• Rs 10 b loans for small-medium-scale millers 

With harvesting for this year’s (2026) Yala season now underway, the President’s Secretary Dr  Nandika Sanath Kumanayake has instructed officials of the Agriculture Ministry to commence paddy procurement without delay. He also directed that existing paddy stocks in warehouses be cleared and that preparations be made, in coordination with Sathosa, to receive the new harvest. He issued these instructions during a discussion on paddy procurement for the Yala season held on Tuesday (7).

Approximately 475,000 hectares of paddy land had been cultivated during this Yala season and no adverse weather conditions had affected cultivation. As a result, a successful harvest is expected. The Treasury has allocated Rs  six billion for the purchase of paddy during the 2026 Yala season. In addition, a further Rs  10 billion has been earmarked through State banks as Odapana loans for small and medium-scale rice mill owners

The Agriculture, Livestock, Lands and Irrigation Ministry Secretary D.P. Wickramasinghe informed the meeting that all arrangements had been made for the Paddy Marketing Board (PMB) to commence purchasing paddy from 15 July, with the necessary preparations being carried out in collaboration with the District Secretaries. Wickramasinghe stated that, whereas in 2024 the Government had to urge rice mill owners not to increase the price of paddy, it is now in a position to request them not to reduce prices. He noted that this change had been made possible by the significantly higher paddy harvest achieved over the past one and a half yeaRs  He further pointed out that, in 2024, the Government had appealed to farmers to sell their paddy to the State, but that the response had been limited. At present however, farmers are waiting for the PMB to begin purchasing paddy before selling their harvest. During both last year’s (2025) Yala and Maha seasons, the Government purchased paddy worth Rs  16 billion. The PMB currently holds approximately 120,000 metric tonnes (MTs) of paddy in its warehouses. Of this, tenders have been called to release around 60,000 MTs to the market, while steps have already been taken to supply a further 20,000 MTs to the Sathosa. The meeting also discussed obtaining additional storage facilities, where required, from Government institutions, including cooperative societies and the Agrarian Development Department, as well as leasing warehouses from the private sector.