Confectionery prices to fall with immediate effect – Reuters

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  • Lower prices on all product lines
  • Price to drop by 10-13%
  • Possible price drop due to lower sugar and vegetable oil prices

By Shabiya Ali Ahlam

After several weeks of paying extortionate prices for what were once affordable snacks, consumers will witness a drop in prices for confectionery products across all product categories.

Confectionery prices will be reduced by 10-13%, effective immediately.

The Lanka Confectionery Manufacturers Association (LCMA) told Mirror Business yesterday that a decision has been taken to cut prices for confectionery items in the market as the costs of two key raw materials have come down.

The quality of sugar used for making confectionery fell by 40 rupees per kilogram, while the price of vegetable oil fell by about 250 rupees per kilogram.

“There was an increase in the prices of sugar and vegetable oils, which have now come down. We LCMA members discussed the possibility of reducing the price of the final product and made the decision to have a general price reduction,” LCMA Chairman SMD Suriyakumara said.

“The current economic conditions are difficult for everyone. Therefore, members have decided that we will pass on the benefit of lower commodity prices to the consumer,” he added. Prices for consumer products, especially food items, have risen exorbitantly in recent months and manufacturers have cited economic challenges as the main reason for raising prices. Restrictions on raw material imports and rising fuel prices drove prices up, making confectionery items unaffordable in May.

Comparing the prices of confectionery before the political and economic crisis that deepened in May 2022, with the prices of products today, confectionery prices have increased by an average of 230%. Marie biscuit, a popular snack in all consumer segments, which a few months ago was Rs 30, is now priced at Rs 100 per 80 gram pack. The local confectionery industry has come under heavy criticism recently, as consumers have seen manufacturers raise the prices of products unreasonably.

At a press conference last month, LCMA members justified the increase, saying it was a necessary step to continue operations.


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