Strategy for gross national happiness (sgnh) Annexures to the Main Document


Prescription/Strategy: Way forward



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4. Prescription/Strategy: Way forward

The strategies are based on a result of the situational analysis and the broad policies of the livestock sub-sector for the next 20 years, which of course must be revisited from time to time.


4.1 General livestock development strategies

The livestock revolution could provide an engine for sustainable intensification of small-scale farming and marketing. A development strategy needs to anticipate and identify those forces that drive a particular livestock production system and the sub-sector as a whole. These can include population growth, market development (urbanization and income growth), technological change and a changing resource base. An understanding of the direction and speed with which these factors may change, both at the sectoral and farm levels, is necessary so that future programmes can respond accordingly. Some of the general livestock development strategies are included under the following broad classifications:


On-farm interventions

All farm interventions should be adapted to specific agro-ecological conditions and production systems. The availability or utilization of local feeds can be increased through establishment of feed mills at strategic locations in the identified potential areas of livestock development.


Feed resources

Feed and fodder development will continue to be an important element in livestock development programmes. These interventions should aim at increasing the availability or utilization of local feeds through establishment of feed mills at strategic locations in the identified potential areas of livestock development. Animal feeding needs special attention and the need to make better use of traditional feed resources is a must to raise ruminant livestock productivity. Feeding of cereal straws alone result in perpetual poor productivity. The majority of farm households rely on grazing in the forests, and crop residues, which are low in nutrient contents. Feed shortages occur especially during winter. Improving poor quality feeds such as straw with urea has been tried in the past, but has had low adoption rates18. Promoting crossbreeding requires improved feeding practices, and supply of higher quality feed such as concentrates and leguminous tree leaves. Growing legume fodder trees, oats, fodder conservation, diet supplementation with balanced high energy feeds (urea/molasses blocks) are interventions that farmers are gradually taking up to address these constraints in Bhutan. Enhancing cash output from the mixed farm is therefore essential to enable farmers invest in good quality feed for their animals.


Stall feeding

Stall feeding of cattle must be promoted. It is essential that farmers gradually consider stall feeding, in order to use the available feed resources effectively and maximize manure production. Wastage of valuable manure can be reduced by stall feeding and utilized by improving drainage and constructing a simple pit at the animal shed. Losses of manure due to rain and sun cold can be minimized by providing simple roofing over the compost heaps or pits. However, socio-economic constraints need to be evaluated before recommending these changes to farmers on a wide scale, especially because of the extra labour and costs involved.


Genetic improvement programmes aimed at improving the livestock resource base

Options include within-breed selection of adapted indigenous breeds, substitution with exotic breeds or cross-breeding. Such choice should depend on the production system, its objectives and the resources at its disposal. Experience has shown serious misjudgment with policies aimed at importing exotic breeds with a corresponding neglect of indigenous breeds in many developing countries. Dissemination concerns the institutional aspects as well as the choice of biotechnology such as artificial insemination, embryo transfer and progeny testing programmes. The artificial insemination programmes must be strengthened and mobile AI programmes promoted. The current practice of supplying a breeding bull to a community and managed by a community should be changed, since community owned breeding bulls have not received appropriate attention and care. Such breeding bulls should be given to contract bull breeder who will take care of the bulls and charge some amounts for services performed by the breeding bulls.


Conservation of local genetic resources

Dairy intensification is measured as the shift from “low-producing” animals to “high-producing” animals. Crossbreeding does provide short term economic benefits; however, it is being debated, because if it is often done haphazardly it contributes to the genetic erosion of well-adapted local breeds. Exotic crossbreds are also more susceptible to diseases and high mortality rates which require better feeds, more veterinary care and better management. The potential to increase production by introduction of high genetic level animals with high production potential is a promising method to alleviate poverty and therefore subject of many developing projects. Yet in the context of sustainability, to meet the requirements of future production systems, efforts must be made to conserve genes of locally adapted animals, since genetic biodiversity is the base for every breeding programme and an invaluable resource. Conservation of local genetic resources is vital due to the ability to respond to changing production systems. Adapted animals are more resistant to diseases and environmental challenges. Strengthening the conservation of local animal genetic diversity through ex-situ conservation and promoting selection within the local breeds in the government farms (located at Trashiyangphu, east Bhutan) and in areas where farmers prefer the local breeds should be promoted because of their specific characteristics, such as disease resistance and adaptability to harsh environmental conditions. Cryo-preservation of the Siri semen is an ongoing activity in Bhutan and this could be one way of preserving the local genetic resources for use in the future.


Addressing animal health constraints

In the animal health scenario, some of the strategies to be advocated are: the strategic animal health delivery approach, expansion of cost participation mechanism for curative veterinary services in the urban areas, the promotion of village/community participation in the animal health programmes and strengthening the livestock sub-sectors efforts alleviating zoonotic diseases. Catering to the needs of the farmers through an effective delivery of the extension service, strengthening and advocating an effective monitoring and evaluation of the livestock services and bringing about a horizontal integration of the technical programmes are areas of priority. Strategic animal health delivery based on epidemiological findings should be continued. Control of economically important production diseases (internal and external parasites) and zoonotic diseases will be emphasized upon.


Finding a balance between livestock and the environment

In the smallholder mixed farming systems of Bhutan, the most important interaction between livestock and the environment is cattle grazing in the forests. Farmers have user rights for grazing in many of the forest areas. The intensity of cattle grazing in the forests differs between regions. It must be emphasized that uncontrolled grazing with high animal densities is harmful to both forests and grassland eco-systems. At the same time judicious grazing is an effective management tool for reducing competition of tree seedlings by eliminating unwanted shrubs and grasses. For sustainable development of smallholder farming systems, it is vital that a symbiotic relationship occurs between cattle grazing in the forest and forest management. Forest grazing and silvopastoral systems are widely accepted as modern forest management tools. Silvopastoral systems can particularly be useful for mountainous environment and they perhaps offer the best economic and ecological option for many livestock farmers in Bhutan. An example of the synergy between forests, crops and livestock is the promotion of crossbred cattle to increase milk production especially in areas with taboos on culling and so that fewer animals are kept to conserve forests. There is also a need to maintain nutrient balance in nutrient deficit mixed farming and to enhance crop livestock integration. To reduce nutrient surpluses, regulations to control animal densities and waste discharge and incentive for waste reduction are required.


Veterinary public health

With livestock production becoming more intensive, stringent regulations should be in place for environmental sustainability and to safeguard public health concerns. Meat, milk and dairy products hygiene should be better enforced. This should be done through establishment of adequate standards for livestock products and hygienic standards for the entire production chain. Urban dairies and piggery should adequately dispose waste materials. Strict vigilance of livestock products for possible zoonosis should be done.


Efficient and professional delivery of services

Technical backstopping and professional advisory services to the farmers should be strengthened. Extension agents should take a more proactive role in the rural development activities for which appropriate facilities (two wheelers, basic office set up and up gradation of their skills) should also be provided to these people.


4.2 Focused livestock development strategies

In the past, efforts to bring about livestock development have been made at various levels, wherein the inputs made were highly diversified resulting in a very small output across a wide arena. Latent development strategies were in vogue which cannot adequately address our current and future needs of livestock products. Bhutan’s development policies of poverty alleviation requires strategies that will help the rural poor and at the same time ensure that they have the opportunity to participate in the growth made possible by livestock revolution.


For Bhutan livestock development patterns such as high cost and highly capitalized industrial milk, pig and poultry production can be inappropriate policies because these only promote large livestock industries (dominated by a few large producers), with few opportunities for poor farmers. The small scale poor farmers should not be driven out by industrial livestock producers. Instead small scale farmers should be given the opportunity to integrate vertically with livestock food processors. Current focused strategies aim to reduce import of livestock products by enhancing local production. Exports of some niche products like exotic cheese (from cattle and yak) and also honey will be explored. Some of the alternatives to large industrial productions systems wherein small scale farmers can benefit could be developed through:


  • Vertical coordination of specialized crop and livestock activities in high potential areas.

  • Use of labour and quality control of many small farmers in production, but also benefit from the expertise, technologies and assets of larger scale companies that are under contract for input provision, processing and marketing.

  • Strong emphasis in the area of technology development for production and processing of livestock products, potential benefits from new technologies, and at the same time have appropriate mechanism for environmental conservation and protection of public health.


Assessment of potential products and potential areas

The vision of the livestock sub-sector in the next 20 years should envisage contributing to achieving economical, social and environmental sustainability, which is coherent with Bhutan’s policy of self-reliance. To have a desirable impact on the rural economy and to cater to the increasing demand of livestock products, a focused programmed commodity approach in the potential areas of the country is essential. This would have a big economic impact for the rural and peri-urban farmers, generate employment opportunities, bring about a reduction in import of livestock products and also contribute to food self sufficiency and food security at the national level. Based on parameters such as livestock population, livestock production, agro-ecological zones, environmental conditions such as access to grazing areas, crop residues, market opportunities, prevailing social beliefs, a list of the various important livestock products which has potential to be pursued as a semi-commercial or commercial enterprises in the next 20 years is given in the table below.



Potential livestock products and potential areas

 

Milk and products

Meat Enterprises

Others

Dzongkhag

Liquid milk

Local Butter & Cheese

Yoghurt

Exotic cheese (cattle)

Exotic cheese (Yak)

Pork

Chicken

Eggs

Fish

Yak meat (Processed)

Beef (Processed)

Chevon

Honey

Horse & Yak (pack)

Bumthang

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Chhukha

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Dagana

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Gasa

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Haa

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Lhuentse

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Mongar

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Paro

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pema Gatshel

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Punakha

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Samdrup Jongkhar

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Samtse

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Sarpang

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Trashigang

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Thimphu

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Trongsa

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Tsirang

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Wangdue

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Yangtse

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Zhemgang

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Farmer groups

Generally individual entrepreneurs or small companies make simple, informal production contract with farmers on a seasonal basis. Such contact with farmer groups enhances the volume of the product and a more reliable source of raw material. Such mechanism is usually an alternative to corporate approach in smallholder farming system. These informal initiatives depend on the efficiency of technical support services by the government.


The concept of farmers working in groups is still in its infancy. Bhutanese by and large though individualistic in nature, such a concept is nonetheless slowly emerging. Farmers working in groups have the benefits of a large volume of production, lower cost of overhead expenditures and a stronger marketing edge. Some of the notable farmers groups which are operating currently include the Thimphu Peri-urban group (fresh milk), Sha Gogona group (exotic cheese), Shari Om Luethen Tshogpa at Paro (fresh milk), Choekhor Gonor Gongphel Tshogpa (butter & cheese), Deothang farmer group (fresh milk), Tangsibji farmer group at Trongsa (butter & cheese), Doban farmer group in Sarpang (butter & cheese), Soi-Yaksa farmers group (yak butter & cheese) and several poultry and pig farmers groups in Tsirang and Sarpang. The economic gains have been good from such enterprises, but production of the products in larger quantities has resulted in marketing problems.
In the 10th Plan, all the existing farmers groups will be further strengthened in terms of functioning as a group, training on various aspects of product processing and marketing. In the potential areas more farmer groups will be formed. The peri-urban dairy/pig/poultry programmes will receive a major thrust in potential pockets of the country in the coming years. Farmer’s involvement on the development programmes, such as the formation of Contract Bull Breeder Programmes, Contract Pig Production Programmes will continue. By the end of the 10th Plan, efforts will be made to form farmers’ association (a conglomeration of several farmers groups) in the potential areas of Bhutan.
Nucleus estate model of contract farming

As the informal type of contract farming (farmers groups/ association) continues in the 10th plan, the concept of more organized type of contract farming will have to be initiated to facilitate sustainable and market oriented livestock production by small producers. Such organized contract farming will provide a proper linkage between the farm and the markets. Arrangements are required to be made to obtain commitment of the producer (farmers, farmer groups) to provide a certain type and quality of livestock product at a time and price and the quantity (minimum/maximum) agreed upon by a known and committed buyer.


Efforts will therefore have to be made to induce private parties to establish moderate sized pig and poultry processing plants. In case there are no takers, then public intervention is required to establish a few processing plants in potential areas. In such a scheme the public sector will also maintain a production unit to guarantee throughput for the processing plant and may be used for breeding and research purposes, but farmers and farmer groups will be under contract to produce the inputs. The public sector will commence the processing plant on a trail basis. After a trial period the processing technology can then be introduced to the farmer groups and leased. Some examples include milk processing plants, vacuum packed yak meat, poultry and pig meat products.
Gradual privatization of government cattle farms

The government livestock farms need to be retained for the moment since they are still the most important source of genetic material (breeding bulls, horses and pigs). Until the farmers/farmers groups are in a position to take over these responsibilities completely, the government farms are still required. In the past, privatisation of some of the government livestock production units failed due to operational difficulties e.g. the Milk Processing Plant at Phuentsholing and the Pork Processing plant at Wangchutaba which is now closed. Major reasons for their failure were the lack of raw materials. Contract farming is therefore essential for the sustainability of such enterprises. In the future special emphasis should be made at enhancing the efficiency of the government farms, and bringing them to a stage of financial viability. Semi-commercialization, entrepreneurship development and attainment of some level of financial viability are required before embarking upon complete privatisation.


During the 10th and 11th Plans, the Brown Swiss farm at Bumthang and National Jersey Breeding Centre at Samtse should focus on milk production and if required processing of milk products so that they reach a certain level of financial viability. These units will also continue to focus on production of breeding bulls and by the 12th Plan, these two farms may be leased to contracted farmer groups to take up the entire operation. The government pig and poultry farms should continue to increase the production of piglets and pullets, to assist the farmers/farmers groups or private entrepreneurs undertaking pig and poultry processing enterprises. When the government pig and poultry farms demonstrate financial viability, these also could be leased out to farmer groups or interested entrepreneurs.
Cost sharing of animal health service delivery

Animal health programmes are essentially aimed at limiting the impact of disease on animal production. Policy issues concern as to who will provide and pay for such services. Foremost is the need to control and protect (quarantine) the national livestock resource from major epizootic diseases, such as Rinderpest, Avian flu, etc. Disease monitoring, veterinary investigation and legislation (public health and meat inspection) also fall within the public domain. It is proposed that in the urban areas of Thimphu, Phuentsholing, Gelephu and Samdrup Jongkhar, the clients owning pet animals should pay animal service charge and the full costs of medicines prescribed.




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