The Ministry of Finance, Planning and Economic Development has launched a rapid paddy procurement programme for the 2026 Yala season, aimed at ensuring a fair price for farmers’ harvest while providing rice to consumers at affordable prices.
Under the Government’s guaranteed price policy, small and medium-scale paddy mill owners and cooperative societies will be involved in purchasing sufficient stocks of paddy.
The programme will be implemented through District Secretaries and the Department of Agrarian Development, with the support of the Ministry of Agriculture, Livestock, Land and Irrigation. The Ministry of Finance, Planning and Economic Development will oversee the implementation of the programme.
Registered small and medium-scale paddy mill owners, as well as cooperative societies operating paddy mills with a maximum daily milling capacity of 25 metric tonnes, are eligible to participate in the programme.
Participating mill owners and cooperative societies will be provided with interest-free concessionary funds of up to Rs. 25 million to purchase paddy from farmers at the Government’s guaranteed prices.
Accordingly, Red and White Nadu paddy will be purchased at Rs. 120 per kilogram, while Samba paddy will be purchased at Rs. 130 per kilogram.
The paddy purchased using these funds must be processed and sold in the market within a maximum period of 240 days from the date the funds are received. The full proceeds from the sale must then be repaid to the project, with no interest, commission or any other charges being imposed.
As the 2026 Yala season paddy procurement programme commenced on August 12, eligible small and medium-scale paddy mill owners and cooperative societies have been requested to register at their respective District Secretariats to participate in the programme.
