Small and medium-scale rice mills in Sri Lanka are facing the threat of collapse following a recent decision by the Food Policy and Security Committee to import 40,000 MT of rice substitutes to address an alleged shortage of keeri samba in the local market.
According to the proposal, 5,000 MT will be imported by State institutions, while the private sector will handle the remainder.
The move has sparked criticism from farmers’ groups and trade unions, who claim the decision will destabilise the local rice industry and harm small- and medium-scale millers.
National Agrarian Unity Organisation President Anuradha Tennakoon voiced strong opposition to the plan.
“The Government is procuring rice substitutes to counter large-scale mill owners who had sold rice exceeding the wholesale price set in accordance with the rice price control gazette issued in December 2024. This initiative will not help as it will only result in the complete collapse of small- and medium-scale rice mills,” he told The Sunday Morning.
Tennakoon described the decision as a serious misstep in Government policy, warning that it would weaken the country’s agriculture sector.
He stressed that paddy farmers had already cultivated a sufficient stock of keeri samba for the Maha season and that there was no pressing need for imports.
He further explained that the imported rice substitutes would include varieties such as ponni samba and similar products, which were typically used as lower-cost alternatives to keeri samba.
As per the Central Bank of Sri Lanka’s Daily Price Report, wholesale prices of samba currently stand at Rs. 235 per kg in Pettah and Rs. 240 per kg in Dambulla.
As reported last week, the Government has decided to import 40,000 tonnes of keeri samba to address a supply shortage and meet market demand, the President’s Media Division announced.
Following a recommendation from the Food Security and Cost of Living Committee, 5,000 tonnes will be imported by State institutions, with the remainder to be brought in by the private sector as needed.
However, when contacted, Deputy Minister of Trade, Commerce, and Food Security R.M. Jayawardana stated that although this decision had been made, neither the Government nor the private sector had imported keeri samba substitutes thus far.