Govt owes organic fertiliser producers Rs 20B

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Organic fertiliser producers are currently facing a serious financial strain over the failure of the Government to pay the sum of Rs 20 billion, which was due to them for the Yala season.

They stated the full value of the proposed sum has still not been paid to the producers of organic fertiliser.

This was stated by the head of the Environment-Friendly Fertiliser Producers Union, Shammi Kirinde and Secretary, Shaminda Kankanamge.

They charged that despite the producers having submitted the complete set of documents confirming that they had handed over the organic fertiliser stocks the Government had still failed to keep its promise of paying the guaranteed sum. They added that though the total value of the tender is Rs 22 billion only Rs 2.4 billion had been provided to the fertilizer producers.

In response, Director General of National fertiliser Secretariat Chandana Lokuhewage accepted that some funds are yet to be paid to the producers.

He said that organic fertiliser worth of Rs 12 billion has been distributed so far and Rs 3 billion has been paid. However, the National fertiliser Secretariat only inspect the standards of the fertiliser and paying money to the producers is managed by the two fertiliser companies, he said.

Colombo Commercial Fertilisers Ltd. Chairman Methsiri Gunawardena also accepted that the full payments for the fertiliser have not been paid.

“We are releasing funds whenever we get money from the Treasury. We have paid Rs 100 million per producer and we have to pay about Rs 2 billion. We hope that all the payments could be settled within next two months,” he said.

By Savani Sheshadhi