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NPP pre-poll promises still unfulfilled – SLUNBA

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Govt. focusing on importers rather than producers

The government led by the National People’s Power (NPP) has yet to fulfil its key promises made to local manufacturers prior to coming to power, the Sri Lanka United National Businesses Alliance (SLUNBA) has said.

Addressing a press conference in Colombo on Friday, SLUNBA Chairperson Tania Abeysundara said the alliance had repeatedly requested a meeting with government leaders to discuss the growing challenges faced by the local manufacturing sector but had so far received no response.

She noted that shipping costs for raw materials imported to Sri Lanka had increased by nearly 300 per cent due to the ongoing conflicts in the Middle East, placing severe pressure on local industries.

“We are people who conduct businesses responsibly and pay taxes properly to the government. We are not a group that is a burden to the country and should not be labelled as an association that merely shouts demands,” Abeysundara said.

“What we are asking is that the promises made to us after discussions held before coming to power be fulfilled. We are not aligned with any political party. Today we are continuing our businesses without making any net profit,” she added.

Abeysundara said that before the election several rounds of discussions had been held with representatives of the alliance, during which assurances had been given that the concerns of local producers would be addressed.

“However, today it appears that instead of focusing on local manufacturers, attention is being given to importers,” she alleged.

She warned that if small and medium-scale industries collapsed under current economic pressures, the country could face a serious loss of employment opportunities.

“We are not a group trying to embarrass the government. But if small and medium-scale industries shut down, thousands of jobs could be lost. Even now we are facing a shortage of labour. Are we expected to close our factories and become importers instead?” she asked.

Abeysundara also said industries were already struggling with rising fuel prices and cautioned that any further increase in electricity tariffs, particularly with the entry of new power companies, would aggravate the situation.

“At a time when industries are already facing severe difficulties due to the increase in fuel prices, if electricity tariffs are increased further it will create additional pressure. Shouldn’t a government pay attention to such matters?” she asked.

SLUNBA Vice President Lakmal Perera said entrepreneurs also faced numerous bureaucratic obstacles when seeking official approvals.

“When a businessman goes to obtain an approval he encounters many problems. Even though the government has instructed that land be allocated for business activities, some state officials ignore these directives,” he said.

Perera added that the alliance was seeking a dialogue with the authorities to address these issues.

“We are not people who organise strikes or protests to demand our rights. We simply ask the authorities to listen carefully to our grievances and help resolve them,” he said.

Meanwhile, SLUNBA Sub-committee Chairman M. R. Jeffrey expressed concern over the government’s plan to remove the CESS tax by 2029, noting that the levy had originally been introduced to protect local producers from excessive imports.

“The CESS was imposed on imports to safeguard domestic manufacturers and it was also said that the funds collected would be used to support local production,” he said.

Jeffrey pointed out that although manufacturers produce locally, they still have to import a large portion of raw materials and warned that under the current circumstances businesses might have to incur an additional US$4–5 million in costs.

He also suggested that the government urgently explore arrangements to import fuel from Russia, noting that countries such as India were reportedly purchasing Russian oil at around US$ 60 per barrel.

“At this moment what is most valuable to the country is not the rupee but the dollar. Therefore, instead of encouraging the import of finished goods, authorities should support the import of raw materials and expand domestic production,” he said.

Several other members of the alliance also expressed their views during the media briefing, calling for greater engagement between the government and the private sector to address the challenges facing local industries.

by Chaminda Silva



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Lanka enters new phase of prosecutions as hurdles clear

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MONETABRIEF –The prosecution of high-profile individuals from the former Rajapaksa administrations is set to escalate this month with the clearing of legal hurdles and administrative bottlenecks, according to officials involved in the process.

Former president Gotabaya Rajapaksa’s attempt to secure an order preventing his arrest in connection with the Easter Sunday massacre was turned down by the Court of Appeal on Thursday.

An overseas travel ban has been in operation against Rajapaksa since June, but the Criminal Investigations Department made no move to question him. He instead filed a writ application seeking an order preventing his possible arrest.

President of the Court of Appeal Rohantha Abeysuriya noted that the court would not interfere with the investigative process. Any attempt by the court would amount to an obstruction of the investigation.

In an unrelated case, the same court rejected an application by opposition legislator Dilith Jayaweera seeking the quashing of a contempt charge filed against him by the Fort magistrate. The charges against Jayaweera and a few other opposition politicians are expected to be taken up in the coming week.

Jayaweera and other opposition politicians — Wimal Weerawansa, Udaya Gammanpila, Sugeeshwara Bandara, and Asanka Navaratne

— were hauled up over their remarks relating to the arrest of Suresh Sallay, the former head of the State Intelligence Service.

SLPP academic Mahinda Pathirana is also charged over his public comments about Sallay’s arrest in February under the draconian Prevention of Terrorism Act.

Former president Mahinda Rajapaksa’s son, legislator Namal Rajapaksa, is already in remand custody following his arrest in connection with three cases of bribery and money laundering relating to the 2013 Airbus deal and the Krrish property development in Colombo.

Although Namal has been granted bail in the Airbus money laundering charge, he is in custody until October 13 over the bribery charge relating to the same Airbus transaction. His arrest is under a provision of the Anti-Corruption Act that does not allow a magistrate to grant bail unless under exceptional circumstances.

Meanwhile, his mother Shiranthi Rajapaksa, who had been asked to report to the Financial Crimes Investigations Division on September 24, was a no-show and was yet to return from Singapore.

She had travelled overseas on September 16, and a family spokesman said she was handed the FCID summons at the departure lounge of Bandaranaike International Airport just before she boarded a flight to Singapore.

At the time, the family spokesman said she was due to return in three days.

“We will see greater momentum in the legacy cases in the coming weeks,” an official involved in the prosecutions said.

“We have cleared the legal hurdles to press ahead with more arrests,” he said.

“We are working on a few administrative issues which will be resolved very soon.”

The controversial prosecution of former President Ranil Wickremesinghe is dragging on without him being formally indicted since his arrest in August last year. The Fort magistrate has listed the case again for November 11, when the Attorney-General is expected to report on his decision regarding action against Wickremesinghe.

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Police warn: Court evaders face property seizure

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Police have reminded the public that courts have the power to take legal action against individuals who evade arrest or remain in hiding after warrants have been issued against them.

Police said that under Section 60 of the Code of Criminal Procedure Act No. 15 of 1979, a court could issue a written proclamation requiring a person evading arrest under a warrant to appear at a specified place and time.

The proclamation must allow the person at least 30 days to appear before court, Police said.

If the person fails to appear even after the proclamation has been issued, the court may take further action under Section 61 of the Act.

This includes issuing an order for the attachment of the movable or immovable property belonging to the person concerned.Police issued the reminder highlighting the legal measures available against persons who deliberately evade arrest and remain in hiding after warrants have been issued.

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Nearly 20 Iranian tankers stranded off Lanka amid US sanctions

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Around 20 Iranian oil tankers are reportedly stranded about 15 nautical miles off Sri Lanka’s southwestern coast, with several vessels facing shortages of food, fuel and fresh water amid tightening US sanctions and maritime restrictions, The Wall Street Journal reported.

According to the report published on Thursday (1), US officials have in recent weeks urged Sri Lanka to prevent local vessels from supplying essential provisions to the tankers and their crews.

The report, citing Sri Lankan Government documents and companies involved in supplying the vessels, said the US had raised concerns over assistance being provided to the sanctioned tankers.

The situation follows the United States’ decision to reimpose a maritime blockade of the Strait of Hormuz in July, which has reportedly left dozens of Iranian and Iran-linked tankers involved in transporting sanctioned oil to China stranded near Asian countries, including Sri Lanka and Malaysia.

Most of the vessels are reportedly empty tankers that had previously transported Iranian crude to Asia, often through ship-to-ship transfers, before preparing to return to Iran for additional cargo.

The WSJ reported that the US Embassy had warned Sri Lanka in August that it was monitoring 19 Iranian tankers off the country’s western coast and had raised the possibility of secondary sanctions against companies providing services to sanctioned vessels.

Sri Lankan authorities have maintained that the vessels are located outside the country’s 12-nautical-mile territorial waters and that the Government is not providing them with logistical assistance.

Meanwhile, shipping companies told the WSJ that obtaining approval to supply essential items, including food, drinking water and fuel, as well as repair services, to the Iranian vessels had become increasingly difficult.

Separately, Reuters reported in late August that 27 sanctioned Iran-linked tankers were waiting off Sri Lanka without cargo.

The Trump administration has also imposed additional sanctions on Iran and warned countries and companies trading with Tehran of potential consequences, as Washington seeks to pressure Iran to make concessions amid the ongoing conflict.

Similar concentrations of Iranian-linked tankers have been reported off Malaysia, where waters have historically been used for ship-to-ship transfers of Iranian crude destined mainly for China.

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