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MONLAR: Agriculture output has dropped by between 30 and 50 percent

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By Rathindra Kuruwita

There had been a 30%- 50% drop in the country’s agricultural output, Chinthaka Rajapakshe, Convener of the Movement for Land and Agricultural Reform (MONLAR) told The Island yesterday.

“The farmers, like almost everyone else in this country, are uncertain of their future and they have only sold a portion of their produce. So, for example, if a farmer produced 100 kilos of paddy, he would keep 50 kilos for his own consumption and sell only 50 kilos,” Rajapakshe said.

According to Rajapakshe widespread hoarding coupled with a steep drop in production means that there will be a food shortage in the coming months. “The government is already importing rice from India, Pakistan, Myanmar, and China has donated rice to us rice,” he said.

“Given the dollar crunch, I am not sure if we can spend hundreds of millions of dollars on food imports. The main problem with the government’s organic drive was that there was no planning. The Ministry of Agriculture, Ministry of Agrarian Services and the Mahaweli Authority failed to give proper directions to the farmers.”

The situation would have been better if the government had given cash directly to the farmers to produce compost and other inputs. However, the government insisted on handing over the production of compost and other inputs to businessmen who were their political supporters. These businessmen had produced low-quality fertiliser that was rejected by farmers, Rajapakshe said.

“Farmers had no faith in the government or organic agriculture because they realised that it was not done in good faith. It was done either because of the dollar shortages or because the government wanted to enrich its cronies,” he said.

MONLAR Convenor said that the other problem plaguing agriculture was the fuel shortage. Many farmers used pumps to irrigate their farms that ran on diesel and there had been a severe diesel shortage for months, he said.

“The current crisis in farming is a reflection of the chaotic nature in the country. The main problem is not the fertiliser or fuel shortage alone, it is that the farming community has lost its faith in the government.

Meanwhile, Dr. Lionel Weerakoon, former senior scientist at the Department of Agriculture said that the switch-over to organic agriculture could not be effected by fiat overnight. It had to be done over a period of time.

“27% workers, out of a labour force of eight million, are engaged in agricultural and related industries. There is a belief that the government banned agrochemicals due to the belief that excessive use and elevated exposure to fertilisers and agrochemicals might be a contributing factor to Chronic Kidney Disease. But this is not what scientists, economists or farmers believe,” he said.

In 2020, Sri Lanka imported through both state and private sector, fertilisers worth $259 million and this was 1.6% of the country’s total imports.

“The 2021 bill could have been anything between $300 and $400 million given international prices. The situation is even worse now because Russia, Belarus and China have limited their fertiliser exports. If we are to purchase a similar quantity of fertiliser as we did in 2020, we might have to spend 600 million US dollars,” Dr. Weerakoon said.

In 2019, the fertiliser subsidy programme cost the government around 46 billion rupees or $253 million, which is roughly 2% of the government’s recurring expenditure. Fully-subsidised fertiliser for smallholder rice production was one of the reasons why people overused fertiliser.

“The fertiliser subsidy was extended to other crops, including tea, vegetables, coconut, rubber, potatoes, fruit, and minor export crops. The government subsidises anywhere from 48-to-88 percent of the market price of a 50-kilo bag of fertiliser. In 2019, the government distributed around 300,000 MT of subsidised imported fertiliser among the cultivators of other crops. 44% went to tea plantations, 24% to vegetable producers, and 12% to coconut plantations with the balance being allocated to rubber, fruit, potatoes, and minor export crops,” Dr. Weerakoon said.

“There have been many attempts by the government and NGOs to promote more effective use of chemicals in agriculture for decades. These have not been successful and our agricultural systems are unsustainable. Given this context the decision to go organic was a very bad idea.

“There was a better plan in 2015. It was a soft shift to organic agriculture. The overall management of the country under the incumbent government has been disastrous. The current chaos in agriculture sector is a good example,” the senior scientist said.



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BASL calls for conscience vote on 22nd Amendment

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The Bar Association of Sri Lanka (BASL) yesterday called on all political parties, represented in Parliament, to allow their members to vote on the proposed 22nd Amendment to the Constitution according to their conscience, stressing that the responsibility for deciding whether the Bill should be enacted now rests with Parliament.

In a statement issued after the Supreme Court’s determination on the 22nd Amendment Bill, BASL President Rajeev Amarasuriya and General Secretary Nalin de Silva have said the SC’s determination should not be interpreted as an endorsement of the proposed constitutional amendment as a matter of policy.

The BASL has said the SC’s jurisdiction, under Articles 120, 121 and 123 of the Constitution, was to determine the constitutional requirements for the enactment of the Bill, including whether the Bill, or any of its provisions, required approval at a referendum under Article 83.

“The determination is therefore not a determination as to whether the proposed amendment is good or bad policy, desirable or undesirable, wise or unwise, or whether Parliament ought to enact it,” the BASL said.

Full text of the BASL statement: The Supreme Court has now delivered its Determination on the Twenty-Second Amendment to the Constitution Bill and determined that the Bill does not require the approval of the People at a Referendum.

In terms of Articles 120, 121 and 123 of the Constitution, the jurisdiction of the Supreme Court in relation to the Bill is to determine the constitutional requirements for its enactment, including importantly whether the Bill, or any provision thereof, requires the approval of the People at a Referendum by virtue of Article 83.

The Determination is therefore not a determination as to whether the proposed Amendment is good or bad policy, desirable or undesirable, wise or unwise, or whether Parliament ought to enact it.

This distinction is also evident from Sri Lanka’s previous constitutional amendments. During the 48 year history of the second republican Constitution there have been many amendments which passed constitutional muster but nevertheless had a negative effect on democracy, constitutionalism, the independence of the judiciary and the rule of law.

The question that now arises is whether Parliament ought to enact the proposed Amendment. That responsibility rests with Parliament and with each individual Member of Parliament when they vote on the Bill.

In making that decision, Members of Parliament should be mindful of the possible and probable consequences the 22nd Amendment will have on our nation. They should also consider the lack of transparency and a proper consultative process in the introduction of the 22nd Amendment. As representatives of the people they should also consider the concerns that have been expressed in relation to the proposed Amendment by a broad cross-section of society including the Maha Nayakes of the Three Nikayas, the Catholic Bishops’ Conference in Sri Lanka, the Church of Ceylon, the Bar Association of Sri Lanka, the Judicial Service Association, the Commonwealth Lawyers Association, LAWASIA, the International Association of Judges, the United Nations Special Rapporteur on the Independence of Judges and Lawyers, the French National Bar Council, and more than 40 Professional Associations and Unions, including the Government Medical Officers’ Association and other leading professional bodies.

Accordingly, the Bar Association of Sri Lanka calls upon all the political parties in Parliament to allow the Members of Parliament to speak and vote on the 22nd Amendment according to their conscience.

The responsibility now lies with Members of Parliament, when called upon to vote, to take a principled position according to their conscience giving due consideration to their constitutional responsibility, their representative capacity and most importantly their duty to the sovereign People of Sri Lanka.

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IMF: Sri Lanka on course for 2027 market return

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SL to regain access to international financial and capital markets next year in line with IMF projections

Sri Lanka is on course to regain access to international financial and capital markets around 2027, in line with the International Monetary Fund’s (IMF) current economic projections, IMF Mission Chief Evan Papageorgiou said yesterday.

Papageorgiou said the IMF’s core assumptions under Sri Lanka’s economic programme continued to envisage the country returning to international capital markets in 2027.

“Our previous assumption that Sri Lanka will go back to capital markets still stands. We still have a good trajectory to achieving this in 2027 or thereabouts, and that should be the goal,” he said.

Papageorgiou stressed that Sri Lanka could not rely solely on domestic sources of financing to build long-term economic resilience and would need a diversified funding strategy.

“Every country needs to have a good ability to access funds both in domestic markets, as it already has, as well as international markets for eurobonds and other modes,” he said.

He said a return to international capital markets would have significant implications for Sri Lanka’s external debt composition, while strengthening foreign exchange reserves would remain essential as the country prepares to meet future debt-servicing obligations.

The IMF’s assessment comes amid improving international investor sentiment towards Sri Lanka and positive developments in the country’s sovereign credit ratings.

Papageorgiou cited Fitch’s recent upgrade of Sri Lanka’s credit rating as a positive development, saying global investors were increasingly viewing the country from a more constructive perspective.

Sri Lanka remains under the IMF’s Extended Fund Facility (EFF) programme, which is scheduled to continue until March 20, 2027. Regaining access to international capital markets remains a key milestone under the country’s broader economic recovery.

The IMF has stressed the importance of rebuilding Sri Lanka’s foreign exchange buffers and maintaining stability in domestic financial markets as the country approaches substantial external debt repayments.

A sustained improvement in these areas would help strengthen the country’s capacity to return to international markets while safeguarding macroeconomic stability, the IMF has indicated.

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President appoints three new judges to High Court

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From Left: New HC judges Perumal Sivakumar, Anandi Kanagaratnam and Gnanesha Lalith Kannangara receiving their letters of appointment yesterday from the President

President Anura Kumara Dissanayake yesterday (23) handed over appointment letters to three Special Grade officers of the Judicial Service as High Court Judges, at a ceremony held at the Presidential Secretariat, according to the President’s Media Division (PMD).

The new appointees are Perumal Sivakumar, District Judge of Jaffna; Anandi Kanagaratnam, Senior Assistant Secretary of the Judicial Service Commission; and Gnanesha Lalith Kannangara, District Judge of Colombo.

The three senior Judicial Service officers will take up duties as High Court Judges following their appointments.

The appointments were made from among Special Grade officers of the Judicial Service, the PMD said.

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