From crisis to opportunity

Sri Lanka has the potential to develop a thriving agriculture sector, with its extensive system of inland reservoirs, rich agricultural heritage and favourable tropical climate. Unfortunately, decades of dependency on a narrow range of imported inputs, fluctuating policies, and limited knowledge about better farming practices have hindered the sector’s development.

Close to 80 per cent of Sri Lanka’s population live in rural areas, where livelihoods are intertwined with agriculture. Four fifths of the country’s food is produced by smallholder famers, and agriculture contributes to almost 20 per cent of exports.

Sri Lanka has relied heavily on imported inputs to feed its agriculture sector, including fertiliser, seeds, products to protect crops and soil, and agricultural equipment. A 2021 ban on importing chemical fertiliser, combined with Sri Lanka’s economic crisis in 2022, significantly disrupted the domestic agricultural inputs market.