Abstract:
COVID-19 does not only impact public health, but also it triggered a major economic recession
which negatively influenced all the sectors of the economy. The agricultural sector and agricultural
markets are no exception. Although agricultural activities are supposed to be smoothly continued,
COVID-19 containment measures cause a huge impact on food production and distribution in Sri
Lanka. Small and Medium Enterprises (SME) including commercial scale farmers were among the
most affected group. This study was designed to investigate the impact of COVID-19 on the
marketing aspects of commercial farmers and their coping strategies. Forty agribusiness
entrepreneurial farmers in Ratnapura, Kandy, Nuwara Eliya and Badulla Districts were selected by
snowball sampling technique. Telephone and online questionnaire surveys were conducted to gather
primary data. Data analysis was done using descriptive and inferential statistical methods. According
to the results, respondents largely grow five types of vegetables: Salad cucumber (Cucumis sativus)
(70%), Bell-pepper (Capsicum annuum) (32.5%), Tomato (Solanum lycopersicum) (45%), Lettuce
(Lactuca sativa) (13%) and Chilli (Capsicum annuum 'Serrano') (2.6%). The main markets for their
produce were hotels (56%), nearby restaurants (24%), dedicated economic trade centers (17%) and
retails (3%). Reduction in sales was reported by 90% of respondents who were in the harvesting stage
and Paired t-test confirmed a significant reduction in sales (t=4.267, p<0.05). The causes were
identified as lack of transport facilities (92%), closure of hotels, restaurants and dedicated economic
trade centers (88.6%) and inability to deal with middlemen (12.3%). A few amounts of the harvest
have been sold by market alteration into direct selling home delivery vehicles (78%) and nearby fresh
markets (12%). Although the government permitted to transport of vegetables during curfew hours,
respondents have experienced a 50-60% of post-harvest loss during transportation. Further, a price
reduction was reported for certain varieties of vegetables grown by these commercial farmers and the
paired t- test confirmed the farm gate price reduction as significant (t=3.89, p<0.05). As for coping
strategies, farmers have adopted new market orientation, nearby supermarkets, (75%), orientation for
new dealers (70%) and home consumption of the produce (30%). The study recommended the need
for a smooth continuation of market-related aspects and practices to strengthen the commercial scale
farmers in Sri Lanka.
Keywords: Agriculture; Commercial farmers; COVID-19; Marketing; Sales
