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Guardian report harshly critical of working conditions on tea estates

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More than 300,000 people work in Sri Lanka’s tea plantations

Tetley says it has suspended work on some central estates

The respected British newspaper, Guardian last week ran a story strongly critical of Sri Lanka’s once British-owned tea industry focusing on its poorly paid labour force and the harsh living conditions they are forced to tolerate.The report was headlined: “We give our blood so they live comfortably’: Sri Lanka’s tea pickers say they go hungry and live in squalor.” It reported that Some of the world’s leading tea manufacturers, including Tetley and Lipton, are examining working conditions on the plantations of its Sri Lankan suppliers, following a Guardian investigation.

The report quoted Tetley saying it had suspended work with some central Sri Lankan estates while it conducted its own inquiries. Ekaterra, which owns Lipton and PG Tips, said it was in contact with the Rainforest Alliance over the findings. Yorkshire Tea, another company that sources tea from the estates the Guardian visited, said it was speaking to the plantations concerned.

Two global trade-certification schemes, Fairtrade and the Rainforest Alliance, are also conducting inquiries after it was revealed that some workers on 10 certified estates could not afford to eat and were living in squalid conditions, Guardian said.

Some of the pickers said they had so little money that they were having to skip meals and felt forced to send their children to work, the Guardian report said.

More than 300,000 people work in Sri Lanka’s tea plantations, which are mainly in the mountainous Central Highlands. In 2022, the industry generated £1.079bn in exports.

Some of the pickers said they had so little money that they were having to skip meals and felt forced to send their children to work, the report said.It was replete with quotations from workers complaining of harsh working conditions and poor remuneration. A sample:

Workers claimed some estate supervisors have tried to underpay workers. Lakshman Devanayagie, 33, said: “Even if we pick good tea leaves, they will say it’s not good enough, and they will tip it out, or that they are going to cut our pay.

“If we give them five kilos of tea leaves, they will only pay us for two or three. When we ask them, they say, ‘we’re doing as we’re told, so why don’t you do as you’re told?’,” she said, adding that she felt suicidal at times.

Rangasamy Puwaneshkanthy lives with her husband and three children in the hills above one tea estate. She said has had to take out loans to pay for food and regularly missed meals, adding that she often chose to forgo buying sanitary towels so she could buy food for her children.

“If there’s no food at home, then I don’t take any to work. I tell them [supervisors] I’m going home for a bit and then come back, because I can’t watch other people eating,” Puwaneshkanthy said.

She said pressure to pick quickly meant that she did not have time to watch out for leeches, which are common in the damp climate. Last year, her leg became infected from one and she had to walk for an hour to see a doctor because she could not afford a rickshaw ride.

“If we stop to pick the leech off, then we’ll be one kilo down – that’s how we’re thinking when we work,” said Puwaneshkanthy.

“We don’t know what to do. We’re working on the estate, but we have no salary. What are we meant to do?”



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Sri Lanka’s foreign reserves up by USD 2billion over the past year – Acting Finance Minister

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Acting Finance Minister Ranjith Siyambalapitiya during a press conference held today (21) at the Presidential Media Center, focusing on the theme of ‘Collective Path to a Stable Country’ said that over the past year, the government successfully increased the country’s foreign reserves from 1.8 billion dollars to 3.8 billion dollars.

He added that in August 2022, the exchange rate stood at Rs. 361 per dollar, but by August 2023, one dollar could be acquired for Rs. 321. This shift is not the result of artificial control but rather a reflection of the rupee’s value adjusting in response to supply and demand for the dollar, which holds significant economic importance.

The interest rate for deposits, previously at 14% in 2022, has been lowered to 11%, while the loan interest rate, previously at 15.5%, has been reduced to 12% this year. Notably, last year, the primary account deficit was Rs. -247 billion, but this year it has turned into a surplus of Rs. 27 billion. This marks the first surplus in the primary account balance in over 40 years.

Tourist arrivals, which numbered 496,430 in 2022, have surged to 904,318 during the first two quarters of this year. Equally impressive is the growth in tourism earnings, which rose from 832.6 million US dollars in 2022 to 1,304.5 million US dollars in the first two quarters of this year, reflecting a remarkable 56.7% increase compared to the previous year.

In the past year, the amount of money remitted by Sri Lankans living abroad to Sri Lanka has surged from 2,214.8 million US dollars to 3,862.7 million US dollars this year, marking a remarkable 74.4% increase according to data from the Ministry of Finance.

On August 1, 2022, the QR code system was introduced as a measure to manage petroleum demand due to foreign exchange shortages. This led to a significant disparity between normal demand and supply, resulting in a notable increase in diesel consumption by 28% and petrol consumption by 83% in June 2023, when the QR system was partially relaxed. However, as of September 1, the QR code system, which directly impacts economic growth, has been completely lifted.

Upon assuming office, President Ranil Wickremesinghe faced a daunting challenge of addressing a 14-hour power outage, which had a direct impact on the economy. Presently, the government ensures a continuous and stable electricity supply to the population.

As of August 23, 2023, there were 1467 imported goods banned due to foreign exchange shortages. Currently, the ban applies to only 279 items. Furthermore, the import of vehicles, which had been halted in 2020, now includes buses and trucks for public transport.

In April 2022, the country faced difficulties in meeting its debt obligations. However, the government has since secured the first installment under the International Monetary Fund’s Extended Credit Scheme, contributing to stabilizing the country’s economy compared to the previous year.

(PMC)

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President Wickremesinghe meets US President Joe Biden in New York

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President Joe Biden and first lady Jill Biden hosted President Ranil Wickremesinghe and first lady Maithri Wickremesinghe for dinner on Thursday

President Joe Biden of the United States and President Ranil Wickremesinghe engaged in a cordial meeting  in New York on Thursday (20).

The high-profile meeting took place amidst a lavish dinner hosted by President Biden, for all the heads of state who had participated in the 78th session of the United Nations General Assembly.

 

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Ministerial Consultative Committee unanimously consent to canceling the nominations submitted for the Local Government Elections

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The Ministerial Consultative Committee on Public Administration, Home Affairs, Provincial Councils & Local Government chaired by  Prime Minister Dinesh Gunawardena as well as the Minister of Public Administration, Home Affairs, Provincial Councils and Local Government  unanimously consented to cancel the nominations submitted for the Local Government Elections given that those who have submitted nominations have faced great difficulties due to the postponement of the elections.

 

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