Business
Tackling the urgent challenge of parallel imports for accelerated economic and industrial recovery
By Thushara Rathnaweera, Head of Mobile Experience at Samsung Electronics (Sri Lanka)
In the intricate web of today’s global economy, a burning issue demands our immediate attention, which is the challenge of parallel imports, often referred to as ‘grey goods.’ As the Head of Mobile Experience at Samsung Sri Lanka, I consider it my duty to delve into the intricate ramifications of parallel imports and propose strategic measures imperative for fortifying our nation’s economic resilience. The implications of parallel imports extend beyond mere surface observations, compelling us to explore their deeper repercussions. But first – what exactly is considered ‘Parallel Imports’?
Parallel imports, known as ‘grey goods,’ involve branded products entering markets without brand owners’ authorization and these genuine items lack consent for specific market distribution. Often sourced from countries with lower prices or different packaging, products are re-imported into other markets. This arises due to price disparities, regional market variations, and import taxes. Parallel imports offer reduced prices, attracting cost-conscious consumers.
The gravity of these parallel imports lies in their direct threat to Sri Lanka’s economic stability. These unauthorized imports divert substantial revenue away from legitimate channels and contribute to significant tax losses. For instance, Samsung incurred around LKR 330 million losses from 2020 to 2023 due to such imports, in stark contrast to the legitimate tax contribution of LKR 3,802,408,685. Authorized competitors contributed LKR 5,081,089,154 in taxes, highlighting the disparity between legitimate channels and parallel imports. Notably, parallel imports also led to job losses—2500 direct and 500 indirect—which impacts families and the industry.
Moreover, while parallel imports might offer seemingly alluring products at lower prices, this apparent affordability conceals a more sinister cost. The proliferation of these unauthorized products erodes consumer trust in authentic brands, discouraging investments in research and development. As consumers are enticed by these seemingly budget-friendly alternatives, the potential implications for authorized businesses loom large.
Furthermore, the challenge of parallel imports is not limited to economics alone; it has the power to induce a shift in consumer behavior. This shift can lead consumers away from legitimate distribution channels, inadvertently fostering a preference for cheaper alternatives. Such behavioral shifts disrupt market equilibrium and pose significant challenges to established businesses. These shifts have the potential to send ripples through the economy, leading to far-reaching consequences.
Addressing the multifaceted challenges posed by parallel imports requires a united effort spanning all sectors of our society. Strategically navigating the challenge of parallel imports necessitates collaborative efforts from all corners. To counteract the influence of parallel imports, we must establish and enforce robust Intellectual Property Rights (IPR) frameworks. These frameworks should comprehensively protect brand owners and their trademarks. This entails implementing stringent legal measures and penalties to deter involvement in parallel imports and trademark infringement.
Additionally, the power of knowledge is pivotal in combating parallel imports. Public awareness campaigns can illuminate the importance of supporting authorized distribution channels while shedding light on the potential repercussions of purchasing unauthorized goods. Furthermore, fostering productive dialogues with governmental bodies can amplify the understanding of the far-reaching consequences of parallel imports. By articulating the negative impact on our economy and society, these conversations can pave the way for stringent regulations and robust enforcement mechanisms.
We strongly advise customers, not just Samsung’s but of all brands’, to exercise caution when dealing with unauthorized sellers offering below-standard warranties, such as 6 to 3 months or shop warranties. Samsung Sri Lanka for example emphasizes authenticity and quality by exclusively partnering with authorized dealers. This strategic collaboration ensures strict adherence to Samsung’s rigorous standards, delivering peace of mind to our customers. When you purchase from our authorized dealers, you enjoy the exclusive benefits of a one-year comprehensive warranty. This warranty underscores our commitment to product excellence and serves as a testament to our confidence in the durability and performance of our devices.
Opting for Samsung’s official channels guarantees that you receive the full benefits and protection that come with a genuine Samsung device. Furthermore, at Samsung Sri Lanka, we exclusively offer TRCSL-approved products. TRCSL (Telecommunications Regulatory Commission of Sri Lanka) certification signifies adherence to local regulations and standards, ensuring quality and compliance. We encourage all our customers to verify the TRCSL certification status of their devices before making a purchase, which can be conveniently done by sending an SMS to 1909 with the message “IMEI (Space) IMEI Number.” On a broader level, these are some steps we take to ensure maximum safety and satisfaction for our customers.
Championing Sri Lanka’s economic prosperity amidst the challenge of parallel imports is a shared responsibility. The urgency of addressing this issue surpasses economic concerns; it embodies our commitment to innovation, consumer confidence, and sustainable growth. As a leader in Samsung Sri Lanka, I am steadfast in guiding our nation towards an economy characterized by resilience and strength. By harnessing strategic collaboration and unwavering determination, we can navigate the intricate landscape of parallel imports and forge an economic environment that enriches the lives of all Sri Lankans.
Business
DIMO KNIGHTS 2026 Reinforces a Culture of Recognition and Growth
DIMO celebrated DIMO KNIGHTS 2026, recognizing employees whose exceptional dedication, leadership, innovation, and commitment continue to shape the organization’s success. More than an employee recognition event, DIMO KNIGHTS reflects DIMO’s unwavering commitment to cultivating a workplace where people are empowered to thrive, reinforcing the Employee Value Proposition of ‘Making Work Enjoyable and Rewarding’ while bringing its Corporate Purpose of Fuelling Dreams and Aspirations to life.
Held under the theme “Illuminating Leadership, Inspiring Achievement,” the event celebrated individuals who exemplify DIMO’s values and inspire excellence across the organization. By recognizing those who consistently go above and beyond, DIMO continues to foster a high-performance culture where people are empowered to innovate, lead, and create meaningful impact.
A highlight of the evening was the keynote address delivered by Mr. Ravi Kant, former Managing Director and Vice Chairman of Tata Motors India, who shared valuable insights on leadership, organizational transformation, and building resilient organizations capable of sustaining long-term success.
Commenting on the event, Ms. Dilrukshi Kurukulasuriya, Executive Director / Chief Human Resources Officer of DIMO, said: “Our Tribe is the driving force behind DIMO’s continued success. DIMO KNIGHTS is more than a celebration of outstanding performance; it is a reflection of the culture we strive to build every day. By recognizing and empowering our people, we reinforce our Employee Value Proposition of ‘Making Work Enjoyable and Rewarding’ while bringing our Corporate Purpose to life. When our people grow, innovate, and thrive, they create lasting value for our customers, partners, and the communities we serve.”
DIMO KNIGHTS reinforces the organization’s people-first philosophy by fostering a culture of appreciation, continuous learning, and purposeful leadership. The programme reflects DIMO’s conviction that when employees are empowered, recognized, and inspired to excel, they shape the future of the organization through innovation, collaboration, and sustained excellence, strengthening a high-performing culture that delivers lasting value, drives sustainable business success, and reinforces DIMO’s position as an employer of choice.
The evening recognized employees across a wide range of categories, celebrating outstanding performance, innovation, collaboration, customer focus, and leadership. The ceremony culminated with the presentation of the prestigious Innovator of the Year and Employee of the Year awards, with the Employee of the Year accolade presented to Mr. Chathura Gunasekera.
As DIMO continues to invest in developing exceptional talent, initiatives such as DIMO KNIGHTS reaffirm the organization’s belief that sustainable business success begins with its people. By creating an environment where individuals are recognized, empowered, and inspired to achieve their full potential, DIMO continues to cultivate a purpose-driven, high-performing workforce that is equipped to shape the future of the organization while delivering lasting value to all stakeholders.
Business
Sri Lanka’s lifestyle coffee culture boom and the two faces of its economy
By Sanath Nanayakkare
On Baseline Road in Colombo, Barista Coffee recently opened its 100th outlet. For a modern café culture spreading across shopping centers, office districts, and provincial towns, this milestone is a major commercial success. It shows a thriving urban service sector and a growing class of lifestyle consumers who use coffee shops as places to work, socialise, and meet.
This is a curious new picture emerging from Sri Lanka’s post-crisis economic recovery: the coffee cup is getting bigger, even as the household tea cup tells a very different story.
Yet, looking past the espresso machines, a different reality unfolds in the country’s kitchens.
International financial institutions note that while Sri Lanka’s macro-economy is recovering, household welfare and employment remain below pre-crisis levels. Poverty rates sit at roughly double what they were in 2019, and food prices doubled over a three-year span, forcing families to cut back on essentials.
This creates a striking local paradox, especially given Sri Lanka’s proud heritage as a global tea producer. While the world pays top dollar for Ceylon Tea, local market studies and industry reports have long pointed out an unfortunate disparity: many ordinary families find high-quality tea too expensive, often settling for lower-grade alternatives at home.
The growth of a 100-outlet coffee network does not mean prosperity has spread evenly across the island. Instead, it proves that there is a specific, well-resourced segment of consumers with the purchasing power to sustain a premium lifestyle economy, even as many other households carefully calculate the cost of everyday groceries.
Barista’s 100th store is not a bad-news story; it is a testament to acute entrepreneurial grit, shifting consumer behavior, and the vital revival of the nation’s urban service sectors. But it serves as an uncompromising reminder that macroeconomic stabilisation is not synonymous with household recovery.
As Colombo’s coffee culture looks toward its next hundred outlets, the true pulse of the nation’s economic health will not be measured by the espresso machines humming in sleek urban hubs, but by the quiet arithmetic happening in millions of kitchens beyond its doors – where the fundamental question remains whether a family can comfortably afford a better cup of Ceylon Tea.
Business
Aitken Spence Hotel Holdings Rs. 5 billion debenture issue oversubscribed on opening day
Aitken Spence Hotel Holdings PLC announced that its maiden listed, rated, unsecured, senior
redeemable debenture issue was oversubscribed on its opening day, 15th September 2026.
The Company sought to raise Rs. 3 billion through an initial issuance of 30 million debentures at Rs.
100 each, with an option to issue a further 20 million debentures in the event of oversubscription of the initial issue, increasing the total issue size to Rs. 5 billion.
The Company said it had received applications for more than 50 million debentures, the full amount on offer, prompting the issue to close at 4:30 p.m. on the opening day (15).
The basis of allotment will be announced to the Colombo Stock Exchange as per regulatory requirements in due course.
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