Plantations continue to face obstacles in obtaining fertiliser even after lifting import ban

• PA notes that prices of plant nutrients have increased significantly following policy change
• Calls for long-term policy on fertiliser and agrochemicals to mitigate policy instability 

While welcoming the lifting of the ban on fertiliser imports, the Planters’ Association of Ceylon (PA) yesterday pointed out that the country’s plantation sector has been significantly impacted by the policy and is now faced with practical challenges in securing fertiliser.
The association – which represents commercial growers of tea, rubber and other plantation crops –notes that prices of fertiliser have skyrocketed during the time of the ban, creating additional financial pressure for Regional Plantation Companies (RPCs). 
For instance, the price of synthetic fertiliser used for tea cultivation has increased approximately four-fold, from around Rs.1, 500 per kilo following the initial removal of the subsidy up to Rs. 6,000 at present. 
“Given the poor financial performance of both tea and rubber in the recent past, both smallholders and RPCs find it difficult to pay such high prices. Unfortunately, given factors such as the global increase in commodity prices, fertiliser prices are expected to increase further,” a statement by PA said.
“In addition to global factors, inexplicable action by the authorities have contributed to the escalation of prices of the limited synthetic fertiliser stocks which were available in the country, the PA pointed out.
“Despite the due process being followed, the last fertiliser shipment to be brought into the country was not allowed to unload by Customs due to unknown reasons. Ultimately, the supplier had to obtain a Court order to get the shipment released,” the statement noted.
“The prolonged delay in the process led to significant demurrage charges being incurred since it was not possible to unload and discharge the ship within the due timeframe. These charges substantially increased the cost of the fertiliser for buyers such as RPCs,” it added.

 PA Media Spokesperson Roshan Rajadurai meanwhile said RPCs saw a drop in the volumes and quality of the crop, as well as higher incidences of diseases during the fertiliser ban.
“Now, unfortunately, we have to contend with hyper-inflated fertiliser prices while we await clarity on imports of other vital agri inputs such as pesticides, weedicides, herbicides and fungicides. 
Hence, it is vital that such situations are avoided in the future. Besides the RPCs, thousands of smallholders have also been affected,” he added.
Following a government decision to restrict imports in early May 2021, the country’s plantation industry, both RPCs and smallholders, faced severe challenges in obtaining sufficient inorganic fertiliser and agrochemicals.
These are essential for the sector, which the government too acknowledged, by promising to provide sufficient fertiliser to the tea industry in mid-October 2021.
Tea plantations witnessed visible discolouring of leaves and reduction of volumes, while the ‘circular spot disease of rubber’ plagued rubber plantations, which did not have access to the inputs required to combat the disease due to the ban.
The plantation sector has also not been provided with a solution with regard to agri inputs required besides fertiliser. RPCs require inputs such as pesticides, weedicides, herbicides and fungicides to mitigate diseases, pests and other issues. 
For instance, if weedicides are not available, the tea bushes will lack nutrients and tea fields will become overgrown with weeds. 
This will additionally create issues, since a significant portion of any nutrient applied in the future will be absorbed by these weeds. 
Hence, while urging the authorities to provide a solution with regard to agri inputs beyond fertiliser, the PA also strongly advocated the formulation of a long-term policy/vision in this regard, which will reduce policy instability and benefit all stakeholders.