Know about Krishi Aujar Karkhana is reviving after 30 years

The government signs an agreement with Mahabir Pun-led National Innovation Centre to let it operate the Krishi Aujar Karkhana Limited, a Birgunj-based agricultural tool factory, in Kathmandu, on Tuesday, September 27, 2022.
The authorities indicators an settlement with Mahabir Pun-led National Innovation Centre to let it function the Krishi Aujar Karkhana Limited, a Birgunj-based agricultural software manufacturing unit, in Kathmandu, on Tuesday, September 27, 2022.

The authorities has authorised Mahabir Pun-led National Innovation Centre (NIC) to revive Krishi Aujar Karkhana, an agricultural software manufacturing unit owned by the federal government. The Ministry of Finance signed an settlement with the NIC on September 27, after a cupboard’s determination, giving the centre accountability to run the manufacturing unit for the following 10 years.

The manufacturing unit was arguably Nepal’s first and solely agricultural software manufacturing unit that has not been in operation for the previous 20 years.

With the efforts to revive, will Krishi Aujar Karkhana come into operation? What will it take for the federal government to revive the manufacturing unit again to its glory? Here is all it’s essential learn about its previous, current and the longer term.


Nepal's only agricultural tool factory in ruins in Parsa
Nepal’s solely agricultural software manufacturing unit in ruins in Parsa

Nepal arrange Krishi Aujar Karkhana in Birgunj with the assistance of the Soviet Union (now Russia) on February 28, 1967. King Mahendra Shah inaugurated the manufacturing unit on June 8, 1966. 

It spreads throughout 3.39 hectares of land with an extra residential space of equal space. The manufacturing unit premises encompass a showroom constructing, a safety constructing, a water pump manufacturing workshop, administration quarters, a visitor home, and quarters for (high-level) staffers.

It first shut down in 1995 after which utterly shut down within the early 2000s. So now, the manufacturing unit, full of recent agricultural instruments, and tools is in ruins.

In the preliminary years, Krishi Aujar Karkhana was working profitably. With 90 per cent of the inhabitants depending on agriculture, the manufacturing unit began making the instruments wanted within the agricultural sector. The manufacturing unit produced hand sickles, hoes, spades, threshers, pump units, ploughs, tillers, threshers, pump units, metal trailers, rubbish containers, electrical poles, suspension bridges, ingesting water and sewage administration instruments in partnership with completely different nationwide and worldwide our bodies.

krishi-aujar-karkhana-photo-National Innovation Centre
The workers of the National Innovation Centre accumulating the machines within the manufacturing unit.

The manufacturing unit additionally produced different small instruments utilized in agriculture. They catered to the farmers in each nook of the nation by making agricultural instruments extra accessible at affordable costs. The manufacturing unit had gross sales depots and sellers in several elements of the nation to produce them. Bodies like Nepal Airline Corporation, Nepal Telecom, Nepal Electricity Authority, Dairy Development Corporation and so on additionally made their mandatory tools right here.

But, agricultural instruments produced in India and different nations had been getting cheaper. And, as a result of open border with India, folks used to smuggle instruments into Nepal illegally. On the opposite hand, the Nepal authorities’s coverage did not introduce the appropriate insurance policies to help the manufacturing unit.

As a consequence, Krishi Aujar Karkhana began working at a loss. 

The ups and downs

Krishi Aujar Karkhana was privatised in 1997 as per the plan to extend productiveness and take the manufacturing unit into income. After promoting 65 per cent shares of the manufacturing unit, the personal sector took accountability for its operations. But, as a substitute of producing instruments, the personal sector began promoting already manufactured items saved in varied depots, and parking the automobiles on the manufacturing unit premises.

But, because the manufacturing unit operation was not easy, the operators couldn’t pay workers’ salaries or allowances. Due to the indifference of the personal sector, there was confusion relating to the manufacturing unit’s operation and administration too. Eventually, the manufacturing unit was closed.

Krishi Aujar Karkhana machines
Machines used at Nepal’s solely agricultural software manufacturing unit

On November 14, 2001, the federal government once more determined to function Krishi Aujar Karkhana. But, the Ministry of Finance didn’t launch the capital wanted to function the manufacturing unit on time. Finally, a cupboard assembly held on March 18, 2003, determined to close the manufacturing unit down, once more, for good.

The manufacturing unit’s land remains to be maintained, freed from encroachment, however some parts of the concrete compound partitions across the premises have collapsed throughout completely different monsoon seasons. There is one individual in control of safety with six younger safety guards working below the contract. 

But, the manufacturing unit and any supplies inside there are all in the identical bodily situations. The closed manufacturing unit nonetheless has Rs 3.3 million in arrears and fines due and Rs 6.6 million in electrical energy tariffs. One should clear them earlier than the manufacturing unit resumes its operation.

What subsequent?

The NIC group has already began its homework to renew the operation of Krishi Aujar Karkhana. A group of technicians visited the manufacturing unit and studied the situation of the instruments and tools there. The group has discovered 43 of the 54 machines can nonetheless be operated.

The group members even have began to scrub the manufacturing unit in addition to put together the supplies, informs Prajwal Koju, a mechanical engineer of the National Innovation Centre.

Employees of National Innovation Centre working at Krishi Aujar Karkhana, Birgunj
Employees of National Innovation Centre working at Krishi Aujar Karkhana, Birgunj

“We have began cleansing, and assessing if the present machine instruments are nonetheless workable. So far, lathe machines, cutters, and grinders are high quality. The motors are additionally in good situation however want some upkeep earlier than we carry them again into working situation.”

Mahabir Pun, the NIC chairman, says that Krishi Aujar Karkhana will now be modernised. “The equipment beforehand used was 60 years outdated, so it’s essential to improve some mechanical instruments, whereas some are good to make use of as they’re. We will improve its capability with automation.”

He says his group plans to provide 10-15 new agricultural instruments apart from people who had been being manufactured previously, inside a yr of resumption. Pun additional shares that the centre is planning to carry the manufacturing unit again to its full capability inside the subsequent two to 3 years of operation.

The first assembly of the manufacturing unit administration committee will resolve to arrange a property valuation of Krishi Aujar Karkhana, construct the bodily infrastructure required to renew operation, and keep the present infrastructure and equipment. The NIC may also mobilise a group to grasp the situation of the present machines and put together a report for the Ministry of Finance after estimating the sum of money wanted for the manufacturing unit’s administration.