Opposition Leader Sajith Premadasa has raised serious concerns over the deteriorating state of the Pelwatte and Sevanagala sugar factories, blaming government mismanagement for the ongoing crisis.

Issuing a statement, Premadasa said that despite repeated warnings, the two state-owned institutions, once considered national assets, are now facing deep financial and operational troubles.

He revealed that the Pelwatte Sugar Company has failed to pay EPF contributions for the past nine months, accumulating dues of Rs. 324 million, along with Rs. 23 million in penalties. He also noted that the company had taken loans of Rs. 500 million in August 2024, Rs. 1 billion in November 2024, and another loan recently to pay salaries.

According to Premadasa, Pelwatte owes Rs. 300 million to farmers and Rs. 400 million to suppliers. The factory employs 3,795 staff and supports around 5,700 farming families.

Sevanagala is in a similar situation, he added, with outstanding payments of Rs. 205 million to farmers, Rs. 150 million in EPF arrears, Rs. 100 million to suppliers, and Rs. 400 million in unpaid VAT to the government. The factory employs 1,300 workers and sustains about 3,900 farming families, while owing Rs. 200 million to the Bank of Ceylon, the opposition leader revealed.

Premadasa accused the government of turning a blind eye to these issues, despite being repeatedly questioned in Parliament. He urged the government and the relevant minister to take immediate steps to protect these vital industries and safeguard the livelihoods of thousands. (Newswire)

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