Sri Lanka state agencies to buy 200,000 tonnes of rice in Yala

ECONOMYNEXT – Sri Lanka’s state agencies are planning to buy 200,000 metric tonnes of rice and the Finance Minister said it had released 10.4 billion rupees for the program.

The funds have been issued to state-run Paddy Marketing Board to buy paddy in the upcoming Yala minor cropping season.

Harvesting is due to begin now from Kurunegala and Baticaloa.

The total harvest is expected to be 1.7 million metric tons in the Yala season, the Department of Agriculture has said.

The government has said all types of paddy will be bought at 50 rupees a kilogram regardless of the type of rice.

Since different types of rice have different market prices, the economic consequences of the move is not yet known.

The purchase price had also been raised from an earlier 38 rupees for Nadu and 41 rupees for Samba.

During an ongoing election campaign, famers in some areas have called for extra water saying only 50 percent of the land could be cultivated with the water issued.

During the Maha, main cultivation season, usually 3.5 million tonnes of paddy is harvested. (Colombo/May28/2020)