Sri Lanka reduces import tax for palm oil

(February 20, 2009) Sri Lanka government has reduced the import tax of palm oil from Rs. 60 to Rs. 35 per kilo since February 18, 2009.

A government spokesman said that this step was taken especially to redress the desiccated coconut manufacturers who had been stuck by the escalated coconut price.

With this move, the government also expects the price of coconut oil also decline.

However, the coconut industry of the country will be affected with this move, some analysts say. The government earlier imposed heavy taxes on palm oil claiming that they were to save the industry.

Read the rest of this entry »

Posted in coconut industry , coconut oil , palm oil

Sri Lanka to grow oil palm in 5000 hectares

(November 13, 2009) The cabinet of Sri Lanka has approved a proposal to import seeds of oil palm for the cultivation in estate lands managed by the plantation companies.

Under the programme, it is expected to cultivate palm oil in 5000 hectares..

Oil palm cultivation by the estates is criticized by some of the residents in the adjacent villages due to the trees' high consumption of water that cause the water resources to dry out.

Read the rest of this entry »

Posted in Agriculture , palm oil , plantation , Sri Lanka

Coconut industry hit by imported palm oil

(November 03, 2009) Sri Lanka's major opposition United National Party (UNP) yesterday charged that the coconut industry in the country was in serious trouble with 60 percent of coconut mills in the North Western province alone having been closed down.

Opposition Leader of the North Western Province Shamal Senarath told a news conference yesterday that the coconut industry is in dire state because the excessive importation of palm oil to the country. He alleged that the import duty on palm oil had been reduced to 5 percent from 28 percent in order to satisfy a few businessmen who import palm oil and have state patronage.

The government had not taken meaningful measures to revive the coconut industry despite Minister of Nation Building Salinda Dissanayake who is in charge of the subject threatening to submit his resignation if no effective steps are taken to revive the dying industry, he said.

Read the rest of this entry »

Posted in coconut industry , palm oil , Sri Lanka