Thursday November 23, 2017
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Sri Lanka to cut taxes on agro-equipment: President

Oct 06, 2017 16:24 PM GMT+0530 | 1 Comment(s)

ECONOMYNEXT - Sri Lanka will cut taxes on agro-equipment to help farmers boost food production with modern technology, President Maithripala Sirisena had said.

President Sirisena, taking part in 'vap magul' or the ceremony to mark the beginning of the main 2017/2018 cultivation season in Kekirawa in central Sri Lanka said 2018 would be named the domestic food production year.

Sri Lanka's rice output was hit for two seasons due to drought. Many of Sri Lanka's agricultural produce is of low quality or costs too much due to being protected with import taxes and floor prices.

President Sirisena had said taxes on agricultural equipment and machinery will be cut to help farmers.

The move would improve the economic freedom of farmers. However it is not clear whether domestic agricultural equipment makers will protest to protect their profits.

Sri Lanka raised taxes on fishing boats during the Rajapakse regime to help politically-connected boat manufacturers earn high profits at the expense of fishermen. (Colombo/Oct06/2017)


 

1 Comments

  1. RMB Senanayake October 08, 05:51 AM

    Domestic producers must be protected and this can be done by having a truly market determined exchange rate. Before anything else the government must stop money creation by borrowing from the Central Bank even under the pretext of it being only a temporary measure for such ploys have been used too often.

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