Kathmandu, Jan. 22: The Agriculture Development Bank head branch office in Bharatpur (Chitwan) has focused its loan programme on commercialisation of the agricultural sector.

Under this programme, agro-based production in the entire district has increased significantly.

Major portions of the loan flow have been channelled into poultry farming, hatcheries, production of feed and egg trays, veterinary medical facilities and sale of chicken eggs and meat, manager at the branch rameswar koirala said.

Chitwan district is emerging as the biggest poultry centre in the country as a result of the positive impact of bank loans and enterpreneurs concerned have started calling it an egg basket.

The bank is also assisting in the keeping of hybrid cows and buffaloes and bee-keeping with modern technology. Consequently, the production of milk and honey is also rising gradually.

The loans received from the bank for the purpose of sale of agricultural inputs and products, though on a small scale, have proved to be of  help for small farmers and entrepreneurs.

Similarly, the flow of huge investments into the establishment of bio-gas plants in the district has led to the promotion  alternative energy to a great extent.

The bank is also providing loans for livestock like pigs and goats, the mass cultivation of potatoes and vegetables, operation of cottage and small industries and cutting and crushing mills, purchase of tractors and irrigation purposes.

According to statistics, the bank recovered Rs. 76,100,000 out of its total loan investment of Rs. 80,600,000 during the first six months of the current fiscal year.

About 124 percent progress has been achieved in investments and 85 percent progress in loan recovery.

The Bank had a total of Rs. 338,100,000 in outstanding loans as of the month of paush this year, and of the total, Rs. 49,000,000, or around 12 percent  is bad debt.

Some impediments such as paucity of requisite infrastructure and advanced technical counselling, inadequate supply of quality seeds and fertilisers, lack of quality control for feed and medicine and failure to get desirable returns on the sale of ago products and livestock have hindered the smooth implementation of the loan programme to some extent, manager Koirala said.