Sri Lankan government to invest over Rs. 750 million to set up organic supermarket chain
The government of Sri Lanka has decided to invest over Rs. 750 million to step up the country’s first organic supermarket chain covering the entire island through the state operated Sathosa Supermarket network.
According to local media reports, the first branch of the specialised chain is to open this month in Colombo 3 under the banner ‘Sathosa Organic Supermarket,’ with a green logo.
“We have already finished the preliminary work of branding and registering the suppliers of organic food and other products. The first outlet in Kollupitiya will be opened for the general public before the end of October,” Trade Minister Bandula Gunawardane has told the Daily FT.
Sathosa Organic Supermarkets will sell organic vegetables, fruits, treacle, palm sugar, spices, dried fruits and eco-friendly crafts. A price formula is to also be introduced to ensure a consistent supply of goods and affordability of the products.
“It is important to introduce a pricing formula to ensure that the farmers earn a decent income, whilst offering products to end consumers at an affordable price. In most cases, we have noticed that the intermediary agents or the retail chains selling organic products are the only ones that are benefitting. Hence, the price formula is necessary,” Gunawardane has added.
OSL take:
The policy decision by the government of Sri Lanka to transform the country’s agriculture sector to one based on organic fertilizer has now been taken a step further with the government deciding to promote organic food produce among consumers. Sri Lanka’s shift to organic has opened up many new business/investment opportunities ranging from expertise, technical and mechanical assistance as well as new high yielding seeds for cultivation. Foreign businesses/investors could therefore explore the growing business/investment opportunities in Sri Lanka’s agriculture industry.
| Article Code : | VBS/AT/02092021/Z_6 |