Minister tells cultivators:

Increase productivity

Ready to introduce tariff barriers on minor agricultural products imports:

The government requested minor export crop producers to seize the opportunity given to the sector by way of a fertiliser subsidy to make the country self-sufficient in such produce.

Economic Development Minister Basil Rajapaksa addressing leaders of farmer organizations of minor export crops, said that the government has extended the fertiliser subsidy so far offered to paddy cultivation to all other crops inclusive of minor agricultural products such as cocoa, cinnamon, ginger, cardamom, pepper, saffron etc.

The minister said that the government which was incurring an annual subsidy of Rs 24,000 million for paddy cultivation has increased the fertiliser subsidy upto Rs 50,000 million to cover all agricultural crops in the country.

"Because of this fertiliser subsidy, the country has become self-sufficient in rice now. The government aims at making the country self-sufficient in agricultural produce. Due to the 90 percent fertiliser subsidy given to paddy farmers since 2006, the country is now self-sufficient in rice. The government now offers a 65 percent fertiliser subsidy for other crops and the plantation sector," he said.

"During the economic downturn and the global financial crisis, prices of all varieties of goods fluctuated. It is only in Sri Lanka, where fertiliser for paddy is sold at Rs 350 per bag without any price fluctuation for the last six years," the minister said.

Minister Rajapaksa requested growers to make use of this subsidy scheme offered by the state under the instructions of President Mahinda Rajapaksa to make the country self-sufficient in minor export crops thereby increasing their revenue.

"Sri Lanka is exporting minor agricultural products but in the same time due to the short supply in the local market, the Ayurvedic Department has been compelled to import ginger, kurakkan and coriander to make ayurvedic medicine popular in the country," the minister said.

He promised minor export growers that the government was ready to impose tariff barriers for the benefit of the growers if they increase their productivity by using the benefits of the fertiliser subsidy and other grants offered to the sector.

The minister also reminded of other grants and assistance given to the minor export promotion sector by the government.

"Plants for all minor exports are given free of charge and the Export Agricultural Department provides an investment assistance from Rs 20,000 to 40,000 per hectare depending on the nature of the crops. Further a post harvest assistance includes providing of machinery for the processing of produce," he said. Minor Export Crops Promotion Minister Reginald Cooray, secretaries Vagira Narampanawa and Anura Siriwardene and ministry officials were also present at this discussion held at the Presidential Secretariat.