BIZ

Adani Group dealings with other countries, not SL’s concern – President

Published

1 month ago

December 19, 2024

editor

President Anura Kumara Dissanayake in an exclusive interview with India’s Economic Times, emphasized his government’s focus on the Adani conglomerate’s local performance is more important rather than its international dealings.

“What is important for us is how they work with us,” President Dissanayake stated, underlining his administration’s commitment to facilitate Indian investments while evaluating projects based on their merit for Sri Lanka.

His government’s supportive stance particularly highlights the strategic importance of the CWIT project in strengthening regional maritime infrastructure.

The development comes as Adani Ports advances with the Colombo West International Terminal (CWIT) project, now opting for self-financing over the previously planned fording funding. Adani Ports’ decision to self-finance the $700 million CWIT project demonstrates the group’s financial strength and commitment to the Sri Lankan market.

The decision to withdraw from the previously announced $553 million with another European foreign loan arrangement showcases the company’s financial independence. President Dissanayake noted, “I learnt that they have dropped it, but it seems they have their own sources of revenue or income for that.”

The CWIT project, scheduled for commissioning in early 2025, represents a significant advancement in Sri Lanka’s maritime infrastructure. While acknowledging environmental concerns raised about certain projects in the energy sector, President Dissanayake maintained a balanced approach.

“We will be weighing the pros and cons of the case that is pending in the court, as well as the consensus of the people,” he stated, emphasizing that “Environmental concerns are as important as investment for Sri Lanka.”

The President’s approach reflects a careful balance between development needs and environmental responsibility, particularly regarding Adani’s potential investments in the energy sector. However, he expressed confidence in working with Adani Group on projects that align with Sri Lanka’s development initiatives.

President Dissanayake’s “stable government” aims to pave the way for more Indian investments, suggesting potential future collaborations with Adani Group. The successful implementation of the CWIT project could serve as a template for future infrastructure developments, combining international expertise with local partnerships.

The project’s progress and Adani’s commitment to self-financing demonstrate both the group’s financial strength and Sri Lanka’s attractiveness as an investment destination.

source – The Economic Times

BIZ

Adani denies cancellation of power purchase deal with SL

Published

16 hours ago

January 24, 2025

editor

India’s Adani Group has denied the cancellation of its $440 million power purchase deal with Sri Lanka, terming the reports as “false and misleading”.
The media statement notes that “the Sri Lankan Cabinet’s decision of 2 Jan 2025 to reevaluate the tariff approved in May 2024 is part of a standard review process, particularly with a new government, to ensure that the terms align with their current priorities and energy policies.”

“Adani remains committed to investing $1 billion in Sri Lanka’s green energy sector, driving renewable energy and economic growth,” it adds.

The media statement comes after the AFP reported that the new Sri Lankan government has revoked a power purchase agreement with Indian conglomerate Adani Group following allegations of corruption.

The deal had initially approved to purchase electricity at US$0.0826 per kilowatt hour from the proposed Adani wind power plant, which is to be built in the Northern region of Sri Lanka.

Several activists had challenged the agreement, arguing that smaller renewable projects were selling electricity at two-thirds the price of Adani, the AFP had further reported.
In addition, the project is also facing separate environmental concerns.

While President Dissanayake’s cabinet has revoked the 20-year deal power purchase deal signed in May 2024, it has not cancelled the project and has appointed a committee to review the project, the AFP reported, citing an official document and an energy ministry official.

BIZ

Lanka Sathosa slashes prices of several essential goods

Published

3 days ago

January 22, 2025

editor

Lanka Sathosa has reduced the prices of several essential goods, effective from today (Jan. 22).

As per the instructions of the Ministry of Trade, Commerce, Food Security, the following price reductions are now in effect at all Lanka Sathosa outlets islandwide:

White sugar: Reduced by Rs. 2 (New price Rs. 240 per kg.)
Brown sugar: Reduced by Rs. 40 (New price Rs. 300 per kg.)
Imported potatoes: Reduced by Rs. 30 (New price Rs. 180 per kg.)
Red peas: Reduced by Rs. 30 (New price Rs. 765 per kg.)
Sprats: Reduced by Rs. 20 (New price Rs. 940 per kg.)
Dried chillies: Reduced by Rs. 15 (New price Rs. 830 per kg.)
Basmati rice: Reduced by Rs. 10 (New price Rs. 645 per kg.)
Imported big onions: Reduced by Rs. 10 (New price Rs. 230 per kg.)
Lentils: Reduced by Rs. 2 (New price Rs. 288 per kg.)
Local cashew nuts: Reduced by Rs. 100 (New price Rs. 995 per kg.)

BIZ

Ceylon Chamber seeks approval to import 200mn. coconuts

Published

3 days ago

January 22, 2025

editor

The Ceylon Chamber of Coconut Industries has urged the government for permission to import 200 million coconuts with the next few months.

President of the Ceylon Chamber of Coconut Industries Jayantha Samarakoon said that the major reason for the current coconut shortage is the spike in fertilizer prices.

Speaking at a media briefing held at the National Chamber of Commerce Auditorium yesterday (21), he mentioned that the coconut imports are essential at this time to counter a severe shortage that threatens both domestic supply and export revenue.

Samarakoon attributed the coconut shortfall to skyrocketing fertilizer prices, which have discouraged growers from adequately nourishing coconut crops. He warned that if coconut stocks needed for the coconut-based export industry are not imported immediately, Sri Lanka could lose approximately USD 1 billion in revenue.

He further highlighted that the country’s monthly coconut demand stands at 250 million nuts, of which 150 million are consumed domestically while 100 million are utilized by the industrial sector. However, production has failed to keep pace.

Sri Lanka’s annual coconut yield, which previously averaged 3 billion nuts, dropped to 2.68 billion nuts last year. The Coconut Research Institute has forecast a further decline this year, with production estimated to fall to between 2.4 and 2.6 billion nuts. The institute also predicts a shortfall of 200 million coconuts between January and April 2025, exacerbating the crisis.

In response, the Chamber has proposed importing alternative coconut products such as coconut milk, coconut kernel, dried coconut kernel, or peeled coconuts to bridge the deficit.

Additionally, Samarakoon noted that a steep increase in fertilizer costs—from Rs. 1,500 to Rs. 12,000 per 50 kg bag—has resulted in reducing the growers using fertilizer to less than 10%, further worsening the production slump.

The Chamber has requested that the government provide fertilizer at a subsidized price of Rs. 4,000 per bag and expressed optimism that the upcoming budget will address this issue.

The Chamber also urged the government to introduce subsidies for water supply and soil conservation, which are critical to sustaining coconut cultivation.

(adaderana.lk)

(Except for the headline, this story, originally published by adaderana.lk has not been edited by SLM staff)