Effects of Foreign Remittance on Agricultural Activities (A Case Study of Jamune VDC Tanahu)

Abstract

This study is a micro level study of Jamune VDC of Tanahu district so as see the effect of foreign remittance on Agriculture activities in the study area. Due to the unemployment prevailing in Nepal most of the youths are compelled to go to foreign lands in hope of their better livelihood and they remit large amount of money which not only has helped them to sustain their families but also to a large extent as helped maintain the economics condition at the national Remittance comes from foreign employment which uplifted lifestyle of those people somehow but at a same time traditional agriculture in shadow, that means there is effected of foreign Remittance or agriculture activities. This study is based on the role of remittance in agricultural activities in all 9 wards of Jamune VDC of Tanahu district. The main objective of this study is to compare the in comes between a foreign remittance and traditional agriculture. The specific objectives of the study as are follows: to examine impact of foreign remittance or agriculture growth, to assess positives and negative effects of remittance in the rural areas, and to make relevant recommendation about sustainable of remittance. This search is a explanatory and analytical type. The study was conducted or the month of April 2015. This study is mainly based on primary data as well as on secondary data. There are 1109 household with the population of 6,814 in all 9 wards of this VDC. Out of these households 18 HHs were selected for sample size. The study shows that our country is losing young energetic manpower at an alarm in grate as most of the foreign workers feeling abroad are aged between 25 to 35 years.There are symptoms of brain drain as well as cause of foreign employment; traditional agricultural activities are also most affected. The analysis of this research shows that the per household annual gross incomes from agricultural sector is 90,000 to 5,00000 in the VDC and per family annual gross incomes from foreign employment ranges from NPR 120,000 to 8,40,000 and average income from foreign employment is higher by 48%than the income from agriculture. The foreign workers have used their income in different sector. Most of the workers have used their remittance income to pay loan which they have spent while going vi abroad. And some have used in constructing houses, Consumption,sewing land in Urban area, health, education and other sectors and some workers have spent small portion of their income on physical goods in foreign while returning. Generally, the foreign remittance has shown positive impact on the socio-economic status of the people of this VDC and also negative relationship with agricultural production because as the number of agricultural labor migration has increased, the agricultural production has decreased. The analysis of this research shows most of the foreign workers have got improvement in their economic status. Similarly it has beneficial effect on their children’s education, aware about nutrition of food,sanitation, installed dish home television as well as mobile phone set their hand. As the negative effect of foreign employment, it has degenerated cultural value and beliefs, promoted illegal sexual activities and broke the family traditions also. A large chunk of their earnings has been invested in unproductive sectors like purchasing built house, instruments, jewelries and also ignoring agricultural activities or hesitating to continue their former agricultural works. Therefore they should been couraged to invest or productive and yield sector and the way of investing or productive sector should be initiated by the Government.