Saturday Jan 04, 2025
Saturday Jan 04, 2025
Wednesday, 1 January 2025 00:06 - - {{hitsCtrl.values.hits}}
In a bid to support the small and medium scale paddy mill owners and ensure fair prices for paddy harvest, the Government has decided to continue the Pledge Loan Scheme under subsidised interest rates.
The decision to this effect was taken at the Cabinet of Ministers meeting on Monday.
“The approved program will be rolled out from the 2024/2025 Maha cultivation season and beyond, with loans capped at a maximum of Rs. 50 million,” Cabinet Spokesman and Minister Dr. Nalinda Jayatissa said at the post-Cabinet meeting media briefing yesterday.
He said the State and private banks will extend the loans to eligible mill owners with a daily mailing capacity of up to 25 tons. “Cooperative societies operating paddy mills will also be included under the scheme,” he added.
Dr. Jayatissa said the scheme initially introduced during 2023 has shown significant progress in strengthening the operations of small and medium scale millers and stabilising paddy prices.
“The move aims to support the agriculture sector by providing financial assistance to millers, thereby ensuring a fair pricing mechanism for farmers and stabilising the paddy market,” he said, stressing that the scheme will be thoroughly studied by the authorities.
He warned that those who are not adhering will be blacklisted and will not be eligible for future benefits.
“The Government is investing a lot of money collected through taxes to give subsidies for the agriculture sector. Therefore, it will be unfair for the public if the paddy millers do not meet the criteria. It will be monitored through the Agrarian Development Department as all beneficiaries are registered under that,” he explained.
