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Government takes policy decision to abrogate CFA.

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450,000 small tea holders facing crisis - Kiriella

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Around 450,000 small tea holders are facing a crisis due to the declining prices of tea, UNP frontliner Lakshman Kiriella says.

Speaking at a press briefing held today (Nov. 19th), he added that many others in the rubber industry are similarly facing a crisis due to the decline of trade.

He said that the government has not taken any measures to address the crisis erupted in the tea and rubber industries.

Noting that the government imported low-quality tea and re-exported them after mixing them, the UNP MP stated that this was the main reason for the crisis in the tea industry.

Such low-quality tea amounting to Rs. 5 billion have been imported between 2006 - 2007, he added.

The Sri Lankan Ambassador  in Russia, where 75 per cent of our tea is sold is conducting deals to obtain arms for the government instead of safeguarding the tea market, he further said.

Despite the appointment of three ministers, several deputy ministers and institutions on the field, measures have not been taken to solve this crisis, MP Kiriella said.

Questioning the plight of the Cess levy amounting to over Rs. 100 billion, the MP Kiriella added that the government should use these funds to address the grievances of the small tea holders.

He said that a monthly sum should be granted to small tea holders until a price increase of tea takes place.

The funds collected through the Cess levies are used to cover the costs of the government, he charged.

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