Trade Minister Bandula Gunawardene said yesterday that state owned wholesale network Lanka Sathosa will purchase big onions from local farmers at a price of Rs.130 per kilogram with the aim of selling them at low prices to consumers.
Lanka Sathosa will purchase a kilo of big onion at Rs.130 at Dambulla economic center to help protect local farmers as well, Minister Gunawardene addressing a media briefing held in Colombo said yesterday.
An import tax of Rs.50 was imposed on a kilo of big onions to protect the local farmers.
They were able to sell their harvest at a higher prices while some of them were engaged in selling a kilo of big onions even at Rs.230. This was a big injustice for consumers.
Therefore,the decision was taken to purchase a kilo of big onion at Rs.130 a kilo at Dambulla economic centre through Sathosa and sell at lower prices to consumers. In order to provide further relief to concumers, the government has reduced import tax to 25 cents imposed on dhal, canned fish, big onions and sugar.
This decision was taken after considering the current difficulties associated with the spread of COVID 19.
