Business

SL’s coconut scarcity set to aggravate in coming months – CCCI

Published

2 years ago

2025/01/23

Sahan Weerasooriya

Coconuts of Sri Lanka

By Hiran H.Senewiratne

Sri Lanka’s coconut shortage will further aggravate in the coming months and we urge the government to expedite the proposal to import 200 million nuts, The Ceylon Chamber of Coconut Industries (CCCI), the umbrella organisation for Sri Lanka’s coconut industry, said.

“Sri Lanka’s current national coconut output is around 1.5 billion nuts. The Coconut Research Institute has revealed that this year there would be a 10 percent drop in production and that would adversely affect local consumption. An unprecedented coconut shortage is threatening domestic consumers with sky-rocketing prices, about Rs. 200 per nut, and also exports, CCCI president, Jayantha Samarakoon revealed at a media conference held at the Ceylon National Chamber of Industries auditorium last Tuesday.

Samarakoon expressed fears that if exporters fail to fulfil the current export orders due to a lack of raw materials, it could severely impact Sri Lanka’s reputation as a reliable supplier in the world coconut market. The latter is expected to grow to US$30 billion by 2030.

The CCCI initially expressed fears of an unprecedented coconut shortage in September last year, while warning that prices could rise to Rs. 270 per nut if no action was taken to reverse the current trend.

“The time for action is now. Through collaborative and immediate measures, Sri Lanka can not only recover but position itself as a global leader in the coconut industry. This approach is critical for restoring balance, enhancing export competitiveness and ensuring affordable access for all Sri Lankans, Samarakoon added.

“Last year, coconut and coconut-based exports were estimated to have generated US$ 782million in foreign exchange revenue, the highest ever. By 2027, the CCCI aims to help the country achieve US$1.5 billion in coconut-based export revenue while boosting the annual production from 3 billion to 4.5 billion coconuts, he said.

“The Coconut Research Institute (CRI) has forecast a production shortfall exceeding 200 million nuts in the first quarter of this year. In 2024, coconut production fell short by 260 million nuts from CRI’s forecast, with a sharp 60 percent year-on-year (YoY) drop in coconut harvest in December 2024. The industry was targeting to bring in US$1 billion in export revenue this year, Samarakoon added.

Samarakoon added: “While the government has responded favourably to the industry proposal for imports, it is yet to reach the Cabinet of Ministers for approval. The actions of certain government bodies, such as the Department of Agriculture, are causing further delays in the import process by raising concerns about the possibility of diseases entering the country.

“It typically takes a minimum one-month period for imports to reach export manufacturers under the regulations. Further delays could adversely impact farm gate prices in the upcoming June coconut harvest season, as possible delays in imported raw materials could lead to an excess supply scenario during the harvest season, ultimately resulting in lower prices for domestic coconut farmers who are largely smallholders.

“The shortages have mainly been due to a short-lived blanket ban on chemical fertilisers and agrochemicals in 2020 and subsequent unaffordable fertilizer prices, which resulted in insignificant application of fertilizers.

“The Chamber has proposed allocating Rs. 1.5 billion from the CESS Fund for subsidies covering moisture conservation, fertiliser, pest control and related agricultural improvements. It is also seeking soft loans for infrastructure such as irrigation and solar power to enhance productivity. These measures, once implemented, will take almost a year to increase coconut production.

“The Chamber is of the view that importing fresh coconuts is the most cost-effective solution, which would particularly benefit the oil and activated carbon industries. Otherwise, it is seeking equivalent raw materials, including copra chips, dried pairings, coconut milk and frozen kernels, to stabilise the supply chain.”

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Business

Rs 160 million + diesel discrepancy at Lakvijaya power plant prompts probe

Published

7 hours ago

2026/09/30

Sahan Weerasooriya

The Lakvijaya power plant in Norochcholai.

By Ifham Nizam

A Rs.160 million-plus diesel discrepancy at the Lakvijaya power plant in Norochcholai has triggered an internal investigation, raising questions over the handling of public funds and the controls governing fuel purchased for electricity generation.

The discrepancy surfaced during an internal audit of diesel supplied to the plant from the Kolonnawa and Sapugaskanda fuel terminals, according to senior officials familiar with the inquiry.

The audit has identified five transactions—two in December 2025 and three in January 2026—in which diesel recorded as delivered to the plant allegedly could not be fully accounted for in its physical stocks.

The investigation is now examining whether these were isolated discrepancies or part of a longer-running practice.

One transaction under scrutiny relates to January 16, when records reportedly showed that 10 diesel bowsers had arrived at the plant. Investigators subsequently found indications that the fuel stock corresponded to only nine bowsers.

A storekeeper responsible for the relevant fuel operation has reportedly been temporarily removed from those duties pending the investigation.

A senior official said investigators were reviewing historical records amid indications that similar discrepancies may have occurred over a longer period. If established, the financial exposure could therefore exceed the Rs.160 million currently identified.

The investigation is comparing fuel-terminal dispatch records, tanker movements, plant-entry records, receiving documents and physical stocks to establish exactly how much fuel was dispatched, received and accounted for.

That audit trail will also be critical in determining who authorised, received and certified the disputed consignments, and whether established controls were followed.

Relevant documents were reportedly transferred from Norochcholai to the company’s Colombo head office on September 26 for further examination, with electricity-sector security personnel assisting in the transfer.

The internal audit has also reportedly uncovered expired chemical stocks worth several hundred thousand rupees in the plant’s stores. Investigators are examining whether further inventory-management irregularities occurred.

The matter was also reportedly taken to the Puttalam Police Special Crimes Investigation Unit on September 26.

When contacted by Puttalam-based journalist Hiran Priyankara Jayasinghe for The Island Financial Review, Lakvijaya Power Plant Manager Nalaka Kumara confirmed that an investigation was under way but declined to provide further details.

The financial issue is direct: if the plant paid for diesel it did not receive, public-sector funds were spent without the electricity sector receiving the corresponding fuel.

Business

Sri Lanka Food Processors Association holds 29th Annual General Meeting

Published

7 hours ago

2026/09/30

Sahan Weerasooriya

The Sri Lanka Food Processors Association (SLFPA) successfully convened its 29th Annual General Meeting (AGM) on September 23, 2026, at the Water’s Edge Hotel, Battaramulla. Bringing together key industry stakeholders and member organizations, the event served as a platform to review milestone achievements from the 2025/2026 term and outline strategic priorities for the nation’s food and beverage processing sector.

At the AGM, the new Executive Committee for 2027/2028 was appointed, comprising: Honorary President Aruna Senanayake C.W. Mackie PLC Imme. Past President Thusith Wijesinghe Trans Continental Packaging & Commodities (Pvt) Ltd.

President Elect Nadishan Guruge Meadlee Trading Co. (Pvt) Ltd.

1st Vice President Damitha Perera Forbes & Walkers Commodity Brockers (Pvt) Ltd.

2nd Vice President Rasika Seneviratne Diesel & Motor Engineering PLC 3rd Vice President Deepal De Alwis Neochem International (Pvt) Ltd.

Honorary Secretary Amila Weerasinghe Nestle Lanka Limited.

Asst. SecretaryDineth Alahakoon Country Style Foods (Pvt) Ltd.

Honorary Treasurer Sameera Jayathilaka Westmann Engineering Company (Pvt) Ltd.

Asst. Treasurer Niroshan Dalpethado C D De Fonseka & Sons (Pvt) Limited. In addition to the above office bearers, the following ten Executive Committee Members were appointed:

Sanjeewa De Silva Unilever Sri Lanka Limited Sheran De Alwis MA’S Tropical Food Processing (Pvt) Limited

Thusitha Ekanayake Anods Cocoa (Pvt) Ltd.

Vijitha Govinna Plenty Foods (Pvt) Limited Ms. Praharshi Wickramasekara International Commodity Exports (Pvt) Ltd.

Sanjeewa Niroshan SGS Lanka (Pvt) Ltd. Kushan Amarasinghe Finagle Lanka (Pvt) Ltd.

Rangajeewa Hettiarrachchi Fonterra Brands Lanka (Pvt) Ltd.

Harindra Abeyrathna Vision Technologies International (Pvt) Ltd. Thilina Weerasekara Ceylon Cold Stores PLC

The event was proudly supported by key industry partners, with SGS Lanka (Pvt) Ltd serving as the Platinum Sponsor. Unilever Sri Lanka Ltd. and Nestlé Lanka Ltd. joined as Gold Sponsors, Ceylon Agro Industries – Prima as the Silver Sponsor, while Lanka Exhibition & Conference Services (LECS) and Hero Nature Products (Pvt) Ltd., supported as Bronze Sponsors.

The proceedings concluded with a vote of thanks delivered by Hony. Secretary Deepal De Alwis, followed by cocktails and a fellowship networking session, providing an opportunity for members to connect and strengthen industry ties.

Business

Uber brings the ‘business class of back seats’ to Sri Lanka with Uber Black

Published

7 hours ago

2026/09/30

Sahan Weerasooriya

New premium ride option expands Uber’s portfolio from affordable Moto and Tuk rides to premium on-demand travel

Uber announced the launch of Uber Black in Sri Lanka, bringing its premium ride experience to the country for the first time. Designed as the “business class of back seats,” Uber Black combines premium vehicles and highly-rated drivers for riders looking for greater comfort, quality and a more elevated travel experience.

The launch comes as demand for premium products and experiences grows across Sri Lanka, with consumers seeking greater choice and quality in their everyday experiences. Uber Black brings this choice to on-demand mobility, whether for an airport journey, an important business meeting, a special occasion or simply when riders want to travel in greater comfort.