Sri Lankan government to reduce levy on tea exports to further boost tea exports
Sri Lanka’s Government Information Department has announced that the country’s Cabinet of Ministers has granted approval to a proposal by Sri Lanka’s Plantation Industries Ministry to reduce a levy imposed on tea exports.
Accordingly, the levy has been reduced to Rs. 3 a kilo from the previous Rs. 3.50.
The amendment of the Tea Promotion and Marketing levy on tea exports will be prepared through the legal draftsman and presented to for parliamentary approval, the Government Information Department statement has said.
The levy was imposed to raise funds to promote Ceylon Tea globally and the authorities have already taken steps to launch the global promotional campaign in September from Russia.
According to the statement, the decision to reduce the tea export levy was taken considering rising costs faced by exporters who already pay several other taxes.
OSL take:
Many initiatives have been taken by Sri Lanka’s tea sector to uplift and further boost local tea exports. Ceylon Tea, which at one time dominated the global tea market, is once again in the process of regaining its past glory. The government of Sri Lanka has launched many programmes to uplift and develop the local tea industry while on the other hand drawn up plans to promote Ceylon Tea in global markets. Accordingly, a massive promotional campaign is to be launched from Russia this September. Statistics have shown an increase in tea prices as well as tea exports. The latest decision to reduce levy on tea exports would further boost the local tea exporter. All this has resulted in the creation of many business/investment opportunities in Sri Lanka’s tea sector.
| Article Code : | VBS/AT/24072019/Z_2 |