SRI LANKA: Govt. denies slashing rubber, tea subsidies

Plantation Industries Minister Naveen Dissanayake squashed rumors that subsidies for tea and rubber smallholders had been slashed and warned the public not to believe in such rumors spread by those with vested interests and added that the government would not neglect smallholders.

"Treasury has allocated Rs 2 billion for the subsidies and the Ministry is negotiating to obtain around Rs 2.5 billion for the purpose." Dissanayake said. Sri Lanka is going in a big way with Iran and China, where there was great potential and the sanctions imposed on Iran have been lifted, the Minister said. A delegation from the Ministry would visit China and Iran in the near future, Dissanayake said.

The Minister said the Asian Rubber Producers Association, of which Sri Lanka is a member, has decided to have a floor price and it would help the country as a kilogram of rubber could be sold by the growers at around Rs 250.

Source: Daily “The Island”, Colombo; 31 Mar 2016
(Syed Rashid Ali, Karachi, Pakistan)