The Sevanagala Sugar Factory, the second-largest sugar facility owned by Lanka Sugar Company Limited, a fully state-owned enterprise, processes approximately 250,000 metric tons of sugarcane annually. The factory produces over 15,000 metric tons of sugar and nearly 5 million liters of ethanol each year.
Employing around 1,300 staff members, the Sevanagala Sugar Factory also supports the livelihoods of about 10,000 farming families, both directly and indirectly.
However, recent operational challenges at the Sevanagala Sugar Company Limited have raised concerns about the factory’s future.
A decline in local demand for brown sugar has resulted in nearly 2,000 metric tons of unsold sugar piling up in the factory’s warehouses. At the same time, inefficient management under the current administration has caused the daily sugarcane milling capacity to drop from 1,300 metric tons to approximately 850 metric tons.
Farmers report that one of the two sugarcane cutters at the factory is out of order. They also allege that due to the reduced milling capacity, the factory has restricted the acceptance of their sugarcane harvest. This has led to situations where sugarcane crops are left to burn in the fields, as the factory now refuses to accept burnt sugarcane.
The worsening circumstances are affecting not only farmers but also tractor drivers who transport sugarcane, leaving many who rely on the sugar industry facing severe economic hardship.






