The Hon. Wasantha Samarasinghe - Minister of Trade, Commerce, Food Security and Co-operative Development

¶ 01 Hon. Deputy Chair, let me clarify and allay doubts. This is a State company. As Hon. Gamagedara Dissanayake stated, it is owned 100% by the Secretary to the Treasury. The Board will comprise seven directors—four nominees of Secretaries and three appointed by the Minister. It is a State‑owned company governed by a seven‑member board, not a privatization.

¶ 02 There are 18 DECs operating now, not 14. Two new centres—Vavuniya and Jaffna—were opened in September. Among DECs, Dambulla, Thambuththegama, and Keppetipola are major hubs with high farmer involvement. About Rs. 1,085 million has been invested and not yet recovered to the Treasury. Management committees under District and Divisional Secretaries operate with varying practices, causing audit queries across four different Ministries over time since 1998. Funds paid for stalls in various centres lack proper accounts and recipients are untraceable; investigations are underway.

¶ 03 This Government will not privatize State institutions. The new entity is to manage properly for both farmers and consumers. Some facilities—Norochcholai, Chariyapola, Medawachchiya—are outside the DEC framework; standardization is required.

¶ 04 We are also addressing post‑harvest losses—around 30% in vegetables—mainly due to packaging. We plan a packaging manufacturing facility based in Dambulla with Korean funding, and to roll this out anchored on Thambuththegama, Dambulla, and Keppetipola.

¶ 05 The Dambulla cold storage facility will be vested in National Agri Marketing Services Limited (a State‑owned limited company). If it were to be sold, it would not be vested. It is part of enabling storage when buying surplus potatoes and onions. This is an Indian‑funded project begun in 2019, built by an Indian contractor with CECB as consultant. The consultant has flagged standard issues; Rs. 68 million remains payable. The contractor insists on payment to complete pending work; without completion and certification we cannot take over. We intend to complete and operationalize by December to commence Govt. purchases of potatoes and onions, for which funds have been allocated.

¶ 06 We will relocate and expand Thambuththegama stalls near the railway station; in the interim we will refurbish roofing and stalls. Many issues at Dambulla must be rectified; hence we will establish Centre Management Committees at each DEC—Dambulla, Keppetipola, Thambuththegama, Narahenpita, etc.—including traders’ associations, farmer organizations, local authorities, Divisional and District Secretaries, Police, banks, and a representative of the company, to ensure proper governance.

¶ 07 This standardized mechanism will resolve audit issues, recover public funds, examine irregular stall allocations and fees, and stop further misuse, including charging Rs. 100 for toilet use. National Agri Marketing Services Limited has been established to provide a proper institutional framework.

¶ 08 On leases, we will give five‑year agreements, with fair rent revisions based on valuation at each renewal, not arbitrary changes. Some earlier drafts referred to a “Private Limited” entity and re‑tendering after five years—those were draft proposals that were changed after consultations. The final entity is National Agri Marketing Services Limited, not a Private Limited; it is wholly owned by the Treasury Secretary. We have held multiple discussions with stakeholders at Keppetipola, Dambulla, and Thambuththegama to explain this.

¶ 09 Our objective is to facilitate business while ensuring the company receives a fair rental and services are improved for traders, farmers, and consumers alike. This is not privatization. Thank you.