Annual Report 2010 - Ministry of Finance and Planning

1 | DEVELOPMENT PERSPECTIVESTable 1.47 > Investment in Plantation SectorInstitutions 2009 2010RecurrentExpenditure(Rs. Mn.)CapitalExpenditure(Rs. Mn.)RecurrentExpenditure(Rs. Mn.)CapitalExpenditure(Rs. Mn.)Rubber Research Institute 176.3 25.8 181.0 27.5Coconut Research Institute 133.3 62.1 135.5 70.0Coconut Cultivation Board 244.2 267.3 243.2 432.5Coconut Cultivation Authority 62.4 75.2 77.2 96.4Sri Lanka Tea Board 220.4 34.0 144.0 48.0Tea Research Institute 220.0 47.2 231.5 51.4Tea Small Holdings Development Authority 199.5 168.3 208.0 186.9National Institute of Plantation13.1 6.4 10.5 6.7ManagementTotal 1,269.2 686.2 1,230.9 919.4Source: Department of National BudgetOther Export CropsThe production of almost all otherexport agricultural crops has showna positive growth in 2010 comparedto 2009. It is due to the favourableweather conditions and improvedworld demand for spices togetherwith consistent increase of prices.Accordingly, a phenomenal increasein export volume by 49 percent to43,313 metric tons was reported in2010 against 29,044 metric tonsexported in 2009. The productionof pepper has increased by 9.8percent to 17,323 metric tons in 2010against 15,767 metric tons producedin 2009. Meanwhile, production ofcloves has tripled in 2010 showing ahuge increase to 9,559 metric tonsfrom 3,032 metric tons in 2009.The remarkable growth of clovesproduction cannot be explained interms of the boom harvest that comesevery four years as a boom harvestwas reported in 2008. Therefore, thisincrease is explained by favourableweather conditions and higher prices.The productions of cinnamon, cocoaand Nutmeg (including mace) haveincreased by 4.1 percent, 11.35 percentand 36.55 percent, respectively to16,407 Mts, 520 Mt and 2,376 metrictons in 2010. In view of the aboveanalysis, production of all exportagricultural crops has increased dueto the additional support given by thegovernment to the export agriculturalsector and favourable weatherconditions throughout the year 2010.Table 1.48 > Production of Export Agricultural CropsCrop 2006 2007 2008 2009 2010Tea (kg mn.) 310.80 305.20 318.70 291.00 329.00Rubber (kg mn.) 109.20 117.60 129.20 136.90 153.00Coconut (Nuts mn.) 2,785 2,869 2,909 2,853 2,317Minor Export Crops Metric TonsCinnamon 15,900 16,505 15,924 15,765 16,407Pepper 14,400 16,597 13,175 15,767 17,323Cocoa 810 393 735 467 520Cardamom 80 90 71 61 48Clove 3,575 2990 8053 3,032 9,559Nutmeg & Mace 1,925 5553 4702 1,740 2,376Source: Department of National Planning, Department of Census and Statistics102