Rice is one of the most important cereal crops in the world. With population growth, farmers have to increase paddy production to meet existing as well as future demand. Fertilizer is the major input in rice production. Growth and yield traits of rice are affected by improper and imbalanced application of plant nutrients. Hence, suitable practices of adequate rate and timing of fertilizer application are needed to increase the rice yield. In May 2021, Imports & Exports (Control) Regulation No 07 of 2021 was issued, banning the importation of chemical fertilizers, pesticides, & herbicides in Sri Lanka. Low fertility of paddy soil created the need for adequate and constant supply of chemical fertilizers in paddy cultivation, which is a major threat to production and endangers the national food security and economy of Sri Lanka, especially in the major cropping season of Maha 2021/22. Therefore, a questionnaire survey was conducted to investigate the impact of the fertilizer crisis in major paddy-cultivating Divisional Secretariat divisions of the Trincomalee district. The random sampling method was used to select respondents for the survey, and the collected data were statistically analyzed by SPSS version 26.0 software. The results revealed that the majority of the farmers experienced a 50% yield reduction compared to the last cropping season of Maha 2020/21 in the entire five DS divisions. The seedling stage was highly affected during the fertilizer crisis in paddy cultivation in all five DS divisions. Further, the cost of production in paddy cultivation increased by more than 50% during the fertilizer crisis compared to the cost involved in Maha 2020/21. The potential for organic manure production is very poor, while the majority of farmers are interested in adopting the sustainable farming system of the Integrated Plant Nutrient System through the judicious application of chemical and organic fertilizers received on a subsidy basis, according to the present government’s fertilizer policy, which emphasizes 70% of inorganic fertilizers and 30% of organic manure application to improve sustainability in paddy cultivation in the country.