The National Fertilizer Secretariat has rejected reports aired on Monday by several television channels alleging that the government paid excessively high prices for urea imports, saying global benchmarks confirm Sri Lanka has not overpaid.
A representative of the National Farmers’ Union claimed on the broadcasts that urea was available from Kazakhstan at USD 220–320 per metric tonne while the government had cleared imports at around USD 800 per tonne. In a statement on Tuesday, the Secretariat said no institution has yet imported fertilizer from Kazakhstan, although requests to do so were received and promptly approved.
It said Ceylong Trading and Plantation (Pvt) Ltd placed an order for 25,000 tonnes of urea on April 29, but the consignment has not yet arrived. The Secretariat pointed to India’s recent purchases at over USD 900 per tonne and weekly international price reports showing nitrogen fertilizer prices well above the figures cited in the broadcasts.
“Available data show that urea prices are several times higher than the alleged Kazakhstan rates,” the Secretariat said, adding that the government has not overpaid for fertilizer imports.
The dispute lands at a fragile moment for the agriculture sector. Fertilizer prices have surged from USD 650 to USD 800 per tonne in a single procurement cycle, attributed largely to the Hormuz risk premium on shipping and feedstock energy costs. The new 25,000-tonne Kazakh urea order is intended to supply Yala season planters once the consignment arrives. The Yala season is now underway, and any disruption to nitrogen-fertilizer supply or pricing has direct implications for paddy yields and food inflation. Australia’s USD 1.4 million FAO grant for cyclone-affected vegetable farmers in Nuwara Eliya and Badulla also reflects the multi-front pressure on rural recovery.
Procurement allegations against the agriculture ministry have surfaced periodically since the 2021 organic-fertilizer policy collapse, making any government response to TV claims politically sensitive.