President steps in to put an end to ‘period poverty’

• Govt. scraps all duties on imported raw material for locally-made sanitary napkins
• Tax relief for imported finished sanitary napkins as well
• Zero VAT status for local producers and importers
• Move follows industry requests, says President’s Media
• Locally-made products to be cheaper by Rs. 60; imports by 19%

The Government yesterday announced measures to waive duties imposed on five imported raw materials for locally produced sanitary napkins.

The move is to make hygiene products more affordable in view of ensuring hygiene among women and school girls. In addition, the Government has also decided to provide tax concessions for imported finished sanitary napkins as well.

A statement from the President’s Media Office said following the move, the price of a pack of 10 sanitary napkins produced locally will be reduced by Rs. 50 to Rs. 60 and the maximum retail price of a pack will be Rs. 260-Rs 270.  Additionally, the consumer retail prices of imported finished products will be reduced by 18% or 19%.

In accordance with the instructions by President Ranil Wickremesinghe, the Government authorities are taking necessary measures to grant duty and tax concessions. Hence, manufacturers should get the recommendation from the Secretary to the Ministry of Industries to get the tax concessions at the import stage of the raw materials and the mechanism has already been formulated.

Customs import duty of 15%, cess duty of 10% -15% and Port and Airport Development Levy (PAL) of 10% have been waived on importation of five raw materials and import of intermediate goods. Locally manufactured sanitary napkins are given Zero Rate of VAT. The importers of finished sanitary napkins also get the benefit of Zero Rate of VAT. All these benefits are provided during the crisis period.

The local manufacturers had recently requested the Government to reduce the duty on the import of raw materials for sanitary napkins due to the fact that high duty levied in turn increased the price of sanitary napkins.

Industry sources estimate that only 30% of the female population uses sanitary napkins and the rest opt for other options due to cost and misconceptions.

The Daily FT Editorial on 24 September put the spotlight on period poverty (https://www.ft.lk/ft_view__editorial/Let-s-talk-about-period-poverty/58-740199). A report published in March this year by the Advocata Institute noted that over 50% of women in the country experience period poverty; indicating that 50% of households with women of menstruating age do not report spending any money on sanitary napkins.

At present, sanitary products in Sri Lanka are taxed at 52%, making pads and other menstrual hygiene products unaffordable for women in low-income groups of society. The situation has been further exacerbated by the rising cost of living.