Lanka's food processing industry records growth

Indunil Hewage

Sri Lanka's processed food industry has been witnessing a growth rate of 15-20 % year on year and exports of processed foods also saw a marked increase during the last two years.

Speaking to Daily News Business, Sri Lanka Food Processors Association President Hamilton Diaz said that it is timely to implement set guidelines and a single industry body to develop the industry to the next level since many industry related institutions, specially the Health Ministry, Food Advisory Committee and other related institutions are following completely different policies and rules on each other and this has complicated the overall processed food industry activities to a great extent.

"We don't even have standardized guidelines for packaging methods or raw materials which are used for the production of processed food.

Government needs to play an active role to promote and empower small and medium scale manufactures in the processed food industry.

In addition, Local consumers buying power has drastically reduced and they tend to purchase products with small quantities rather than buying products with large quantities," Diaz said. Another official said that global warming and global financial turmoil will pose greater threats on the local food security in the future and wheat prices will go up at an unprecedented rate.

Countries like Brazil, India and Cuba generate electricity using agricultural raw materials and this will also have a detrimental effects on the global food security.

As far as local industry is concerned, local agriculture industry will have to go through a modern phase and prolific investments on agricultural research and development as well as machinery and factories are needed to further improve the industry's activities.