Coconut producers seek increased subsidies
View(s):Sri Lankan coconut growers want the government to stick to an earlier promise of giving them low interest on loans and increase the subsidy provided for irrigation of lands.
Coconut Growers Association President Jayantha Samarakoon said that the government promise to provide loans for the agriculture sector at the rate of 5-6 per cent interest didn’t materialise.
He noted that the necessary circular in this regard was not issued to the commercial banks by the Treasury as a result of which the coconut estate owners were left with no assistance from the government despite this being passed in the last 2018 budget.
At present a fertilizer subsidy of Rs.1,900 for 50 kg of coconut is given which is lower than the previous subsidy of Rs.2,800 for 50 kg.
As a result the industry has once again submitted their proposal this year as well for inclusion in next year’s budget allocation, he said.
Assisting coconut estate owners by providing an additional subsidy for irrigating the lands is required and the amounts allocated Rs.100, 000 for up to five acres needs to be increased as the irrigation work costs around Rs.800,000, Mr. Samarakoon explained.
Meanwhile, coconut prices are stabilising and production has picked up compared to the previous year. Production is expected to 2.9 billion nuts this year, up from 2.4 billion.