Situation at Sevanagala Sugar factory calm
By YOHAN PERERA
Nov 7, 2011

While there were reports that opposition leader Ranil Wickremesinghe had requested President Rajapakasa to remove some companies that had been listed for takeover by the government under the proposed laws to nationalize under performing and under utilized enterprises, the tense situation prevailing at Sevanagala Sugar Industries, which is also on the takeover list had somewhat improved.

Sevanagala Sugar Cane Farmers Association President Justin Hettiarachchi told Daily Mirror that the transportation of sugar had begun over the weekend and was continuing as of yesterday (6). Mr. Hettiarachchi said that the loading of sugar began after Chairman Daya Gamage managed to convince the police to intervene and to get the goons who were surrounding the factory removed. It had been reported that some goons had surrounded the factory while two of them had been asleep at the entrance. It was also reported that nearly 5000 tons of sugar worth Rs 300 million were stuck in the company warehouse.

However troubles are far from over according to Mr. Hettiarachchi as the distribution of fertilizer and seeds were yet to resume bringing the cultivation activities to a standstill. Seeds for the cultivation and a fertilizer subsidy are provided by the company to the farmers during the cultivating season. It was said that nearly 4200 sugar cane farmers depend on the company. “It would be a disaster if the farmers are unable to cultivate this season,” he said indicating that the current crisis would be a long term one.

Sevanagala Sugar Industries Ltd is said to have earned a profit of Rs 200 million this year while there have been profits during the last three years as well.

Source: Daily Mirror - Sri Lanka