President Anura Kumara Dissanayake has instructed the Treasury to significantly raise the fertilizer subsidy for farmers, with the increase set to take effect in the upcoming agricultural season. The current subsidy of 15,000 rupees per hectare will be raised by 10,000 rupees, bringing the total subsidy to 25,000 rupees per hectare.
This move aims to address the growing concerns of farmers who have been facing rising costs of agricultural inputs, particularly fertilizer, which is essential for boosting crop productivity. With global market prices for fertilizer fluctuating, the increased subsidy is expected to relieve some of the financial strain on farmers, allowing them to purchase the necessary inputs without the burden of additional debt or compromising on crop yield.
President Dissanayake’s directive reflects a broader commitment to revitalizing the country’s agricultural sector, which has faced numerous challenges in recent years, including unpredictable weather patterns, supply chain disruptions, and economic instability. By increasing the fertilizer subsidy, the government aims to incentivize greater agricultural output and food security, while also ensuring farmers are better equipped to meet domestic demand.
In his statement, the President emphasized the importance of supporting the backbone of Sri Lanka’s economy, stating that the nation’s prosperity relies heavily on the success of its farmers. This subsidy increase is part of a series of measures designed to strengthen rural economies, reduce poverty in agricultural communities, and boost the overall productivity of Sri Lanka’s farming sector.
The Treasury is expected to make the necessary budgetary adjustments to accommodate this increase, and distribution mechanisms will be streamlined to ensure that the funds reach farmers promptly. Additionally, the government will likely implement further monitoring to ensure that the subsidy is effectively utilized and reaches the intended beneficiaries.
This announcement has been welcomed by farmer unions and agricultural organizations, who have long called for enhanced support to cope with the rising costs of production. However, some critics have raised concerns about the fiscal implications of increasing subsidies amidst a challenging economic environment, pointing to the need for broader structural reforms in the agricultural sector.
