A proposal was made to the Cabinet yesterday to pay US $ 6.7 million to the relevant Chinese company for the Chinese organic fertilizer which has caused controversy.
It is stated that it has been decided to make this payment in a manner that is not a loss to both parties on the advice of the Attorney General.
The cabinet papers were presented by Agriculture Minister Mahindananda Aluthgamage and Justice Minister Ali Sabri.
Due to the presence of harmful bacteria in the organic fertilizer, the consignment of fertilizer was not accepted from Sri Lanka and the ship carrying the fertilizer had been sailing in the Sri Lankan seas for nearly 70 days. The ship then sailed for Singapore on the 10th.
The Chinese company demanded $ 8 million in compensation from Sri Lanka for not accepting the fertilizer stock. The Chinese company said the ship was sailing to Singapore for settlement.
