CAA taking flour firms to court

Thursday, 21 April 2011 00:57 - - {{hitsCtrl.values.hits}}

By Shezna Shums

The Consumer Affairs Authority has written to both Prima Ceylon Limited and Serendib Flour Mills Company that it would be taking both companies to Court for illegally raising the price of flour.

The letter from the CAA was sent yesterday (20) to both companies said Chairman, CAA, Rumy Marzook.

Serendib Flour Mills (Pvt) Ltd. as of yesterday had not received this letter from the CAA.

Serendib Flour Mills (Pvt) Ltd had earlier told the Daily FT that they were waiting to be summoned by the relevant authorities for discussions on this matter despite the fact that they had illegally raised the price of flour. Both Prima Ceylon Limited and Serendib Flour Mills Company had not requested permission from the CAA for this price revision, as required by law stated the CAA.

Prima Ceylon Limited has raised the price of a kilo of flour by Rs. 4.10 while Serendib Flour Mills Company has raised the price of a Kilo of flour by Rs. 4.12.

Meanwhile the All Ceylon Bakery Owners’ Association, President, N.K. Jayawardena said that their members were meeting today (21) to discuss if and by how much the price of flour based products should be raised following the increase in price of a kilo of flour.

Currently a loaf of bread costs between Rs 45 to Rs 50, and weighs an average of 450 grammes.