A marginal increase in wheat flour prices of approximately Rs. 10 or less can be expected due to a rise in import duty, The Sunday Morning learns.
Essential Food Importers’ and Traders’ Association (EFITA) Spokesperson Nihal Seneviratne told The Sunday Morning that a small increase in retail prices would occur.
“There will be a small increment in the retail price of a kilo of wheat flour. It will be minimal – between Rs. 5-10 per kilo.”
He explained that this was a result of the duty waiver being rescinded, but added that other external factors would ensure that the increase would not be felt too much through the retail price of flour.
“Once the duty waiver was withdrawn, the duty returned to Rs. 16 and with other taxes such as PAL and VAT, the total duty increased roughly by about Rs. 20. However, the global prices of wheat flour, particularly in Turkey where we purchase from, have come down, so it balances out the increase in duty,” Seneviratne said.
– By Skandha Gunasekara