Chamber welcomes MRP on imported goods

CNCI said the local industry faced many impediments in marketing their products in the local market due to a heavy influx of cheap counter feats, low quality products and under invoiced goods coming into Sri Lanka in a free market economy

The Ceylon National Chamber of Industries (CNCI) this week welcomed the introduction of a Maximum Retail Price (MRP) on all imported consumer goods and praised the government for the decision.

Referring to The Sunday Times FT report on December 3 headlined ‘Tough import rules from January 1,’ the CNCI said the local industry faced many impediments in marketing their products in the local market due to a heavy influx of cheap counter feats, low quality products and under invoiced goods coming into Sri Lanka in a free market economy. “At a time when the government of Sri Lanka is promoting the local industries under ‘Mahinda Chinthanaya’ and offering many incentives to both local and foreign investors, we are aware that various malpractices take place in the import of goods similar to that is produced in Sri Lanka which defeats all efforts by the government in its objective to promote local industry,” it said.

The chamber said it has been championing the cause of local industry for the past four decades or more and has made many representation to successive governments to enforce the introduction of Maximum Retail Price (MRP) on all imported consumer goods.

“As some claim fluctuation of exchange rates should not have any bearing on the MRP as the importers generally would take safeguards against exchange fluctuations by booking exchange forward or by other means. Custom tariffs too are generally fixed and do not fluctuate frequently,” the statement added.

The chamber said the decision to introduce MRP was also purely on nationalistic consideration where local industries are safeguarded against unfair competition and the government revenue also would increase as MRP marked on goods would prevent under invoicing to a greater extent.