World Bank, Government of India and Government of Himachal Pradesh signed a $ 80 million loan agreement to increase agricultural productivity and improve water management practices in Himachal Pradesh.
This loan amount will be used to implement the project in about 428 gram panchayats. The benefit of this will be given to the panchayats of 10 districts in Himachal Pradesh. This will benefit more than 400,000 small farmers, rural communities and women. Funds will be provided for setting up water monitoring stations under this project. This will help lay the foundation for future water budgets and also ensure better use of land.
There is a scarcity of water for agriculture in the lowlands of Himachal Pradesh. Significantly, the state’s rain rate is decreasing every year.
Agricultural production in snow areas has shifted to higher altitudes and temperatures have increased in the foothills. This has greatly affected apple production.
This loan will help improve pastures, forests and grasslands. It will also ensure that adequate water is available for sustainable agriculture in the state.