Rs. 3,500 million allocated to purchase paddy

by Ananda Kannangara

The farmer community in the country will breathe a sigh of relief with the announcement made by President Mahinda Rajapaksa yesterday over the allocation of Rs. 3,300 million to purchase paddy during the Maha season.

The decision was taken following series of discussions the President had on Friday with Ministers, higher officials in the Agricultural Ministry and with mill owners.

The Government also decided to set up paddy purchasing and rice sale centres countrywide in addition to Rs. 3,300 million allocation.

Meanwhile, President Rajapaksa directed the officials to grant bank loans and to export surplus paddy in order to encourage rice farmers to carry out their day today farming activities without any hindrance. It is reported that a huge paddy yield of 1.94 metric tonnes are expected in the coming Maha season.

Private bankers such as the Sampath Bank, Commercial Bank and the Hatton National Bank will provide Rs. 130 million, Rs. 235 million and Rs. 653 million for the paddy purchasing programme. Meanwhile, the Bank of Ceylon and the People's Bank will grant Rs. 1,400 million and Rs. 730 million towards the program.