Rs. 18,000m fertiliser subsidy for current year

COLOMBO: The Government will spend Rs. 18,000 million to pay the fertiliser subsidy to farmers for the current year further fulfilling a pledge given to the farmer community to provide a 50 Kg bag of Urea fertiliser at Rs. 350.

As pledged in the Mahinda Chinthana, the Government has provided a 50 Kg bag of Urea fertiliser to farmers at Rs. 350 during several harvesting seasons, Agricultural Development and Agrarian Services Development Ministry Secretary T.M. Abeywickrema told a meeting with farmer representatives at the Agriculture Ministry yesterday.

According to Abeywickrema, the Government spends Rs. 48,000 for each Metric ton of fertiliser provided to farmers. One Metric ton of fertiliser consists of 20 bags of 50 Kgs of Urea fertiliser bags. If a 50 Kg bag of Urea Fertiliser is sold at Rs. 350, the Government can only obtain Rs. 7,000 per Metric ton of Urea fertiliser.

The Government has to incur Rs. 41,000 per Metric ton of fertiliser provided to farmers. The Ministry had summoned a meeting of farmer representing farmer organisations from major and minor irrigation schemes to discuss the problems that had arisen in the distribution of fertiliser subsidy among farmers.

Abeywickrema said various ideas submitted by the farmers on the fertiliser subsidy will be brought to President Mahinda Rajapaksa and Agricultural Development and Agrarian Services Development Minister Maitripala Sirisena’s attention.

The Government has introduced several fertiliser schemes to farmers. However, most of the imported fertiliser stocks are Urea fertiliser mainly distributed among paddy farmers. In addition, the Government provides TSP and MOP fertiliser to farmers under the fertiliser subsidy scheme, he said. He said the benefits of the fertiliser subsidy are not channelled to farmers properly and benefit are enjoyed by other sections.

Therefore, the Ministry decided to discuss with farmers to identify the problems they are faced with when obtaining their fertiliser subsidy.

The Ministry is investigating complaints of a fraud amounting to nearly Rs. 400 million on fertiliser. The Ministry dispatched lawyers last month to submit facts and appear in these cases, he added.