ECONOMYNEXT – Sri Lanka’s finance ministry has hiked the import tax on large onion to 40 rupees a kilo from 20, with effective from midnight May 21, the finance ministry said.
The so-called special commodity levy has been raised to give higher prices domestic farmers whose products are now coming to the market.
Sri Lanka can raises import taxes by midnight gazette without prior notice or parliamentary approval.
The levy will be in effect for six months.
Sri Lanka’s onion and potato farmers earn rents from import duties. (Colombo/May21/2019)