Medium and small-scale rice mill owners have raised concerns about large-scale mill owners selling rice to beer manufacturers, which they say threatens the survival of around 3,000 small mills.

U.K. Semasinghe, President of the Association of Small and Medium Scale Rice Mill Owners, previously stated that this practice has led to a rice shortage in the market, driving up prices. He explained that beer manufacturers are purchasing Nadu rice in unlimited quantities at high prices, making it difficult for smaller mills to access enough paddy to produce rice.

“Local fresh rice is being used for beer production, while consumers are left with substandard imported rice sold at higher costs,” Semasinghe said.

He urged the government to introduce an effective system, such as buying rice through the Paddy Marketing Board, to prevent large-scale sales of rice to beer manufacturers and ensure adequate supply for consumers.

Meanwhile, Rice mill owners agreed to supply 200,000 Kg of rice daily to the market through ‘Lanka Sathosa’ at a controlled price of Rs. 220 per kilo, effective from December 5.