Compensation payments for crop damage associated with the prevailing El Niño-related conditions are to be expedited from next week, with the process beginning in the Polonnaruwa District, according to the Agricultural and Agrarian Insurance Board.
Director General of the Board I.U.K. Kaluarachchi announced the arrangements during a September 4 media briefing at the Department of Government Information.
He said arrangements are being made to complete compensation payments for all reported crop damage within approximately two weeks.
According to data presented by the Board, crop damage covering approximately 8,000 to 8,500 acres has been reported.
Relatively limited damage has been reported mainly from:
- Anuradhapura;
- Polonnaruwa;
- Monaragala; and
- Puttalam.
Kaluarachchi said Rs.3 billion - Rs.3,000 million - allocated in the previous Budget for crop-damage compensation remains available, and that the available funds are sufficient to address the current situation.
However, compensation is subject to eligibility requirements.
Farmers have been urged to carry out cultivation during the upcoming Maha season according to the cultivation schedules and instructions issued for their respective areas by the relevant authorities.
These include the:
- Agricultural and Agrarian Insurance Board;
- Department of Agriculture;
- Department of Agrarian Development;
- Mahaweli Authority; and
- Irrigation Department.
The Board says compensation for crop damage will be paid only for land cultivated in accordance with approved cultivation schedules.
Relevant agencies are expected to provide cultivation advice based on available information and prevailing conditions.
The Board also said the 2026 Yala season recorded a favourable harvest and the lowest level of crop damage reported during the past five years.
The compensation announcement comes as Sri Lanka continues to experience dry-weather effects in several districts.
Recent Disaster Management Centre figures have shown an increasing number of families affected by water shortages and other consequences of the dry conditions.
The compensation programme is therefore a specific response to agricultural losses within the broader developing dry-weather situation.