PROGRAMME OF DEVELOPMNET OF STAGE II
 
by Feasibility Report for the development of 71,000 of new lands in Stage II area has been accepted by the Cabinet. The project area will be irrigated by improving and extending the Kandalama L. B. and R. B. and Kalawewa R. B. main canals and further constructing a Kalawewa L. B. canal. This development has been included in the Government’s 5-Year Plan for Agricultural development.
 
Government has set apart Rs.20 million to commence development of some 6,000 acres in Stage H Area in 1974, and the preliminary, construction works commenced during this year.
 
1.     The Programme of settlement given in the Feasibility Report was modified as follows for implemen­tation
 

                                                                                                               YEAR

Area
                                                                        1975              1976              1977              1978              1979        total

      
       HI                           ..                                                                                                 6,000                                                                                                6,000
       H2                          ..
                                                                                                                                                        12,000                                                                        12,000
       H4                          ..
                                                                                                                                                                                                                           13,000           10,500                            23,500
       H5                          ..
                                                                                                                                                                                                                                                                                                   2,500           13,000      15,500
       H7                          ..
                                                                                                                                                               8,000                                                                          8,000
       H9                                                                                 6,000                                                                          6,000
 

      Total Avenge ..                                                                                                                    6,000           26,000           13,000           13,000          13,000       17,000
 

          
      Thus some 15,000 new farm families and 8,000 families presently residing in the project area will be settled by the end of 1979.
 
A farm settler will be given either 3 acres of ill-drained or 2 acres of well-drained land as a farm unit and an extent of j acres for homestead. First group of settlers will commence their cultivation operation in Maha 75/76 season. The majority of the farmers will be from the area itself; for other settlers preference will be given ‘to those affected as a result of construction activities of MDB. Selection criteria has been designed giving preference for farming experience. Pattern of settlement envisag­ed is a cluster type with the lowest unit, a hamlet consisting of 100-225 families. Four or five of the hamlets form a cluster with a common service centre and four or five clusters form a sub-area. 47 clusters and 9 sub-areas will be formed in the Stage H area. The settlers will be given a grant of Rs. 300 to put up a temporary house and they will be paid a subsistence of Rs. 5/- daily for a period of S weeks.
 
2.   Infrastructure
 
The infrastructure services such as transport, communications, health and education, will be provided by respective Government agencies in collaboration with MDB. These services will be provided in accordance with the requirements of the community at appropriate level of settlement pattern. During the first 2 months farmers will be advised to form their own co-operatives which will fit into the national co-operative structure and would thereafter be responsible for the supply of con­sumer needs, agricultural inputs, credit and marketing facilities.
 
An important item under this programme is the implementation of a comprehensive training and community development programme to help farmers to improve their living standards, economically, socially and culturally.
 
3.   Agriculture
 
The soils in the Stage 11 area are predominantly the reddish brown earths with low humic gleys occupying the lower reaches. Only rice can be grown , on the poorly drained low humic gley soils while a wide range of crops can be grown on well drained reddish brown earths. Only rice can be grown in about 40% of the area. A net farm income of Rs. 3,600/- per family is stipulated (Feasibility Report) in an average holding of 3 acres. Yield at full development are estimated at 60% of the har­vest in experimental plots at research station. Transition from existing subsistence to commercial level of farming will require that farmers acquire skills in farm management and modern techniques of crop production with ready access to inputs. To enable this, strengthening of the extension services will be done. It is also proposed that settlers purchase their land holdings on easy payment terms and also pay an annual service charge.
 
4.   Agro-Industries
 
The opening up of new lands and the cultivation of a large acreage with new crops would need the setting up of several Agro-Industries for the success of the scheme. A Japanese Research Team has investigated the possibility of establishing a chip board and hard board factory and, the report is Dot yet ready. Small industries and certain projects on inland fisheries, animal husbandry has already been considered. Industries, such as safety matches, agricultural implements, straw board, bricks and pottery, woodwork, grinding mills for Soya bean and Chillies, ground-nut processing, manioc starch, sugarcane processing, silk production and twine making from banana fibre.