No increase in milk food prices

Milk food companies' request to increase the price of milk foods cannot be granted since milk food prices in the world market have begun to come down, said Trade, Marketing Development and Consumer Affairs Minister, Bandula Gunawardene.

Although the maximum retail price of a 400g milk food packet is Rs. 270 in the local market. Most of the products such as Candy (Rs. 245), Maliban (Rs. 260) and Highland (Rs. 230) are sold well below the maximum price quoted.

The Candy and Maliban products are imported from Australia from where other products sold locally at higher prices are also imported, is a fact to reckon with! Therefore, the excessive profits earned by the manufacturing companies and heavy outlays on publicity could be attributed to the price changes of milk food products made from the same raw materials.

The profits of such companies amount to one million Sri Lankan rupees.

The Consumer Affairs Authority has rejected the request for price increase of milk products by the companies, after considering the above facts.

The Prima Company twice reduced the price of a kilogram of wheat flour only after Serendib Ltd. commissioned their mill in Colombo.

In that instance too the benefit has not been passed down to the consumer, as seen from the non-reduction of milk food prices.