- Ranjan Arun Prasad
- For BBC Tamil
Image source, Getty Images
Depiction image
We can observe that the Sri Lankan economy continues to move towards a massive counter-challenge due to various reasons including the spread of the Govt virus that is threatening the world.
The government has banned the import of various commodities following the sharp fall in Sri Lanka’s foreign exchange reserves.
In this context, it can be seen that while there is a shortage of most commodities in Sri Lanka at present, prices for other commodities have risen sharply.
Fuel inflation
The price of fuel in Sri Lanka has risen sharply in the last few days without any prior notice from the government.
Octane 92 petrol has been increased by Rs 20 per liter and its new price has been fixed at Rs 177.
Octane 95 petrol has been increased by Rs 23 a liter to Rs 207 a liter.
The price of a liter of diesel has been increased by 10 rupees and its new price has been fixed at 121 rupees.
The price of a liter of super diesel has been increased by Rs. Its new price is 159 rupees.
Image source, MAHINDA AMARAWEERA’S FACEBOOK
Mahinda Amaraweera
With the price of kerosene rising by 10 rupees a liter, its new price is seen at 87 rupees.
Central Bank Governor Ajith Nivard Cabral has said that petrol prices have been increased to address the dollar deficit due to the lack of dollars to tackle the foreign exchange crisis facing Sri Lanka.
He says fuel consumption will decline in the wake of rising fuel prices.
Therefore, the central bank governor said he hopes to be able to reduce fuel purchases.
Sudden increase in prices of goods and services
Prices for goods and services in Sri Lanka have risen sharply again with the rise in fuel prices, while prices for goods already out of control have risen.
The All Ceylon Bakery Owners’ Association (ACBOA) has said it will lift control prices for food items following the rise in fuel prices.
With the deregulation, food items are being sold at different prices in different parts of the country.
In the wake of rising fuel prices, three-wheeler fares have also been increased.
The fare, which was 50 rupees per kilometer so far, has now been increased to 80 rupees.
The three-wheeler owners ‘and workers’ union says there has been no change in the fare of 45 rupees for each next kilometer.
Bus fare increase
The Sri Lanka Private Bus Owners’ Association has demanded an increase in bus fares with the increase in fuel prices.
The union has demanded an increase in bus fares by 15 to 20 percent.
Image source, UDITH K JAYASINGHE’S FACEBOOK
Udit K Jayasinghe
In this context, the bus owners had recently held talks with Transport Minister Dilum Amunugama.
Accordingly, a decision on the bus fare hike will be taken soon, said Foreign Minister Dilum Amunugama.
Increase in the price of vegetables
Vegetable traders say that with the sharp rise in prices of vegetables across the country, there is a possibility of further increase in vegetable prices with the rise in fuel prices.
Agriculture in Sri Lanka has been hit hard by the government’s ban on synthetic fertilizers aimed at promoting natural agriculture.
As a result, vegetable prices have risen sharply in recent years.
The prices of some vegetables were over Rs.500 and the prices of some vegetables had gone up to Rs.1,000.
Against this backdrop, farmers say the cost of transporting vegetables has increased due to the current rise in fuel prices.
Therefore, vegetable farmers and traders say that the prices of vegetables will increase in the near future.
Food shortage in Sri Lanka
Former Secretary to the Ministry of Agriculture says there will be food shortages in Sri Lanka Udit K Jayasinghe Reports.
He told the media that the current situation in the country would definitely lead to food shortages.
He was referring to the appointment of a new secretary to the Ministry of Agriculture, replacing Udit K. Jayasinghe, who had served as the Secretary to the Ministry of Agriculture during issues including synthetic fertilizers.
He said that when one looks at the current yields in the country, one can be sure that there will be food shortages in the country.
He asserted that his confession had been obtained through torture, and that his confession had been obtained through torture.
There will definitely be food shortages next year – Mahinda Amaraweera
The Minister of Environment has said that there will definitely be food shortages next year Mahinda Amaraweera Reports.
He also mentioned that he had stated this several times in the cabinet.
He says he can confirm this through data and field research.
He noted that not only Sri Lanka but also the international community was facing this food shortage.
Minister Mahinda Amaraweera says that new programs should be started with the aim of increasing agriculture.
Response of the Minister of Agriculture
The Minister of Agriculture has assured that there will be no shortage of food in Sri Lanka next year Mahindananda Aluthgamage Reports.
Image source, MAHINDANANDA AKLUTHGAMAGE’S FACEBOOK
Mahindananda Aluthgamage
He says there will be no shortage of food in the country as agriculture is being carried out on 90 to 95 acres of agricultural land.
Minister Mahindananda Aluthgamage has stated that he cannot accept the opinion that there will be food shortage in Sri Lanka.
The view of the economist
Bandara Vanninayake, a professor of economics at the University of Kelaniya, says that despite food shortages in Sri Lanka, food shortages will not be fatal.
He says as food prices rise, many will have to cut back on food intake.
He notes that when the supply of agricultural commodities declines, prices for those commodities increase.
However, he said that due to the culture of Sri Lankans helping others, no one would be killed.
He says starvation will never happen in Sri Lanka.
However, Bandara Vanni Nayaka, a professor of economics at the University of Kelaniya, says the economic downturn will be huge in the near future.