Bakery owners reduce price of bread to pass on tax benefits

Sri Lanka’s bakery owners have decided to reduce the price of a loaf of bread (450g) by Rs 5 with effect from midnight tomorrow (February 26).

Chairman of the All Island Bakery Owners’ Association, K.N. Jayawardena told The Sunday Morning that the decision was taken to pass on the tax benefits introduced by the government.

“The government scrapped the 2% Nation Building Tax (NBT) and reduced the Value-added Tax (VAT) from 15% to 8%.We intend to pass on this tax benefit to customers.”

“The government’s decision to reduce import duty on wheat flour has also been another factor to reduce the price of bread,” Jayawardena  said.