General17 April 2026

Tea planters call for price reductions over inefficient subsidies

The government's recent fertiliser subsidy for smallholder tea planters lacks efficient distribution, according to the National Tea Planters’ Association (NTPA), which argues that price reductions are more beneficial than subsidies. Association President Saman Geeganage noted that previous subsidies failed to reach some growers and often arrived at the wrong times. Planters typically require fertiliser applications four times a year, totalling at least 150 kg per acre, yet government releases occur roughly every six months.

Strict eligibility requirements also hinder access, as growers must prove a monthly harvest average of 150 kg, a target often missed due to labour shortages. Geeganage suggested that removing taxes on tea fertiliser would allow planters to purchase supplies independently when needed. Currently, a 50 kg bag costs Rs. 12,000—a price deemed unbearable after recent Middle East tensions caused a Rs. 2,500 spike from the previous Rs. 9,500 rate. While the government announced a one-time additional subsidy of Rs. 5,000 per 50 kg bag via a QR-based system, planters remain sceptical of its effectiveness.

Deputy Plantation Minister Sundaralingam Pradeep indicated that these specific concerns were not previously raised. He intends to suggest concessions for planters during a ministry meeting scheduled for today.
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