On 30 June 2025, the Government of Nepal officially launched the Resilient High-Value Agricultural Programme (R-HVAP), a US$120 million initiative supported by the International Fund for Agricultural Development (IFAD) and Nepal. The programme aims to assist over 250,000 people from small-scale farming households in transitioning toward commercial and agroecological farming practices.
The programme was launched during an inception workshop held in Kathmandu. The event was attended by senior government officials, representatives from the private sector, development partners, civil society organizations, and the media. Key institutions represented included the National Planning Commission and the Nepal Agriculture Research Council.
One of the programme’s major initiatives includes the development of a regional agriculture wholesale market in Butwal, which will support the conservation, production, processing, and marketing of Nepali agricultural products. This is expected to strengthen value chains and market access for small-scale farmers.
R-HVAP is an eight-year programme targeting 60,000 smallholder farming families across the Lumbini, Karnali, and Sudurpashchim provinces. The formal agreement for the project was signed in December 2024.
The programme aims to systematically transition Nepal’s smallholder farming sector into a model that is commercially viable, agroecological, resilient, and inclusive. It is expected to improve livelihoods, food security, and market access for farmers.
IFAD has been active in Nepal since 1978, supporting agriculture and rural development policies. Its efforts have focused primarily on hill and mountain regions, where access to infrastructure and markets is limited and poverty rates are higher.
To date, IFAD has implemented 20 rural development projects in Nepal valued at US$904 million, including US$393 million contributed by IFAD itself. These initiatives have reached approximately 1.1 million rural families, playing a significant role in reducing poverty and promoting social inclusion.
