Why Nepal is slow in Industrialization?

The reason behind the slow industrialization are as follows;

• Political instability

• Inadequate policy formulation and implementation

• Lack of security (in the case of industry in operation)

• Lack of Proper access to the market 

• Lack of infrastructure like road for transport, electricity, water facilities, internet etc.

• Lack of  technology (advance technology)

• Lack of research and development facilities

• Inadequate support of government (subsidies , tax rebate) 

• Since Nepal is import based country so all the raw material are imported from other countries as result the cost of material is high, though labor cost in Nepal is lower in comparison to the neighboring country

• Lack of skilled manpower 

• Lack of training 

• By making easy access to the market,  

• Coordination between farmer and policy formulation level and implementation level is required

• By making aware to the young generation about agro prospects in Nepal. since large number of young people are flying abroad

• By making easy access to the finance

• By offering supports from the governments i.e. subsidies, lower  interest rate, tax rebate

• By establishing aggro promotion industry offering training program for skill development of the farmer

• Easy availability of fertilizer, pesticides, agricultural tools and equipment

• By establishing the cold storage with greater capacity in low fare.

Yes,  it is feasible to industrialize the  agriculture

Initially we have to focus what we are strong in i.e. agriculture, we have fertile land, enough labor in low cost in comparison to other country, appropriate climate, rich in water resources etc. 

Since Nepal is between two largest and growing economy, and can have access to the large market. So we can export all the agro product to these country as well as other countries along with domestic consumption

After giving the priorities to the agriculture we can focus on service sector because Nepal is diversified country having different culture and naturally beautiful, so we can capitalize these natural beauty and culture. Therefore we can focus on tourism sector also. Since Nepal is rich in hospitality from the very beginning. We should develop the supports industry for the tourism like transportation, hotel and restaurant, internet facilities, electricity, water resources etc. for the greater and strong  developments of the tourism. 

We have rich in various natural resources like, water, mineral, herbs and shrubs etc.

Firstly we can use the water resources to produce the electricity. Without electricity no any industrialization is possible. By producing sufficient capacity of electricity for domestic consumption we can export the electricity in various other country. We can access to the global market to sale the electricity. 

The prospects of the electricity industry is growing day by day which does not emits the carbon and preserve the environments. Many country are starting to operate the electric vehicle, and Companies like VOLVO is going to stop the production of diesel/petrol vehicles from 2018, BMW and Volkswagen is spending R&D for improved battery ranges Tesla becomes the number one electric vehicle manufacturer. Norway is planning to ban cars fueled by diesel or petrol. Sweden is going to be a oil free country only about 3% of electricity produce comes from the fossil fuel. Like these country in future others country like India china  etc may go for the considers the environment protection program by promoting no carbon emitting vehicles, these are the example of the auto related like this many other project and factory can be run by the electricity. Nepal is growing in 7.5% growth rate which was possible by the electricity supplies to the industry and 2/3 industries are in operation which was closed since many years. Development expenditure in the hydroelectricity generate the employments and increase the economic activities that have the multiplier effect on the economy.  So we have to focus on the hydroelectricity projects for the economic development of the nation.