Sri Lanka has long struggled with rice shortages, a critical issue given that rice is the nation’s staple food. The country’s dependence on rice makes any disruption in its supply a direct threat to food security. In the 2022-2023 period, Sri Lanka witnessed a severe rice shortage, driven by a combination of poor government policies and hoarding by business owners. This crisis underscored the urgent need for a more robust, long-term approach to managing the nation’s rice supply.

In light of this, the recent plan by the Ministry of Agriculture to regulate the use of domestically produced rice for non-consumption purposes is a welcome and necessary move. While Sri Lanka’s rice industry faces pressures from multiple sectors, it is vital that for the time being, rice be primarily reserved for food consumption. This approach will be an important step in stabilising the food security situation and ensuring that future rice shortages do not put the nation’s population at risk.

The concerns raised by the Small and Medium Scale Rice Mill Owners’ Association about rice being diverted to beer production are not without merit. The association pointed out that the rice used in beer production is often sourced from ‘nadu’ paddy, one of the key varieties of rice in Sri Lanka. The Ministry of Agriculture’s response, which includes the development of a regulatory framework to minimise the diversion of rice for non-food uses, is an important measure. The ministry noted that, while the beer industry cannot be outrightly banned from using rice in production, imported rice could be a viable alternative for such purposes.

At present, rice must be prioritised as a food source, especially given the food security challenges Sri Lanka faces. The State’s role in this process is critical, not only in regulating the distribution of rice but also in ensuring a buffer stock of rice is available at all times. The Government must take steps to ensure that adequate supplies of rice are stored in a manner that maintains their quality and availability. Revisiting and enhancing Sri Lanka's food production, storage, and distribution systems is essential to addressing many causes of rice shortages. 

One important strategy in this regard is the creation of a national granary reserve. This reserve should be equipped with environmental control storage facilities, which will prevent spoilage and wastage, ensuring that rice remains available for consumption in times of shortage. Additionally, Sri Lanka needs a better-regulated logistics and purchasing system for rice, where the State exercises more control over the flow of rice through the entire supply chain, from production to final sale. This would help mitigate the impact of price volatility and hoarding practices that exacerbate food insecurity. Having a reserve that can be tapped into during lean periods will provide a safety net for the population, preventing panic and price hikes. 

Once Sri Lanka has established a stable and secure rice supply, the Government can explore alternative uses for surplus rice. This could include exporting rice to countries in need or diverting it to other industries such as animal feed or beer production. However, these activities should be considered only when the domestic demand for food has been fully met. For now, the immediate priority must be to ensure that rice is used primarily for consumption, given its role as a vital source of nutrition for millions of Sri Lankans. While rice-based products such as rice flour and rice-based alcohol do contribute to the economy and cultural identity of Sri Lanka, these products should not take precedence over the immediate need to secure enough rice for food. The Government should explore ways to continue producing these rice-based goods, but it must ensure that such production does not exacerbate the food security crisis. Exploring alternative sources or production methods for these products, such as using imported rice, could be part of a solution that balances industry needs with national priorities.