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Budget has focused on raw material for exports

The 2012 budget has completely focused on the production of raw materials for exports and even rice will be for the first time an export product with priority. Much emphasis is given for the production of export based raw material for both agri and industrial sectors, Sarath De Silva of the National Chamber of Exporters of Sri Lanka, said.


Sarath De Silva

riority is given for self-sufficiency in food production and import substitution in green gram, ulundu, black gram, peanuts, sesame and maize, by increasing the cess on imports in the budget. The increase of cess on red chilies, curry powders, etc. will encourage people to get into local production. Hence those members who are in the agri business will definitely take part actively. Exporters appeal from the government to allocate land and make it convenient to obtain, not only for small holders, but to exporter based companies, large parcels of underutilized and unutilized land which will make it possible for people to get into production of industrial and agri based raw material.

“The government’s ambition to make Sri Lanka a rice exporting economy would be a positive step in the face of changing global environment with global weather calamities. It should be the prime responsibility of the Quarantine Department and the Agriculture Ministry to facilitate the private sector, without imposing undue pressures, to import suitable glutinous, long grained paddy seeds until we multiply it ourselves so that we could replace the Basmati and the Thai fragrant rice and introduce, to the world, a new brand called “Lankamathi”. De Silva said.

He also added that affiliated to this should be the approval of soil enhancing and organic or balanced material, to achieve higher yields, so that the Northwest and Ampara Districts which are considered rice bowls of Sri Lanka, will produce rice suitable and, palatable to the whole world.

The Divi Neguma initiative to distribute coconut plants to one million households, means 15,625 acres of new coconut are going to be ready in three years to be harvested.

The increase of cess on imported vegetable oils will protect the local coconut industry and the exporters of fish, meat, eggs and milk will be given assistance and even fresh water oyster production is also encouraged, he said.

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