The Cabinet of Ministers has approved a fuel subsidy scheme targeting Sri Lanka’s fisheries sector, with small fishing boats eligible for a Rs. 50 per litre discount and multi-day fishing vessels entitled to Rs. 150,000 per trip. The scheme takes effect on April 20, 2026.
Fisheries Minister Ramalingam Chandrasekar proposed the scheme following discussions with President Anura Kumara Dissanayake. The cabinet paper stated the subsidy aims to “provide immediate relief and support the revival of the sector” amid the economic pressures battering fishing communities.
The measure is the first sector-specific fuel relief announced beyond the Rs. 100 per litre general diesel subsidy confirmed on April 6. It acknowledges that coastal fishing operations — already squeezed by the Middle East energy crisis and diesel rationing — cannot survive on a flat-rate subsidy designed primarily for road transport.
Sri Lanka’s fishing industry has been among the hardest hit by the fuel crunch triggered by the Strait of Hormuz closure. Multi-day trawlers, which rely on large diesel volumes for deep-sea trips, have largely remained idle since restrictions were imposed, affecting export earnings and rural livelihoods. Fisheries is a politically sensitive sector in the Northern and Eastern provinces.
The announcement does not specify whether the subsidy will be delivered through the QR-based fuel rationing system launched earlier this month, or through a parallel entitlement mechanism administered by the Fisheries Ministry. Further operational guidelines are expected before the April 20 rollout.
The scheme joins a widening suite of targeted relief measures as the government moves away from blanket fuel subsidies toward sector-specific interventions tied to economic output.
