COUNTRY BACKGROUND - Gross National Happiness Commission

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Manufacturing and Trade Table 18.1 Number of Wood Based Industries 1990 Vegetable and fruit based industriesVegetable and fruit based industries 18.3 Bhutan produces a large variety of horticultural crops, including apples, oranges, cardamom, ginger,many kinds of vegetables, nuts, asparagus, mushrooms, lemon grass oil, black pepper and other kinds of spices. Horticultural crops are beginning to contribute significantly to Bhutan's export trade: horticultural exports accounted for 25% of total exports in 1988. Horticultural crops also provide higher returns to the producers than other crops and thus are a better source of increasing farmer's income. However, average yields appears to be low due to poor management, low grading and post harvest handling. Research and extension services for horticultural crops are rudimentary, but will be improved during the 7FYP (see Chapter 17). 18.4 Most of horticultural products are consumed fresh within the country, but apples and oranges are exported to Bangladesh and India. There are a few fruit and vegetable based industries notably Bhutan Fruit Products in Samchi and Thimphu Integrated Food Industries (production to start in 1992). Bhutan Fruit Products is a major fruit processing unit which produces fruit juices, ketchup, sauces and canned fruits. There are 2 small units producing juices in Thimphu and Jakar, Bumthang. 18.5 Vegetable processing units are even less well developed than fruit processing units. The production of high value vegetables like mushrooms and asparagus are encouraged. Mushrooms are exported in small quantities to Thailand and Japan, where they fetch very high prices. 18.6 Cardamum is exported to India, Bangladesh and Singapore. Lemon grass oil is produced for export to India for use in essential oils and perfumes. Mustard oil is produced for local consumption. Alcoholic and non-alcoholic drinksAlcoholic and non-alcoholic drinks 18.7 There are three large distilleries: Samchi distillery, Samdrup Jongkhar distillery and Geylegphug distillery. Alcoholic drinks are made in Jakar, Bumthang. Soft drinks are manufactured in Phuntsholing, by a company which operates under licence from an Indian Company. In 1988 Bhutan exported alcoholic products (mainly rum and whisky) worth Nu 18.4 m to India and imported alcohol worth Nu 4 m from India. In addition, Bhutan imported rectified spirit worth Nu 15 m from India for blending and bottling purposes. Mineral based industriesMineral based industries 2 Type of wood industry Total Sawmills 49 Sawmills-cum-Crate boxes plants 5 Particle Board Factory 1 Blockboard Factory 2 Plywood Factory 1 Joinery/Wood Works 4 Broomhandle Factory 3 Furniture Factory 33 Tea Chest/ Crate Factory 4 Wooden Handicraft 1 Total 103
18.8 (see Chapter 19 on Mineral Development) Unregistered manufacturing sectorUnregistered manufacturing sector Manufacturing and Trade 18.9 The unregistered manufacturing sector is quite significant in Bhutan. It provides a wide range of goods for daily use by the producers and also for sale, as well as generating part time employment. Although the importance of the unregistered sector is known statistics on this sector are non-existent, as the producers are scattered and often working from home. Goods produced in the unregistered sector include weavings, applique works, embroidery, painting (thangkha), wood work, mask carving and statuary, bamboo and cane works, metal works etc. Trade and Industrial licensesTrade and Industrial licenses 18.10 As of September 1991, there were 7,848 licensed trading establishments dealing in different products, compared to 6,760 issued at the beginning of the 6FYP. Trading is undertaken by the private sector entrepreneurs with the exception of two parastatal bodies i.e. the State Trading Corporation of Bhutan (STCB) and the Food Corporation of Bhutan(FCB). The Food Corporation of Bhutan purchases its quota from the Food Corporation of India and wholesales food items to private commission agents. The State Trading Corporation of Bhutan channels exports and imports to India and third countries. The number of industrial licenses issued at the beginning of the 6FYP was 290, which had increased to 953 at the end of September 1991. Tourism Tourism 18.11 Until November 1991, the development of tourism in Bhutan had been the responsibility of the Bhutan Tourism Corporation, a quasi autonomous and self-financing body. As mentioned in Chapter 6 on Privatisation and Public Enterprise Management, the Bhutan Tourism Corporation was being privatised at the end of the 6FYP. In late 1991 there were 11 private tour operators. One third of tourists come to Bhutan for mountaineering and trekking, while the rest come for cultural tours. 18.12 Tourists come mainly from United States, West Germany, Japan and the United Kingdom. Tourist arrivals are mainly concentrated in March, April, August, September, October and November. The average stay is one week in Bhutan. The tariff rates vary according to seasons as well as the facilities tourists use. October and April are categorised as peak season. March, May, July, August, September and November are categorised as medium seasons. Low season falls in the month of January, February, June and December. The daily tariff rate shown in Table 18.2 apply to tourists who come in a group of not less than four. If the number of tourist is less than 4 at a time, there are separate surcharges over and above the daily tariff rate. The surcharge of a single tourist is US$ 40 a day. If there are two tourists, the surcharge is US$ 30 each and if there are 3 tourists, the surcharge is US$25 each. There are discounts on the daily tariff rate for children. Table 18.2 Daily Tariff Rates for Tourists (1990 in $US) Peak season Medium season Low season Hotels 220 175 130 Lodges 150 130 100 Camps/tents 130 120 90 Trekking 130 120 80 3
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COUNTRY BACKGROUND I. Physical Char
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COUNTRY BACKGROUND Minerals The exa
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COUNTRY BACKGROUND Bhutan is the le
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COUNTRY BACKGROUND personnel polici
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CHAPTER 2 ECONOMIC PERFORMANCEECONO
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2: Gross Domestic Product 1980 —
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Figure 2.2 Economic Performance IV.
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Table 2.4 Government Expenditures 1
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Table 2.5 Summary of RGOB Budgetary
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Figure 2.5 Economic Performance 2.2
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Economic Performance of Infant Mort
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Approach to Development · sustaina
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Approach to Development 3.19 The fo
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Environment and Sustainable Develop
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Environment and Sustainable Develop
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Women's Involvement in Development
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CHAPTER 6 PRIVATISATION AND PUBLIC
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unacceptably high inequalities of i
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CHAPTER 7 ECONOMIC OUTLOOKECONOMIC
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Economic Outlook 7.9 This section e
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Table 7.2 Seventh Plan Outlay and S
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Figure 7.2 Figure 7.3 Capital Expen
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Economic Outlook economic sector wi
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Economic Outlook recurrent expendit
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Financing GapFinancing Gap Table 7.
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Fiscal and Monetary Policy Table 8.
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Fiscal and Monetary Policy Strategy
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Fiscal and Monetary Policy Table 8.
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Fiscal and Monetary Policy TABLE 8.
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I. IntroductionI. Introduction CHAP
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Aid Policy 9.9 Sectoral Allocation
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Aid Policy 9.20 Sector Ministries,
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Aid Policy Aid and the Private Sect
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Culture and Religion Dratshangs and
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Culture and Religion and documented
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Culture and Religion V. Financial a
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Education Table 11.1 Educational In
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Education Higher EducationHigher Ed
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Education 11.24 In 1986, the enrolm
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Education Table 11.3 Enrolment Targ
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Education particularly of the natio
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Education writing and numeracy and
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CHAPTER 12 Human Resource Developme
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of Bhutan + Corporation Planning Co
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Joint and Public Sector IndustriesJ
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Table 12.5 Sectoral Training Funded
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Human Resource Development IV. Manp
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CHAPTER 13 HEALTH SERVICESHEALTH SE
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Table 13.2 Health Institutions July
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A. Objectives and Strategies in the
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Table 13.5 Goals for Children and W
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Health Services IV. Health Sector P
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Mother and Child Health (MCH)Mother
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COUNTRY BACKGROUND - Gross National Happiness Commission

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