FACTORS AFFECTING THE DISCONTINUATION OF PROTECTED AGRICULTURE ENTERPRISES IN SRI LANKA

Abstract

This study was conducted to find out the factors causing the growers to discontinue protected vegetable production after few seasons of operation and to propose appropriate remedial measures. The investigation was done through key informant discussions, observations and interviews ofrandomly selected 60 members of Protected Agriculture Entrepreneurs Association (PAEA) using a semi structured interview schedule. The main reasons for discontinuing protected agriculture enterprises were socio-economic factors, namely; lack of transport facilities, problems in the marketing, marginal monitory returns, dependency on external support schemes on investments, part time engagement, lack of family support and scale of production (less than 2000 sq ft.).The technological features of the production enterprises did not indicate a significant association with the discontinuation. In order to facilitate the sustainability and mobility of the protected agriculture enterprises in Sri Lanka, the supply chain should be reorganized to collect, transport, store and ultimately market the produce. Monitoring and advisory programs should be linked with the small growers to minimize the production risks while reducing the production costs and thus increasing the profit margins.