The Hon. Nihal Galappaththi
Nihal Galappaththi argued that the Phase III dairy cow import project caused major public financial losses and failed to meet its objectives of increasing domestic milk production and reducing milk powder imports. Citing a 2025 Special Audit Report, media reports, and a 2018 Hansard adjournment debate, he alleged that Rs. 1.75 billion in advances, rising to about Rs. 2.11 billion with losses, was paid without proper procurement safeguards or recovery action, while farmers faced operational difficulties and imported cows had poor productivity and health issues. He said responsibility lay with political leaders and officials from the 2010–2020 administrations, naming several former Presidents, Ministers, Deputy Ministers, and officials, and referred to allegations that cows intended for farmers were distributed to political associates.
Verbatim record (translated)
Machine-translated from Sinhala / Tamil / English¶ 01 Hon. Deputy Speaker, regardless of how much political orphans and zealots shout, we in the National People’s Power Government will not panic. To my colleague Hon. Dilith Jayaweera, I say: “Do not speak of what you have not seen.”
¶ 02 On the dairy cow project: the Special Audit Report dated 2025.04.07 on the advance payment in Phase III, Step I, to import 15,000 cows, shows it was done without any procurement process or foundational work. As of 2025.02.27, no benefit had accrued to the State; the Ministry of Rural Economy failed to secure safeguards for the advance; no recovery action for the approximately Rs. 1.75 billion advance; and farmers who received cows under Phase III, Step I cannot continue operations and face severe issues—Cabinet Papers now seek to provide them facilities. Due to this waste, the State bears Rs. 2.11 billion.
¶ 03 These are not private or corporate funds—they are public Treasury funds. Responsibility lies jointly with political leaders and officials of the 2010–2020 administrations: former President Mahinda Rajapaksa, former President Maithripala Sirisena, former PM Ranil Wickremesinghe, former Minister Basil Rohana Rajapaksa, former Ministers P. Harrison and Gamini Vijith Vijayamuni Soysa, former Deputy Ministers Lakshman Yapa and Lakshman Wasantha Perera, and senior officials. No one can escape responsibility.
¶ 04 Stated objectives—self-sufficiency in milk, boosting domestic production, cutting milk powder import costs, reducing protein deficiency—were excellent. But were they achieved? Our mothers used to say the cow is our “second mother,” as fresh milk nourishes like mother’s milk. These leaders insulted that motherhood by perpetrating massive financial fraud. History will not forgive those involved.
¶ 05 I draw attention to a news item, “Cows meant for farmers given to others,” Ada newspaper, Friday, 16 July 2017, quoting present Deputy Minister for the subject, Namal Karunaratne of the All Ceylon Farmers’ Federation: the then Minister P. Harrison imported 2,000 cows to be distributed to farmers; 5,600 farmers applied, yet distributions were made to Deputy Minister Lakshman Wasantha Perera of Matale and 19 other political associates, including the spouse of a Director of the Livestock Department. Cows imported to give to dairy farmers were handed to politicians.
¶ 06 He further noted that despite local farmers dumping thousands of litres daily for lack of buyers, milk powder is imported in large quantities, while a fully equipped factory at Ambewela capable of producing 300,000 litres a day was completed by 2015 but not opened.
¶ 07 He added: the project to import foreign dairy heifers launched by Basil Rajapaksa continued 2015–2019 under Ranil Wickremesinghe with gross fraud; 5,000 cattle imported initially suffered high mortality due to disease; in May 2018, another 5,000 were ordered from Wellard for over USD 11 million, but not a single animal was imported; Rs. 9.8 million was withdrawn from the Lanka Bank branch in Parliament under the name G. W. W. Soysa—found to be Minister Gamini Vijith Vijayamuni Soysa’s account; he obtained 50 cows; the Rs. 500,000 per cow grant was given at Rs. 200,000; both Harrison and Soysa were in Wickremesinghe’s camp—the best team to destroy what remained.
¶ 08 Also, in the Hansard of 20 September 2018, our current Health Minister, Hon. Nalinda Jayatissa, moved an Adjournment on irregularities in the dairy cow project, thoroughly analysing poor standards and health of imported cows, much lower yields than the 18–20 litres/day touted (actual around 10 litres), exorbitant upkeep and medicines (estimated Rs. 5,000/year but actually near Rs. 100,000), and inflated purchase prices.
¶ 09 A Divaina article, Sunday, 15 June 2025, titled “Tough, scrap cows imported; crores eaten,” reported that 66 percent of cows were non-pregnant; with exchange loss, the advance loss is Rs. 2.11 billion. Sri Lanka’s annual milk need is 801.15 million litres; only 47 percent produced domestically; we spend about Rs. 70 billion annually importing milk powder and related products; in the first four months of 2025 alone, USD 121.2 million was spent on such imports. Those responsible are political “cattle,” not the animals.
¶ 10 Finally, I endorse the Special Audit recommendations: disciplinary and legal action against all parties involved in the advance; recover the advance from the supplier or, failing that, from those who facilitated it; establish proper procedures for future projects; and place such projects under direct Treasury oversight. The rule of law must be applied to these “bulls” who squandered public funds.
¶ 11 Thank you.
Provenance
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- Hansard, Thursday, 19 June 2025 ·No. 1751430648025512 ·English daily/uncorrected Hansard
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Cite as: The Hon. Nihal Galappaththi. 10th Parliament, Parliament of Sri Lanka. Hansard, 19 June 2025. No. 1751430648025512. Politick, https://staging.politick.io/lk/speeches/27505