• Agri Minister Mahinda Amaraweera warns of paddy exceeding Rs. 100 per kg

The paddy cultivations in several Districts including 45,000 acres in the Hambantota District are in danger due to the drought situation, and the same will affect the expected paddy harvest in the Yala cultivating season, stated the Ministry of Agriculture.

Speaking during a meeting with a group of farmers' representatives from the Anuradhapura District yesterday (17), Agriculture Minister Mahinda Amaraweera said that paddy cultivations in several Districts including 45,000 acres in the Hambantota District are at risk of being destroyed due to the prevailing drought. "This situation will have an effect on the expected paddy harvest during the Yala season. As a result, a kilo of paddy that is currently being purchased for around Rs. 95 will go beyond Rs. 100 in the future."

Noting that the harvesting of paddy in the Yala season will be over by the end of this month (July) in many areas, he said that it will only be in March 2024, when paddy will once again be harvested. "By that time, the paddy stocks owned by the private sector will be over. Due to this, the prices of paddy harvested in the Yala season will be going up in the coming months." Amaraweera further said that the Paddy Marketing Board (PMB) is currently purchasing paddy from farmers with the use of a loan obtained from a State bank at an interest rate of 8%.

While an uncertain situation regarding the expected paddy harvest during the Yala season has arisen now, the Ministry, taking into account an observation that there would be a surplus of about 300,000 metric tonnes (MT) of rice in Sri Lanka after the upcoming Maha season, had recently instructed the Department of Agriculture to pay attention to the export of such rice stocks. 

An official of the Ministry, early this month said that the monthly rice requirement of the country is 200,000 MT, which makes the annual rice requirement 2.4 million MT. However, he said that the Ministry was forecasting that 2.7 million MT of rice could be produced by using the paddy harvest of the Yala and Maha seasons this year (2023). In that way, he said that a surplus of about 300,000 MT of rice would emerge in the country.