The Small and Medium Scale Rice Mill Owners’ Association in Sri Lanka is highlighting a rice shortage in local markets, which it attributes to an uptick in beer production that uses a significant amount of raw rice. According to U.K. Semasinghe, Chairman of the association, the rice used in beer production is sourced primarily from Nadu paddy, which would otherwise be allocated for regular rice supply to consumers. This shift has reportedly impacted the availability and price of rice on the market.
Farmers’ organizations and shopkeepers have raised similar concerns, noting difficulties in maintaining affordable rice stocks at government-controlled prices. Rising demand from breweries has further strained the rice supply chain, causing a marked increase in the price of Nadu rice in recent weeks.
In an effort to address the escalating prices and shortage, President Anura Kumara Dissanayake recently met with major rice distributors to stabilize prices. Following these discussions, an agreement was reached to enforce controlled retail prices to reduce the financial burden on consumers and counter the effects of the shortage.
The situation underscores the challenges of balancing agricultural resources between essential food production and other commercial uses, such as brewing, especially in times of tight supply.
