Import duty on big onions, potatoes upped

The import duty on big onions and potatoes has been increased following a directive by President Mahinda Rajapaksa to safeguard produce of local farmers in the harvest season.

 

The duty on one kilo of big onions has been increased to Rs. 50 from Rs. 25 and on potatoes to Rs. 30 from Rs. 10 previously.

The Finance Ministry said a big harvest of big onions and potatoes is expected by mid-August during the 2012 Yala season and the hike was to provide a fair price for local farmers.

It also said that to encourage local farming, the Government continues to provide a fertiliser subsidy and during harvest times, import duties on chillies, maize, gram, sugar, and kurakkan have been increased.

The Finance Ministry said Government policies have resulted in local production of these items meeting 50% of local demand apart from achieving self-sufficiency in rice and maize.