Lanka Phosphate to purchase Rs 40m fertilizer plant

Ridma Dissanayake

Lanka Phosphate Limited will purchase a Rs.40 million fertilizer plant to increase fertilizer production. Tenders will be called from several foreign countries,Lanka Phosphate Limited Chairman Daya Sandagiri told the Daily News.

According to Sandagiri, the demand for fertilizer has increased due to the decision taken by President Mahinda Rajapaksa to issue fertilizer subsidy for all cultivators. “Phosphate is the raw material in demand,” he said.

There are three fertilizer plants in Sri Lanka. Two were set up in the 1970s and the other was set up in 2001. Their maximum production per day is only 200 tons and the daily demand for phosphate is over 200 tons, Sandagiri said.

“We are the main supplier of phosphate to Haleys, Baurs, CIC, Agstar Fertilizer Company and Lanka Fertilizer Company,” he said.

He said the new plant will help double phosphate production.