January 22, Colombo (LNW): The Ceylon Chamber of Coconut Industries (CCCI), the leading body representing Sri Lanka’s vital coconut sector, has called on the government to urgently approve a proposal to import 200 million coconuts.

This move, the Chamber warns, is critical to preventing an imminent crisis that threatens both domestic consumers and the country’s export industry.

Speaking at an emergency press conference held in Colombo yesterday, CCCI President Jayantha Samarakoon expressed deep concern over the ongoing shortage, which is causing coconut prices to soar to alarming levels, with the cost of a single nut approaching Rs. 200.

The shortage is also severely impacting Sri Lanka’s coconut exports, an important source of revenue for the island nation.

Samarakoon pointed out that the lengthy approval process for the importation of coconuts, which involves several government ministries and departments, has been moving at a frustratingly slow pace.

He emphasised that the lack of swift government intervention is exacerbating the supply chain crisis and leaving little time to avert further disruption.

“This shortage is creating a dual crisis – one that directly affects households struggling with rising prices and another that threatens the livelihoods of thousands of people in the export sector,” Samarakoon said. “Immediate action is needed to secure the importation of coconuts and stabilise the market before the situation becomes even more dire.“

The CCCI’s appeal highlights the urgent need for coordinated action at the highest levels of government to safeguard both local consumers and the country’s valuable coconut export trade.

With coconut-based products being a staple in Sri Lankan diets and a key export commodity, the consequences of inaction could be far-reaching, affecting both the economy and the daily lives of many Sri Lankans.

Industry experts have warned that if the importation process continues to be delayed, the shortage could worsen, further inflating prices and potentially leading to supply shortages across the island.

The Chamber has urged the government to prioritise this issue and take immediate steps to ensure the coconut industry remains stable in both the short and long term.

January 22, Colombo (LNW): Martin Raiser, the Vice President for the South Asia Region of the World Bank, recently met with Sri Lanka’s Prime Minister, Dr. Harini Amarasuriya, in a cordial meeting at the Sri Lankan Parliament to discuss the country’s pressing development priorities.

The two leaders explored a range of critical issues that are central to Sri Lanka’s future growth, with particular focus on education, gender equality, and regional inclusivity.

The talks highlighted the necessity of addressing the country’s current challenges and advancing sustainable solutions. A key topic was the enhancement of the education sector, with both Raiser and Dr. Amarasuriya underscoring the importance of improving access to quality education across the country.

There was a specific emphasis on the Technical and Vocational Education and Training (TVET) sector, which the Prime Minister’s office noted as a crucial element in creating diverse and viable career options for young people.

The leaders agreed that integrating TVET more effectively with mainstream education systems would provide students with the skills needed to thrive in a rapidly changing job market.

Gender equality also emerged as a central theme of the discussions. Both parties acknowledged the significant barriers women still face in entering the workforce and the broader economic sphere.

They agreed that targeted policy reforms and support systems are essential to ensuring greater female participation in economic activities and achieving gender equity in the workforce.

In addition to these vital topics, the dialogue reaffirmed the strong commitment of Sri Lanka and the World Bank to work together on sustainable development initiatives.

Both sides expressed a shared dedication to fostering long-term solutions that promote education, economic inclusion, and balanced regional development across Sri Lanka.

The meeting was attended by several senior officials from both the World Bank and the Sri Lankan government. David Sislen, the Regional Country Director for Nepal, Maldives, and Sri Lanka, was present alongside other key figures, including Pradeep Saputhanthri, Secretary to the Prime Minister; Sagarika Bogahawatta, Additional Secretary to the Prime Minister; Samantha Bandara, Director General of the Department of External Resources; Dharshana M. Perera, Senior Director-General for Economic Affairs (Bilateral) at the Ministry of Foreign Affairs; and Lashinka Dammullage, Director of the Southeast Asia & Central Asia Division at the Ministry of Foreign Affairs.

January 22, Colombo (LNW): Showers will occur at times in Eastern, Northern, North-central, Central and Uva provinces and in Hambantota district, and showers or thundershowers will occur at several places elsewhere in the evening or night, the Department of Meteorology said in its daily weather forecast today (22).

Fairly heavy showers about 75 mm can be expected at some places in Eastern, North-central, Uva and North western provinces.

Showers may occur in Western province and in Galle and Matara districts in the morning too.

Fairly strong winds of (30-40) kmph can be expected at times over Eastern slope of the central hills and Northern, North-central, Eastern and North-western provinces and in Hambantota and Monaragala districts.

The general public is kindly requested to take adequate precautions to minimise damages caused by temporary localised strong winds and lightning during thundershowers.

Marine Weather:

By: Staff Writer

January 21, Colombo (LNW):

The Collapse of an Iconic Industry

The once-thriving bicycle industry of Sri Lanka is on the brink of collapse, with Lumala City Cycle Industries Manufacturing Ltd., a household name and one of the country’s oldest manufacturing giants, facing an unprecedented crisis.

For decades, Lumala not only symbolized Sri Lanka’s industrial prowess but also served as a vital economic contributor.

However, mounting challenges such as unfair market practices, excessive taxation on raw materials, and a flood of unregulated imports have brought this iconic company—and the broader industry—to its knees.

A Call for Urgent Government Intervention

Employees of Lumala are now calling for urgent Government intervention to prevent the shutdown of South Asia’s leading bicycle manufacturer. Based in Panadura, Lumala has been a cornerstone of Sri Lanka’s industrial sector for over five decades. However, escalating costs and unethical market competition threaten the company’s survival.

“The management has already begun a phased shutdown, closing the steel rim department and one of Sri Lanka’s few chromium plating plants. Further closures, including fork and mudguard production, alloy rim production, frame manufacturing, and the paint department, are imminent unless immediate action is taken.

Employees, many of whom have worked at Lumala for over two decades, now fear for their livelihoods,” said Lumala Factory General Manager Ranjith Siriwardana.

Challenges Undermining Local Manufacturing

Employees have identified several critical challenges driving Lumala’s crisis:

Unregulated Imports: The local market is flooded with imported bicycles and electric bicycles, many of which bypass regulatory checks.

Tax Loopholes: Certain trading companies allegedly exploit tax loopholes by misdeclaring imported parts as raw materials, evading customs duties and VAT. This enables them to sell substandard products at artificially low prices, undercutting domestic manufacturers.

Excessive Taxation on Raw Materials: While finished products are imported cheaply, raw materials for local production face heavy taxation, increasing costs and undermining competitiveness.

These challenges not only threaten ethical manufacturers like Lumala but also deprive the Government of substantial tax revenue.

Far-Reaching Consequences

If Lumala’s shutdown continues, the impact will extend far beyond the company. Hundreds of employees risk losing their jobs, including many who have dedicated decades of service. Renowned local suppliers who depend on Lumala’s operations will face disruption, and related industries such as motorcycles and motor vehicles—many of which rely on Lumala’s facilities for raw materials—may also suffer.

Despite achieving a local value addition of 50% to 70%, as verified by the Industries Ministry, Lumala’s concerns remain unaddressed, leaving employees disillusioned.

A Collective Plea for Fair Policies

In their collective plea, Lumala’s employees urge the Government to implement fair tax policies to eliminate unethical market practices and ensure consistent enforcement of regulations. They call for a comprehensive investigation involving the Industries Ministry, the Industrial Development Board (IDB), Sri Lanka Customs, and the Inland Revenue Department to address systemic challenges.

Employees emphasize that they are not seeking special privileges or tax cuts but a level playing field to compete fairly. They remain hopeful that timely Government intervention can prevent further job losses and halt the decline of Sri Lanka’s bicycle industry.

The fate of Lumala is a stark reminder of the urgent need to protect local industries, which form the backbone of the national economy.

January 21, Colombo (LNW): Jose Ignacio Sanchez Amor, the Chief Observer of the European Union Election Observation Mission and a Member of the European Parliament, recently led a delegation in a meeting with Speaker Dr. Jagath Wickramaratne at the Sri Lankan Parliament.

During the meeting, Sanchez Amor conveyed his congratulations to both the Speaker and the newly-formed government, recognising the efforts in maintaining democratic values in the country.

Sanchez Amor presented the final report of the 2024 Presidential Election Observation Mission to the Speaker, highlighting several positive aspects of the election process.

He commended the election’s democratic nature and the significant role played by the Election Commission.

The Chief Observer emphasised the necessity of continuing to strengthen the commission in order to uphold free and fair elections in the future.

He also praised the increased representation of women in the current Parliament, noting it as a progressive step towards gender equality.

In his response, Speaker Dr. Wickramaratne expressed his appreciation to the European Union Election Observation Mission for its valuable insights and support.

He reassured the delegation that the government is committed to advancing transparency, reducing corruption, and embedding true democratic values into the governance system.

Additionally, the Speaker shared plans to hold a landmark conference of Members of Parliament who are differently-abled, a first in the country’s history.

This initiative is intended to ensure that the voices of all elected representatives are heard and to promote inclusivity within the legislative process.

The Secretary General of Parliament, Mrs. Kushani Rohanadeera, was also present at the meeting.