Sathosa calls for EoIs for supply of 30 essential food items

• Offer open to local producers, direct importers
• Goods to be supplied from 15 Oct. to 31 Dec.
• Move aimed at ensuring fair price, ample stocks of essential items
• Sathosa expects proposals from private sector by 6 Oct.

By Charumini de Silva 

State-owned retail network Sathosa has called for Expressions of Interest (EoI) for the supply of 30 essential consumer items from local producers and direct importers for the rest of the year in its efforts to ensure fair price and ample stocks.

The EoIs have been called from local producers and direct importers who are able to supply goods of high quality and standards at fair and lower prices than those prevailing in the market.

As per the Trade Ministry sources, Lanka Sathosa Ltd., has made arrangements to obtain essential consumer goods giving priority to local products, in line with the Government policy at present.

The 30 items are red raw (kakulu) rice, white raw (kakulu) rice, nadu (white) rice, samba rice, keeri samba rice, wheat flour, sugar, milk powder, dhal, potatoes, big onions, red onions, garlic, sprats (Thai), chickpea, coconut, eggs (white/red), dried chilies, noodles, varieties of jam, varieties of sauce, coconut oil, soya meat, green gram, cowpea, tamarind, gamboge, packing polythene material, ice cream and other inventions. The supply period is from 15 October to 31 December.

The objective of the initiative is to protect local producers and direct importers, in line with instructions of Trade Minister Bandula Gunawardena.

The Daily FT learns that Cabinet approval was granted at two previous occasions since April to procure essential consumer items to Sathosa, under fixed prices on Forward Exchange Agreements for three months. 

Last week the Cabinet of Ministers decided to extend the program by a further three months based on a recommendation by Minister Gunawardena. On Friday the Government took a host of urgent measures to ease the cost of living, shortage of essential items and difficulties faced by importers and traders, with Prime Minister Mahinda Rajapaksa ordering the release of 800 essential food item containers stuck at the Colombo Port due to various reasons, including failure of banks to release foreign exchange to importers.

These measures come on the heels of President Gotabaya Rajapaksa on 31 August issuing emergency regulations and appointing Major General Senarath Niwunhella as the Commissioner General of Essential Services to counter hoarding of essential food items by traders amidst the foreign exchange crisis.