The Agriculture Ministry is to propose to the Cabinet to pay Rs 100,000 each for an acre destroyed in the recent drought.
Though Agriculture Minister Mahinda Amaraweera will be proposing to the Cabinet the payment, it was not immediately clear if the Government will agree on the amount.
Earlier the Agriculture Ministry was proposing Rs 40,000 per acre for the lands destroyed in the drought.
Meanwhile Several farmer associations have launched campaigns not to accept Rs 40,000 per acre.
The Government so far has estimated that some 54,000 acres have been destroyed in the drought, but the figure could be much higher after a survey is completed.
The Government has decided to pay compensation only for six crops including paddy.
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