Sep 24, 2018

No change in sugar price – finance ministry Featured

No permission has been given to traders to raise the price of sugar despite the increase in the special import levy from Rs. 31 to Rs. 42 per kilo last week, said a senior official of the ministry of finance.

He was responding to inquiries made by Sri Lanka Mirror regarding a price increase in certain media.

According to him, the import cost of sugar declined from Rs. 76 to Rs. 52 per kilo due to an increase in supply.

Since the importers have not passed the benefit of that cost reduction to consumers, the government raised the tax, he said.

Still, they earn a profit of around Rs. nine per kilo.

Sri Lanka requires around 600,000 metric tons of sugar a year.

The local production is only 50 mt.

Since the reduction in the import cost, around 22,000 metric tons had been imported.

The CWE and supermarkets sell sugar at the old price.