PMB to obtain Rs. 2 bn loan from two State banks | Daily News

PMB to obtain Rs. 2 bn loan from two State banks

Paddy Marketing Board (PMB) Chairman Neil de Alwis said that the PMB has received approval to obtain a loan of Rs. 2 billion from two State banks under the pledge loan scheme which will be utilised to buy paddy from farmers with a maximum guaranteed price.

He said this will prevent some private buyers from trying to buy paddy from farmers at lower prices.

De Alwis said the aim was to purchase 30,000 tonnes of paddy and ensure the PMB maintains adequate paddy stocks.

The chairman says that two state banks have agreed for this and one state bank will release the first installment this week.

The PMB Chairman says that there are problems of lack of fuel facilities needed by rice mill owners to go to the farmers to buy paddy stocks.

Alwis points out that accordingly, this year the Paddy Marketing Board is receiving more stocks of paddy.

Since August 18, the Paddy Marketing Board has been buying the harvest of the farmers and in about 15 days, more than 7035 metric tons of paddy has been purchased.

The PMB has bought Nadu paddy at Rs.120, Samba paddy at Rs.125 and Keeri Samba paddy at Rs. 130 under the minimum guaranteed price.

Accordingly, the Paddy Marketing Board had released Rs. 250 million to be paid to the farmers for paddy stocks purchased by the Paddy Marketing Board on September 2. 

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