The Hon. (Dr.) V.S. Radhakrishnan
Hon. (Dr.) V.S. Radhakrishnan argued that Sri Lanka must address its trade and budget deficits through better planning and management, noting high import expenditure, declining tea exports, risks to apparel exports from possible US tariffs, and the need for prudent control of vehicle and food imports. He called for support to local production, including agriculture, fisheries and salt, while raising concerns about the cost of living, the unmet Rs. 1,700 wage pledge for plantation workers, and the impact of 18% VAT on digital services. He also urged proper investigation and facilities for excavations at the Chemmani mass graves and requested that the Central Provincial Education Department avoid replacing the Tamil Zonal Director in the majority-Tamil Hatton Education Zone in a way that could heighten ethnic tensions.
Verbatim record (translated)
Machine-translated from Sinhala / Tamil / English¶ 01 Hon. Deputy Speaker, we are debating Regulations under the Imports and Exports (Control) Act. Sri Lanka’s export revenue is Rs. 3,857 billion and import expenditure is Rs. 5,685 billion, leaving a Rs. 1,828 billion deficit.
¶ 02 We give more priority to imports than exports. Imports are necessary, but most essential foods are imported because successive governments acted without planning. As many Members said, salt is necessary — but did we need to import it? If we had planned in advance, this crisis would not have arisen.
¶ 03 Sri Lanka faces twin deficits — a trade deficit and a budget deficit. Unless we address both, development is very difficult. Corruption was long blamed for gaps; now, even aside from that, we need proper management. Mismanagement will never set the country right. The Government must present strategies to bridge these deficits.
¶ 04 Today officials fear to work, afraid they may be jailed for mistakes. Local authorities are constituted and chairpersons and mayors are elected, yet they fear to act. We welcome integrity, but officials also need the courage — and authority — to make necessary decisions.
¶ 05 Tea remains a key export, yet exports are declining. The Iran–Israel conflict disrupted tea exports to Iran; apparel exports, our number two export, also face obstacles, notably possible US tariffs. If the US fixes tariffs at 44% on our exports, what will happen to our apparel industry? The Government must act responsibly.
¶ 06 Tea plantation workers still struggle; the promised Rs. 1,700 daily wage has not materialized — wages remain around Rs. 1,350. With current prices — a kilo of salt over Rs. 200, a coconut over Rs. 200 — even Rs. 1,700 would be insufficient; yet action is needed now as you hold power.
¶ 07 Digital services VAT at 18% will ultimately be borne by ordinary people. Consider their burden. Some argue vehicle imports reduce dollar reserves; if reserves fall, even essential food imports will be threatened. During our last crisis, India helped with US$4 billion to stave off hunger. We must avoid returning to that situation; manage vehicle imports prudently.
¶ 08 Farmers face hardship: when local harvests of potatoes, onions, rice, dried fish and others arrive, imports flood in and crash prices. Consumers need fair prices, but without organizing local production, agriculture, fisheries, and even salt production will wither and we will import everything. Change this trajectory.
¶ 09 Another issue: the Chemmani mass graves. This is not just a local issue but an international one. Forty‑two skeletons have reportedly been found, with some implements. Any government in power bears responsibility to investigate, protect people, and identify perpetrators. Provide facilities for proper excavations. Do not allow a climate that rekindles conflict. Some fear the remains are of the disappeared; address this transparently.
¶ 10 In the Hatton Education Zone, which has 159 Tamil-medium schools (about 80%), there is concern that the Tamil Zonal Director is to be replaced by a Sinhala officer. In majority‑Tamil areas, such moves can kindle ethnic tensions. The Central Provincial Education Department must act responsibly. I conclude with that request. Thank you.
Provenance
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- Hansard, Tuesday, 8 July 2025 ·No. 1752482630017444 ·English daily/uncorrected Hansard
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Cite as: The Hon. (Dr.) V.S. Radhakrishnan. 10th Parliament, Parliament of Sri Lanka. Hansard, 8 July 2025. No. 1752482630017444. Politick, https://staging.politick.io/lk/speeches/10944