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Benefits to Nepal

           The introduction of hazelnuts to Nepal would be greatly beneficial to the country and its people. Without much competition due to a lack of hazelnut suppliers, the price of hazelnuts would initially vary based on the farm’s desire such that the nuts can be priced at a moderate rate that would keep consumers satisfied while at a good profit to retailers. As more orchards grow hazelnut trees and the crop becomes popular to local communities, the price will be more stabilized and will be determined by the market under demand and supply. Once the hardship of reaching the break-even point is over as seen under the "Profit" section, the financial pressure on farmers with a large loan will ease. At this point, the annual production at an affordable cost will secure income for nut farmers, and therefore will be more adapted to the market. On the other hand, as hazelnuts grow in popularity and more widely accepted, the average Nepalese with increased consumption of nutrient-rich hazelnuts may lessen needs for more expensive foods. Many may even switch to hazelnut oil to reduce time spent cooking. A new hazelnut plantation could provide more local job opportunities. From daily tasks such as weeding and watering, to seasonal ones such as fertilizing and harvesting, to those that keep the entire plantation running smoothly and ensure the overall health of the trees, the plantation would grow successfully.

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Export Potential

           Hazelnuts have a strong export potential. Since they are only newly introduced to Nepal, a country in which people eat nuts as a staple food, they may become an additional nutritious alternative as one of the country’s most popular food. While expenses are high in the first few years, the amount can typically start being paid back by the sixth year. Since the trees are hardy and last for many years under good conditions, they would provide farmers a long-term steady income. Those expenses may be problematic for a farmer, thus provision of a loan or grant would likely be required to start a hazelnut farm. Another problem that may be faced would be the inability for hazelnut trees to grow well in soil, needing a controlled source of water and nutrients. To overcome this, an irrigation system must be set up prior to the arrival of hazelnuts, and some foliage such as cover crops may be necessary to redirect water content. Insects and other pests may pose a problem during harvest. An inexpensive measure that can be implemented to prevent against pests would be to plant some trap crops to attract them elsewhere. Other pests can be deterred by natural pest predators, for example cats against field mice and squirrels that may be interested in eating the nuts.

AusAID
                                                          A nut seller in Nepal

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