Deputy Minister of Agriculture Namal Karunaratne revealed in Parliament today that the current production cost of a kilogram of paddy is Rs. 76, and when sold at the government-subsidized price, farmers receive a profit of Rs. 44 per kilogram.
Reflecting on past challenges, Karunaratne noted that during the fertilizer ban, the cost of producing a kilogram of paddy had surged to Rs. 154, making cultivation unsustainable for many farmers. However, with current agricultural policies and the restoration of fertilizer subsidies, production costs have significantly decreased.
Breaking down the present figures, he stated that:
- The production cost of a kilogram of red rice is Rs. 76
- The production cost of a kilogram of white rice is Rs. 91
With the government’s guaranteed price for paddy, farmers are now experiencing a profit margin of approximately Rs. 44 per kilogram of red rice.
Karunaratne highlighted that this pricing structure aims to balance farmer profitability with consumer affordability, ensuring a stable and sustainable agricultural sector. His remarks sparked discussions on the future of agricultural subsidies, market prices, and policies to further support farmers.
