Consumer lobby alleges plot to mix palm oil with coconut oil

Monday, 31 January 2022 02:31 - - {{hitsCtrl.values.hits}}

The National Movement to Protect Consumer Rights (NMPCR) alleges some businesses are attempting to mix palm oil with coconut oil and release it to the market.

NMPCR Convenor Ranjith Vithanage claims that some businesses had lobbied for a reduction in import tax of palm oil, and are looking to capitalise on the demand for coconut oil during the coming traditional New Year season in April.

The NMPCR stated that President Gotabaya Rajapaksa had previously instructed to increase tax on palm oil imports considering the risks posed to health and provided incentives for the promotion and use of coconut oil. However, with coconut oil production running low due to seasonal impacts, these businesses are looking to profit by mixing palm oil into coconut, Vithanage claims.

He called on the Government to consider reducing taxes on coconut oil imports to support consumers during the coming season.

He adds that these vested businesses have lobbied the Government for a reduction in taxes stating that the dip in coconut production will impact supplies of coconut oil for the New Year. He said Sri Lanka needs up to 4.8 billion coconuts a year for domestic consumption, oil production and export, but the country is currently producing, on average, 3 billion nuts.

The NMPCR says it is criminal for businesses to mix palm oil with coconut oil and urged the Government and the Minister of Plantations to take all necessary steps to avert an impending disaster. The organisation noted that frequent consumption of palm oil presents serious risks to health, such as cancer.