Around 3000 rice mills face closure

• Adequate stocks of paddy are not available in the market for medium scale and small scale rice mills to produce rice

By Dayaratne Embogama  

Medium and Small Scale rice mill owners who expressed their concern over the selling of rice to beer manufactures by large scale rice mill owners yesterday said around 3000 small rice mills face closure as a result.   

President Association of Small and Medium Scale Rice mill Owners U.K.Semasinghe told the media in Anuradhapura that the prevailing shortage of Nadu rice in the market and the price hikes is the result of selling rice to beer manufacturers at exorbitant prices.“ Adequate stocks of paddy are not available in the market for medium scale and small scale rice mills to produce rice. 

 Beer manufacturing companies purchase Nadu rice in unlimited quantities for exorbitant prices. It is reasonable if the country had an excess of rice. Today the rice market has experienced a shortage. It has resulted in a price hike.”“ Local fresh rice is used by beer manufactures while consumers eat substandard rice imported at a heavy price,” he said.He further said the government should work out an effective mechanism to purchase rice through the Paddy Marketing board or any other institution to prevent bulk stocks of rice being sold to  beer manufacturers.