Pakhribas Municipality in Dhankuta has cancelled a contract worth around 1.4 million rupees with Hari Om Hi-Tech Krishi Nursery Farm in Rautahat for failing to supply fruit saplings of the required quality and quantity on time.
The municipality had signed an agreement with the farm to supply 38,000 fruit saplings, including mango, lychee, banana, and guava, under a 7.5 million rupee special grant from the federal government.
However, the municipality claimed that the farm failed to deliver the saplings as per the agreement, prompting them to cancel the contract.
The municipality’s administrative chief, Sunil Paudel, said that despite repeated verbal and written warnings, the farm failed to meet the agreement’s terms, leading to the cancellation of the contract.
The municipality had also instructed the farm to return the saplings that were already delivered within three days.
The contract was worth 1.4 million rupees, including taxes, and was awarded to the farm through a bidding process.
The municipality’s agriculture department chief, Indramaya Tamang, said that the decision to cancel the contract was made after the farm failed to meet the agreement’s terms.
However, the farm’s owner, Hari Om Baniya, claimed that they had supplied healthy saplings as per the agreement and that the municipality was responsible for the delay in distribution, which led to the saplings withering away.
Baniya demanded that the municipality pay for the saplings, claiming that they had fulfilled their part of the agreement.
He also complained that the municipality’s agriculture department was responsible for the loss he incurred due to the delay in distribution.
Over 1,100 farmers had applied for the fruit saplings, and the municipality had already completed the construction of plastic tunnels and ponds under the special grant program.
The municipality’s agriculture department said that they had also distributed avocado, orange, and junar saplings under the program.
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