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Government to provide fertiliser subsidy or reduce fertiliser prices 

21 Jan 2022

Plantation Minister Dr. Ramesh Pathirana stated that the Government is currently in discussions to provide a subsidy for chemical fertilisers or to reduce the price of fertilisers within the next three months.  He said this while speaking at the opening of the multi-purpose building at the Batahena Dharmagaveshi Temple, which was funded by the Star Project implemented by the Tea Small Holdings Development Authority (TSHDA), and sponsored by the Habarakada Kudugalpala Tea Small Holdings Development Society.  Simultaneously, Dr. Pathirana laid the foundation stone for the Star Project of the Kudathe Estate Development Authority and the Tea Leaf and Agricultural Products Marketing Centre to be built jointly by the Neluwa Medagama Small Tea Development Centre in Galle and the opening of the Green Tea Collection and Agricultural Product Marketing Centre in Opatha, Galle.  The TSHDA has spent Rs. 134 lakhs on this project under the Star Project, which will serve about 2,500 tea smallholders in the area.  In addition to collecting green tea leaves, people also have the opportunity to collect and sell other agricultural products including cinnamon, pepper, areca nut, kithul honey, and jaggery through these centres. “The ban on chemical fertilisers was well intentioned, but some sectors, including the tea industry, could not stand it. But at present, chemical fertilisers are being received. However, a 50 kg bag of fertiliser costs Rs. 7,200. People cannot afford that price. Although relief cannot be given immediately, the Government is taking steps to provide relief in a systematic manner. We will provide a subsidy for fertiliser within the next two to three months. We are also working to reduce fertiliser prices,” noted Dr. Pathirana.  He added that the tea industry in particular is showing signs of improvement. “Tea production in 2020 is 279 million kilogrammes. But despite the fertiliser crisis, we produced 305 million kilogrammes of tea last year. The Government will implement several special programmes in the future to promote tea cultivation,” he added.  “However, the people are not aware of the projects implemented by the Government. I allocated Rs. 1.5 billion for a project to provide water for cultivation. But not even 50% of that money has been spent. The World Bank Loan Scheme will provide $ 20 million for the development of tea cultivation. We will provide that money to the people through public and private banks,” concluded Dr. Pathirana. 


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