Presentation on theme: "Dr. Chiranjibi Nepal. Introduction Countries are facing four mega trends: Rapid globalization IT revolution Industrial structure change Declining birthrate."— Presentation transcript:
Dr. Chiranjibi Nepal
Introduction Countries are facing four mega trends: Rapid globalization IT revolution Industrial structure change Declining birthrate
These three forces have changed the world economic structure: Customers take the charge Competition intensifies Change becomes constant
These 3c changed the philosophy of world economy: Shifting from the producers to the consumers initiative Shifting from quantity to quality Shifting from result to system
Economics of scale only no longer remain decisive in maintaining competitiveness. They are being replaced by: Economics of speed Economics of scale Economics of networking
Changed dramatically over the last five decades in politically, economically and socially with for reaching implications of changes on the life styles: Living conditions, Consumption patterns, Production systems, Thinking and Ways
In Nepal: High population and low GDP growth rates with marginal improvement in per capita income of the people and concentration of economic power in the hands of the few
Poor performance in agriculture sector is conspicuous by; Low productivity Low production Wide fluctuations Progress in irrigation is always frustrating
Another serious constraint is; Idle labor on limited land The feudal land tenure system Geographical setting is the determinant of the past development strategy resulting in concentration of available resources in relatively accessible areas with better potentialities and possibilities of higher pay-offs
As a consequence, regional imbalances remained deep-rooted in; Agricultural, Industrial, Infrastructures and Social sectors development.
With the result that the remote and backward regions languished under; High incidence of poverty, Economic isolation, Underemployment, Declining productivity below subsistence level of consumption and Poor capital formation
As a Result: Most glaring disparities in contribution to total GDP Decades of planning exercises development efforts have failed Could not create adequate conditions for achieving a reasonable growth with social justice
The development strategy underwent significant reorientation with focus on; Employment oriented production, Regional balance, Basic needs, and Participatory development under successive periodic plans.
It has numerous constraints; Many incompleted projects had always to be carried over from one periodic plan to the other, Such spillover type of project always claimed substantial part of resources
The planning and programming units of line agencies could not develop their capability in identification, preparation and implementation of new programmes, The heavy dependence on external resources had often resulted in implementation of projects other than these which could have been selected,
Nepalese economy is dualistic in its structure; With the small, newly emerging, organized economic sector based on trade, industry and services, Coexisting with the vast traditional rural economy
Single set of policy package cannot address the problems which are specific to the nature of the two different segments of the dualistic economy
Obviously raises the question of why some countries are able to meet the basic human needs of their people better than others; Some countries select more appropriate technology than other in pursuing developing program.
The Green Revolution technology with its exclusive focus on HYV (high yield variety) seeds, chemical fertilizers, pesticides, irrigation and mechanized farming
What is Appropriate Technology Appropriate technology is now recognized as the generic term for a wide range of technology characterized by several of following characteristics; Low investment for work place Low capital investment per unit of output Organizational simplicity High adaptability to a peculiar social and cultural environment
Sparing use of natural resources Low cost of final product High potential for employment
In the absence of a developed industrial base a significant share of Nepal's export earnings is bound to be dependent on agriculture and forest product.
In such a situation, if the rate of economic growth is to be accelerated there is no option but to mobilize millions of farmers in the rural areas with appropriate technology.
Appropriate methods of technology adoption should include measures which; Increased agricultural production Minimize the adverse impact of new technology on the rural society and environment.
Some examples Soil management in Zimbabwe; Application of organic resources of animal or plant Integration of cover crop and multiple purpose, woody and herbaceous legumes in existing cropping system Improved sustainability of nutrient cycles Soil conservation methods
Flood resistant paddy; International Rice Research Institute has invented a new kind of rice grain named Swarna-sub1 which after being submerged in water continuously for 15 days also, doesn't rot or get destroyed. It is proved by the experience done in India too.
Irrigation System; Two doctoral students of Cornell University of USA studied Palpa district's Argali irrigation system and found that the system with appropriate technology had been working efficiently for the last 150 years without any direct support from the government. They are managed, controlled and run by the local people.
Suspension Bridge; Even when a national department dealing with the construction of suspension bridges was asked to build such bridges with a grant assistance of Rs 7,00,000, they were able to build only two suspension bridges whereas when the same amount was granted to the local people who were to mobilize local resources including labor, knowhow and technology, they were successful in building 62 suspension bridges.
"The bridges ranged from 30 feet to 300 feet in length and were deemed safe by the engineers who studied them."
Practical Action Program; By introducing a practical Action designed clay stove, which uses much less biomass, and building a clay flue to carry the smoke to the open air, the kitchen environment is transformed. Lolipops for cows (Khari Dikka) – red mud, egg shells, salt, flour (cow produce a good quality of milk that is high in fat)
Increasing rural productivity – Increasing productivity of rural people and their access to other basic services and market through use of Intervention include scaling up of technologies such as cable river crossing tuins, gravity goods ropeways, decentralized renewable energy technologies focusing on the development of wind and solar energy systems and strengthening their manufacturing bases as well as their operation and maintenance for sustainability.
Practical Actions (Three gravity ropeway and six tuins benefiting 14,636 people from 2,366 HHS:(Achham, Gorkha and Tanahu Districts) Practical Actions Renewable energy village in a chepang village in Gorkha district has meant that 67 households now have access to lighting from renewable energy sources – these sources include wind/solar hybrid, micro-hydro, pico-hydro and solar lanterns.
Bio gas plants Solar dryers for agro-processing In health, the purification of drinking water, agriculture, tools and techniques for improved soil management – development of simple renewable energy.
Renewable energy; Solar Water disinfection; (SODIS) is a low-technology, simple process of purifying water using the power of the suns UV rays and solar radiation.
Solar water purification system; this integrates solar electricity and water purification- solar panels generate power for a battery that pumps the water through a filtration and purification system. These systems are often mobile and used in disaster relief efforts and conflicts area.
Neglected issues in technological change: Interrelationships between technology, environment and rural population
Need for an appropriate technology; two important elements of sustainability that need to be recognized in developing appropriate technology and agriculture growth strategies: First, future generation have prospects equal to or greater that what present generation have and second, the potential degradation of the resources base due to human action to raise the resources systems performance is a key limitation to sustainability.
Need for a supporting technology; the development of appropriate technology cannot achieve the desired results unless appropriate measure over taken for the transfer of technology to the people who deserve it most.
Relevant aspects of technology transfer; people who want to adopt the technology should have easy access to it, measures should be taken to ensure that those who have acquired the technology can adopt it easily.
An appropriate economic policy framework – the policy towards agriculture and industry should be bias- neutral.
The application of technology is primarily a social process rather than just a technical/economic process.