Sri Lanka President calls for stronger price regulation mechanism

President Anura Kumara Dissanayake has called for a stronger price regulation mechanism in Sri Lanka, saying market competition alone cannot be expected to control the prices of goods and services in a small market.

The President said Lanka Sathosa and the co-operative movement should be further strengthened and used as key players in the market to support price regulation and protect consumers.

He made these remarks today (August 14) during a meeting at the Presidential Secretariat in Colombo to review the progress of projects implemented under the 2026 Budget allocations for the Ministry of Trade, Commerce, Food Security and Co-operative Development and to discuss the Ministry’s proposals for the 2027 Budget.

The meeting reviewed the performance of programmes carried out by 16 departments, self-financing institutions and institutions operating with Treasury allocations under the Ministry, particularly those aimed at ensuring food security and protecting consumer rights.

Officials said a programme is underway to provide farmers with mechanical dryers at concessionary rates for drying paddy and other grains. Arrangements have been made to import 45 dryers, which will be provided to 45 selected institutions from 65 applicants.

The meeting also reviewed a project to establish nine wholesale distribution centres covering all nine provinces. Construction of the centres in Kurunegala and Matara has already been completed.

President Dissanayake reviewed the progress of a Rs. 1 billion project under the 2026 Budget to establish rural-level rice processing centres.

The construction of a potato purchasing centre in Nuwara Eliya and a grain legume processing centre in Monaragala was also reviewed. The President stressed the need to introduce new programmes to support big onion and maize farmers.

The roles of departments and institutions under the Ministry were reviewed individually, with attention given to challenges faced by each institution and measures required to address them.

Officials said 34 new Production Co-operative Societies have already been registered under a project carried out by the Department of Co-operative Development targeting young people. The programme aims to encourage greater participation by the younger generation in the co-operative sector.

Programmes implemented by the Department of the Food Commissioner were also discussed, including progress in establishing new warehouse complexes and installing solar power systems.

The meeting focused on strengthening the Co-operative Wholesale Establishment, Lanka Sathosa and the wider co-operative movement to increase competition in the market and provide a higher-quality service to consumers.

There are currently about 2,100 co-operative outlets across Sri Lanka, including Co-op Mega City and Co-op City outlets.

Discussions were held on increasing their market share and addressing challenges affecting the sector. Officials also said legislation is being drafted to address management weaknesses identified within the co-operative sector.

The President also reviewed the operations of Sri Lanka Thriposha Limited, which has recently received considerable public attention.

Officials said Rs. 5 billion has been allocated to the company under the 2026 Budget and its operations are being maintained around the clock.

Arrangements are also being made to distribute Thriposha to all Medical Officer of Health (MOH) offices and transport the products to the relevant locations.

It was also noted that Lanka Thriposha Limited has obtained internationally recognised ISO certification relating to food safety and quality.

The meeting discussed issues involving the sourcing of raw materials, storage and procurement processes, as well as concerns relating to employees.

Further discussions were held on improving the quality of Thriposha products to ensure they meet the required standards for consumption by children aged between six months and three years.

The activities of the Department of the Registrar of Companies were also reviewed.

Secretary to the Ministry of Finance, Planning and Economic Development Dr. Harshana Suriyapperuma instructed officials to submit proposals to resolve issues affecting the Department and introduce the necessary legal reforms.

President Dissanayake instructed officials to expedite the processing of about 3,000 pending company registration applications to reduce delays in the registration process.

The 2026 performance and progress of the Department of Commerce were also reviewed. Officials said representatives from 33 countries are involved in the Department’s activities through their respective embassies and high commissions.

The President said gaining access to international markets must be a key priority as Sri Lanka works towards its future economic targets.

He said Commercial Officers should focus on identifying new international markets and increasing export targets.

The President also stressed the importance of conducting market research and working closely with institutions such as Chambers of Commerce to obtain and share relevant market information.

He said the Department of Commerce has an important role in strengthening the economy by expanding Sri Lanka’s presence in emerging and growing markets and called for proactive action towards this objective.

Special attention was also given to the activities of the Consumer Affairs Authority.

The President was informed that special inspections had been conducted at restaurants serving passengers on long-distance buses and at restaurants operating within private hospitals.

Noting frequent public concerns over food and beverage standards and price regulation, the President instructed the Consumer Affairs Authority to take proactive measures in these areas.

Officials also said the use of polythene had been reduced from 26 million units to 16 million units through the intervention of the Consumer Affairs Authority.

Plans are underway to further develop the programme by promoting alternatives to polythene.

The meeting also discussed measures to further streamline Sri Lanka’s laboratory accreditation process and develop a comprehensive programme for this purpose.

Discussions were also held on the construction of Economic Centres in Bandarawela and Matale planned under the 2027 Budget allocations and on activities relating to the Co-operative Village in Tharapuram, Mannar.

Minister of Trade, Commerce, Food Security and Co-operative Development Wasantha Samarasinghe, Deputy Minister of Trade, Commerce and Food Security R.M. Jayawardena, Deputy Minister of Co-operative Development Upali Samarasinghe, Secretary to the President Dr. Nandika Sanath Kumanayake, Chief of Staff to the President Prabath Chandrakeerthi, Senior Additional Secretary to the President Kapila Janaka Bandara, Secretary to the Ministry of Finance, Planning and Economic Development Dr. Harshana Suriyapperuma and Secretary to the Ministry of Trade, Commerce, Food Security and Co-operative Development K.A. Vimalenthirarajah attended the meeting.

Officials of the Ministry of Finance and heads and senior officials of institutions under the Ministry of Trade, Commerce, Food Security and Co-operative Development also participated.