Tea

Sri Lanka October Ceylon tea production down in 27-years

Friday November 25, 2022 9:30 am

ECONOMYNEXT – Sri Lanka’s Ceylon Tea production is down 22.44 percent in October 2022 from a year earlier to 18.7 million kilograms while the total output for the ten months dipped 18.3 percent from the previous year, mainly
due to bad weather, top official said.

“The production during the October month dropped because we had heavy rain continuously for about two weeks,” Tea Board Chairman Niraj De Mel said at a press conference held on November 24.

“Also the estate workers took a few days off for the Deepavali holidays because of that there was a drop in October, compared to other months.”

From January-October 2022, the total production is 211.39 million kilograms compared to 258.90 million kilograms for the same period in the previous year.

“This would be the lowest recorded for the period under review since 1995 where it recorded approximately 201.78 million kilograms,” industry data published by Forbes and Walkers Tea Brokers show.

“On a cumulative basis, all elevations have shown a decline over the corresponding period of 2021.”

In October 2022, high grown tea production fell 19.3 percent to 3.8 million kilograms.

Medium grown fell 24.2 percent to 2.9 million kilograms and low-grown were down 22.9 percent to 11.7 million kilograms, industry data published by Forbes and Walkers Tea Brokers show.

The national average tea price in the month of October was 5.72 dollars or 2077.46 in rupees.

Sri Lankan tea has been earning higher prices for tea exports in rupees after the currency was depreciated in March against the USA dollar in 2022.

October tea exports too dipped 22 percent to 19 million kilograms.

Even in 2020, amidst the COVID-19 pandemic, tea production had totaled 225.28 million kilograms for the period.

Industry growers had said that some estates were cut off from fertilizers for up to 18 months and they warned that it will have a detrimental impact in the years to come.

The cost of production of tea growers has steeply risen by 30-35 percent so far this year as the country’s currency collapsed while they are still cut off from fertilizer despite a ban on agrochemicals being lifted.

From electricity to labor to packaging – all the prices have hit the roof.

The industry had previously predicted the tea output to dip following a fertilizer ban imposed from April to November 2021.

The ban was imposed on fertilizer and agrochemicals after money printing created forex shortages and health concerns. (Colombo/Nov25/2022)

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Markets

Sri Lanka stocks close up as some investor interest returns

Monday December 4, 2023 6:12 pm

ECONOMYNEXT – The Colombo Stock Exchange closed up on Monday, CSE data showed.

The All Share Price Index was up 0.22 percent, or 23.33 points, at 10,743.59.

The S&P SL20 index was up 0.68 percent, or 20.60 points, at 3,067.73.

Turnover was at 708 million. The banks sector contributed 189 million, while the food, beverage and tobacco sector contributed 176 million of this.

Sri Lanka’s stock market has seen some investor interest return after last week’s news that the country had managed an agreement on a debt restructuring deal with an official creditor committee, and foreign funds for some development projects resumed.

Top positive contributors to the ASPI in the day were Sampath Bank Plc (up at 71.50), LOLC Holdings Plc (up at 379.00), and Commercial Bank of Ceylon Plc, (up at 90.90).

There was a net foreign outflow of 52 million.

Citrus Leisure Plc, which announced that its banquet hall and revolving restaurant at the Lotus Tower would launch on or around Dec 9, saw its share price rise to 6.20 rupees. (Colombo/Dec4/2023).

Bonds & Forex

Sri Lanka rupee closes broadly steady at 328.10/30 to the US dollar

Monday December 4, 2023 5:24 pm

ECONOMYNEXT – Sri Lanka’s rupee closed at 328.10/30 to the US dollar on Monday, from 328.00/10 on Friday, dealers said.

Bond yields were stable.

A bond maturing on 01.06.2025 closed at 13.70/14.00 percent from 13.70/95 percent.

A bond maturing on 01.08.2026 closed at 13.90/14.10 percent from 13.90/14.05 percent.

A bond maturing on 15.01.2027 closed at 14.00/14.10 percent from 14.05/10 percent.

A bond maturing on 01.07.2028 closed at 14.20/35 percent from 14.15/25 percent.

A bond maturing on 15.05.2030 closed at 14.25/45 percent, from 14.20/45 percent.

A bond maturing on 01.07.2032 closed at 14.05/40 percent, from 14.00/45 percent. (Colombo/Dec4/2023)

Crime

Gov minister highlights abortion rights, sex-ed for children, and Sri Lanka men killing their women

Monday December 4, 2023 4:21 pm

ECONOMYNEXT – Sri Lanka’s legislators have politicized the topics of rape and violence without addressing the elephant in the room, Jeevan Thondaman, Minister of Water Supply and Estate Infrastructure Development said in parliament on Monday (4).

“All the members here are talking about rape. What happens after that? We must talk about abortion rights. That is not something anyone wants to touch on, and that is why we are in this place right now,” Thondaman said.

“Despite alarming statistics on rape and violence, women are often blamed and punished for it. The criminalisation of abortion is a major example of this.”

Sri Lanka has some of the most restrictive abortion laws in the world. According to a 2016 estimate by the Health Ministry, he said, approximately 658 abortions take place a day, and close to 250,000 a year.

“That’s 250,000 women whose lives you are endangering.”

He added that what was needed at this point in time was comprehensive sexual education (CSE) for children and young people.

“Only through CSE in schools will children and young people develop, accurate, age appropriate knowledge attitude and skills; positive values such as respect for human rights, gender equality, diversity and attitude and skills that contribute to a safe, healthy and positive relationship.”

Thondaman pointed out that CSE plays a pivotal role in preparing young people for a world where HIV, AIDS, sexually transmitted infections, unintended pregnancies, and sexual and gender based violence still pose a risk to their well-being.

“CSE basically empowers children take control and make informed decisions freely and responsibly.”

Thondaman also highlighted the findings of a 2021 study (Fatalities_20211109_UNFPA) by the UNFPA and the University of Kelaniya that showed that a majority of women killed in Sri Lanka were murdered by those close to them.

“62 percent of homicides of Sri Lankan women are committed by either an intimate partner, ex-partner or family member. 84 percent are killed in their own homes by someone they know.”

Police and the judiciary have failed Sri Lanka’s women, the minister pointed out.

“Only 5 percent of these cases, between 2013-2017, were ever concluded. Men claim they were provoked, or are of unsound mind or have mental illness: These have been successful defenses. And the Police often express sympathy to this narrative as opposed to the victim’s.”

“We have a history of protecting oppressors.”

It takes 7-10 years for a child rape case to conclude, he pointed out.

Establishment of child courts are needed, he said, as well as several legislative amendments. “The government is working on a new law to reform the domestic violence act, reform of marriage and divorce laws to ensure there is an easier path to divorce: no one should be forced to remain in a marriage that is either abusive or not healthy.” (Colombo/Dec4/2023)