The Hon. Dayasiri Jayasekara, Attorney-at-Law

¶ 01 Hon. Minister, next I will speak about matters relevant to your Ministry. There is a major crisis regarding sugar—white and brown. Under the Special Commodity Levy Act No. 48 of 2007 and Government Gazette, in terms of Section 2, white sugar is declared an essential commodity and exempt from Sections 14 and 55(1). Accordingly, a levy of Rs. 50 per kilo applies on white sugar. But brown sugar is treated as non-essential; it incurs 2.5% SSCL and 18% VAT. You know this creates a large price gap between white and brown sugar. Yet you talk of promoting brown sugar consumption. The Finance Minister is also here; please consider this.

¶ 02 On prices, imported white sugar versus local brown sugar shows a big disparity. Meanwhile, molasses—a byproduct of sugar—must be used to produce spirits and cannot be released into the environment. Sugar factories must produce spirits from molasses. Now, just producing sugar from cane alone is not viable; you must produce spirits from molasses as well. What is happening now is that maize is being imported in large quantities to produce spirits and beer. But domestically produced maize is the main input for poultry feed. Using maize for alcohol production is creating a shortage for poultry feed and infant foods like Thriposha. Hence costs rise; because domestic maize is insufficient, imports rise, creating a major crisis.

¶ 03 Under the Food Act No. 26 of 1980 (certified July 17, 1980) it is clearly stated that no food containing harmful or injurious additives shall be manufactured, imported, sold, or distributed. I therefore say, leave spirit production from molasses aside; using maize for spirits creates serious issues. Please discuss with the Deputy Minister of Economic Development and take proper decisions: increase the use of brown sugar locally; use molasses for spirits instead of maize; reduce sugar imports; and through about 450 Sathosa outlets under you, sell brown sugar at lower prices to habituate people to it.

¶ 04 On coconut products: you are Minister of Trade, and coconuts bring significant export revenue—about USD 850 million—with plans to reach USD 1.5 billion. This concerns you, the Industries Minister, and the Plantation Minister together. But Sri Lanka does not have enough coconut husk/fiber (“lieli”) to support this. The Coconut Research Institute is causing the problem: one day they say USD 850 million, another day USD 1,200 million, then claim 3 billion nuts, then reduce, then now say 4.5 billion—these are false. This undermines forward contracts and exporters. Therefore, the three Ministries must meet and arrange to import coconut husk/fiber legally, as other countries like Indonesia and the Philippines do. The National Plant Quarantine Service supports this. Send CRI officers to Thailand, Philippines, Indonesia to learn. Without knowledge, they block progress. You target USD 19 billion exports next year; how without inputs? Please intervene personally; otherwise this USD 1.5 billion opportunity will be lost.

¶ 05 You plan 150 new Sathosa outlets, totaling 450. Please visit them. Today I checked—no potatoes, no onions—in many outlets. If you wish, I can give the list. You said politics would not be involved, yet in Weerawila main warehouse, one Upul—formerly Pohottuwa union president, now your union president—has been brought in as union leader. How was he brought? Normally, you cannot bring someone to Colombo without a stock handover. What are his qualifications? Instead, a senior qualified manager was moved; Sanjeewa Kottagoda sent to Engineering; and your appointee is distributing spices. When a shop manager is removed, a stock count is mandatory; that was not done. The former Chairman’s DGM (Audit) has been appointed acting CEO. Staff are resigning: Deputy GM (Procurement), Deputy GM Dhammika, Deputy GM Jagath (Operations)—all leaving due to threats and interference.

¶ 06 Next, Ceylon Biscuits Limited (CBL). I cannot understand your ties with them. There is a notable link with Dhammika Perera: SriLankan’s Chairman and Board are his people. What is your connection? You say “businessmen”—fine, but my issue is not that. The way Samitha Perera speaks to and intimidates staff is a big problem. Moreover, CBL allegedly owes you—Sathosa around Rs. 3 million to you personally? That is a conflict of interest: appointing someone linked to a supplier as Sathosa Chairman. Recover those monies.

¶ 07 Regarding distributing goods to Aswesuma beneficiaries: you said three packs of red sugar, soya meat, Samaposha, noodles, potatoes, big onions—goods worth Rs. 5,000 to be given at Rs. 2,500. I ask how you will account for the balance. Sathosa was created to import and distribute via Sathosa shops. Now Sathosa buys from Pettah wholesalers at Rs. 2–3 margins—this breeds another mafia. Please take charge and fix this.

¶ 08 You also seem obsessed with double cabs—why? Early days you went to Galle Face and said you would sell vehicles. Please give those vehicles to the Highways Ministry. Now five brand-new double cabs used by Airport and Aviation Company officials have been taken for the Ministry of Highways, while five broken vehicles from the Ministry are sent to AASL. Those five new cabs are for your coordinating secretaries. Why destroy vehicles meant for officials? We did not use such vehicles for posters or cutouts. Do not misuse others’ vehicles.

¶ 09 Consumer Affairs Authority is under you. On paddy purchasing and the rice mafia, you boasted of sealing mills within 24 hours—our “hero,” Namal Karunaratne, who sealed rice mills and raised prices by Rs. 10, and gave another Rs. 10 to Dudley and the rice mafia—robbing Rs. 75 from consumers. He claimed “give us power, we will do it in 24 hours.” In the end, nothing happened.