By: Isuru Parakrama
October 06, Colombo (LNW): The Ministry of Finance has announced an increase in the special import tax on potatoes and big onions, aimed at supporting local farmers and stabilising domestic agriculture.
The import tax on potatoes has been raised by Rs. 10 per kilogramme, moving from Rs. 50 to Rs. 60.
Simultaneously, the tax on big onions has surged by Rs. 20 per kilogramme, increasing from Rs. 10 to Rs. 30.
These adjustments come in as part of the government’s broader strategy to protect local produce from the impact of cheaper imports, ensuring competitive pricing for locally grown crops.
The Ministry emphasised that these measures are essential to prevent the market from being flooded with imported goods, which could undercut local farmers struggling to maintain profitability.
With domestic production facing challenges due to weather and rising input costs, the government aims to create a more favourable environment for local producers.
The increase in import taxes is also expected to generate additional revenue for the state while encouraging consumers to turn to locally sourced vegetables.
However, these changes may lead to slight price increases for consumers in the short term, as imported goods become more expensive.
