Sri Lanka’s confectionery manufacturers have assured the government that prices of biscuits, ice cream, chocolates and other sweet products will not be increased until May, despite rising costs triggered by the ongoing Middle East conflict.
The assurance was given by representatives of the Lanka Confectionery Manufacturers’ Association during a meeting with Trade, Commerce, Food Security and Cooperative Development Minister Wasantha Samarasinghe on Wednesday.
The discussion focused on the impact of the current global situation on the confectionery industry and how decisions taken by manufacturers could affect consumers during a period of economic pressure.
Minister Samarasinghe noted that consumers were already struggling with rising living costs and stressed the need to manage the situation in a way that protects both local industries and the public.
He said the government expects manufacturers to maintain stability while also assuring that authorities are prepared to intervene and assist the industry in overcoming difficulties.
Lanka Confectionery Manufacturers’ Association President S.M.D. Sooriyakumara said the sector includes biscuit, ice cream and chocolate manufacturers, supporting around 50,000 direct jobs and more than 500,000 indirectly.
He noted that the local confectionery industry meets about 95 per cent of domestic demand and has attracted more than Rs. 15 billion in technological investments over the past decade.
Sooriyakumara said the industry is currently facing rising utility costs and higher prices for imported raw materials, but manufacturers have not increased prices since the COVID-19 period and are operating on limited margins.
He added that March, April, November and December are peak production periods, with manufacturers already producing and distributing goods for the Sinhala and Tamil New Year season.
“As an association, we have decided not to increase prices until after the New Year season despite the challenges,” he said.
However, he warned that price revisions may be considered after May if gas prices, electricity tariffs and raw material costs continue to rise.
The association also highlighted delays in clearing imported raw materials at customs and said additional shipping surcharges had already been introduced.
Manufacturers further requested the government to ensure adequate fuel supply for distribution during the New Year season and to address issues in the current fuel distribution mechanism.
The meeting was attended by officials of the Trade Ministry and representatives of the Lanka Confectionery Manufacturers’ Association. (Newswire)