Sri Lanka temporarily reduces tax concessions on wheat flour imports

06/04/2016,

As of 23 March 2016, the Government of Sri Lanka has temporarily reduced tax concessions on wheat flour imports, with the aim to encourage local rice consumption. Demand for imported wheat as a substitute to rice has been on the increase prompted by low wheat prices in international markets. Through temporarily removing the concessions for wheat flour imports, the Government hopes to increase demand for locally produced rice, which is in abundant supply after an estimated record output in 2015, and in view of another above-average crop forecast in 2016, thus protecting farmers from a slump in sales and prices.

Country: Sri Lanka