other than soybean mission part) will promote dairy, goat, pig, and poultry farming. Livestock and poultry keeping farmers will be arranged to have package of technical as well as access services by which they will buy livestock feed and medicines. Within the piloting community, at least 20 semi-commercial livestock farms will be the market of Nimbus products. Increase the income of farmers at least by 10 percent The piloting will introduce AgBDS to the small scale farmers and be able to contribute to AgBDS on becoming a viable enterprise.

Time frame: The piloting period: March to December, 2014 (10 months) Cost/Budget: (NPR. 6.67, 950.00 requested to Nimbus) A.
SN 1 1.1 1.2 1.3 1.3.1 1.3.2 1.4 1.4.2 2 2.1 2.3

Expenses (NRs.)
Unit month month branch month piece month Rate 7500 15000 700 2000 Amount Time 12 13 4 4 2 4 1 4 12 12 1 1 Total 999600 90000 780000 129600 33600 96000 0 0 484500 0 336000

Activity/Budget Heads Project Management cost Senior Management: flat share Human resource (JT/JTAs) Field office utility-direct cost Communication and Stationery Travel, repair and maintainance Equipments and other Cycles Program Cost Technical supervisors- JTs/JTAs Trainings (need based - crops and livestock)

2.3.1 2.3.2

Crop production management Livestock production management 2.4 Supports 2.4.1 Tools for GAPs on crop production 2.4.2 Dairy supports 2.4.3 Prevention and cure for animal health 2.5 Awareness/ IEC Materials Total cost

event event branch branch branch leaflets

8000 8000 6000 6000 5000 25

4 4 4 4 4 500

1 1 2 2 2 1

32000 32000 136000 48000 48000 40000 12500 1484100

B. Income (NRs.)
SN Service charges Unit 1 Training charges 2 Regular tech. advice charges 3 Farm visit/observation charges Total income Unit rate client client visit Amount 150 150 100 Times 18 144 1050 Total 8 1 1 21600 21600 105000 148200

Surplus/Loss (NRs.) Requested to Nimbus (NRs.): 50 % of loss amount

-1335900 667950

(Remaining half of the budget will be contributed by Nirdhan and other partners, Nirdhan will search for the part) Thank you!