Govt to tap Rs. 500 Mn for paddy purchasing

by Teena Marian 23-09-2022 | 11:41 AM

COLOMBO (News 1st) - The Government has planned to access Rs.500 Million from the Farmer's Trust Fund and the Agricultural & Agrarian Insurance Board to purchase paddy.

Secretary of the Ministry of Agriculture Rohana Pushpakumara said that such a decision was taken during a discussion held yesterday (22) presided by the Minister of Agriculture.

Accordingly, Rs. 200 Million will be obtained from the Farmer's Trust Fund.

Rs. 300 Million is scheduled to be obtained from the Agricultural & Agrarian Insurance Board.

This amount will be given as a loan to the Paddy Marketing Board.

The Agriculture Secretary further said that with the receipt of this money, the purchase of paddy for the Yala Season will resume.

However, he said that the loan amount of Rs. 2000 Million, which was proposed to be given by the state banks for the purchase of paddy, should be given immediately to ensure the continued procurement process.

Agriculture Minister Mahinda Amaraweera told News 1st that at the Cabinet Meeting on Thursday (22) it was decided to release the money in tranches.

Yet, many farmers speaking to News 1st said that they are facing serious issue due to the inability to sell their paddy harvest.