Abstract:
This study was initiated to examine the rice marketing chain system in Ampara district of
Eastern province which is most famous geographical point for rice production in Sri Lanka. The
objectives of this study were to analyse the structure of marketing chain, to examine the channel
members in this chain, to understand the determinants of rice supply, to find out the major
constraints in marketing the rice in this region. The data were collected through interviews
from 42 famers, 15 millers, 10 business community, and 06 middle men by using selfadministrated
questionnaire and checklists. This was enhanced by several secondary data such
as published materials. The results obtained from this analysis indicates that educational level
and experiences in rice business of farmers, millers, business community, price and profit of
rice and seasonal variety of rice, quantity and quality of rice were found to be the most important
variable which were designed the marketing chain of the rice market in Sri Lanka. The main
marketing determinates of rice marketing were famers, business community, millers, and
middle man. However, few rice producers are channeled or distributed to household consumers
as direct selling small medium entrepreneurs. Further rice marketing price and profit
performance also measured with the past ten years’ price and profit data through the interviews
of marketing channels. In addition to these findings, this study has found that several businessrelated
issues such as maintaining low cost production methodology, chemical free production,
lack of modern technology, and value adding methods targeting export and local business, etc.
This study will help to policy decision makers of this rice business sector.
