Potato economy (s)mashed

By Dilrukshi Handunentti

Chandre's story

"We are potato farmers by profession although we are now reduced to washing these vegetables for Rs. 75/- per day because of the government's shortsighted trade policies." 

That is Chandrasekera, potato farmer and a PA activist in the Kuda Oya area's story.

While the Business Times team spoke to him Chandre's daughter came to collect his wage of Rs. 75/- for their evening meal'.

This is all I've got until tomorrow. My second child who went to the Montessori for six months is now at home. I have no money to send her to school.

(S) mashed potatoes! 

That word sums up the destruction in the central hills - the complete break down of a potato economy in an agriculturally productive district, Nuwara Eliya.

And the chilly winds have chilled their hearts, left their hearths cold and life bleak. They have one fervent hope - to meet the Trade Minister, Kingsley Wickremaratne who they hold responsible for their reversed social and economic status, to give vent to their feelings.

When The Business Times visited Nuwara Eliya to take stock of the crisis ridden potato farms, former land owners were washing vegetables in a stream in Saman Eliya, Labookelle in the Kuda Oya electorate for Rs.75 a day, condemned to eke out a living with only memories of a relatively comfortable past.

Nuwara Eliya parliamentarian, C.B.Ratnayake said that potatoes might never be cultivated there again. There are 10,800 genuine farmers who are not mudalalis or government servants cultivating in the district.

As the quality of the Indian potato dropped, there was an increasing demand for the local potato.

But incentives were insufficient, he said , hoping that concessions granted through the budget for seed potatoes would lead to a revival of their economy.

To resurrect the sagging potato economy, Ratnayake proposes introducing a certified price, proper purchasing mechanism, a scheme to provide high quality pesticides and measures to reduce cost of production.

K.Ranasinghe has been a potato farmer for over 25 years, cultivating his own land. When the Indian potatoes flooded the market during the local harvest, his lifestyle hit rock bottom.

Then came the low quality seed potato from India with which, according to Ranasinghe, came the 'leaf minor' fly which destroyed his crop.

Up to their necks in debt they cannot invest any further in their cultivation. Pesticides are Rs. 800 and to counter the leaf minor, we have to spray more. This shrinks the size of the potato and reduces quality, Ranasinghe says.

Having spent Rs.4, 800 on seeds and another Rs.4, 000 for labour and transport, the cost of production naturally went up. While local potatoes are sold at Rs.90 the imported potatoes were going at Rs. 35. So would anyone want ours, asks Ranasinghe sadly.

But the problem reached crisis proportions when the Pettah market did not purchase their produce, as the Indian potatoes were available at a lower price.

In desperation they simply sold stock and failed even to recover their cost. Three years of such desperation, and they are slowly being driven to despair with jewellery pawned, mortgaged houses up for auction and cultivators on the verge of being declared bankrupt.

Farook's plot of land saw potatoes for over 20 years. He led a comfortable life; his children were given the best of education. He owned vehicles and had people working on his fields. But today, his children have returned home as the father could no longer pay their college fees. Vehicles fled as if in a bad dream, and they are back to where they started two decades ago.

I cannot regain my former stability in life. But there are youngsters who have had ample education but selected this traditional avenue of income. It is not as if they were illiterate or had nothing else to do. They choose to cultivate their own land, he said pointing to another bankrupt farmer, 23 year old Senaka Perera, who once had 20 people working for him, several vehicles and a fat bank balance.

With customary zeal of a youth, Senaka demands to know why politicians insulted the public with irresponsible utterances. Once it was a leader claiming that farmers did not wear shoes and wristwatches. Recently, another had claimed that importing has stopped but two ships have stealthily unloaded potatoes at the Colombo Port.

Are these responsible people? We are contributing to the economy in a large way, and are not dependent on governments to provide us with employment. In desperation, landowners have become labourers elsewhere. They have pushed us to starvation, he thundered.

And they are more hurt that nobody invited them for discussions nor visited the areas to ascertain the truth. The ground situation they insisted was alarming, to say the least. And they waited for responsible people to act responsibly.

They collectively insisted that banks should stop treating them like common criminals. They have paid up their loans on time, when their economy was doing well. The oft repeal is to write off at least some of the agricultural loans and to give a further grace period to pay up their bank loans. They wait, saddened like men waiting to be guillotined.

Piyasena Galaboda, a representative of the Kothmale Pradeshiya Sabha was the owner of four lorries and a bus. Today he is left with a van only. His house is mortgaged. Having studied the agricultural trends the world over, his view is that it was finally time to diversify crops. 

It was becoming painfully obvious that potatoes alone could not win their economic battles. In 1978, pear cultivation hit rock bottom level owing to a bacteria attack and all resorted to potatoes. 

Potatoes appear to be more doomed than anything else, not only due to leaf minors but due to lack political will to support us, he observed.

No, farmers cannot go on strike or organise populist protest, they said. The politicians were just talking to businessmen and middlemen making a fast buck. Until they met farmers who sweated and toiled, this problem would persist- and ironically leave them with the much-condemned solution they found; swallow some pesticide meant for crop affecting bugs.

L.K. Piyadasa was distraught. Having invested Rs.200, 000 in his cultivation, the imports came when he was struggling to sell his produce. But the imports led to an inevitable reduction in local prices. Unable to feed his family, he pawned jewellery. Then came the bank memo urging to pay up his agricultural loan. Today, his dwelling is up for public auction, he said, showing the many bank reminders and heaps of receipts from jewellery pawning centres.

To say the least, it is a fragmented economy nearing its collapse. For decades, it has generated much income and employment. Insurrections did not affect the area as young people were happily occupied. Infact, it had all the correct ingredients of a self-sufficient economy in this age of market forces. 

They had oft repeated appeals- to write off some of their loans, to introduce good seed potatoes and to STOP imports until their production in resurrected. Not much, considering what other protesters demand at the mere drop of a hat.

No, the farmers are adamant that they will not grow anymore. Once 80 % cultivated land has dwindled to a mere 3 % with weeds quietly invading the once lush cultivated lands. Are we to entirely feed on imports, or is it not better to cure the root cause and give a boost to agriculture?

Internal and External Trade and Commerce Minister, Kingsley T. Wickremaratne in an interview with the The Sunday Times Business said that government policy is to drop the 35% duty on agricultural imports by 10% on potaotes during a shortage. 

In addition the defence levy of 5.5 % is added onto agricultural imports to ensure that the local producer can compete and return to the market.

Mr. Wickremaratne added that Sri Lanka has been importing agricultural produce since 1948 and the requirements have varied annually.

" In food production, the natural elements play a significant role. India was affected badly by the El Nino and the result was inadequate onion production leading off the ban on exports." 

He said that there was no intention to drive farmers away from the fields and the current production was insufficient to feed 18 million people, hence the need to import.

While the imported potatoes could be sold at Rs. 30 a kilo the imported potatoes are sold at nearly double the price or more on occasions. 

As the seed potatoes were not locally produced, Holland seeds were brought in. When other expenses are added, the cost of the produce when it reached Colombo was exorbitant. 

Weigh - Tech opens new chapter 

For nearly the past 100 years mechanical weighing machines of the commercial and industrial types and lately electronic machines have been imported to Sri Lanka.

This is the first time locally assembled precision electronic weighing equipment is being exported.

The chairman of the company Nissanka M Ediriwira who has been involved in the weighing machine business in the country for 33years is a former chairman of Ceylon Weighing machines Ltd.

In this attempt to export he is fortunate to have had the encouragement from his suppliers Messrs Mettler -Toledo from their Free Trade Zone factory in Shanghai. This export order was obtained on the high quality and competitive pricing and the expertise available at Weigh - Tech.

Mr Ediriwira who has been trying very hard to export precision scales from Sri Lanka to other parts of the world says that this order is the realisation of a dream and also a singular honour for Weigh -Tech team of dedicated electronic engineers. 

Appointments

From human resources to corporate planning

Jayasuriya is a much sought after Management Trainer and Consultant in the South East Asia and Sub-Continent regions. He has carried out management training for multi-national and local companies in India, Malaysia, Thailand, Indonesia, Pakistan and East Africa region. In Sri Lanka, he has carried out training/policy development/consultancy for Ceylon Tobacco Company Ltd., Singer (Sri Lanka) Ltd., Airport & Aviation Services Ltd., CHPB (Ministry of Housing), Directories Lanka (Pvt) Ltd., (Yellow Pages), DHL, MAS Group, DFCC, New Zealand Milk Products, Hayleys Ltd., LOLC, Maharajah Organisation Ltd., Pure Beverages Co. Ltd., Hemas Group, Central Bank and several other Banking and Industrial sector organisations.

He was recently appointed Consultant Human Resources, to the Ceylon Electricity Board, to review existing HR procedures, re-structure the HR activity within CEB, and to introduce policy and best practices.

He has also participated in several international conferences and symposiums in Edingburgh, Poland, Kenya, Isle of Man, Hong Kong, South Korea, Singapore, Philippines and Australia.

Ceylinco 'Preferred Health Care'

When faced with a critical illness, maybe heart surgery, cancer treatment, or even organ transplant, everyone wants the best medical care, accurate decisions, experienced doctors, best hospitals, most modern procedures essential to get well fast.

Preferred Health Care (PHC) offers a comprehensive three part programme for critical illness treatment for those who want access to the best if they ever become critically ill including a Two million US Dollar lifetime insurance cover.

When a person is diagnosed with a PHC covered condition he will be put in touch with the PGH appointed local medical advisers who will provide guidance on how to access the programme and the U.S Medical Specialists. Thereafter specialists in a top-rated U.S. hospital will review the diagnosis and confirm the condition. Then, Ceylinco Insurance together with PGH will make arrangements for treatment in I% of the top ranked hospitals in the U S A. All visa formalities will be attended by the company and air fare plus accomodation will be provided for the patient and a companion upto US Dollars 10,000.

Preferred Health Care will pay the hospital bills upto US Dollars 2 million ( Approx. Rs. 135 million) which is the highest ever cover available in this part of the region. The conditions covered under PHC includes Cancer treatment, Open Heart Surgery, Coronary Angioplasty, major Joint Replacements, Selected Neurosurgery, major Vascular surgery and major Organ transplants.

Photohome installs Noritsu QSS 2201

This machine comes complete with the latest technology and together with the newly designed software which has improved the capability of handling a vast amount of data at a very rapid rate, enabling production of clear photographs. 

The introduction of Black and White monitor displaying data and graphic allows this machine to be operated very competently even by an amateur, a news release says. 

Photohome will now be able to print colour photographs from postcard size to even 8'x13' using a pre-installed zoom lens. Previously offered optional accessories have now been made standard with this machine and even the services of passport and visa photographs is being offered at Photohome Colour Lab who with the same standard accessories now print their name at the reverse side of the print. 

Lanka Bell in Nugegoda 

Lanka Bell offers a telephone connection in 14 days in all its coverage areas such as Colombo 1 - 15; and Greater Colombo such as Dehiwala, Kalubowila, Mt Lavinia, Ratmalana, Moratuwa, Katubedda, Rawathawatta, Lunawa, Wellampitiya-Kolonnawa, Kirulapone, Mattegoda, Ethul Kotte, Kotte, Battaramulla, Nugegoda, Kohuwala, Narahenpita, Mirihana, Angulana, Gothatuwa, Angoda, Mulleriyawa, Boralesgamuwa, Maharagama, Udahamulla, Thalapathpitiya, Kotikawatta, Thalangama. Upto Galle, Panadura, Kalutara, Kalutara North, Kalutara South, Beruwala, Aluthgama, Bentota, Ambalangoda, Hikkaduwa and Galle. Upto Negombo Kelaniya, Orugodawatta, Peliyagoda, Wattala, Biyagama, Mahabage, Kandana, Jaela, Seeduwa, Welisara, Negombo, Ragama (Town) and Raddolugama.

ISO 9000 auditor training

This programme is designed to meet the auditing requirements of the Internal Auditors of ISO 9000 Quality Systems certified companies and will be on November 28 and 29 at the Sri Lanka Foundation Institute (SLFI).

The participation in this programme will be restricted to 25 for close co-ordination and additional programmes are arranged for those applicants who fail to enter this programme. Those who are successful at the examination which will be held at the end of the programme will be awarded with a certificate in Internal Auditing.

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