EU grants € 15 m to boost circular economy in Sri Lanka’s food sector

The Cabinet of Ministers approved the signing of a grant agreement with the European Union to swiftly implement the € 15 million grant extended to boost the circular economy in the country’s food sector. 

The proposal presented by President Ranil Wickremesinghe in his capacity as the Finance, Economic Stabilisation and National Polices Minister was approved by the Cabinet at its meeting on Monday.

Under the “Multi-annual Indicative Program for Sri Lanka 2021-2027” published as part of the EU Strategic Program for Sri Lanka, a total grant of Euro 60 million has been allocated to Sri Lanka for the period 2021-2024. Out of this grant, € 15 million will be dedicated to the proposed project, which seeks to foster a circular economy within the food sector.

The primary objective of this groundbreaking project is to enhance the circularity of Sri Lanka’s food industry by promoting resilience in the face of food crises and climate change. 

“The project will focus on the implementation of efficient food distribution channels and methods to optimise supply chains and reduce food wastage. By improving these processes; the project aims to enhance food security, particularly for vulnerable groups, while simultaneously minimising waste,” Cabinet Co-Spokesman and Minister Bandula Gunawardena said at the post-Cabinet meeting media briefing yesterday.

By embracing circular economy principles, Sri Lanka aims to create a more resilient and sustainable food sector that benefits both the economy and the environment.