Sri Lanka Govt. Prioritizes Farmer Subsidies, Cites Risk of Rice Price Hike

Sri Lankan Agriculture Minister K.D. Lal Kantha announced that the government is prioritizing increasing subsidies for paddy farmers over raising the purchase price of paddy. Speaking in Parliament, the minister warned that increasing the paddy purchase price could prompt mill owners to increase rice prices, a move the government aims to avoid to protect consumers. The minister acknowledged that current market prices for paddy, ranging between Rs. 85 to Rs. 110 per kilogram, are insufficient for farmers. This policy aims to balance support for farmers with the need to maintain stable rice prices for the public.