Economic
The Supreme Court yesterday concluded oral submissions on petitions seeking a ruling that the Finance Amendment Bill submitted by the Minister of Finance to Parliament is unconstitutional.
Softlogic Holdings Plc on Monday paid Rs. 1.12 billion for a 3.5% additional stake in Asiri Hospital Holdings Plc.
Bloomberg: Sri Lanka plans to repay a $ 1 billion bond by the Tuesday deadline, keeping intact its reputation for honoring debt as concern mounts about the nation’s overseas financing.
1H exports up 10% volume wise and value basis 14%
Key markets contribute to Sri Lanka’s high FOB value; value addition a key aspect, says Asia Siyaka Commodities
Sri Lanka’s Free On Board (FOB) prices for black tea are the highest in the world, Asia Siyaka Commodities PLC revealed yesterday.
It said by June 2021 Sri Lanka had exported 137 million kilograms of tea compared with 124 million kilograms in 1H 2020. The country has earned $ 651 million from these shipments compared with $ 571 million a year ago.
“If weather conditions hold true and agricultural inputs are available as and when needed, the country could easily more than double 1H earnings and move towards the national target of $ 1.5 billion for the year,” Asia Siyaka said. In 2020 the country exported a low quantity of 266 million kilograms, earning $ 1.24 billion.
This sharp drop in export quantity resulted from a drought in the first quarter and reduced application of fertiliser in Q4 2019 and throughout 2020.
Asia Siyaka said earnings recorded in 2020 were made possible by the high prices paid for Ceylon Tea at the Colombo Tea Auctions, as well as the nation’s strong marketing sector adding value to exports under very difficult conditions in the midst of a local and global lockdown.
“FOB value per kilogram for all tea shipped in 2020 was $ 4.67 compared with $ 4.61 in 2019. By June 2021 the average FOB value of tea per kilogram had risen to $ 4.75.”
The FOB value of Indian tea exports in 2020 was $ 3.21. This was considered an attractive figure and resulted from a spike in tea prices at the Indian auctions as a result of a sharp loss in production, mostly from North India. In 2019, India’s FOB figure was $ 3.11, while in the three previous years it ranged from 2.91 to 2.96. Kenya FOB value per kilogram of tea exported in 2020 was $ 2.17 compared with 2.33 the year before. Kenya produced a record quantity of 569 million kilograms in 2020 and flooded the Mombasa auction with below average product that caused the market to collapse, and this trend could continue in 2021.
Customs data analysed by Siyaka Research confirms that Turkey was the prime destination for Ceylon tea exports in 2020. The country absorbed 38.8 million kilograms with an average FOB per kg of $ 4.29. Actual exports to Turkey do realise a much higher FOB value, but the country is a major transit point for shipments to other destinations.
Sri Lanka Customs said yesterday it will not entertain clearance documents with ink (wet) signatures for processing Customs documents with effect from 1 August.
The Department of Census and Statistics (DCS) said on Friday that the National Consumer Price Index (NCPI) for June was 6.1%, the same as the previous month.
The Central Bank has accepted the entirety of the $ 58.6 million worth of bids received for the latest issuance of Sri Lanka Development Bonds (SLDBs).
The Central Bank of Sri Lanka (CBSL) has published a special publication on the history of currency used in Sri Lanka, titled ‘The 70-year journey of currency issue and management’ co-authored by CBSL Retired Director Communications Shellomi H. Gunawardena and CBSL Retired Senior Manager W.M.K. Weerakoon.
The Board of Investment (BOI) said yesterday that it would continuously strengthen its foundation and lead the orchestration in attracting market transforming FDI (foreign direct investment) while contributing substantially to the Government’s transformative economic agenda.
Says move due to delay by authorities to revise prices upwards
Temporary halt will lead to short-term interruption of supplies
To lobby further with authorities to return to biz
Says subsidiary companies will continue with their normal businesses without any interruptions
The Colombo stock market yesterday managed a marginal recovery as, judging by low activity, investor sentiment remained lacklustre.
The Government has floated a fresh $ 110 million (maximum) Sri Lanka Development Bonds (SLDB) issue.
Fitch Ratings yesterday warned that Sri Lankan corporates could face rating pressure should the Government further restrict imports amid weakening external finances.
The Ceylon Chamber of Commerce (CCC) yesterday assured President Gotabaya Rajapaksa that it was eager to promote a number of sectors, including exports and tourism, as soon as the country returns to normalcy with its vaccination drive.
Reiterates Bill has many features that will not only strengthen the regulatory mechanism but significantly contribute towards development of the market
Assures every attempt made in Bill to ensure that there are no grey areas or ambiguities
Colombo City Centre (CCC) is offering exclusive rewards for customers who have been fully vaccinated. As an initiative to promote the importance of vaccination in the battle against COVID-19, the Colombo City Centre rewards scheme hopes to motivate citizens to extend their support towards the vaccination drive in Sri Lanka and reward them for their dedication on the path to recovery.
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