ECONOMYNEXT – Sri Lanka will receive an investment of 100 million dollars to modernize agricultural practices in next 20 years for sustainable farming and exports, officials said.
The Climate change office of Sri Lanka under President Ranil Wickremesinghe’s office, the Climate Vulnerable Forum (CVF) and Nativa Capital of Portugal signed the 100 million dollar deal Tuesday to work together on a farming and forest protection project in Sri Lanka’s Northcentral district of Anuradhapura.
Each of 15,000 farming family will receive 6,000 dollars throughout the project period on a concessional loan to grow watermelon, red chilies and tomato in the first stage solar pumps and other energy projects for sustainable agriculture.
The investment company Nativa will also facilitate market procurement related to these crops with an aim to export and establishments of factories in Sri Lanka in the future.
“Each family stands to benefit from an investment totaling approximately 6,000 dollars, which covers not only modern technical equipment but also addresses longstanding market access challenges faced by farmers,” Ruwan Wijewardene, the President’s Senior Advisor on Climate Change told reporters in Colombo.
“In addition to technological upgrades, efforts have been made to address market access issues faced by farmers, with the investment company committing to purchasing produce from the project.”
The project will expand to cover other crops and and areas including Polonnaruwa district and the Eastern province in the future.
“Upon the successful implementation of this pilot project, the government plans to extend modern agricultural technologies to other districts, foreseeing a transformation in the export economy and an enhancement in the quality of life for farmers,” he said.
“This endeavour not only promises economic prosperity but also seeks to empower farming communities with innovative technology and sustainable practices. It is poised to create employment opportunities, attract foreign investment, and fortify Sri Lanka’s agricultural sector.”
The project will be executed by Our Movement Lanka, a community-based organization and Nativa Capital with Sri Lanka government oversight.
A pilot project with 15 families growing chilli has already started.
A pilot project with a subset of fifteen families and 15 acres is in the process with chili cultivation.
Officials, however, failed to provide the projection of possible foreign exchange inflows despite repeated requests. (Colombo/May 08/2024)