Govt. to boost food production, alternative revenue channels
Queue outside a Sathosa store in Hambantota. Pic by Rahul Samantha Hettiarachchi.
The government has tasked all key state agencies involved in food production to increase supply and reduce poverty in the provinces and create opportunities to boost revenues.
In this respect a new gazette was issued to initiate the Task Force for Economic Revival and Poverty Alleviation on April 22 with the aim of boosting exports and increasing local food production alongside kick-starting all local industries in the wake of the new pandemic situation that has resulted in a suspension of non-essential imports.
Export Development Board (EDB) Chairman Prabash Subasinghe, who is a member of this task force, told the Business Times that they were to establish smaller groupings in a bid to come out with a plan of action.
This is aimed at kick-starting the economy, he said adding that currently they are much better than they were about a month back.
In terms of factory operations at least 60-70 per cent of the industries are back at work, he said.
This task force is aimed at aligning the national development programmes to the national building strategy planned out in the state policy vision “’Vistas of Prosperity and Splendour”.
This also looks at reviving the SME sector and expanding access for finance through the financial institutions as appropriate for rural, estate and low income earning people to be directly linked to the local economic empowerment process as entrepreneurs.
In this respect, the Sri Lanka Tea Board (SLTB) and the EDB are to obtain maximum economic contribution and export through value addition in new technology utilisation for export plantation products, such as tea, rubber, coconut, cinnamon, pepper, to make quality tea, coconut oil and spices, the gazette stated.
SLTB Chairman Jayampathy Molligoda explained that they had already established a small group and were studying the different opportunities available for bringing in extra revenue to the plantations.
They were also looking at utilising uncultivable arable land for cultivation and ensure that the industry is able to increase revenue generation through other alternative sources on the plantations as well, he noted. In this regard, the state would be looking at providing enhanced financial services to these sectors, he said.
The gazette has stated that the traditional industries need to be modernized with new technologies and create new sources of income going beyond the traditional framework in the face of prevailing global economic conditions, and take steps to improve production sectors such as dairy, eggs, coconut, spices, dried fish and preserved food products, textile, face masks and sanitary products, furniture, ornaments and fertilizer targeting the export market.
Moreover, under the current circumstances the workforce is to be encouraged to work from home using systematic procedures adopted to ensure maximum economic productivity of such workforce.
In addition the rural folk are to enhance cultivation of food products and the supermarket networks to be engaged to collect all food to be sold direct to the consumer and thereby increase income levels of the rural population.
While the task force has met just once, there is no deadline set to come up with a work plan but the stakeholders will be asked to present from time to time their updates on the situation.
This task force is headed by the President’s Special Envoy Basil Rajapaksa.
| Agriculture should be Sri Lanka’s focus, agri expert group says | |
| The Sri Lanka Agripreneurs’ Forum, a representative group of growers, farmer organizations, agri value-addition enterprises and agri scientists among others, has praised the President’s commitment to promote agriculture and recommended that a new ‘image building’ campaign be launched to attract youth to the agriculture sector. In a letter to President Gotabaya Rajapaksa proposing ways of transforming this sector, the group said that in this COVID-19 crisis period; immediate focus on some urgent actions in agriculture and implementing a medium/long term vision for agriculture and the country will bring security and prosperity for all Sri Lankans. While stating that the agriculture sector employs over three million people, both directly and indirectly, throughout Sri Lanka who are highly vulnerable to economic shocks, the group proposed the following immediate measures and some urgent actions in agriculture and implementing a medium/long term vision to help the sector get back on its feet:1. Immediate establishment of a National Steering Committee for Agriculture comprising state officials and private sector representatives, where a minimum of 60 per cent representation is from the private sector covering diverse areas in agriculture (including livestock and fisheries), such as growers, farmer organisations, agri value-addition enterprises, agri professionals and academics, agri scientists, local and global marketers of agri produce, providers of agri inputs, and local agri investors.2. Implement a ‘National Agri Enterprise Resource Planning (ERP) System’, which will function as a holistic system for the entire Sri Lankan agricultural fraternity which will address the following, and shall directly come under the purview of the National Steering Committee for Agriculture; a. National demand forecasting and crop/yield planning b. Ensure minimum guaranteed price for the farmer c. Be a conduit between the producers, local wholesale buyers, and exporters d. Facilitate pre-bookings and online trade facilitation (this will not omit the wholesalers) e. Integrate agricultural-value-chain f. Integrate and introduce performance and contribution-based Farmer Pension Scheme g. Channel existing loan schemes, grants, and subsidies (including fertilizer) through the system to attract and influence farmers and embrace the change/system3. Upgrade existing storage facilities preferably near the economic centres, and convert them into cool rooms using available resources and utilise idle resources. Engage private sector cool room/cold chain operators to provide solutions for operating on lease/PPP terms to be the nucleus of a cold chain to overcome the wide fluctuations of supplies and prices. 4. Permit importing the best quality seeds available in the global market which would be a pre-requisite to reduce cost of production and increase yield. Efficient procedures for testing such new seed and plant varieties must be immediately adopted with all seed importers and commercial farmers being permitted to test new seeds and plant varieties at their own farms under the supervision of the Department of Agriculture. Local seed, plant propagation and tissue culture laboratories must be supported for long term sustainability and food security. 5. Establish a system of Guaranteed Minimum Price based on cost of production for agricultural produce which will ensure a satisfactory return for the risk and investment made by the farmer. Government establishments, large wholesalers and supermarkets must be compelled to make forward-contracts to buy the production of local farmers. 6. Implement higher tariffs as appropriate on imported food items to maintain food security and protect the domestic production and value-chain. 7. Allocate one compartment on trains of several railway lines for the transportation of agricultural produces, in order to reduce transportation cost. |