Business
Bad news for tea industry as auction prices slide
by Steve A. Morrell
Brokers reported last week that the drop in tea prices was bad news for the industry, which was doing reasonably well in recent months.
Forbes and Walker said in their weekly tea market report that after ten months of buoyant prices, last week’s auction prices declined by Rs. 20 to 30 per kilo.
The depreciation of the rupee against the dollar, now at Rs. 202.04, was also partly instrumental for the price decline. The anticipated crop boost after Easter and the Sinhala and Tamil New Year holidays was attributed to the dip in auction prices as leaf quality is considered poor due to the pause in plucking due to the intervening holidays, brokers said.
The Forbes and Walker report further said teas from Western slopes were badly affected prices slumping by as much as Rs. 30 to 50 per kilo.
John Keells Holdings (JKH) Tea Market report said Iran, Russia and CIS countries were active in Colombo last week, with Turkey and Libya also chipping in as buyers at the Colombo auctions but in limited quantities.
Asia Siyaka (AS) weekly Tea report also confirmed that Colombo was influenced by the vicissitudes of the dollar. The currency depreciation in Turkey, Syria, and some Middle East destinations also added to price declines in Colombo. Indicated markets reduced their buying as they were unable to settle their bills because of currency fluctuations.
Market conditions were unstable with buyers adopting restraint rather than being enthusiastic over the anticipated improvement in the market, the report further said.
In addition, the decline in the US market end 2020, although the US was not considered a major buyer, influenced a telling quotient for demand for Ceylon Tea.
Ceylon Tea exports to the US from January to November 2020 worked out to 5.4 MT, which placed Sri Lanka in third position behind Argentina (34.1 MT) and India (12 MT).
Ceylon tea exports to the UK, which was our major export destination before plantations were nationalized and British interests withdrew, is now barely 1% of the British market. UK is now dominated by imports from Kenya, which exports around 62.9 MT annually (56.70%).
The auctioned quantity last week was 5.6 million kilos. Production by end March 2021 was 71. 4 million kilos. In the corresponding period last year, (2020), production was 65.3 million kilos, with a relative marginal crop increase.
Nuwara Eliya BOP/BOPF was in demand, and price appreciation was encouraging. Prices were maintained at an escalated level of Rs, 30 to Rs, 40 per kilo, according to the report.
Low grown Tippy teas were also in demand although quantities were limited. They fetched prices ranging from Rs. 2,100 to 2,300 per kilo.
Business
Sri Lanka worthy of being ranked as the world’s top holiday spot – cricketing great Wasim Akram
Pakistani cricketing legend Wasim Akram said Sri Lanka is the best tourist destination and is worthy of being ranked the world’s top holiday spot. ‘The island’s natural beauty and my decades-long connection with the country, are factors that enhance Sri Lanka’s value, he explained.
Speaking at a Softlogic Life investor forum in Colombo last Tuesday Akram said Sri Lanka remained one of his favourite destinations despite having traveled extensively around the world.
Akram who captained the Pakistani national cricket team and was celebrated as Softlogic Life’s brand ambassador said filming the company’s latest television commercial gave him another opportunity to experience some of the country’s most scenic locations, including Galle and the central highlands.
Akram said Sri Lanka’s landscapes, rivers and coastline were among the most beautiful he had beheld during his travels and expressed surprise that the country was not already considered one of the world’s leading tourism destinations.
Having first visited Sri Lanka as a teenager in 1985, Akram said he had returned numerous times over the years as a player, commentator and tourist. He added that he plans to continue visiting the island regularly and hopes to explore more of the east coast in the future.
Softlogic Life had impressive growth last year and is looking forward to introducing new life insurance products to the local market considering the increasing the aging population in Sri Lanka.
By Hiran H. Senewiratne
Business
Veenath Indrajith from the University of Sri Jayewardenepura wins the 2026 Saman Kelegama Memorial Research Grant
Veenath Indrajith, a fourth-year undergraduate from the Department of Business Economics at the University of Sri Jayewardenepura, has been selected as the winner of the Saman Kelegama Memorial Research Grant for 2026. Indrajith’s academic and professional interests lie in economics, finance, investment, and policy-oriented research. In addition to his undergraduate studies, he is currently pursuing the Chartered Accountancy qualification in Sri Lanka, demonstrating a strong commitment to analytical rigour and professional excellence. He aspires to contribute to evidence-based policymaking through applied economic research.
Indrajith’s research study, titled “Small Vehicle Businesses and Household Investors Using the Second-Hand Car Market as an Alternative Investment Method in the Colombo District of Sri Lanka,” will adopt a qualitative research approach to explore the motivations, experiences, perceived returns, and risks associated with investing in used vehicles. By analysing household-level decision-making and investment behaviour, the research aims to shed light on a relatively underexplored area of Sri Lanka’s alternative investment landscape. The findings are expected to provide valuable insights for policymakers, particularly in relation to financial literacy, household investment strategies, and the development and regulation of alternative investment markets in Sri Lanka.
The Saman Kelegama Memorial Research Grant, established in 2018, honours the legacy of the late Dr. Saman Kelegama, former Executive Director of the Institute of Policy Studies of Sri Lanka (IPS), whose work significantly shaped public policy discourse on socio-economic development in Sri Lanka and the broader South Asian region. The grant is awarded annually to an outstanding undergraduate student from a Sri Lankan university, with the aim of encouraging innovative, policy-relevant research and nurturing the next generation of policy thinkers. As part of this grant, Indrajith will receive training and mentoring from IPS senior researchers to complete the proposed study.
Business
Delmege Consumer partners with Daraz
Delmege Consumer, the flagship FMCG cluster of the Delmege Group, has evolved into one of Sri Lanka’s most trusted household names, building lasting relationships with communities across the island through a diverse portfolio of quality products that have become an integral part of consumers’ everyday lives for generations. Renowned for enriching households with Delmege’s own brands, leading local brands, and world-renowned international brands, the company continues to strengthen its presence, reputation, and connection with consumers nationwide.
A key strength of the FMCG cluster lies in the strong and enduring partnerships it has cultivated with suppliers, enabling the company to establish a responsive, time-sensitive, and mutually beneficial distribution network that has made a significant impact across Sri Lanka. Through its extensive reach and customer-focused approach, Delmege Consumer serves retail, wholesale, HoReCa, export, and modern trade channels, supported by flexible channel management strategies and winning consumer-centric propositions that cater to evolving market needs.
Further strengthening its distribution network and expanding its digital footprint, Delmege Consumer has partnered with Daraz, Sri Lanka’s leading e-commerce platform, to offer customers a more convenient, seamless, and accessible way to purchase its extensive range of FMCG products online.
Commenting on the partnership, Anil Meegahage, CEO of Delmege Consumer, stated:
“At Delmege Consumer, we are committed to innovation, continuously strengthening our product portfolio, and enhancing customer convenience and experience. Our partnership with Daraz enables us to serve customers across the country more efficiently by providing them with an easy, secure, and reliable platform to purchase trusted Delmege FMCG products online.”
Adding further, Baratha Piyadigama, Head of Group Marketing, Delmege, said:
“This partnership with Daraz marks another important milestone in our journey to enhance brand positioning, visibility, and awareness, especially at a time when digital and online commerce continue to gain significant momentum. As one of Sri Lanka’s leading FMCG distributors, we are proud to extend our trusted portfolio of products into the digital space through Daraz, ensuring customers across the island can conveniently access their favourite products with just a few clicks.”
Delmege’s extensive FMCG portfolio includes well-known Delmege branded products such as Canned Fish, Hiru Kahata Tea, Delmege Soya, Flavours and Colours, Delmege Pasta,
Delmege Noodles, and Salt, together with the much-loved Motha range of dessert ingredients, beverages, and mixes. The company also represents globally renowned international brands including Kellogg’s cereals such as Corn Flakes, Muesli, and Oats; Pringles; and the Ferrero portfolio featuring Ferrero Rocher, Nutella, Kinder Joy, and Tic Tac. Through its diverse and trusted brand portfolio, Delmege Consumer continues to reinforce its position as one of Sri Lanka’s leading FMCG companies.
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