SNV, Agro Enterprise Centre/Federation of Nepalese Chambers of Commerce and Industry (AEC/FNCCI), International Network for Bamboo and Rattan (INBAR) and International Centre for Bamboo and Rattan (ICBR) jointly organised an introductory programme on the project “Development and Commoditisation of the Pre-fabricated Modular Bamboo Housing in Asia and Africa” to highlight the importance of bamboo in Nepal through the project.
With SNV’s support, FNCCI signed the project contract with Common Fund for Commodity (CFC) and it is being implemented by ICBR. The project aims to support the establishment of commercially viable supply chains for existing bamboo industries in Nepal by establishing community owned and managed pre-processing centres and linking these units with thousands of bamboo farmers. The project will promote private sector industries and bamboo enterprises by developing sustainable supply chain integrating thousands of poor bamboo farmers.
Bamboo, one of the fastest growing woody grass in the world, is found in 73 districts of Nepal. It is estimated that about 3.3 million farming families are somehow involved in bamboo sub sector either as producers or users.
Bamboo has been a part of Nepalese culture since ages which has remained and limited economically to only 1) selling raw bamboo culms – which really do not provide them adequate economic benefits, and 2) using bamboo for making baskets, fodder, weaving materials, fencing and roofing mainly for domestic purposes and few items for sale - which again does not provide sufficient economic benefits and is considered to help them for bare subsistence.
High potential of bamboo value chain development (VCD) is hindered by several factors including the fact that most of the bamboo farmers are scattered, operate at small scales, and lack the capacity for investments and technical know how on processing, collection, harvesting and cultivation. Due to this, their engagement in the chain is limited and they have low bargaining power in the market. At the higher levels in the value chain processing technology, domestic consumer demand and export constraints constitute the major limitations.
SNV is supporting its client AEC/FNCCI to successfully implement the project by establishing community owned and managed pre-processing centres and upgrading existing bamboo industries in Nepal to commercialise bamboo so that poor households are benefitted.
Within the project, SNV will explore possibilities to secure local level investment within the frame of inclusive business (IB) for the establishment of three pre-processing centres. Skills of poor bamboo farmers will be enhanced so to produce quality raw material.
The project also aims to ensure income for the farmers by developing and confirming business linkages by signing buy-back guarantee between farmers and pre-processing centres for purchase of raw materials. Pre-processing centres' operation and functioning will be assured and secured through agreement with the larger bamboo industries so that the sector performs in an organised manner.
The project intervention, ultimately, is expected to influence the policy and management decision makers to opt and advocate promotion of bamboo to upscale the sector and create employment and income opportunities at local level thereby contributing to local economy.