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Policy measures if GSP+ is reversed: Cabraal

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ECONOMYNEXT – Any reversal of the USD 500 million European Union GSP+ trade concession for Sri Lanka could be met and handled through policy measures if such a contingency arises, Central Bank Governor Ajith Nivard Cabraal said .

Sri Lanka risks losing the EU’s Generalized Systems of Preference Plus (GSP+) trade concession from April next year if the government does not take strong measures to address human rights concerns as promised when the facility was restored in 2017.

GSP+ helped the garments industry here to earn over five billion US dollar export revenue.

“We believe that the impact of any reversal could be met with the policy measures that we would take in such an event,” Cabraal told a press briefing on October 14 when he was asked the size of the GSP+ trade concession.

“Therefore we have assured all the stakeholders that we would be able to deal with that situation in case there is any need to do so and we would not hesitate to do that.”

Sri Lanka has had problems with rule of law and freedoms of citizen with the deterioration of the independence of the public service and judiciary over several decades amid tinkering with the constitution in favour of the state and rulers, critics have said.

Sri Lanka is a European style nation-state with a legislating parliament, standing army and police but the institutions of liberty that should stand between the armed state and the people have weakened according to freedom advocates.

The European parliament adopted a resolution on June 10 calling for the repeal of Sri Lanka’s Prevention of Terrorism Act (PTA) and inviting the European Union (EU) Commission to consider temporarily withdrawing access to GSP+ if this is not done.

A five-member European Union (EU) delegation reviewed the country’s human rights situation while discussing with all the stakeholders of GSP+ benefits. But there have been renewed concerns about the country’s human rights record.

The EU is the second largest export destination for Sri Lankan products, and GSP+ has helped exporters to consolidate their position.

Sri Lanka lost the GSP+ in 2010 due to alleged human rights violations including war crimes in the final stage of the 26-year war that ended in 2009.

However, the commitment by the previous government to the international community to address human rights concerns in 2015 helped the country to regain the facility.

Small and medium sector garments and outsourced industries related to garment exporters faced closure after the GSP+ was withdrawn in 2010, but the industry rebounded later even without the trade concession.



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Sun directly overhead Adiyakulam, Veppankulam, Padawiya and Kuchchaveli at about 12:11 noon today [12]

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On the apparent northward relative motion of the sun, it is going to be directly over the latitudes of Sri Lanka during 05th to 14th of April in this year.

The nearest areas of Sri Lanka over which the sun is overhead today (12th) are Adiyakulam, Veppankulam, Padawiya and Kuchchaveli at about 12:11 noon

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Appeals Court clears way for elections to 18 local bodies, including CMC

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EC, however, may appeal to SC

The Court of Appeal yesterday lifted the interim injunction, which suspended electieons to 18 local councils, including the Colombo Municipal Council (CMC). The decision, delivered yesterday morning, clears the way for elections to proceed in those local government bodies. The interim order had originally been issued in response to legal challenges.

Local government elections are expected to be held on 06 May, following this ruling.

The petitions were heard before a bench of the Court of Appeal, comprising Acting President of the Court, Justice Mohamed Laffar, and Justice Priyantha Fernando.

During the hearing, Deputy Solicitor General Manohara Jayasinghe, representing the respondent returning officers, informed the court that the respondents would not be presenting objections to the petitions. He stated that the returning officers had acted in accordance with the law regarding the nominations in question but requested

the court to issue an appropriate order as it saw fit.

 Counsel appearing for the petitioners requested the court to direct the returning officers to accept the previously rejected nomination papers.

 After considering the submissions, the Court of Appeal issued a writ order invalidating the decisions made by the returning officers to reject the nomination papers. The court subsequently issued another writ order directing the returning officers to re-accept the rejected nominations.

As a result, the stay orders that had previously prevented elections in several local government bodies—including Uda Palatha, Patha Dumbara, Panwila, Akurana, Harispattuwa, Hanguranketha, and Kuliyapitiya—were lifted.

 Meanwhile, Election Commission sources said they have instructed officials to obtain copies of recent Court of Appeal rulings related to the 06 May elections, with the intention of submitting appeal applications to the Supreme Court.

Separately, sources at the Department of Government Printing reported that approximately 10 million ballot papers have already been printed for the 06 May election. Government Printer Pradeep Pushpa Kumara told the media that the printing process is expected to be completed by the end of this month.According to the Election Commission, a total of 17,296,330 eligible voters have been registered for the upcoming election.

By Norman Palihawadane and A.J.A. Abeynayake

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New Year festivities cost more 

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The cost of preparing a traditional Sinhala and Tamil New Year sweetmeat table has risen by 7 percent in 2025 compared to the previous year, according to a recent study by Verité Research.The increase is largely attributed to a steep surge in coconut prices, which has significantly impacted the cost of key sweetmeats and festive dishes.

The sweatmeat table, a hallmark of Avurudu celebrations in Sri Lanka, features a variety of traditional sweet items such as milk rice (kiribath), kokis, and aluwa, symbolising prosperity and togetherness. However, the rising cost of coconuts and coconut oil — essential ingredients in many of these preparations— has made this year’s table notably more expensive.

According to the data, collected from open markets in Colombo, and official statistics from the Department of Census and Statistics, the price of coconuts rose by 80 percent year-on-year, while coconut oil increased by 40 percent. As a result, milk rice saw a 57 percent increase in cost, and kokis went up by 35 percent in 2025.

According to the findings, five out of eight core ‘kevili’ items experienced price hikes, while the prices of most other ingredients remained stable or declined. Despite the moderate year-on-year increase, the cost of an average ‘kevili’ table remains more than double what it was in 2019 — 2.4 times higher in 2025, compared to 2.2 times in 2024.

The report says that the broader inflationary pressures affecting seasonal traditions and underscores how fluctuations in agricultural commodity prices, particularly coconuts, continue to impact household celebrations across the country.

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