|
|
|
| Sunday, 30 October 2005 |
 |
|
 |
Business |  |
| News Business Features Editorial
|
Call to expedite fertiliser subsidy payments Five private sector fertiliser importing companies have called upon the government to pay Rs. 3 billion as soon as possible and the current amount outstanding to the entire industry was around Rs. 4 billion, said CIC Director S. Fernando at a media conference on delayed payments of fertiliser subsidies at the JAIC Hilton on Wednesday. Fernando said that private sector fertiliser companies such as CIC, A. Baur and Company, Hayleys, ETA Lanka and McLarens had been importing 75 per cent of Sri Lanka's fertiliser requirements and the Ceylon Fertiliser Corporation imported only 25 per cent of fertiliser. A. Baur and Company Director Luxman Niyangoda said that at present urea fertiliser imported was subsidised and sold on the basis that the government paid the subsidy to the importers at the point of import. He said that private sector importers had to receive Rs. 3 billion and 75 per cent of Rs. 3 billion was long overdue. Due to this delay the companies were incurring heavy losses by way of interest costs that they had to pay to the banks which was around Rs. 420 million per annum. Hayleys Company Director U. Gangoda said that the companies were facing a severe liquidity crisis and they were not in a position to establish the Letter of Credit needed for future imports of fertiliser. He also said that this would lead to shortages of fertiliser for Maha season farmers. |
|
| News | Business | Features
| Editorial | Security
| Produced by Lake House |
