Govt. reintroduces Rs.100 tax for canned fish

Friday, 29 January 2016 00:00 - - {{hitsCtrl.values.hits}}

Cabinet has decided to re-impose an Rs.100 tax per kilogram of canned fish that was removed during elections last year, in an effort to encourage local producers.

A Cabinet paper submitted by Fisheries and Aquatic Resources Development Minister Mahinda Amaraweera called for the return of the tax on the grounds that it would encourage four local companies engaged in producing canned fish.

“Initially Sri Lankan companies imported 20,000 MT of canned fish for annual consumption. But not only have these imports doubled since the tax was reduced but they are below standard. Under new regulations a 435g of canned fish should include at least 280g of fish excluding liquid and be sold at a maximum price of Rs.140,” Cabinet spokesman Dr. Rajith Senaratne told reporters.

The consumption of canned fish costs Sri Lanka an estimated Rs.10 billion per annum. Local companies will be given permits to import mackerel to be canned that will be exempt from the newly imposed tax.

The Cabinet decision is expected to be gazetted soon. (UJ)