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Minister to discuss 2021 organic fertilizer transaction with Chinese officials in Colombo

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Agriculture and Plantation Industries Minister Mahinda Amaraweera has decided to reach an amicable solution to the organic fertilizer transaction issue of 2021.

Agriculture Minister Mahinda Amaraweera will discuss this issue with the delegation including  Chinese Vice Minister of Agriculture and Rural Affairs Ma Youxiang,  who will be arriving in Colombo to  participate in the 37th Asia Pacific Conference (APRC) of the United Nations Food and Agriculture Organization to be held in Sri Lanka from February 19 to 22.

It was decided to discuss the resolution of the problems that arose during the implementation of the Court settlement between the Chinese Organic Fertilizer Company and the two state fertilizer companies in a manner that does not damage the friendly relations between the two countries as well as for the benefit of the Sri Lankan farmers.

The Minister instructed the Secretary to invite Foreign Affairs Ministry officials and Minister Ali Sabry for this discussion.

The Minister informed officials that he and other officials are expected to discuss this issue with the Deputy Minister of Agriculture and Rural Affairs of the Chinese Government who is due here.

The  purchasing of organic fertilizers that the Agriculture Ministry arranged to purchase from a private company in China in 2021 subsequently became an issue.

The Sri Lankan government had to pay a compensation of USD 6.9 million on the charge of damaging the reputation of the Chinese company that supplied the organic fertilizers. Although it was decided to get other fertilizer and agricultural equipment to meet this amount, it was difficult to get another product suitable for agricultural needs because the same organic fertilizer is produced by the company concerned.

The Cabinet of Ministers decided to request the Foreign Affairs Minister to arrive at an amicable agreement between China and Sri Lanka after discussing with all the relevant parties and submit the most appropriate proposals to the Cabinet to resolve this issue.


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