Business
‘Serendib Flour Mills playing key role in Sri Lanka’s food security’
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By Ifham Nizam
Serendib Flour Mills (SFML), a wholly-owned subsidiary of Dubai-headquartered Al Ghurair, one of the leading diversified family businesses in the United Arab Emirates (UAE), recently conducted a media tour of its state-of-the-art facility situated at the Colombo Port.
This visit underscored SFML’s ongoing commitment to enhancing Sri Lanka’s food security, fostering innovation, and promoting sustainable practices within the flour manufacturing industry.
For the past 15 years, SFML has stood as a trusted cornerstone of Sri Lanka’s food industry, propelled by the overarching purpose of ‘Nourishing the Nation.’ The company’s dedication to excellence is manifest in its utilization of pioneering Swiss Buhler technology, enabling the delivery of the highest quality flour and the introduction of groundbreaking innovations to the Sri Lankan market.
Currently, the company’s diverse portfolio features over 20 flour varieties, catering to a broad spectrum of clientele, ranging from artisan bakers to large-scale manufacturers and households. Recent additions include the Premium Flour line for superior bakery products, Adi Shakthi Fortified flour for plantation communities, and Fibre Plus to combat non-communicable diseases. These value-added offerings significantly enhance Sri Lanka’s food ecosystem and contribute to fostering a healthier nation.
SFML’s operations are meticulously designed to prioritize sustainability and environmental protection. The company employs tanker silo operations for larger industrial customers, thereby reducing energy consumption, labor requirements, and landfill waste, thereby making a substantial contribution towards environmental sustainability.
Committed to upholding food security in Sri Lanka, SFML maintains a three-month buffer of wheat stocks at all times, ensuring a consistent supply throughout the year. With five company-managed warehouses strategically positioned across the country, SFML ensures easy access to its products nationwide.
Vijay Sharma, CEO of Serendib Flour Mills, said; “At Serendib Flour Mills, we are committed to nourishing lives across Sri Lanka through sustainable and innovative food solutions. By harnessing the power of modern technology and upholding the highest standards of corporate citizenship, we aspire to be the trusted partner in ensuring food security for our nation.”
SFML extends its dedication beyond flour production through impactful social responsibility initiatives. The ‘Serendib Uthama Dalada’ program offers senior citizens from Elders Homes the opportunity to witness the Esala Perahera. Additionally, the ‘7 Star Manusathkara’ program empowers marginalized and vulnerable communities, showcasing SFML’s commitment to social upliftment.
SFML consistently underscores the importance of consuming domestically produced branded flour as the safest option for consumers. The company’s unwavering adherence to the highest quality standards and stringent control measures ensures nutritious offerings for all Sri Lankans through the finest wheat flour
SFML Director Brand & Corporate Communications, Kalinga Wijesekera responded to The Island Financial Review:
What initiatives has Serendib Flour Mills undertaken to contribute to food security in Sri Lanka? How successful are you?
During the economic crisis in SL there were many shortages of essential items such as fuel, gas and other food items. However, there were no queues for flour or bread because we were able to supply without an interruption. At any given time we store a minimum of three months of grains in our silos and another two months of grain requirement is on order at all times. We manage 5 warehouses across the country. At any given time these warehouses carry 30% of the monthly requirement of flour at any given time. As a result we are able to swiftly deliver to any market within a short time span. These measures have helped us to positively contribute to the food security of the country.
How has SFML diversified its product offerings in the wheat flour market since its establishment in 2008?
When Serendib entered the market in 2008 there were only one or two flour types/products. We were the first to segment the market and come out with different flour types to suit each segment. Example; Bakers flour for the bakery Industry, Rotti flour for the eateries, Household flour for domestic households and similarly Noodle flour, Biscuit flour, Cake flour, Whole meal flour etc. etc. . Today we offer 20+ varieties of flour to our customers.
Can you describe SFML’s role and its impact on the bakery industry?
We consider the bakery Industry as a very vital industry and work very closely with the All Ceylon Bakery Owners Association. We have regular meetings with its chairman and the committee to understand what is required and supports them in various endeavors. We have Bakers flour in 25Kg and 50Kg, especially designed for the bakery Industry. It’s ideal for making of bread and other bakery products. Recently we launched Premium Bakery flour for those bakeries looking for a superior product. Premium flour provides whither and a softer bread which is also tastes better. Because of the higher gluten wheat it gives a better yield i.e. more loafs of bread. All in all Premium flour gives a superior loaf of Bread.
In addition we also have a technical team providing technical assistance to the bakers, new product development, new recipe development, trouble shooting, costing and pricing etc. on FOC basis 24/7.
What is the significance of the fortified flour product ‘Serendib Adi Shakthi’ in addressing dietary issues among the plantation communities in Sri Lanka?
According to WHO and the Ministry of Health 1 in every 3 school going children is suffering from anemia in the country. This is more prevalent among the tea plantation communities as a result of a lack of a balanced diet. According to research, lack of Folate in pregnant women contributes to certain defects in the new born. SFML along with the Plantation Human Development Trust (PHDT), after many rounds of discussions, came up with this concept of providing a fortified flour, i.e. fortified with Iron, Folic acid and Vitamin B12 to address these dietary issues of the tea plantation communities. Wheat flour, being one of the main sources of nutrition of the plantation communities, this was the ideal way of addressing their anaemic conditions and folate deficiencies. ‘Adi Shakthi’- fortified flour was crafted and distributed exclusively to the tea plantations.
How does SFML’s new wheat flour product, ‘7 Star Fibre Plus’, aim to combat non-communicable diseases (NCDs) prevalent in Sri Lanka?
According to statistics in SL over 25% adults are overweight, while 9.2% are obese. NCDs kill 41m people, i.e. to 71% of all deaths globally, while in SL it is 83%. Life styles of people are the major contributor to this situation. Recognizing this factor SFML launched ‘7 Star Fibre Plus’ to address these issues. Dietary fibre is found in wheat grain. ‘7 Star Fibre Plus’ is enriched with fibre, providing 10% of your daily fibre needs. According to research, Individuals with high intakes of dietary fibre appear to be at significantly lower risk for developing NCDs. Increasing fibre intake lowers blood pressure and serum cholesterol levels.
Could you elaborate on SFML’s initiatives towards community welfare, particularly during times of crisis, such as the COVID-19 pandemic and natural disasters?
Serendib undertook the initiative to facilitate elderly people to witness the annual Kandy Dalada Perahera. Titled ‘Serendib Uthama Dalada 2023’, Serendib organized elderly people from over four elders homes located in Central and Northwestern Provinces to witness the majestic event. SFML ensured all facilities, such as, transport, food and seating arrangements were provided to these elders to witness the Perahera in comfort.
Similarly, during the height of Covid, Serendib embarked on a journey to supply wheat flour to over 1,000 families in the Chilaw district at a time when the curfew was in place and people were deprived of their daily incomes. The program was titled ‘7 Star Manusathkara’, aimed to nourish the vulnerable sections of society.
On the same lines over 2,500 flood- affected families in Kinniya and Kalmunai areas were provided with their wheat flour requirements during the recent floods in these regions earlier this year.
What environmental sustainability measures has SFML implemented in its operations, particularly regarding packaging and transportation?
Serendib delivers wheat flour in bulk tankers and stored in silos to its key its customers. The initiative resulted in the reduction of land fill as no PP bags were used to pack flour and less energy and storage space was used, thus contributing to environmental sustainability.
Business
CEB urged to revise Draft Long Term Generation Expansion Plan, in view of renewable energy needs
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By Ifham Nizam
The Public Utilities Commission of Sri Lanka (PUCSL) has instructed the Ceylon Electricity Board (CEB) to revise its Draft Long-Term Generation Expansion Plan (LTGEP) 2025-2044, incorporating more robust projections for renewable energy and battery storage, while also reassessing LNG infrastructure and procurement strategies.
The Island Financial Review reliably learns PUCSL Director General Damitha Kumarasinghe emphasized the need for “more robust and realistic cost assumptions for Renewable Technologies and Battery Energy Storage Systems (BESS).”
The Commission stressed that BESS should be valued not just as a renewable integration tool but also for its potential to mitigate power shortages.
The directive also calls for revisions in LNG infrastructure planning, including “a comprehensive analysis covering LNG fuel cost calculation, infrastructure development, procurement contracting options, and risks associated with supply and procurement.” PUCSL has specifically highlighted the importance of evaluating the financial and economic feasibility of a natural gas pipeline from Kerawalapitiya to Kelanitissa.
Kanchana Siriwardena, Deputy Director General – Industry Services, reinforced the Commission’s stance on renewable energy, stating that “further reductions in renewable energy curtailment should be explored by incorporating more BESS.”
The PUCSL’s instructions also mandate incorporating clauses from the Memorandum of Understanding (MoU) with Petronet India, which includes a temporary LNG supply for the Sobadhanavi Plant. The revised LTGEP must also factor in infrastructure costs related to the Floating Storage Regasification Unit (FSRU) and pipeline networks as part of the overall LNG cost calculation.
The CEB is expected to resubmit the revised plan for PUCSL’s approval, ensuring alignment with Sri Lanka’s long-term energy security and sustainability goals.
The PUCSL directive also calls for a comprehensive evaluation of various LNG procurement options and associated risks. These include:
LNG infrastructure development and expansion
Contracting options for LNG procurement
Risks related to LNG supply and procurement stability
Robustness of natural gas demand calculations
Economic feasibility of the proposed natural gas pipeline from Kerawalapitiya to Kelanitissa, given the low plant factors of power stations at Kelanitissa.
Business
Nations Trust Bank ends 2024 with strong performance, achieving 24% ROE
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Nations Trust Bank PLC reported strong financial results for the twelve months ending 31st December 2024, achieving a Profit After Tax (PAT) of LKR 17 Bn, up 46% YoY.
Nations Trust Bank, Director & Chief Executive Officer, Hemantha Gunetilleke, stated, “The Bank’s performance for the twelve months ending 31st December 2024 showcases our continued growth and expansion across diverse customer segments. Our solid capital position, strong liquidity buffers, effective risk management frameworks, and steadfast commitment to service excellence and digital empowerment remain the key drivers of our success.”
Improvements in the macro-economic environment and successful management of the Bank’s credit portfolio resulted in total impairment charges decreasing by 69% and the Net Stage 3 ratio reducing to 1.6%.
The Bank’s financial performance is supported by its strong capital buffers, with Tier I Capital at 21.47% and a Total Capital Adequacy Ratio of 22.66%, well above the regulatory requirements of 8.5% and 12.5%, respectively.
A strong liquidity buffer was maintained with a Liquidity Coverage Ratio of 320.56% against the regulatory requirement of 100%.
The Bank reported a Return on Equity (ROE) of 24.22%, while its Earnings Per Share for the twelve months ending 31st December 2024 increased to LKR 50.82, against LKR 34.70 recorded during the same period last year.
Nations Trust Bank PLC serves a diverse range of customers across Consumer, Commercial and Corporate segments through multi-channel customer touch points spanning both physical and digital. The Bank is focused on digital empowerment through cutting-edge digital banking technologies, and pioneered FriMi, Sri Lanka’s leading digital banking experience. Nations Trust Bank PLC is an issuer and sole acquirer of American Express Cards in Sri Lanka with market leadership in the premium segments.
Business
Modern Challenges and Opportunities for the Apparel Industry: JAAF drives industry dialogue
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The Joint Apparel Association Forum (JAAF), in collaboration with Monash Business School and the Postgraduate Institute of Management (PIM) successfully hosted the International Conference on the Apparel Industry 2025 recently in Colombo. This was the second time the event was held, following its inaugural edition in 2018, as part of JAAF’s commitment to fostering dialogue and collaboration within the global apparel sector.
Themed “Modern Challenges and Opportunities for the Apparel Industry”, the three-day event brought together industry leaders, academics, and sustainability experts to discuss pressing issues such as ESG (Environmental, Social, and Governance) compliance, circular economy strategies, technological advancements, and workforce transformation.
A key highlight of the event was the panel discussion on “Current Actions and Their Impact on ESG-Related Outcomes in the Apparel Industry,” featuring:
Felix A. Fernando – CEO, Omega Line Ltd.
Nemanthie Kooragamage – Director Group Sustainable Business, MAS Holdings
Gayan Ranasinghe – Control Union,
Chamindry Saparamadu – Director General/CEO, Sustainable Development Council
Pyumi Sumanasekara – Principal Partner, KPMG Sri Lanka
Discussions emphasized how Sri Lanka’s apparel industry is adapting to global ESG standards, incorporating sustainable production methods, and aligning with evolving regulatory frameworks.
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