By: Staff Writer

Colombo (LNW): The Hotels Association of Sri Lanka (THASL) has stressed that Sri Lanka’s golden opportunity to reposition tourism via Minimum Room Rate must not be squandered and it should not impact tourist arrivals but enhance much needed higher foreign exchange earnings

It warns selling 5 star double room per night at US$ 60 net no longer acceptable pointing to DMCs only accounting for 20% of city hotels bookings while insisting higher room rate means higher contribution to Govt, hotels and economy.

The Hotels Association of Sri Lanka (THASL) President M. Shanthikumar yesterday expressed his concern over tour operators trying to scuttle efforts to earn much needed additional foreign exchange from a rebounding tourism industry.

“It is a pity that some members of Sri Lanka Association of Inbound Tour Operators (SLAITO) with vested interests are objecting to the implementation of the Minimum Room Rate (MMR) for the Colombo city tourist hotels,” charged Shanthikumar.

“Whilst the hoteliers endorse President Ranil Wickremesinghe’s vision for tourism and are working towards improving the present pricing structure in the city to reasonable levels through a MRR, we are surprised that SLAITO is trying to scuttle this move through a series of press articles voicing their objections. This is purely for the benefit of a few individuals,” THASL Chief alleged.

According to Shanthikumar, Sri Lanka has a golden opportunity to reposition the tourism industry under the Presidency of Ranil Wickramasinghe and the leadership of Tourism Minister Harin Fernando. “This opportunity shouldn’t be squandered,” THASL Chief said.

Shanthikumar said strong and effective travel agents have given Sri Lanka the confidence that the country can be marketed aggressively even if a MRR is in place and they have assured they will target a different segment of the market, especially from destinations such as India.

According to him, the immediate survival and higher revenue generation is the need of the hour. Tourism Minister Harin Fernando has assured that the global promotional campaign by SLTPB will be rolled out towards the last quarter and the President Wickremesinghe has proposed to roll out the  new tourism plan later this year. These efforts will yield positive results by 2024 early 2025. 

In a statement it claimed that a study done, of rates, in competing destinations in the region, shows that the rates being proposed are more than 130% above the average market rates, offered by hotels in the competing destinations.

“If implemented, it will be detrimental to the tourism industry and the Colombo hotels themselves that are already struggling.

Therefore it is abundantly clear, that this move will result in destination Sri Lanka, out-pricing itself,” they pointed out. It warned that the Indian market, particularly the Meetings, Incentives, Conferences, and Exhibitions (MICE) sector, will be impacted most by MRR.

By: Staff Writer

Colombo (LNW): Sri Lanka’s Ceylon tea and cinnamon prices were coming down rapidly making it difficult for tea small holders and cinnamon cultivators to survive in the plantation sector, small plantation owners claimed.

Several tea small holders said the price of a kilo of fresh tea leaf has dropped drastically to Rs 150 at present from the new high of Rs300 a few months ago.

 One of the key issues confronting the tea industry is the decline in productivity, notably in tea plantations of such major producers as Kenya, India, and Indonesia.  

Before the island nation’s economic crisis, tea exports accounted for US$1.3 billion (€1.27 billion) annually and 5% of all global tea production. But this has now dropped to its lowest level in 23 years.

Sri Lanka produces around 300 million kilograms of tea annually and is predominantly an orthodox tea producer. Indeed, Sri Lanka is the largest supplier of orthodox teas, exporting more than 95% of its production.

Stakeholders insist the country’s emergency has trickled down to job losses and rambling tea estates are already witnessing rising social tensions, as those without work in Colombo return home.

The price of kilo of cinnamon has dropped to Rs 2000 from Rs 500 sometimes back.Sri Lanka has about 35,000 hectares of cinnamon, which are mainly grown in the Galle and Matara districts, with about 60,000 farmers and 300,000 workers earning a living from the labour intensive and low-paid industry.

While Mexico is the main market for Sri Lankan cinnamon, the popular spice is also exported to a range of countries, including the US, Peru, Bolivia, Chile, Guatemala and various European nations. In 2021, Sri Lanka exported 18,813 metric tons of cinnamon, generating export earnings of $US230 million.

Although the price of cinnamon and its related products have increased on domestic and foreign markets, farmers are deprived of the benefits because of the domination of private middlemen traders.

Higher production costs and intensifying competition from Indonesia, China and Vietnam have also pushed the Sri Lankan cinnamon industry, like tea and rubber, into crisis.

Elephant House, Sri Lanka’s most beloved food and beverage brand, is delighted to announce its prestigious partnership with Lanka Premier League 2023, Sri Lanka’s biggest T20 Premier League. This exciting collaboration marks a significant milestone for both Elephant House and the cricketing community in Sri Lanka, as they come together to celebrate their shared passion for cricket, entertainment, and delicious refreshments.

As an essential part of Sri Lanka’s rich cultural heritage, Elephant House has been a trusted name among consumers since its establishment in 1852. For over a century, the brand has continued to bring joy to countless Sri Lankan households with its wide range of delectable ice creams and refreshing beverages.

Lanka Premier League, known for its electrifying cricket matches, has become one of the most anticipated sporting events in the country, capturing the hearts of cricket enthusiasts and fans worldwide. The league attracts some of the best talent from around the globe, making it a thrilling spectacle of sportsmanship and excitement.

Mr. Daminda Gamlath, President – Consumer Foods Sector of John Keells Holdings PLC, expressed his enthusiasm about the collaboration, stating, “We are thrilled to partner with Lanka Premier League 2023. Cricket is not just a sport in Sri Lanka; it is a way of life. Through this partnership, we aim to further strengthen our bond with the nation while enhancing the cricketing experience for fans across the country. As spectators cheer for their favorite teams and players, Elephant House will be there to offer a refreshing respite with our high-quality beverages, ice creams and foods.”

This partnership comes at a time when both Elephant House and Lanka Premier League share a vision of fostering a sense of unity, passion, and national pride. It represents a unique opportunity for Elephant House to extend its reach to a wider audience while aligning with the core values of the sport – teamwork, integrity, and fair play.

During Lanka Premier League 2023, cricket enthusiasts can look forward to enjoying an enhanced experience at the stadiums, with Elephant House refreshment kiosks offering an array of delightful beverages and ice creams to refresh and delight enthusiastic spectators.

Moreover, Elephant House will run exciting promotional campaigns and competitions, giving fans a chance to win exclusive merchandise and match tickets. By blending the excitement of cricket with the joy of delicious refreshments, Elephant House aims to create lasting memories for fans attending the league matches.

Stay tuned for more updates on the collaboration between Elephant House and Lanka Premier League 2023 as they come together to make this year’s T20 Premier League a truly unforgettable experience for all cricket fans.

Colombo (LNW): Water tariffs will be revised from August 03, announced the General Manager of the National Water Supply and Drainage Board (NWSDB).

Accordingly, a gazette notification will be issued in this regard tonight.

The revised tariffs are expected to see an increase ranging from 30 – 50 per cent.

The low income families, however, will not be affected by the revision, the General Manager assured.

PMD: The distribution of land deeds for 15,000 families in the Mahaweli region will commence from the second week of this month as per the instructions of President Ranil Wickremesinghe, Minister of Sports and Youth Affairs and Minister of Irrigation Roshan Ranasinghe stated.

Minister Roshan Ranasinghe also mentioned that steps have been taken to provide land deeds to 20,000 families who do not possess land deeds in the Mahaweli region.

He expressed these views today (02) during a press conference themed ‘Collective Path to a Stable Country’ held at the Presidential Media Centre (PMC).

Minister Roshan Ranasinghe further commented;

On President Ranil Wickremesinghe’s instructions, 20,000 land deeds have been distributed to the citizens of the Mahaweli region under the first phase of the ‘Idam Aithiya Niwasatama’ (Land right to home) Program. Another 15,000 land deeds will be distributed starting in the second week of this month, according to plans.

Additionally, the dry weather has made it difficult to deliver water from the Walawe River. Paddy fields covering over 25,000 hectares are irrigated using water from the Walawe River. Additionally, 8000 hectares of intercrops are grown. Water supply for paddy fields is becoming a challenge in such a situation.

In this situation, the issue of maintaining a steady supply of electricity and water for farming has also come up. However, the Ministry is making an effort to safeguard crops. The Nation’s food security must also be taken into account.

The previous Cabinet meeting included a lengthy discussion on the present dry weather conditions. There, the opinion was also expressed that we should go for a program that does not cut off the electricity.

However, if ships with generators that provide electricity with the dry weather are expedited to get electricity, it is possible to solve the electricity crisis and provide water to the farmers. The Electricity Board has paid special attention in this regard as well.

PMD: The second Coconut Triangle would be launched in the Northern Province this year consisting of the areas of Jaffna, Mannar and Mulaitvu Districts in conjunction with World Coconut Day on September 2, Minister of Plantation Industries and Minister of Industries Dr. Ramesh Pathirana stated.

He expressed these views today (02) during a press conference themed ‘One Year of Progress’ held at the Presidential Media Centre (PMC).

Additionally, according to Dr.Ramesh Pathirana, 290 million kg of tea are planned to be exported this year.

The Minister emphasized that Sri Lankan tea’s price per kilo on the international tea market is stable and that in order maintain it, Sri Lankan tea’s quality must be preserved.

Dr. Ramesh Pathirana further commented;

Due to the fertilizer problem, exports from the plantation industry decreased last year.Fertilizer crisis and bad weather affected the plantation industry greatly. A bundle of 50 kilograms of urea went up to Rs. 30,000, last year. As of today, the government has worked to bring down the price of a 50 kg bundle of urea to Rs. 9000. By the end of this year, 300 million kilos of tea are expected to be exportable under these circumstances.

The sale of tea to the global tea market through the online system has already commenced. We will export tea worth 500 million USD to Iran in place of the fuel we received. It is anticipated to revive the Iranian tea industry through this strategy.

Their capacity to obtain tea is declining as a result of the conflict situation in nations like Pakistan, Russia, Ukraine, Iran, and Iraq, which are consumers of tea in Sri Lanka. Although the price of Sri Lankan tea is consistent on the global market, the enthusiasm of the tea-consuming nations is dwindling.

Cabinet approval has now been received to provide a portion of 10 perches of land to the tea plantation workers. Accordingly, the relevant land ownership is to be given to them in the future. After that, they have been given the opportunity to get credit facilities to build the houses they need.

In the last two years, it was possible to get an income of Rs. 1 billion from the export of rubber products. Due to the ability to purchase rubber for the manufacture of gloves during the last corona pandemic, it was possible to generate a sizable export income. But the demand for rubber goods is presently declining as a result of the global economic crisis. Therefore, it has been estimated that this year’s rubber-related export revenue will be around 900 million USD.

Additionally, coconut export revenue has significantly increased in recent years. The range of goods that can be found in our coconuts has led to an increase in demand. This year, it is anticipated that exports of coconut-related goods will bring in 700 million USD.

It is anticipated that exports of goods related to coconuts would generate 2 billion USD in revenue during the next ten years. Thus, it is envisioned that Sri Lanka will develop a second coconut triangle. The Northern Province’s Jaffna, Mannar, and Mullaitivu regions will be included in this second coconut triangle. Local consumption accounts for two thirds of coconut production. One third is used for export. To increase export potential, this situation needs to be altered.

The GI certificate needed for cinnamon cultivation has finally been obtained. It is possible to generate a sizable amount of cash from exports because only Sri Lanka and Madagascar produce the greatest cinnamon in the world. As a result, a formal program is being carried out as a ministry to encourage the cinnamon cultivation.

The revival of coffee as a crop in Sri Lanka has received attention as it grows to be the most popular crop in the world. Despite the fact that Sri Lanka began cultivating coffee before tea, farmers were forced to abandon the crop due to a fungus-related illness. However, it has been proposed to increase coffee cultivation in Sri Lanka due to the substantial potential for the crop on the global market. As a result, plans have been made to begin a 1000-acre coffee plantation.