Danger of capital flight for lack of import substitution

 Janakpurdham, Aug. 14: Tens of millions of rupees of capital is drained out from Dhanusha annually as there is no import substitution of goods imported from India.  There is a danger of food crisis day by day as agriculture production has been coming down each year in Dhanusha district, said agricultural experts.

               Agriculture has occupied the 65 percent of the total income of Dhanusha district and 80 percent people depend on agriculture.  As there were no rains in time, only 25 percent rice transplantation has been completed in the district so far with the increasing drought. Only a few years ago, Dhanusha exported excess rice to India, but now imports from India instead. If we see the statistics of 2070-71 BS, Dhanusha imported Rs. 970.2 million worth of foodgrains from Bhittamod entry point alone, including paddy, wheat and rice. The Plant Quarantine Check Point Bhittamod says rice worth Rs. 109.9 million, wheat worth Rs. 16.7 million, pulses worth Rs. 5.1 million, oil seeds worth Rs. 33,500, vegetables worth Rs. 1.3 million and fruits worth Rs. 223.6 million was imported. When we compare it with exports, the situation is vulnerable.

Dhanusha attracts remittances of Rs. 4.73 billion each year but as there is no investment in productive sector, there is dependency resulting in large capital flight, say businessmen. Rice is cultivated in only 76,531 hectares of land among 119,000 hectares. Situation of importing rice from India has increased due to lack of production of the crops that are main basis for economic progress, said farmers and businessmen.Experts demand that the remittances should be invested in agricultural production by removing dependency on India.