July 11, Colombo (LNW): Sri Lanka has established a Department for Cinnamon Development to boost the cultivation, production, and export of cinnamon.
The Government Information Department announced that this new department aims to assist cinnamon producers, suppliers, and exporters while enhancing the quality and variety of cinnamon products through value addition.
In 2022, Sri Lanka’s spice exports, including cinnamon, generated $368.7 million, a decrease from $454.8 million in 2021. In the first half of 2023, spice exports brought in $176 million. Ceylon cinnamon, exclusive to Sri Lanka, received a Geographic Indicator (GI) designation in February last year.
President Ranil Wickremesinghe highlighted the importance of improving high-quality cinnamon cultivation, emphasizing Sri Lanka’s leading position as a major cinnamon producer and exporter.
Speaking at the inauguration of the Department of Cinnamon Development’s main office and the launch of its official website in Karandeniya, Galle, he noted that this initiative follows a proposal in the 2023 Budget to revitalize the Ceylon cinnamon industry.
During the event, Wickremesinghe received a 10-year roadmap for promoting the industry and a technical publication titled “Cinnamon Handbook.”
He also awarded Good Agricultural Practices (GAP) and Geographical Indication (GI) certificates to select cinnamon entrepreneurs.
The President emphasized the need to maximize each acre of land for cultivating high-quality cinnamon varieties and increasing productivity.
He underscored the necessity of expanding cinnamon cultivation areas and integrating cinnamon with other crops to potentially triple or quadruple production.
He also stressed the importance of boosting sales along with increased production, suggesting the use of both local and international expertise to improve market reach.
The government is ready to support companies willing to take on this responsibility.
“We are re-establishing this department after 200 years to revive cinnamon cultivation in the country.
The primary responsibility of this department is to enhance cinnamon production, starting with increasing output. We need to focus on cultivating high-quality cinnamon varieties and expanding the area under cultivation,” Wickremesinghe stated.
The President also emphasized the importance of transitioning from an import-based economy to an export-driven one for the country’s economic stability.
He called for a strategic plan to restart cinnamon cultivation from Puttalam to Hambantota and attract new investments in various industries, including information technology. He reiterated the need to maintain the current development path to secure the nation’s future.Although Ceylon Cinnamon has been GI-certified, value addition has decreased as exporters believe bulk exportation provides justifiable revenue.
However, re-exported cinnamon can be transformed into value-added products and sold for higher revenue. Approximately 80-90% of cinnamon exportation occurs in bulk, making value addition challenging due to existing mindsets, similar to other agricultural exports
