Following the Sunday Times exposure of a big-time racket at the country’s premier economic centre, Trade and Consumer Affairs Minister yesterday said plans were under way to open more economic centres, which he hoped would break the monopoly enjoyed by a trade mafia in Dambulla.
He said the setting up of new economic centres at Omanthai, Jaffna, Mannar, Batticaloa, Thambuttegama, Puttalam, and several other places would break the monopoly at Dambulla, bring relief to the farmer and ease the burden on the consumers.
“Certain irregularities taking place at the Dambulla Centre have led to price increases of even the most basic vegetables to the cost of both the consumer and the farmer. The authorities are also investigating alleged mafia type operations at the centre by a large group of traders who are engaged in price-fixing and hoarding,” Mr. Gunawardene said.
Besides, the alleged market manipulation, the centre is also hit by other forms of corruption.
The minister said some 140 traders were refusing to vacate their stalls even though the 10-year lease had lapsed in April.
“Some of them were not the original lessees. They are outsiders paying higher rents to the original lessess, in violation of the tenancy agreements. I will look into these allegations and take appropriate action soon,” Mr. Gunewardene said adding that his ministry would keep a close watch on the activities at the Dambulla and other economic centres.
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| A scene at the Dambulla market |
Meanwhile, officials at the Dambulla Economic Centre told The Sunday Times yesterday the traders enjoyed political patronage at regional level and that it would be difficult evict them.
“Even yesterday they were boasting of a longer stay at the Centre despite the adverse media attention and warnings from the Minister,” one official said.
The stalls were initially rented out for a mere Rs. 5,000 per month to traders so that they could offer a reasonable price to the farmer and sell vegetables to retail traders at a fair price.
“But this is not the case at present. At least 46 of the original owners are alleged to have sub-let the stallls to outsiders for massive rents close to Rs. 100,000 or more. So the traders offer the lowest possible prices to the farmers in order to meet the high rentals for their shop space,” the official said.
He said the present batch of traders should be asked to quit and replaced by a new group, who could be selected after following the proper procedures.
The Sunday Times in its July 5 late city edition lead story highlighted how the traders in Dambulla were manipulating vegetable prices. |
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