Former Minister of Agriculture, Mahinda Amaraweera, accused unscrupulous importers of exploiting import permits meant for Nadu rice by smuggling other grains, such as basmati rice, mung beans, cashew nuts, and urad dal.
He claimed these items were hidden in stock warehouses, where a tax evasion scheme allowed basmati rice (which carries a higher tax) to be imported under the guise of Nadu rice, attracting only a tax of Rs. 65 per kilogram.
This practice contributed to artificially low market prices for these grains, allowing large-scale traders to repackage and sell imported rice at inflated prices. Amaraweera emphasized that there was no shortage of red raw rice, which was available in mills but intentionally held back to manipulate prices.
He defended the previous government’s rice distribution efforts to low-income families, asserting it did not contribute to the current crisis. Furthermore, Amaraweera claimed to know the locations where red rice stocks were hidden and was willing to expose them if necessary.
Minister of Trade, Commerce, and Food Security, Wasantha Samarasinghe, countered Amaraweera’s claims, attributing the shortage of red rice to resource mismanagement by past administrations.
Samarasinghe presented data from 2024, highlighting that 277,315 hectares were cultivated across the Yala and Maha seasons, producing 1.1 million metric tons of paddy. However, due to inefficient distribution policies, market shortages of red rice persisted.
Samarasinghe noted that while the 2024 Maha season produced 706,000 metric tons of rice from 277,000 hectares and the Yala season yielded 403,097 metric tons, poor planning and distribution led to scarcity in the market.
He assured the public that the 2025 Maha season would address future shortages, with 161,067 hectares already cultivated and a projected yield of 648,200 metric tons.
Samarasinghe criticized the previous government’s rice distribution initiative before the elections, where 20 kilograms of red rice per family were given indiscriminately, including to those who typically consume white rice. This, according to him, disrupted the market and exacerbated the shortage for those reliant on red rice.
He highlighted that ongoing surveys of paddy-growing regions, mills, and warehouses were being conducted to identify inefficiencies and improve resource allocation to prevent future crises. He concluded by reassuring the public that proactive measures were being taken to prevent similar issues in the future.
The unfolding rice crisis is seen as a reflection of systemic governance issues, including import irregularities, resource mismanagement, and poorly thought-out policies.
These challenges have strained Sri Lanka’s rice market, affecting both consumers and farmers. Samarasinghe also addressed the lack of “Kekulu Rice” for the Thaipongal celebration, attributing the shortage to the previous government’s distribution of free rice. However, Matale District MP Rohini Kawirathna dismissed this statement as an unfounded rant.
Sri Lanka has produced 46 million metric tons of rice in recent years, with 29 million metric tons coming from the Kekulu rice variety.
In the Southern Province, Kekulu rice accounts for 85% of the total rice produced. Despite the large scale of production, the distribution of 54,000 metric tons of rice to 27 million families, including 75% Kekulu rice, did not cause a shortage, as it represents only 14% of the country’s total Kekulu rice production.
The argument that the rice distribution led to a Kekulu rice shortage was refuted by experts, who viewed it as a fabricated claim to avoid responsibility for addressing future food security needs.
The decision to distribute rice was a collective one, supported by a report from the “Parliamentary Committee for Children” that highlighted the growing issue of child malnutrition, with 36% of children suffering from malnutrition.
The report called for midday meals for schoolchildren and food for impoverished families, which was acted upon by President Ranil Wickremesinghe and the Parliament. The rice distribution was a necessary response to national needs, driven by the parliamentary committee’s recommendations, Kaviratne said. .