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Tea industry calls for ‘collaborative effort’ to resolve wage hike crisis

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Roshan Rajadurai, Managing Director of Kelani Valley Plantations, Talawakelle Tea Estates PLC

A proposed 70% minimum wage hike for tea plantation workers in Sri Lanka has caused widespread concern among industry stakeholders. While the goal of enhancing workers livelihoods is commendable, the Planters Association of Ceylon warns that such a drastic increase could have dire consequences for the industry, potentially harming both employers and employees, a press release said.

The release adds: ‘Sri Lanka’s tea industry is a cornerstone of the national economy, being one of the highest foreign exchange earners for the country. It encompasses 21 Regional Plantation Companies (RPCs), 427 small and medium-sized tea factories and with 500,000 Small and Medium Tea Estate Owners. However, the industry is already under significant pressure due to the highest production costs globally, making it challenging to compete in the international market. Implementing a 70% wage increase overnight would exacerbate this issue, given that Sri Lanka is already the most expensive tea producer worldwide. Additionally, tea productivity has been on the decline over recent years, compounding the industry’s struggles.

‘Roshan Rajadurai, Managing Director of Kelani Valley Plantations, Talawakelle Tea Estates PLC said, ‘While the proposed 70% wage hike for tea plantation workers is well-intentioned, it threatens to cripple the tea industry due to the already exorbitant production costs. A productivity-based pay system is a more viable solution, balancing fair compensation for workers with the economic realities of the industry, thereby safeguarding both their welfare and the industry's future”.

‘In response to these challenges, the Planters Association of Ceylon has introduced an alternative productivity-based wage scheme. This model is designed not only to safeguard the industry’s viability but also to enhance the welfare of estate workers. Based on current industry standards, employees could potentially earn a minimum of Rs. 1820/- and onwards, under this proposed structure. This approach strives to strike a balance between ensuring fair compensation for workers and acknowledging the economic constraints that impact the tea sector.

‘Most workers currently earn more than Rs. 1700, with many earning over Rs. 50,000 per month in a market-based model that benefits both the worker and the company. Expanding this model across the upcountry estate sector without state interference in increasing fixed wage costs without corresponding output compensation would be beneficial. A state-mandated 70% fixed wage increase could lead to financial ruin for many companies, resulting in job losses and negative impacts on the financial sector due to the companies' heavy borrowings.

‘The Planters Association of Ceylon is calling for a meeting with all concerned stakeholders to discuss this matter further. Such a dialogue is crucial for reaching a solution that ensures the prosperity of the tea industry and the well-being of its workers. The association has expressed its readiness to collaborate with the government to find a sustainable and mutually beneficial resolution.

‘While improving plantation workers wages is essential, it must be done without jeopardizing the industry viability. The proposed productivity-based wage scheme offers a balanced solution, ensuring both fair compensation for workers and the industry survival. It is now imperative for all stakeholders to unite, discuss, and implement a strategy that supports the long-term health and sustainability of Sri Lanka tea industry. Only through collaborative efforts can we secure a prosperous future for both the workers and the industry.’



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USA–Sri Lanka Chamber of Commerce plans New York campaign to promote Tourism and Business

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The initiative will provide Sri Lankan businesses with a vital platform to introduce their products and services to the American market

Timing aligns with national policy discussions

By Sanath Nanayakkare

The USA–Sri Lanka Chamber of Commerce is exploring an innovative promotional initiative to showcase Sri Lanka’s tourism, cultural heritage, and commercial opportunities in the heart of New York City during the upcoming Christmas and holiday season.

The proposed campaign aims to bring Sri Lanka’s unique identity to one of the world’s most internationally recognized cities through a mobile digital billboard featuring high-quality photographs and videos highlighting the island’s natural beauty, rich heritage, and diverse commercial offerings. Designed to capitalize on New York City’s significant holiday-season foot traffic, the initiative will reach American consumers, international tourists, and potential business partners.

The digital showcase will feature pristine beaches, scenic mountains, waterfalls, tea plantations, wildlife, ancient cities, Buddhist heritage, traditional arts, authentic cuisine, and modern attractions, positioning the country as a premier international travel destination. An interactive QR code linking to comprehensive tourism information will also be incorporated, allowing viewers to directly explore travel opportunities.

Beyond destination promotion, the initiative provides Sri Lankan businesses with a vital platform to introduce their products and services to the American market. Enterprises representing Ceylon tea, spices, food products, gems and jewellery, apparel, handicrafts, wellness, hospitality, and tourism will have the opportunity to showcase their brands alongside the broader national campaign.

The Chamber notes that this effort will be particularly beneficial for small and medium-sized enterprises (SMEs) seeking greater international exposure, brand recognition, and commercial partnerships in the United States. By integrating tourism promotion with commercial visibility, the project aims to strengthen Sri Lanka’s international image while supporting trade, investment, and business development.

Operating under the central message of “Discover Sri Lanka. Experience Sri Lanka. Visit Sri Lanka,” the campaign presents the island as a destination defined by natural beauty, cultural richness, distinctive products, and entrepreneurial potential. More information on the initiative is accessible at www.usaslcc.org.

Tourism sector stakeholders have welcomed the move, noting that private-sector-led initiatives of this nature bypass cumbersome bureaucratic procurement procedures and complex tender processes typically associated with state-run promotional campaigns abroad.

The timing aligns with recent national policy discussions regarding tourism promotion. Participating in a Fireside Chat at the inauguration of the Sri Lanka Economic and Investment Summit 2026, organized by the Ceylon Chamber of Commerce, President Anura Kumara Dissanayake emphasized that a proper procurement mechanism needs to be established before acquiring tourism promotional concepts, recommending a performance-based system where agencies are compensated according to verified growth in tourist arrivals.

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Seylan Bank partners Colombo Motor Show 2026 as official banking and leasing partner

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For 10th consecutive year

Seylan Bank PLC, the Bank with a Heart, has reaffirmed its commitment to supporting Sri Lanka’s automotive industry by partnering with the 20th edition of the Colombo Motor Show 2026 as the Official Banking & Leasing Partner for the 10th consecutive year. This makes Seylan Bank the longest-standing partner of the Colombo Motor Show, further reflecting its longstanding association with one of Sri Lanka’s most prominent automotive exhibitions. The four-day exhibition is scheduled to take place from 20th to 23rd November 2026 at the Bandaranaike Memorial International Conference Hall (BMICH), marking the first time the Colombo Motor Show will be held as a four-day event.

As one of Sri Lanka’s leading international motor and motor accessories exhibitions, the Colombo Motor Show will bring together vehicle enthusiasts, prospective buyers, industry professionals and automotive service providers. The 2026 edition is expected to feature over 200 trade stalls covering motor vehicles, accessories, spare parts, lubricants, tyres, batteries, leasing facilities and other motor-related services.

Through its continued partnership, Seylan Bank will showcase a comprehensive range of financial solutions designed to support customers in meeting their personal and business needs, with a particular focus on Seylan Leasing facilities. Visitors to the exhibition will have the opportunity to receive on-the-spot leasing evaluations and expert guidance from Seylan Leasing Specialists, helping them explore vehicle financing options conveniently during the event.

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WCIC sharpens focus on scaling women-owned businesses

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WCIC Office Bearers

The Women’s Chamber of Industry and Commerce (WCIC) is sharpening its focus on helping women entrepreneurs move beyond business creation towards sustainable growth, as it expands its membership, partnerships and advocacy footprint.

WCIC Chairperson Gayani de Alwis, concluding her second tenure, highlighted the Chamber’s efforts had increasingly centered on creating pathways for women to translate entrepreneurial ambition into viable enterprises and, importantly, build those businesses for the longer term.

“Ultimately, our impact is not measured by the number of programmes we conducted, but by the women whose businesses grew, whose voices became stronger, whose horizons expanded and whose contribution to the economy became greater,” she said addressing the WCIC 41st Annual General Meeting (AGM) held on 22 September for which the Chief Guest was Canadian High Commissioner to Sri Lanka and the Maldives Isabelle Martin.

The focus has included a special initiative for female university students with an entrepreneurial mindset, regional chapter initiatives in the Northern Province, capacity-building programmes and the inaugural ‘Beyond Ramp Up’ workshop.

The Chairperson said these initiatives were designed to move women “from aspiration to enterprise, and from enterprise to sustainable growth”, signaling a broader focus on strengthening the progression of women entrepreneurs beyond the initial stages of business formation.

WCIC recorded a 20 percent increase in membership during the period with membership crossing 460 and expanded its ecosystem through a series of strategic partnerships.

Internally, WCIC moved to strengthen its governance framework, revising its Articles of Association to ensure regulatory compliance and introducing a Code of Conduct and Board self-assessment. Clearer organisational roles, job descriptions and performance targets were also introduced as part of efforts to strengthen accountability and professionalise its operations.

Reflecting on her tenure, the Chairperson said the period had been about building a stronger, more connected and professionally governed organisation, while converting its wider ambitions into tangible opportunities for women in business.

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