Sri Lanka Customs has announced that manual document submissions for Full Container Load (FCL) imports under office code CBHQ1 will no longer be accepted from October 19, 2026, as part of its transition to a paperless Customs declaration system.

In a notice, Sri Lanka Customs stated that the paperless processing of Customs Declarations (CusDecs) for FCL imports was officially launched on October 1, 2026.

Under the new system, all importers are required to obtain a digital signature and complete the necessary registration by October 19 to access the paperless processing service.

According to Sri Lanka Customs, approximately 2,000 importers have already obtained digital signatures, while a significant number are yet to complete the registration process.

Customs further clarified that importers who have already registered for digital signatures must immediately use the paperless system and should not submit documents manually, even before the October 19 deadline.

The Department urged all remaining importers to complete their digital signature registration before the deadline to ensure compliance with the new system. (Newswire)

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Postal employees have raised serious concerns over alleged irregularities at the Central Mail Exchange, claiming that parcels and goods sent overseas through the Express Mail Service (EMS) are not being subjected to Customs inspections, resulting in substantial revenue losses to the government and the illegal export of valuable national resources, it was reported.

According to the Lankadeepa newspaper, postal employees alleged that large quantities of prohibited and restricted items are being sent overseas through the Central Mail Exchange without proper Customs clearance.

They claimed that Customs officers recently conducted a raid at the facility and seized a quantity of prohibited items that had been prepared for export.

The employees further alleged that a senior female official at the Central Mail Exchange had relocated the EMS unit without consulting relevant parties, following the formation of the National People’s Power (NPP) government. They also questioned the decision to designate the relocated facility as a 24-hour service centre.

According to the employees, several government institutions, including Sri Lanka Customs and Plant Quarantine authorities, previously operated within the EMS facility to monitor outgoing parcels and goods.

However, they alleged that the Postal Department has now assumed full control of the facility, enabling the unauthorised export of restricted plants, including Kothala Himbutu, Wallapatta and Blue Water Lilies, as well as antiques.

They further claimed that individuals who previously required export licences for certain goods are now able to send such items overseas without obtaining the necessary approvals.

A postal employee told the newspaper that the Central Mail Exchange functions as an international border through which goods leave Sri Lanka, warning that the alleged lack of inspections could allow prohibited items to be exported without restrictions.

The employee urged the Postmaster General and relevant authorities to intervene immediately.

Meanwhile, Customs Media Spokesman and Director Chandana Punchihewa confirmed that Sri Lanka Customs had informed the Postal Department in writing about concerns regarding the export of plants and similar materials without Customs involvement.

He said Customs expects the Postal Department to take appropriate action.

According to the newspaper, attempts to contact Postmaster General Ruwan Sathkumara for a response to the allegations were unsuccessful. (Newswire)

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The government plans to introduce a simplified tax system from 2027, including the gradual removal of additional taxes imposed alongside Customs Duty, Deputy Minister of Economic Development Nishantha Jayaweera has announced.

Speaking at the official launch of the digital signature and paperless Customs declaration system, the Deputy Minister stated that the proposed reforms aim to make Sri Lanka’s taxation framework simpler and more convenient.

He explained that the government intends to streamline the existing tax structure by removing other levies charged in addition to Customs Duty, while introducing similar simplified procedures across other state institutions.

Jayaweera further stated that the integration of information technology into government institutions would be accelerated, describing the newly launched paperless Customs declaration system as an important milestone in the country’s digital transformation.

Highlighting the government’s broader digitalisation agenda, he said the ultimate objective is to fully digitalise all state institutions within a specified timeframe.

The Deputy Minister also referred to the National Single Window system adopted in other countries, which enables citizens, businesses and the trading community to access multiple government services through a single platform.

He noted that Sri Lanka is working towards establishing a similar system to improve efficiency and accessibility in public services.

Meanwhile, commenting on Customs revenue collection, Jayaweera revealed that Sri Lanka Customs is already nearing its annual revenue target of Rs. 2,207 billion for 2026.

He described the progress as a positive indication of improvements in the country’s revenue collection mechanism, adding that greater efficiency and systematic procedures would further strengthen the Department’s operations. (Newswire)

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Sri Lanka Customs has uncovered a consignment of metal scrap, including iron, concealed in an export container that had been declared as containing rice, Customs Spokesman Chandana Punchihewa said.

The discovery was made during a joint examination conducted by Sri Lanka Customs and Police today (01) at the TRICO Export Facilitation Centre (EFC), located near the port access road from Ingurukade Junction.

According to Punchihewa, the container had been prepared for export under a declaration identifying its contents as rice. However, following a tip-off received by authorities, the container was detained before it could be exported.

Police subsequently reported the matter to court and sought permission to examine the suspicious consignment.

The court directed Sri Lanka Customs to carry out the examination with the participation of Police officers.

Accordingly, Customs and Police jointly inspected the detained container today, revealing that it contained no rice as declared. Instead, the container was found to be loaded with various types of metal scrap, including iron.

The container had been intercepted before its scheduled export, Punchihewa confirmed. (Newswire)

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Sri Lanka imported 316,000 vehicles during the first six months of 2026, generating Rs. 512.55 billion in tax revenue, according to figures presented by Sri Lanka Customs to Parliament’s Committee on Ways and Means.

Of the total tax revenue generated through vehicle imports, motor vehicle imports accounted for Rs. 386.73 billion, the largest share of the collection.

Petrol-powered cars with engine capacities below 1,000cc emerged as the highest Customs revenue-generating commodity category during the period, bringing in Rs. 137.4 billion. The category alone accounted for 9.96% of Sri Lanka Customs’ total revenue.

The figures were disclosed during a review of Sri Lanka Customs’ operations and revenue performance by the Committee on Ways and Means, chaired by MP Wijesiri Basnayake.

Overall, Sri Lanka Customs collected Rs. 1.379 trillion by June 30, significantly exceeding the Rs. 1.061 trillion revenue target set for the period. The collection represented 130% of the targeted amount.

Customs officials also told the committee that revenue had exceeded the monthly target in every month during the first half of 2026 and was higher than the corresponding monthly collections in 2025.

The committee also reviewed container inspection procedures, the introduction of modern technology to improve Customs efficiency, challenges in revenue administration and future plans. (Newswire)

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Sri Lanka Customs has once again exceeded its monthly revenue target, achieving the August goal ahead of schedule and marking the eighth consecutive month of surpassing expectations.

The target for August was set at Rs. 190.3 billion. By August 27, Customs had already collected Rs. 199.6 billion, with officials projecting revenue to cross Rs. 200 billion by the end of the day.

For 2026, Customs has been tasked with meeting a revenue target of Rs. 2,207 billion, 13.5% lower than last year’s figure due to anticipated declines in motor vehicle imports. Yet within the first eight months, the institution has already secured Rs. 1,832.7 billion, representing 83% of the annual goal.

Authorities attribute the strong performance to the easing of import restrictions imposed after the 2022 economic crisis, stabilization of reserves, and a gradual recovery in consumer demand. Enhanced enforcement, closer monitoring of undervaluation and misdeclarations, and improved valuation practices have also contributed significantly to boosting state income.

In 2025, Customs reported Rs. 2,557.535 billion in revenue, exceeding its target and reinforcing its role as the single largest contributor to Treasury income. Officials note that Customs continues to play a decisive role in helping the Government meet fiscal targets under the IMF‑supported program. (Newswire)

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Customs Narcotics Control Unit officers at the Bandaranaike International Airport arrested a 54‑year‑old Angolan woman in possession of 237 grams of cocaine valued at over Rs. 10 million.

It is reported that she had traveled from Angola to Addis Ababa, Ethiopia, and then arrived in Sri Lanka via Doha, Qatar. After disembarking, she was seen moving through the terminal in a wheelchair, drawing the attention of customs officers.

Investigations revealed that the suspect voluntarily handed over 14 pellets containing cocaine. She also admitted to having swallowed several more pellets, which are now the focus of further investigation.

The Customs Narcotics Control Unit is continuing inquiries into the incident. (Newswire)

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Customs officers at the Bandaranaike International Airport (BIA) have arrested a Sri Lankan woman attempting to illegally transport a stock of flower plants concealed inside travel bags. 

The passenger, who arrived from Bangkok on SriLankan Airlines flight UL 403, was intercepted at the Green Channel by airport customs officers together with officials from the Biodiversity, Cultural and National Heritage Protection Unit of Sri Lanka Customs.

According to the Plant Protection Act No. 35 of 1993, the importation of plants or their parts into Sri Lanka requires a valid permit issued by the Department of Agriculture, along with a quarantine certificate from the exporting country confirming freedom from pests and compliance with all quarantine conditions.

Customs officials stressed that any importation outside these requirements constitutes an illegal act and a violation under the Customs Ordinance.

Following investigations, the stock of flower plants was confiscated, and a fine was imposed on the passenger. The seized plants have been handed over to the Airport Plant Quarantine Office for destruction. (Newswire)

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The Criminal Investigation Department (CID) has launched a special investigation into an alleged luxury vehicle smuggling racket involving a son of a former President, according to a report published by the state-owned newspaper Dinamina.

The report did not identify the former President or the individual alleged to be involved.

According to Dinamina, investigators are probing the alleged illegal importation of luxury vehicles worth millions of rupees by evading Customs duties during previous administrations.

The report claimed that several vehicles had allegedly been brought into the country concealed inside shipping containers and that some were being used by children of politically connected individuals.

It further alleged that some of the vehicles had been registered with the assistance of corrupt officials at the Department of Motor Traffic.

Dinamina also reported that investigators had found instances where Customs duties were later paid for vehicles instead of the vehicles being confiscated.

The newspaper further claimed that one such vehicle had previously been seized by the CID and handed over to Sri Lanka Customs, where it remains in custody.

According to the report, the son of the former President is expected to be summoned by the CID for questioning next week as part of the ongoing investigation.

No official statement has yet been issued by the Police or the CID regarding the reported investigation. (Newswire)

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Sri Lanka Customs officers at the Bandaranaike International Airport (BIA) have arrested a foreign national attempting to smuggle foreign cigarettes valued at Rs. 4,200,000 into the country.

The suspect, identified as a business employee, arrived on a China Eastern Airlines flight at 7.11 pm yesterday (28) and was stopped at the Green Channel arrival terminal.

A search of the passenger’s luggage uncovered 140 cartons of foreign cigarettes (28,000 sticks) concealed inside. Customs staff immediately intercepted the contraband.

The goods have been forfeited under prevailing regulations, with further inquiries underway. (Newswire)

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Nearly 30 grams of 24‑carat gold valued at approximately Rs. 2.8 million was found in the possession of two women detained alongside a group suspected of attempting to smuggle gold from Sri Lanka to India on Wednesday. 

A customs inquiry into the pair is currently underway.

Customs officials said samples of around 520 grams of a substance suspected to be liquid gold, seized from two other suspects, have been sent for laboratory testing. 

Four more suspects remain under observation at the Jaffna Teaching Hospital until they expel suspected gold substances from their bodies.

Meanwhile, 18 passengers were released yesterday after examinations confirmed no hidden items were discovered.

The incident stems from the detention of 26 passengers, including 17 Indians, three Sri Lankan men and six Sri Lankan women, at Kankesanthurai Port on Wednesday (17). 

Acting on intelligence, Sri Lanka Customs intercepted the group as they prepared to board ferry SG423 bound for Nagapattinam, India. 

Two passengers were initially found with gold, prompting authorities to refer all 26 to the Jaffna Teaching Hospital for further examination.

Customs officials said investigations into the suspects are continuing. (Newswire)

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Sri Lanka plans to tighten customs screening to better identify imported goods made with forced labour and to implement international labour standards in a bid to avoid new U.S. tariffs on its exports, according to a report by Reuters.

Deputy Minister of Finance Anil Jayantha Fernando told Reuters that Sri Lanka already has strong labour practices and a legal framework in place, but will take further measures to eliminate concerns over child labour and forced labour. 

He said the country will adopt the International Labour Organisation’s C190 convention, ratified in April, which recognises the universal right to work free from violence and harassment.

The U.S. is Sri Lanka’s largest export market, accounting for about $3 billion in mostly apparel shipments. The apparel industry, which employs around 300,000 workers, reported $5 billion in exports last year, though shipments dipped 7.4% to $1.53 billion in the first four months of this year.

Sri Lanka is among 60 economies facing proposed new U.S. tariffs of up to 12.5% that could take effect next month.

Under the measures announced by the Office of the United States Trade Representative (USTR), Sri Lanka would face a 12.5% duty, higher than competitors such as Bangladesh and Pakistan, which fall under the 10% rate. A special textile mechanism has also been proposed to allow limited apparel and textile imports at reduced tariff rates.

The USTR has cited failures by 54 economies to impose prohibitions on forced labour imports, while six others, including Canada, Mexico, Pakistan, Indonesia, Ecuador, and the EU, were found to have failed to enforce existing regimes. 

U.S. Trade Representative Jamieson Greer said such failures “create a dynamic where American workers are forced to compete globally on an uneven playing field,” adding that Washington “will no longer tolerate this disparity.”

Public hearings on the proposed tariffs are scheduled for July 7, with written comments due by July 6 and requests to appear at hearings by June 22. 

Fernando said talks with the Office of the United States Trade Representative are ongoing, though Sri Lanka does not yet plan to send a delegation to Washington. (Newswire)

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Sri Lanka Customs has outperformed its May revenue target, collecting Rs. 217.9 billion against the expected Rs. 187.8 billion, a 16% increase, official data revealed.

The strong performance pushed cumulative revenue in the first five months of 2026 to Rs. 1,143.7 billion, exceeding the target by 44% compared to the same period last year. 

Customs has already achieved 51.8% of its annual target of Rs. 2,207 billion, set lower than last year’s record Rs. 2,551 billion due to expectations of reduced car imports.

Officials attribute the surge to tighter enforcement, improved valuation practices, and a rebound in import volumes after years of contraction. 

Measures against under‑invoicing and misdeclaration have also bolstered collections, positioning Customs as a key revenue source for the Treasury.

Last year, Customs exceeded its revised target of Rs. 2,241 billion by more than Rs. 300 billion, marking a 64.2% jump from 2024’s Rs. 1,553 billion. 

The latest figures suggest that despite a lower target for 2026, Customs remains on track to deliver another strong year. (Newswire)

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Sri Lanka Customs says vehicle imports have not declined significantly despite the surcharge imposed earlier this year, with imported vehicles continuing to enter the market.

Addressing the media, Customs spokesperson Chandana Punchihewa noted that although a large number of vehicles remain unsold, imports have not dropped as expected, and the slight reduction observed has not had any monetary impact on state revenue.

Chandana Punchihewa explained that vehicle imports contribute around 30 per cent of Customs income. 

He further said that monthly revenue figures reflect this steady contribution: in January, total revenue was Rs. 235 billion, of which Rs. 91 billion came from vehicles; in February, Rs. 215 billion with Rs. 75 billion from vehicles; in March, Rs. 231.9 billion with Rs. 77 billion from vehicles; in April, Rs. 242.9 billion with Rs. 84 billion from vehicles; and in May, up to May 28, Rs. 212 billion with Rs. 76 billion from vehicles.

Chandana Punchihewa added that the rise in the dollar rate, partly due to the Middle East war, has increased the rupee value of Customs taxes, thereby boosting revenue rather than reducing it.

He added that last year vehicle imports accounted for 30–35 per cent of Customs revenue, a trend continuing this year.

“Despite the surcharge, no reduction has been reported as previously expected,” he said. (Newswire)

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Thirteen Chinese nationals have been taken into custody at the Katunayake Airport after officials seized a large stock of foreign cigarettes valued at over Rs. 28 million.

Customs officials said the group had arrived from Bangkok, Thailand, on two flights. 

They were intercepted at the arrival terminal carrying 22 travel bags, inside which officers discovered 189,600 cigarettes.

The consignment is estimated to be worth Rs. 28,440,000. 

Airport authorities confirmed that the suspects are businessmen aged between 28 and 45 years. (Newswire)

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Customs officers at Katunayake Airport have arrested three Chinese businessmen for attempting to smuggle a large stock of foreign‑made cigarettes into Sri Lanka early this morning (25).

The suspects, aged 31, 36, and 40, were apprehended while trying to pass through the Green Channel without declaring the goods. 

Investigations revealed that the cigarettes had been purchased in China, transported via Kuala Lumpur, and brought into Sri Lanka concealed in six pieces of luggage.

Officials discovered 202 cartons containing 40,000 cigarettes, with the total consignment valued at approximately Rs. 6.6 million.

The suspects are currently in Customs custody at Katunayake Airport, while further investigations into the incident are ongoing. (Newswire)

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Customs Narcotics Control officers at the Katunayake Airport today (18) arrested two Sri Lankan passengers attempting to smuggle a large stock of “Kush” narcotics valued at over Rs. 140 million.

The suspects had arrived from Bangkok on a SriLankan Airlines flight around 9.30 am and were intercepted while trying to exit through the Green Channel. 

Customs Officials discovered 14.562 kilos of Kush concealed inside two pieces of luggage.

The drugs had been carefully packed into 28 parcels and hidden among clothing, according to Customs.

Investigations revealed that the suspects are residents of Dematagoda, Colombo. One is a 23‑year‑old employee at a liquor store, while the other is a 30‑year‑old Nattami.

Both men have been handed over to the Katunayake Airport Police Narcotics Division for further inquiries. (Newswire)

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The Vehicle Importers Association of Sri Lanka (VIASL) has cautioned that the Government’s newly‑imposed 50% surcharge on vehicle imports will push prices up by at least Rs. 1.5 million, worsening affordability for consumers.

VIASL Spokesperson Arosha Rodrigo told the media that the surcharge, announced through a gazette, comes on top of existing customs duties and recent increases in foreign currency rates.

“Vehicle prices are rising at a rate that no one can afford. The new surcharge on top of this is unbearable for vehicle importers. Many vehicles will increase by 1.5 to 2.5 million rupees,” Rodrigo said.

He explained that customs duty for every vehicle, whether personally imported or sold through dealerships, will increase due to the surcharge. “Definitely, there will be a minimum increase of Rs. 1.5 million for vehicles. But it depends on vehicle to vehicle,” he added.

Rodrigo noted that those who had already opened Letters of Credit before May 15 would be spared the surcharge, though they would still face higher costs due to the rising US dollar and Japanese yen.

VIASL warned that the combined impact of the surcharge, currency fluctuations, and the recent 2.5% increase in the Social Security Contribution Levy would lead to significant price hikes across the market. (Newswire)

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Sri Lanka Customs officers at the Bandaranaike International Airport (BIA) have intercepted an Indian national attempting to smuggle foreign cigarettes valued at Rs. 5,040,000 into the country.

The suspect, a 26‑year‑old business employee, arrived from Bangkok, Thailand, at 11.28 pm yesterday (14).

He was stopped at the Green Channel arrival terminal during a targeted inspection by Customs staff.

A thorough examination of his checked baggage revealed 168 cartons of foreign cigarettes (33,600 sticks) concealed inside two pieces of luggage.

Customs officials confirmed that the contraband has been forfeited under existing regulations, and further investigations are underway. (Newswire)

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The Cabinet of Ministers has approved the appointment of Wimal S.K. Liyanagama as the new Director General of Customs, effective today (05).

Liyanagama, an officer of the Special Grade of the Sri Lanka Administrative Service, currently serves as Director General of the Department of Management Services. 

His appointment follows the conclusion of the term of Seevali Arukgoda, who has been serving as Director General of Customs until today.

The proposal for the appointment was presented by President Anura Kumara Dissanayake in his capacity as Minister of Finance and received Cabinet approval. (Newswire)

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