(June 23, 2010, Sri Sri Lanka government today increased the price of wheat flour in local market by imposing a new tax of Rs. 10 per kilo.
Wheat flour is considered an essential commodity and the price is controlled.
Accordingly, Sri Lanka’s major flour retailer Prima increased price of a kilo of flour by Rs. 10.50. The price of a kilo of flour sold by Prima will be raised from Rs. 63 to Rs. 73.50. The price increase is valid since midnight today.
The other flour retailer Serendib will also increase price soon, sources say.
The price of the bakery products is also to go up since today.
The government also imposed a new tax of Rs. 5 per kilo of sugar as well.
Meanwhile, the major opposition United National Party (UNP) criticized government’s moves to increase prices of essential commodities citing the escalation of prices in world market as reason, but not giving the advantage of the price de-escalations in world market to the consumers.
The UNP spokesman MP Lakshman Kiriella said that the price of sugar went down in world market. But the government imposed a tax of Rs. 5 per kilo of sugar preventing the decrease of sugar price in local market.
Sri Lanka government recently increased the price of milk powder. Before that the LP gas price was also increased. Now the government repeatedly highlights that the fuel prices will not be raised. This is a tactic to avoid the rightful bringing down of prices to match the world market prices. The government is silently imposing taxes to keep the dropping prices up.
Mahinda Rajapaksa regime is afraid of nothing. No elections close by.
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