### Agriculture Costing Crisis: Call for Urgent Pricing Reforms 📈

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Senior Prof. Buddhi Marambe (University of Peradeniya) warns that Sri Lanka’s agricultural framework must be redesigned to embed global volatility and geopolitical risks into pricing structures. • Input Cost Surge Fertiliser prices have spiked from US$ 450 to US$ 810 per tonne due to Middle East instability. While G2G urea supply from China remains a priority, global competition poses significant availability risks. • Energy & Value Chain Impact Rising fuel and electricity costs are cascading through the sector, increasing expenses for: Mechanized farming and transport. Milling and storage operations. Household consumption and cooking costs. • Strategic Prioritization Experts urge targeted resource allocation toward three critical areas to balance food security and trade: 1. Direct Consumption: Staple crops for national food security. 2. Maize: Essential for the animal feed industry. 3. Tea: Critical export crop requiring urgent nutrient management to sustain national output. • Policy Outlook Current interventions include distributing fertiliser at Rs. 9,500 per tonne. However, Prof. Marambe notes that sustainable stability requires moving beyond short-term fixes toward structured, forward-looking costing models that protect both farmers and consumers from renewed food inflation.

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