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PA calls for urgent facilitation of crop diversification after sharp price reductions in tea and rubber

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The Planter’ Association of Ceylon (PA) renewed calls for urgent action from policymakers to greenlight diversification into more lucrative crops like oil palm, in the wake of a sharp reduction in prices of tea and rubber over the first half of 2023 (1H23).

Following on record prices in 2022, when tea moved from Rs. 704.7 per kilogram up to Rs. 1,245.2 per kg in June, and up to an all-time high of Rs. 1,599.5 per kg by September, prices have been on a steady decline in 2023.

Starting from Rs. 1,466 per kg in January 2022, average prices have since reduced to just Rs. 974.4 per kg by June 2023. This amounts to a 24.4% Year-on-Year (YoY) reduction, and a drastic 40.3% reduction between Jan-June 2023.

National Tea Price Averages

Rubber prices too experienced significant volatility throughout 2022, moving from Rs. 461 per kg of Grade 1 Ribbed Smoked Sheets (RSS1) up to an annual high of Rs. 800 in June 2023, before collapsing back to Rs. 472.7 per kg in January 2023. While rubber prices have appreciated marginally to Rs. 536.3 per kg in June 2023, average prices of rubber for 1H23 were 21.4% less than the corresponding period of 2022.

“Sri Lanka’s plantation industry is in urgent need of a realignment. The price dynamics over the past 6 months show strong signs of a continuing downturn across both tea and rubber. Tea prices have been impacted by increasing production in competitor nations, while rubber prices affected by continuing supply-demand mismatches in the wake of the COVID pandemic. Demand for finished rubber products while showing marginal improvemnts, has been relatively stagnant compared to the past 3 years. Sri Lanka’s low productivity is also eroding our ability to compete with larger regional producers,

“While we maintain that there must always be a place for Sri Lankan tea and rubber, we have to acknowledge that securing the future of our nation’s plantation industry requires extensive crop diversification. We can no longer limit ourselves to just two main crops. Already significant investments are being channeled across the RPC sector into an array of crops – from a wide range of fruit cultivation to coffee and even several varieties of berries. However, we note with disappointment that there has still been little to no progress on expanding of sustainable oil palm cultivation,” PA Chairman Senaka Alawattegama noted.



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Private taxi operators at BIA call for speedy rental relief as tourist arrivals dwindle

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Tourists in SL: Dwindling numbers

Private taxi operators at Bandaranaike International Airport are calling for urgent rental relief, stating that they are struggling to sustain operations after paying nearly Rs. 19 million in monthly rental fees amid a sharp decline in tourist arrivals during the off-season.

The operators said tourist arrivals have dropped by nearly 80%, severely affecting their income and making it difficult to continue meeting high operational costs.

“Only a small number of tourists are now arriving at the airport, and a majority of them are being taken by metered taxi operators, who pay only around Rs. 700 per ride as fees to Airport and Aviation Services, an operator said.

According to the operators, the six long-standing private taxi service providers at the airport each pay monthly rentals ranging from approximately Rs. 2.9 million to Rs. 4 million. In addition, they are required to maintain a minimum a fleet of six vehicles along with dedicated airport staff.

“What we are requesting is a temporary reduction in monthly rental payments for around three to four months until tourist arrivals improve and the industry returns to normal, they said.

The operators noted that they have been operating at the airport for more than two decades, providing transport services to both local and international travelers, while metered taxi services entered the airport transport sector only about two years ago.

They also alleged that metered taxi operators have been granted more favourable operating conditions and questioned the process through which those operators were allowed to operate at the airport.

Operators argue that the present financial burden has become unsustainable, given the sharp drop in business volumes and what they describe as an uneven competitive environment within the airport transport system.

“What we are requesting is a 50% reduction in monthly rental fees for a period of at least three months, they said.

They also raised concerns about the quality and condition of some vehicles operated by metered taxi providers.

“Passengers are often unaware of the condition of some of these vehicles until they enter them, which can compromise safety standards, one operator claimed.

In contrast, the private airport taxi operators say they maintain newer vehicles and employ experienced, professionally trained drivers to ensure higher standards of passenger safety and service quality.

The operators warned that failure to address the issue could have wider economic and social consequences. The six service providers collectively employ around 250 staff, and continued financial pressure may lead to job losses and a reduction in organised airport transport services.

By Hiran H Senewiratne

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Refurbished AAC Call Box declared open

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The operation of Automobile Association of Ceylon(AAC) Call Boxes, in the past had provided yeoman service to many motorists including during the era of British planters. AAC services for members are a motoring security when they travel.

The Call Box in Nuwara Eliya was recently refurbished to provide a better and improved service to the Members in the area and the touring public. Now from this Call Box the motorists could get Road Side Assistance, Valuation Reports, Technical Advice and also issuance of International Driving Permits.

The refurbished Call Box at Nuwara Eliya was declared open by Dhammika Attygalle, President of the Association in the presence of S V Ganesh – Vice President, several Executive Committee members, Puthrasigamani, Life Member of the Association, Eng. C S Samarasekera of RDA- Nuwara Eliya, Devapriya Hettiarachchi, Secretary (AAC) and Eng. C L Liyanasuriya – Chief Engineer(AAC).

The services from the Nuwara Eliya Call Box are available from 8.00am to 5.00pm.

Call Technical Officer Sampath Madagama on 0767315696.

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Ceylon Chamber of Commerce to host Sri Lanka Climate Summit 2026

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From Risk to Opportunity: Mainstreaming Climate Action into Sri Lanka’s Growth Story

As climate rules tighten globally and investor expectations shift from commitment to compliance, climate action is now directly tied to trade, competitiveness, and access to finance. Against this backdrop, The Ceylon Chamber of Commerce will host the second edition of the Sri Lanka Climate Summit on 9 June 2026 at the Taj Samudra Hotel, convening policymakers, industry leaders, financiers, and technical experts to focus on pathways for integrating climate action into Sri Lanka’s growth story.

Held as a biennial platform, the Summit returns this year under the theme “From Risk to Opportunity: Mainstreaming Climate Action into Sri Lanka’s Growth Story.” While the inaugural edition in 2024 focused on building awareness and advocacy, the 2026 Summit shifts the conversation toward implementation, technical readiness, and compliance as climate-related obligations begin to directly influence access to markets, finance, and investment.

Rather than treating sustainability as a standalone agenda, this year’s discussions will explore how climate considerations are becoming embedded across core areas of business and economic decision-making, from infrastructure and trade to finance, governance, digitalisation, agriculture, and supply chains.

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