Value chain of Pangasius (Pangasius hypopthalmus) in Rupandehi and Nawalparasi districts of Nepal

Abstract

A research was conducted based on value chain analysis of Pangasius (Pangasius hypopthalmus) in Rupandehi and Nawalparasi districts of Nepal in 6 Jan. 2015 to 15 May 2015. All five Pangas/Pangasius producing farmers, eight traders and eleven consumers were purposively selected and primary data were collected through semi-structured interview of pre-tested questionnaire. Among the five Pangas producing farmers in Rupandehi and Nawalparasi districts, only two had given products in the market. Some of the Pangas farmers collected fry from India and sold them to Nepalese farmers after the fry were grown to fingerlings. Analyzing the benefit cost (B/C) ratio and T-test showed that Pangas production and its marketing was feasible and profitable in Rupandehi and Nawalparasi. Pangas producing farmers of these two districts directly sold their fish to the weekly market sellers. Processing of Pangas fish is not noticed in this area. Pangas are more preferred in winter season (Poush/Magh) than in summer season (Baisakh/Jesth) in this Rupandehi and Nawalparasi region. People preferred Pangas commonly because of low price (comparatively), easy to eat, easy to cook, good taste and its high nutritive value. Study showed that value chain map of Pangasius is dominated by retailers. Since Pangas farming was recently introduced in Nepal, almost all marketed Pangas was taken from India (Sunauli wholeseller). Nepal had high scope for Pangasius culture due to large number of fresh water bodies and optimum temperature. Key-wordsValue chain, Pangasius hypopthalmus, Fingerlings, B/C ratio, Farmers, Traders, Consumers -------------------------------------------------IJLSSR----------------------------------------------INTRODUCTION Being the second richest water resources country in the world, Nepal has a high scope in fish farming. Nepal has rich in fresh water resources including snow fed rivers, lakes, ponds and torrential hills stream, provides the natural habitat to specially the cold fresh water fishes. Due to establishment of diverse topography and climate, the aquatic ecosystems of Nepal offer excellent habitats to different indigenous and exotic fish species of high economic, environmental and academic value (1-3). Different species are distributed in different parts of Nepal from terai, valley, mid hills to Himalayas. Access this article online Quick Response Code: Website: www.ijlssr.com DOI: 10.21276/ijlssr.2016.2.6.11 This vast water resource has been supporting several indigenous fish species which play a great role in balancing the biodiversity as well as in income generating activities of landless and marginal farmers. Capture fisheries is a traditional occupation of Pode, Majhi, Bote, Mallah, Godhi (fisherman by tradition) and other indigenous communities. The pangasius industry is connected with the story of ‘Cinderella story’ as it emerged as the fastest growing aquaculture sector in the world (4). The sustainability of unplanned production of Pangas has question mark internationally as an industry (5-6). Global value chain analysis is meant of understanding the integration of firms and farms in globalised markets (7). In developing countries, main objective of Global Value Chain analysis has been to identify how these firms and farms to upgrade their position in these markets (8). This approach describes the location of actors within a broadly defined set of vertical and horizontal political, social and economic relations (9-10). Upgrading the products is to strategic change of products or the production process which enhances rewards and/or reduces exposure to risks for a chai n actor (11-12). Upgrading of products is governed by shifting to more functional positions in the chain or Research Article (Open access) Int. J. Life. Sci. Scienti. Res., VOL 2, ISSUE 6 http://ijlssr.com Copyright © 2015-2016 International Journal of Life-Sciences Scientific Research Page 713 producing products that have more value added to them. As such, upgrading can occur either by increasing the number and type of functions in a value chain, or the level and type (12). Among different species of fish cultured in Nepal, Pangasius culture is new approach which has been introduced to Nepal from India few years ago. Pangasius is commonly known as Baikhi/ Baithi in Nepal. The Pangasius is the fresh water fish, and omnivorous is nature. The Pangasius is fast growing fish, attain the body weight of 1.2-1.3kg within 6 months but generally harvested after 8 months depending on the demand of the market. It requires fresh water but can adjust in blackish water with salinity of 7-10% also. It can tolerate the high stocking density and low biological dissolved oxygen in water as minimum as 0.05-0.1 mg/litre. The optimum temperature for Pagasius culture is 22-28°C. It can survive high temperature upto 39°C and low temperature upto 15°C. Pangasius is omnivorous with the potentiality of high stocking and poly culture. It is stated that the total production of Pangasius in the world is 1.6 million metric ton (13) and the dominated by the leading producer country Vietnam. It has the high market in Europe. The Spain is the leading market for Pangasius in the world. Vietnam is exporting Pangasius to about 80 countries in the form of frozen product. Nepal also imports Pangasius from Vietnam, India, and Bangladesh. Domestic Pangasius production makes availability of fresh live fish in local market. People are being more conscious and prefer to consume the live Pangasius. While talking about value chain, channel connecting local producer with the market trader and then consumer is common in Nepal. Relating Pangasius with value chain, Pangasius is the living cash and water bodies/pond is the deposit bank. Value is added in step of transfer of the fish from producer to final consumer for the service added. METHODOLOGY The research methodology consists of the procedures involved in selection of research site, preparation of sampling frame, sampling design, sources of information, data collection techniques, analysis of the data and their interpretation Selection of Study area: This research was conducted in 6 Jan 2015 to 15 May 2015 in Nawalparasi and Rupandehi districts of western region of Nepal. Fig. 1 Map of Nepal showing study area Selection of Respondents Respondents were of three categories, namely: farmers, traders and consumers. Therefore, selection of farmers, traders and consumers were done as follows: Selection of Pangas producing farmers: There were only five Pangas producing farmers in Rupandehi and Nawalparasi districts. So, all of them were selected. Selection of Traders: Altogether eight traders from Bhairahawa bazzar, Dande bazzar and Kanchhi bazzar were purposively selected and interviewed. Selection of Consumers: Altogether eleven consumers from Bhairahawa periphery were purposively selected and interviewed. Questionnaire Preparation: Separate questionnaire for producer, trader and consumer are prepared. Questionnaire for producer included questions about cultural techniques, costs and return. Questionnaire for trader included questions about market structure, fish selling pattern, costs and return. Questionnaire for consumer included questions about Pangas preference, preferable size and consumption pattern. All three types of questionnaire included socio demographic information too. SOURCES OF DATA: Primary data: Both primary and secondary data were used for study. The pre-tested interview schedule was administered to the sampled farmers, traders and consumers for the collection of primary data. Secondary data: The secondary information was obtained through reviewing different publication produced by Nepal Agriculture Research Center (NARC), Department of Agriculture (DOA), District Agriculture Development Office (DADO). Int. J. Life. Sci. Scienti. Res., VOL 2, ISSUE 6 http://ijlssr.com Copyright © 2015-2016 International Journal of Life-Sciences Scientific Research Page 714 Methods and techniques of data analysis The information collected from the field were first coded and entered into the computer. Then information collected were analyzed by T-test by using Microsoft excel for quantitative and qualitative data analysis. Descriptive statistics like frequency count, percentage, chart and diagram were prepared. T-test: T-test was done to analyze the feasibility of Pangasius production by taking two paired variables gross return and total production cost per kattha. To analyze the feasibility of Pangas marketing by taking1. Two paired variables: total cost and total return. 2. Two paired variables; unit price sold and unit price bought. Benefit cost analysis: Benefit cost analysis was done after calculating the total cost and gross return from the Pangas production and Pangas selling separately. Benefit cost analysis was carried out by using formula: B/C ratio = Gross return/ Total cost.