By Dammike Kobbekaduwe, (F.I.P.M., Member - CIPM SL, MBA (HRM))
Director, - VIVONTA GREEN TECH CONSULTANTS (PRIVATE) LIMITED,
The plantations industry in Sri Lanka plays a pivotal role in the nation's economic landscape, with its roots tracing back almost 160 years. Today, it stands at a crossroads where the commitment to sustainability becomes paramount to ensure its continued success. Divided into two sectors, the smallholder and the Regional Plantations Sector, this industry contributes significantly to the national production of tea, rubber, and coconuts. However, the Oil Palm sector lags behind in smallholder participation.
Sustainability is the driving force that will shape the future of the plantations industry. Embracing meaningful measures for long-term viability and positive impacts on both people and the planet is the call of the hour. To achieve this, the industry must collectively agree on Key Performance Indicators (KPIs) under the minimum criteria discussed, ensuring transparent evaluation and monitoring.
In the past, the industry relied heavily on government support, with nearly Rs.400 million allocated monthly to sustain the JEDB and SLSPC estates. With the establishment of the 20 RPCs in 1992, the Regional Plantations Sector strategically absorbed this funding, relieving the burden on the general public.
The newly appointed Chairman of the Tea Small Holding Authority, Dammike Maheepala, brings a wealth of experience in investigative management and a vision for the industry's growth. His leadership is expected to pave the way for sustainability initiatives to extend to the tea smallholder sector as well.
Sustainability, in essence, entails a balanced approach to social responsibility, environmental stewardship, and economic viability. Fair wages, safe working conditions, and gender equality are vital components of social responsibility, fostering a harmonious work environment. Environmental stewardship demands responsible land management, conservation of biodiversity, and sustainable water practices to preserve the natural ecosystem. Economic viability involves resource optimisation, market diversification, and technological advancements for long-term profitability.
Transparency and accountability underpin sustainable practices. Adhering to internationally recognised standards and certifications ensures ethical and responsible operations. The quest for continuous improvement through research and innovation is essential to address challenges like climate change and dynamic market trends.
To ensure the survival and growth of the plantations industry, the pursuit of sustainability is not a choice but a necessity. As we embrace sustainability as the cornerstone of our industry, we sow the seeds for a promising future for generations to come. The rebranding of the PMMD (The Plantations Management and Monitoring Division) as the 'Strategic Management Division' emphasises its role in driving planned and strategic change, while independent oversight ensures we walk the talk.
The journey towards sustainable plantations in Sri Lanka hinges on the well-being and empowerment of the people driving the industry forward. The plantations sector is divided into two segments: the smallholder sector, contributing 75% of the national production of tea, rubber, and coconuts, and the Regional Plantations Sector, responsible for 25% of the production. However, the Oil Palm sector lags with minimal smallholder participation.
The key to ensuring the sustainability of the plantations industry lies in addressing human rights issues that have persisted throughout its history. From fair wages and working conditions to labour rights, gender equality, and child labor prevention, several aspects demand immediate attention.
Fair Wages and Working Conditions: The industry must establish a transparent wage structure based on industry standards, considering the cost of living and providing fair compensation to plantation workers. Additionally, evaluating the value created by different employee categories will enable a more merit-based approach to compensation.
Employee Health and Safety: Prioritising worker safety through proper personal protective equipment (PPE) and proactive monitoring of accidents, illnesses, and other hazards is crucial. Implementing real-time data collection will foster a proactive response to health and safety challenges, particularly as plantation jobs face climate change sensitivities.
Labour Rights and Empowerment: Facilitating the formation of worker committees and labour unions empowers workers to voice their concerns and participate in decision-making processes. Self-Managed Teams (SMT) can further boost worker empowerment and reduce costs while enhancing quality.
Gender Equality and Diversity: Creating equal opportunities and inclusive environments for men and women in the workforce is essential. The recently introduced labour law reforms are a step in the right direction, but embracing diversity and inclusivity as a decision-making culture in both sectors is crucial.
Education and Skills Development: Establishing on-site training centres to foster skill development and education on sustainable agricultural practices is vital. Job redesigning, competency-based career paths, and exploring land-based investments will further enhance sustainability.
Community Engagement and Development: Regular community meetings to gather feedback and invest in community projects like schools and healthcare facilities are commendable practices. The ministry should establish a real-time database to store records for effective community support.
Health and Social Services: Collaborating with local healthcare providers to offer regular health check-ups and medical assistance is a positive initiative that enhances worker welfare.
Ethical Recruitment and Migrant Worker Protection: Partnering with reputable recruitment agencies that prioritise ethical practices and protect the well-being of migrant workers is essential. With the acute shortage of manpower on plantations more internally migrant workers are engaged.
Child Labour Prevention and Eradication: Implementing strict age verification processes and conducting periodic audits to detect and address any instances of child labour remains a critical responsibility.
Human Rights and Social Impact Assessments: Regular human rights assessments to identify potential violations and take necessary remedial actions are essential to ensure the well-being of plantation workers.
The key to sustainable plantations is transparency, accountability, and data-driven decision-making. A real-time digital information platform with dedicated access to all stakeholders, including the Department of Labour, is vital. The Regional Plantations Sector deserves recognition for its meaningful actions, but the smallholder sector must also be prioritised. Emphasizing full application of HRM (Human Resources Management) concepts and addressing the entire industry's challenges will enable the rightful claim of sustainable practices in the global arena. Together, we pave the path to a greener and more equitable future for Sri Lanka's plantations industry.
As we envision a future of sustainable plantations, the planet factor takes centre stage, emphasising the urgent need to protect our environment and preserve precious natural resources. The journey towards sustainability involves a range of practices aimed at minimising environmental impact and promoting ecological well-being.
Water Management: To address water scarcity, rainwater harvesting systems are being installed to collect and store rainwater for irrigation, reducing dependence on freshwater sources. Plantations being a business with a residential workforce, immediate action is needed to determine water requirement of plantations through the Plantations Human Development Trust. ‘La Nina’ (global weather patterns) is anticipated to prevail till end of 2024. Other effective measures, such as subsoil injectors, contour draining, and drip irrigation, are being considered. Implementing life cycle analysis for crops provides insight into water usage, guiding informed decisions for water-efficient cultivation.
Biodiversity Conservation: Preserving biodiversity is crucial, and plantations play a vital role in this endeavour. Establishing buffer zones and wildlife corridors around plantation areas protects natural habitats and supports diverse flora and fauna. Collaboration in advocating for a national biodiversity protection policy and encouraging beekeeping on plantations further enhances biodiversity conservation.
Agrochemical and Pesticide Management: The adoption of integrated pest management (IPM) techniques, like employing natural predators to control pests, minimises the use of harmful chemicals. As Sri Lanka progresses towards recommended IPM practices, electronic monitoring becomes essential to substantiate claims.
Soil Health and Erosion Control: Taking action against soil erosion is critical in both sectors of the industry. Initiatives like planting cover crops and adopting terracing techniques help reduce soil erosion and maintain soil fertility. Lobbying for a National Soil Health Policy and seeking expertise from renowned experts like Dr. Harsha Kadupitiya becomes crucial to ensure soil preservation and restoration.
Carbon Footprint Reduction: Reducing greenhouse gas emissions is vital in mitigating climate change. Plantations can contribute by installing solar panels on buildings and utilising renewable energy sources. Upgrading transformer capacity and implementing energy storage solutions are key to optimising renewable energy utilization.
Waste Reduction and Recycling: To minimise environmental impact, waste segregation programmes on plantations promote recycling of paper, plastic, and other materials. While the RPC sector has infrastructure support, the smallholder sector requires the backing of the Ministry to ensure effective waste management.
Forest Management and Reforestation: Sustainable Forest management plans, including selective harvesting and replanting, are integral to maintaining a healthy ecosystem and preserving forest resources.
Environmental Monitoring and Reporting: Regular monitoring of air and water quality, accompanied by public reporting, demonstrates the industry's commitment to environmental stewardship.
Sustainable Packaging: Transitioning to biodegradable or compostable packaging materials reduces the environmental impact of packaging waste.
Certification and Standards: Obtaining certifications like Rainforest Alliance or FSC showcases adherence to sustainability standards and best practices, strengthening the industry's credibility as a sustainable model.
Collaboration between plantations' crop research institutes to develop sustainable water management guidelines becomes paramount, particularly with prolonged drought concerns as discussed above. As environmental protection initiatives evolve, real-time information through a digital platform becomes indispensable to substantiate claims and encourage knowledge-sharing globally.
By embracing sustainable practices, the plantations industry in Sri Lanka can create a greener, more resilient future, where harmony with nature ensures the prosperity of generations to come.
In the pursuit of sustainable profitability, the profit factor holds a crucial position, emphasising the importance of financial viability, value chain integration, and market diversification. To ensure long-term prosperity, the plantations industry must embrace strategic planning and innovative practices.
Financial Viability and Long-term Planning: Regular financial audits and Key Performance Indicators are vital to assess the plantation business's financial sustainability. Setting ambitious revenue goals (US$10 billion revenue per annum) and exploring land-based investments can further support the main cultivations, fostering resilience against economic challenges.
Economic Contribution to Local Communities: Investing in infrastructure development projects and community initiatives supports the local economy, creating a positive impact on surrounding communities. Case studies of successful projects, such as worker retirement homes and voluntary pension schemes, provide inspiration for sustainable economic growth.
Value Chain Integration and Efficiency: Collaborating with stakeholders in the supply chain optimises processes, reduces costs, and enhances overall efficiency. Rebranding the PMMD as the Department of Strategic Management of the Plantations Ministry can facilitate strategic industry-wide integration.
Market Diversification: Exploring new international markets for specialty products helps reduce reliance on a single export market, promoting long-term stability and growth.
Resource Efficiency and Cost Reduction: Implementing precision farming techniques optimises resource usage, reducing production costs and environmental impact. Digital transformation initiatives, like real-time information platforms, enhance disease monitoring and management.
Productivity and Yield Improvement: Researching high-yield, disease-resistant crop varieties enhance productivity and ensures a sustainable future for the industry.
Risk Management and Resilience: Developing contingency plans to address climate-related risks builds resilience against unpredictable challenges.
Innovation and Technology Adoption: Embracing drone technology for crop monitoring and surveillance improves pest control and yield prediction, fostering sustainable practices.
Supply Chain Transparency: Implementing traceability systems increases transparency and trust, allowing consumers to track product origins.
Stakeholder Engagement and Partnership: Collaborating with NGOs and research institutions promotes sustainable agriculture projects, benefiting both the industry and the environment.
Addressing sustainability challenges requires a collective effort, especially in a country like Sri Lanka grappling with poverty. A home-grown solution focused on per capita income growth and a real-time information digital platform are crucial steps towards a prosperous future. The RPC sector's potential in value-added products can be unlocked through strategic R&D collaborations with crop research institutes and leading universities.
This article advocates for united action within the industry, with sustainability as our guiding principle. By nurturing growth and responsibility, we sow the seeds of progress, leading Sri Lanka towards a brighter and greener tomorrow. Together, we can shape a legacy that stands tall in history, fostering sustainable profitability and prosperity.
In the quest for sustainable plantations in Sri Lanka, the journey encompasses the three pillars of sustainability - People, Planet, and Profit. Through our exploration of the industry's potential, we discovered the critical importance of fair wages, safe working conditions, and employee empowerment for the well-being of our workforce.
We delved into the significance of water management, biodiversity conservation, and environmental stewardship in preserving our planet's precious resources. Efforts in agrochemical and pesticide management, soil health, and carbon footprint reduction exemplified our dedication to protecting the environment for future generations.
Moreover, we explored the profit factor, focusing on financial viability, value chain integration, and market diversification to ensure the industry's economic resilience. The principles of innovation, efficiency, and stakeholder engagement emerged as key drivers for sustainable profitability.
Uniting as an industry, we plant the seeds of progress and responsibility, nurturing a legacy that stands tall in history. Our shared vision of sustainability will guide us towards a brighter and greener future for Sri Lanka. Embracing real-time information technology, collaborating with research institutions, and advocating for strategic management initiatives, we are determined to achieve sustainable profitability, fostering economic growth for both the industry and local communities.
In the face of global challenges and a shifting landscape, our commitment to sustainable practices will define the path we tread. Let us stand united, planting the roots of change and nurturing a legacy that thrives for generations to come. The plantations industry of Sri Lanka has a significant role to play in shaping the nation's economic prosperity and environmental well-being. By prioritising people, planet, and profit in equal measure, we pave the way for a flourishing future built on sustainable plantations. Together, we cultivate growth, progress, and a legacy of sustainability that resonates far beyond our time.
Failing to manage the climate-sensitive plantations industry sustainably, with a residential population of about 1.3 million in the RPC sector alone, and in conjunction with the smallholder sector, will have severe repercussions on the national economy. The consequences could be unimaginable, posing a significant threat to national security as well.
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