THE SRI LANKA AGRIPRENEURS’ FORUM

SLAF recommends a 10-point proposal to sustainably overcome the present and future meals disaster to the Hon. Minister of Agriculture

The Sri Lanka Agripreneurs’ Discussion board (SLAF) is the one skilled agri-entrepreneurial group that represents roughly 30% of the nation’s workforce. , Addressing the necessity of the hour, SLAF acknowledged the dire have to positively intervene within the present meals disaster in Sri Lanka and thus met with the Hon. Minister of Agriculture Mahinda Amaraweera on 30^th August 2022 on the Ministry of Agriculture, Battaramulla to debate sustainable options. Following this, a gathering was organized, facilitated by SLAF, on 6^th September 2022 with the participation of the heads of respective state companies such because the Ministry of Agriculture, Colombo Municipal Council, Sri Lanka Requirements Establishment, Nationwide Fertilizer Secretariat, and Institute of Postharvest Know-how. Heads of the non-public sector had been additionally current on the assembly comparable to Hayleys, Lankem, CIC, Unipower, CropLife, and Baurs. The dialogue was led by key Govt Council members of the SLAF bringing in a 10-point proposal to the desk.

SLAF identified that the scarcity of Inorganic fertilizer, Natural fertilizer, Agro Chemical compounds, Vegetable seeds, and many of the different Agri inputs within the final Maha (21/22) and Yala 2022 made a substantial influence on the meals manufacturing of the nation and it could have a higher influence even in coming Maha season 22/23 because of scarcity of gasoline, foreign exchange, all Agri inputs and the lower than superb financial state of affairs within the nation. It was highlighted to the minister that that is the biggest contraction within the agricultural economic system recorded since 2015 and identified that if the issues are usually not addressed by the authorities instantly, the meals disaster state of affairs could possibly be worse through the early a part of 2023.

SLAF listed the important thing limitations the nation is dealing with now, due to the financial disaster within the nation and strongly really useful the way in which ahead given under to realize meals availability (primarily, domestically grown) accessibility whereas being inexpensive to make sure the sustenance of the nation.

The precise points together with the options embody,

1. Scarcity of gasoline and present energy cuts –
This has a direct influence on cultivation-focused actions and transportation of harvest to the markets. In consequence, at the very least 30% of Paddy & Vegetable farmers have evaded cultivation and this angle will probably be continued even for Maha season 22/23 if speedy options are usually not given. This example additionally applies to the livestock sector fairly severely.
To deal with this subject Diesel, Petrol, and Kerosene oil must be given to farmers underneath a prioritized quota system to function agri equipment and different modes of transportation (tractors, water pumps weeding & harvesting machines, and lorries and vans) by a allow system launched by AGAS of the realm.

2. Restrictions on ‘FOREX’ approvals given by Central Financial institution to business banks to import a complete vary of Agri inputs –
In consequence, a scarcity of imported hybrid seeds, artificial fertilizers, and different Agri inputs has occurred. Imported seeds obtainable available in the market are solely 10% of the nationwide requirement and we’ve got additional observed a extreme scarcity of native seed varieties. Attributable to shortages of main Agri inputs, comparable to seeds, fertilizers, agrochemicals, Agri equipment, and total inputs, roughly 30% of dissatisfied farmers are retaining away from cultivations. 30 – 40% drop in yield in cultivated lands shouldn’t be supporting the present state of affairs positively.
As an answer, SLAF proposed to elevate the TT restrict of USD 50,000 for the importation of Agri inputs, as much as USD 100,000 at the very least till 31.03.2022. It was additionally really useful that the Central Financial institution give instructions to Industrial Banks to deal with Agri enter imports comparable to fertilizer, agrochemicals, and seeds as important imports when issuing letters of credit score (LCs) or TT funds.

3. Affect on the Livestock sector –
The livestock trade has been affected badly because of nearly ‘0’ manufacturing of ‘Maize’ required for animal feed manufacturing. Maize seed imports have come to a halt because of the non-availability of FOREX. The restricted acreage cultivated can’t contribute sufficiently to realize the anticipated Maize harvest because of the non-availability of artificial fertilizers and agrochemicals and it was observed that yield dropped by 50%-60%. In consequence, customers should pay at present Rs.1300.00 per Kg for hen and the value of an egg is within the vary of Rs.50.00 – 60.00. Equally, the value of liquid milk too has gone up drastically. Other than the affordability, the provision of those merchandise is turning into irregular.
SLAF really useful permitting hybrid Maize seed imports and offering required foreign exchange for the seed trade to deal with this subject. It was additionally steered to encourage farmers to develop ‘Maize’ within the coming Maha season and the Authorities ought to provide incentives for Maize farmers based mostly on their yields. It was really useful to ban the import of Maize for the animal feed trade as technique of saving FOREX, topic to the anticipated yield of Maha cultivation. SLAF additionally highlighted that the current proposal to register Maize cultivating farmers must also have a follow-up to help their cultivation with needed inputs and guaranteed markets and costs.

4. Establish the values and advantages of the second and third-generation plant vitamins –
In line with Nationwide Fertilizer Secretariat (NFS) data, Sri Lanka imports 750,000 – 800,000 MT of chemical fertilizers spending nearly USD $ 400 Mn every year. This quantity consists of roughly 300,000 MT of Urea and it has solely a single nutrient part, that’s Nitrogen. Not too long ago, the value of 01 MT Urea went as much as USD $ 1100 in April 2022 and at present it’s within the vary of USD 500-700 per MT within the worldwide market. Even when we take the typical value of USD 800 per MT, Sri Lanka should forecast to spend USD $240 Mn just for the import of Urea for the Maha season. In line with the Worldwide & Native Analysis Establishments, 65%-70% of the nutrient worth is misplaced and wasted when making use of Urea to a crop. In Sri Lanka, Urea is principally used for Paddy cultivation within the early phases.

As an answer, SLAF really useful the federal government ought to give due suggestions to NPK + TE (hint components) combined compound fertilizers with superior fertilizers because it reduces the wastage whereas additionally decreasing the quantity of required fertilizer by 40% – 50%.
SLAF additional recommends introducing ‘Hybrid fertilizers’ produced with 60% Chemical and 40% Natural fertilizers with totally different NPK ratios based mostly on crop necessities. SLAF additionally urged the authorities to encourage farmers to make use of slow-release and controlled-release fertilizers for his or her inherent advantages.. It was highlighted that the federal government shouldn’t contemplate giving fertilizers underneath the subsidy schemes anymore and may discourage utilizing Urea for different discipline crops. SLAF identified that the proposal by the Minster that 30% natural fertilizer must be used for the following Maha season must be formalized and adopted up with the availability of commercially licensed natural fertilizers being registered and made identified. The executive mechanisms to make sure the achievement of this purpose must be in place at once.

5. Lack of give attention to the plantation and export agriculture sector –
Information indicated that the manufacturing and export of Tea have come down drastically. Export earnings from Tea exports solely report USD 1.9 Bn in 2018/2019 and the values have come down in 2021/2022 to roughly 1.2 Bn primarily because of the ban of Weedicides and the non-availability of chemical fertilizers. The identical information are making use of to different export agriculture crops comparable to cinnamon, pepper, spices & betel, and so on.
SLAF really useful permitting the import of weedicides comparable to ‘Glyphosate’ even in restricted portions and making obtainable foreign exchange to import correct fertilizer mixtures of all export-oriented crops together with plantation crops. It was steered to encourage farmers to supply export-oriented crops and provide them incentives based mostly on their contribution to reap. Introducing the usage of Biofertilizers and Biopesticides to achieve recognition within the worldwide marketplace for Natural produce and help native producers of such merchandise. It was identified to make sure the required rules and administrative procedures to acknowledge the optimum merchandise and aggressively help the event of such merchandise.
SLAF remarked that Enhancing worth addition on product high quality and post-harvest processing expertise focusing on the high-value export markets is one other well timed requirement of the Sri Lankan agricultural sector to earn higher export earnings.

The dialogue with the respective stakeholders noticed the issues of each the non-public and public sectors being dropped at gentle and the respective authorities being tasked with implementing the options which had been agreed upon.

The SLAF strongly believes {that a} pragmatic strategy to revolutionizing the Sri Lankan agricultural sector is essential to uplift the present standing of the nation and its folks. Thus, it’s firmly agreed to result in this alteration by being a key facilitator in coordinating between the federal government sector, non-public sector, and particular person farmers. SLAF identifies that that is solely potential by real dedication and devotion to the well-being of the nation and its folks.

SLAF calls upon devoted people and corporations/establishments to help the reason for the SLAF and to offer their help on creating a greater nation by the advance of agriculture. Contact us through our e mail at secretariat@agripreneur.lk  to increase your willingness to contribute and be part of the SLAF membership.

Lastly, the SLAF takes this chance to name on the authorities to implement the proactive measures offered by the state and personal sectors and to proceed working in direction of the nice and well-being of the folks of this nation to make sure a greater tomorrow for all of us.

(You may go to www.agripreneur.lk to entry the complete 10-point proposal of the SLAF)