The Hon. (Dr.) Upali Pannilage — Minister of Rural Development, Social Security and Community Empowerment

¶ 01 Hon. Chairman, today we are debating the Heads of the Ministries of Finance, Planning and Economic Development; Trade, Commerce, Food Security and Co-operative Development; and Plantation and Community Infrastructure.

¶ 02 First, let me address the current national situation. Following last week’s severe weather, many of our citizens faced disaster. On behalf of the Government, I once again extend our profound condolences.

¶ 03 Today, December 03, is especially significant for my Ministry, as it is the International Day of Persons with Disabilities, under our Ministry’s purview. As noted earlier, the UN’s theme is building an inclusive society for social progress by integrating persons with disabilities. We had organized several programmes, some of which we rescheduled in deference to the current crisis. With about 1.6 million persons with disabilities in Sri Lanka, we reaffirm the Government’s commitment to an inclusive society.

¶ 04 From the outset of this crisis, the Government acted to minimize harm and to commence recovery and repairs. Many foreign countries have assisted; we gratefully acknowledge their support. Under the President’s leadership, we are engaging business leaders and civil society to contribute to reconstruction and repairs in the affected areas, with many volunteering.

¶ 05 Our immediate task is to rebuild Sri Lanka. The President, Cabinet and officials are working to extend maximum relief. We have moved beyond routine circulars to deliver necessary assistance. Over recent days, the Tri-Forces, public officials and volunteers have conducted major operations to protect and assist affected people.

¶ 06 I am pleased to note that tens of thousands, especially from the South, have volunteered in the Central Hills—in Badulla, Kandy, Nuwara Eliya, Kegalle, Matale—to help restore damaged roads, bridges and other infrastructure. We have also increased the cash allocations for cooked meals and dry rations provided to those in shelters, and raised the resettlement grant from Rs. 10,000 to Rs. 25,000 via a new circular issued yesterday.

¶ 07 Although we are debating the Heads of Plantation and Community Infrastructure and Trade, Commerce, Food Security and Co-operative Development, the respective Ministers are prioritizing on-ground disaster response with the people.

¶ 08 The Plantation Ministry bears a major responsibility in the Central Hills—protecting and developing tea, and on the lowlands, coconut. After we assumed office in November 2024, by early December there was a rice shortage. Though we cultivate about 800,000 hectares of paddy, and require around 2.5 million metric tons of rice annually, we could not meet total need. In the past year, in coordination with the Agriculture Ministry, we provided fertilizer support, technology and quality seed to raise the average yield from 4.3 MT per hectare.

¶ 09 The Central Hills have suffered significant damage; tea cultivation has been affected. Annual tea export earnings had fallen from around USD 1.3 billion to about USD 840 million due to past fertilizer subsidy cuts. We have restarted reforms to rebuild the sector, including increasing daily wages of pluckers in Budget 2026, and setting a path to grow the tea economy towards USD 3 billion. While the recent weather caused setbacks, we are preparing plans to rehabilitate affected lands and boost yields.

¶ 10 Coconut, too, is under the Plantation Ministry. Despite tea, coconut and rubber being traditional export crops, we faced a coconut shortage due to unauthorized land conversion and project-driven fragmentation. Over the past year, we expanded coconut cultivation with fertilizer support and special programmes, including the “Northern Coconut Triangle” and micro-finance support via the Samurdhi Department for smallholders. With proper extension and technology, yield per tree can rise from an average of 68 nuts to about 100 nuts per year. We are mapping damages and preparing to rehabilitate agricultural lands beyond their prior state.

¶ 11 The Ministry of Trade, Commerce, Food Security and Co-operative Development faces a major challenge: ensuring food security. The Government established a dedicated committee, implemented many measures over the past year, and ensured affordable availability of food. When necessary, we imported food while protecting both farmers and consumers. Even now, we are active to avoid shortages, distributing essentials via Sathosa and other channels, and pursuing legal action against price gouging. We will not allow exploitative pricing; consumers will be protected.

¶ 12 When we took office, the Finance Ministry confronted a severe crisis. Over the last year, we stabilized the economy, completed debt restructuring substantially—remaining smaller institutional debts such as SriLankan Airlines are being addressed—contained inflation, and steered growth towards around 4–5%. The 2026 Budget is premised on achieving near 5% growth. With support from domestic and foreign partners, we have managed the economy prudently to avoid a repeat of past collapses following the 2004 tsunami and the 2019–2020 pandemic. While debating the Budget, our foremost priority remains national recovery from this disaster. Thank you, Hon. Chairman.