President Anura Kumara Dissanayake has called for strengthening Sri Lanka's co-operative sector and state institutions to establish price regulation mechanisms in the country's limited market. The directive came during a comprehensive review of trade and food security initiatives planned under 2026 budget allocations.
President Anura Kumara Dissanayake has underscored the limitations of market competition alone in regulating prices within Sri Lanka's small economy, emphasizing instead the need for government intervention through institutional mechanisms. During a meeting at the Presidential Secretariat, the President stressed the importance of reinforcing Lanka Sathosa and the broader co-operative movement to function as significant market players capable of influencing pricing and consumer access to goods.
The review covered multiple initiatives aimed at enhancing food security and supporting agricultural producers. These include the distribution of mechanical dryers to 45 selected institutions for paddy and grain processing, the establishment of nine provincial wholesale distribution centers—with facilities in Kurunegala and Matara already operational—and the development of rural-level rice processing centers. The government is also constructing specialized facilities for potato purchasing in Nuwara Eliya and grain legume processing in Monaragala, while planning expanded support programmes for onion and maize farmers.
The co-operative sector expansion showed progress, with 34 new Production Co-operative Societies registered to encourage youth participation. Currently, approximately 2,100 co-operative outlets operate nationwide. Officials discussed strategies to increase market share and address sector challenges, with new legislation being prepared to address management deficiencies. The meeting also examined Sri Lanka Thriposha Limited, which received Rs. 5 billion in budget allocation and has obtained ISO certification for food safety standards.
Additionally, the President instructed officials to expedite the processing of around 3,000 pending company registration applications. Looking toward international market expansion, he emphasized that commercial officers should prioritize identifying new export opportunities and conducting market research in collaboration with chambers of commerce. The Consumer Affairs Authority was directed to intensify oversight of food standards and pricing, particularly in restaurants and healthcare facilities, while continuing efforts to reduce polythene usage.
