Prices of essentials drop

Irangika RANGE

Prices of a number of essential items have dropped in the market compared to the previous Sinhala and Hindu New Year period following the tax relief granted to importers by the Government recently.

Trade, Marketing Development, Cooperatives and Consumer Affairs Minister Bandula Gunawardene told the media in Colombo yesterday that the Government has removed taxes completely on imports of petrol, kerosene oil, wheat and gas to provide relief to the public for the Sinhala and Hindu New Year. Meanwhile, despite the negative impact caused by the global economic downturn, the Government has reduced import tax on diesel, dhal and sugar on President Mahinda Rajapaksa’s directive.

Consumers have been able to purchase essential items at low prices as adequate stocks are available in the market.

With the bountiful paddy harvest in the current maha season and arrival of large scale agricultural and fish products from the North to the South following the end to the war, prices have come down the Minister said.

The Minister said prices of vegetables, fruit and rice, except sugar, have decreased in the market since sufficient stocks are supplied to the market without delay or shortage.

He said white raw rice and Samba rice are sold at Rs 42 and Rs 67 in the market which are low compared to last year’s festive season.

Minister Gunawardene said the price of a 12.5kg domestic gas cylinder was Rs 1,863 in 2009 while it is only Rs 1,550 today recording a price reduction of Rs 313.

A packet of milk powder (400g) was sold at Rs 285 in 2009 while it is Rs 225 with a price reduction of Rs 60 .

Meanwhile, a kilo of dhal was sold at Rs 240 in 2009 while it is Rs 140 currently. A price of a kilo of big onion was Rs 140 in 2009 while it is Rs 60 today while a tin of canned fish sold at Rs 240 in 2009 is only Rs 150 today. A litre of petrol and diesel have also gone down by Rs 42 and Rs 36 over the prices in 2009.

He said this Government unlike previous ones had provided a number of relief measures to the public despite many challenges.

”One of them was terrorism. We had to spend nearly Rs 250 billion to wipe out the terrorist problem compared to the defence budget which was only Rs 47 billion when the CFA was activated. This shows an increase of 431 percent in defence expenditure compared to the defence expenses in 2003, the Minister said.