News
Costly inputs muddy the ground for paddy farmers
View(s):By Nidarshani Wickramasinghe
Amid several recent fuel price increases in a short period, paddy farmers are facing severe difficulties due to the high cost of production.
Farmer organisations point out that overall, all costs related to paddy cultivation have risen significantly to an unsustainable level.
The 2026 ‘Yala’ cultivation season began in early May, and paddy sowing is now underway.
“Everything except paddy itself has increased in price. In addition to fuel, we have to bear the cost of pesticides, tractor rental, and human labour. With the fuel price increase, transport charges, shipping costs, and packaging charges have all gone up, and fertiliser prices have risen as well,” said G.G. Rathnasiri, chairman of the Farmers’ Service Committee Board of the Alla Agrarian Settlement in Seruwila.
The settlement, which consists of 47 farmer organisations, cultivates more than 25,000 acres of paddy land under the united farmer organisations. Each of these organisations has around 800 to 900 members.
According to these farmers, a 50 kg bag of TSP fertiliser distributed through agrarian service centres, which previously cost around Rs. 12,500, now costs Rs. 13,400. The same fertiliser bag purchased through the private sector costs between Rs 15,000 and Rs 16,000. In addition, a bag of urea previously sold through agrarian service centres for around Rs. 8,200 now costs about Rs. 10,400. In the private sector, it is sold at Rs 13,500 or more.
The daily wage of a labourer for ploughing one acre, which previously stood at around Rs. 3,000, has now increased to Rs. 4,000. Tractor rental for one acre of paddy field, which was previously about Rs 18,500, has now risen to around Rs 25,000.
A 20.5 kg bag of Keeri Samba seed paddy, which farmers previously bought at Rs 4,500 to Rs 5,000, now costs around Rs 6,800. Likewise, a Nadu seed paddy bag that earlier cost Rs 3,300 to Rs 3,400 now costs Rs 4,600. A Samba seed paddy bag that previously cost Rs 4,000 to Rs 4,500 now sells for about Rs 5,600.
Mr Rathnasiri said, “We cannot wait until subsidies are given. What we are asking for is a guaranteed price for paddy. Earlier, a kilo of paddy could be produced for around Rs 120. Now it cannot be produced even at a cost exceeding Rs 170. If we sell a kilo at Rs 120, we won’t have money to cultivate for the next Maha season.”
The government has announced that the fertiliser subsidy, which was previously Rs. 25,000, will be increased to Rs. 30,000 for this Yala. Responding to that, Mr Rathnasiri said, “That is some relief. But the subsidy does not reduce the production cost per kilo of paddy. With that money, we can only buy two bags of urea. There are many other inputs like MOP, potassium, and TSP.
“These agrarian settlement projects were started in 1952. If we are to get a harvest, fertiliser is essential. TSP is absolutely necessary. If you get 100 bushels of paddy per acre, without TSP that amount drops to around 75.
“At the very least, if we are to continue until the next season, we request the government to provide a higher guaranteed price per kilo of paddy that covers production costs.”
National Farmers’ Summit secretary Upali Kumaratunga highlighted that quality fertiliser is still not available for paddy.
He said that in other countries, high-quality fertilisers developed under categories 05 and 06 are used, while Sri Lanka still imports lower-quality fertilisers classified under categories 01 and 02.
“There is still a fertiliser issue. Proper fertiliser for Yala has not yet been provided. The government should intervene and provide a quality fertiliser subsidy. Do not involve companies in this; they are making excessive profits. Rising paddy production costs are not only a problem for farmers but also a serious burden on consumers,” Mr Kumarathunga said.
He also said that the government should allow farmers to purchase agricultural equipment duty-free.
“Agricultural equipment is imported duty-free, but that concession is given to companies. When farmers buy equipment from those companies, they have to pay a much higher price. For example, a paddy harvester now costs nearly Rs 12 million. But it enters Sri Lanka at a much lower price. We are asking for a system where the duty-free concession is given directly to farmers, not companies. That would further reduce paddy production costs.”
In relation to this crisis faced by paddy farmers, the Sunday Times attempted to contact Agriculture Minister K.D. Lalkantha and Deputy Minister Namal Karunarathne to ask about the measures the government plans to take. However, they did not respond.
Meanwhile, ministry secretary D.P. Wickramasinghe said that all possible subsidies for paddy farmers have already been provided.
“At a time when the whole world is facing a crisis, it is impossible for us alone to be free from problems. Despite everything, paddy prices remain high. Diesel has been supplied as needed. We also have to consider the consumer. A guaranteed price for paddy is already in place. The final price can be decided after the harvest.”
He said a digitised ‘national hub’ is to be launched in the near future, where all agricultural information can be collected in one system.
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