The Hon. Nishantha Jayaweera - Deputy Minister of Economic Development

¶ 01 Hon. Deputy Chairperson of Committees, today we seek approval for three regulations under the Special Commodity Levy Act, a Resolution under the Customs Ordinance, and two Orders under the Motor Traffic Act.

¶ 02 First, the purpose of the initial Gazette: hybrid “mandarin” citrus imported to Sri Lanka had a Special Commodity Levy (SCL) of LKR 120 per kg from any country. Under the Pakistan–Sri Lanka trade agreement, we cannot impose such an SCL on goods imported from Pakistan; tariff concessions must be given. Therefore, this measure removes the LKR 120 SCL for such imports and subjects them to normal customs duty, revised to 20% or LKR 60 per kg, whichever is higher. Thus, we honor the FTA concession for Pakistan while preserving revenue protection from other sources.

¶ 03 Second Gazette: removing the SSCL on mandarins as appropriate, while continuing to protect local potato and onion farmers by maintaining existing duties on imported potatoes and onions.

¶ 04 Third Gazette: relief for those affected by the “Dittha” cyclone by exempting essential food items from the SCL.

¶ 05 Fourth Gazette: extending, by one year (beyond 31.12.2025), SCLs imposed on 62 commodity categories; and, during Ramadan, reducing the LKR 200 per kg levy on dates given as donations to a nominal LKR 1 per kg on the recommendation of the Secretary, Ministry of Buddhist, Religious and Cultural Affairs.

¶ 06 Beyond this, in 2025 the NPP Government achieved significant economic successes. Current account surpluses have been rare (only seven instances since 1950). In 2025 we reached over USD 17.1 billion in exports; tourism earnings exceeded USD 3.1 billion; worker remittances exceeded USD 8.1 billion; FDI exceeded USD 1,050 million—driving a current account surplus above USD 1.7 billion.

¶ 07 An Opposition Member claimed we pledged to “reduce taxes.” I challenge him to show where. We pledged to reform the tax system to be fair and effective. Legal measures are underway, with tax simplification and expedited collection, including waiving interest for arrears paid within six months and leveraging technology; Bills will be presented soon.

¶ 08 We set record revenue targets for Inland Revenue, Customs, and Excise. Inland Revenue exceeded even the revised target by LKR 41 billion—a historic first. Sri Lanka Customs exceeded target by LKR 271 billion in 2025. Excise exceeded target by LKR 5 billion. These reflect correct policies, fiscal discipline, public trust that taxes are used fairly for development, and improved departmental efficiency.

¶ 09 Regarding “Dittha” cyclone relief: claims that funds were not provided are false. In 2025 we allocated LKR 72 billion for immediate relief. LKR 25,000 for restoring flooded houses reached over 98% of beneficiaries; LKR 50,000 reached over 85%. Any delays are due to incomplete information from applicants, not funding shortages. Additionally, a supplementary estimate of LKR 500 billion was approved by Parliament—there is no cash shortage. The President has assured timely relief; only verification and assessment take time.

¶ 10 We will continue to uplift living standards without corruption.

¶ 11 Thank you.