- Customs holds and releases 20 tankers
- Suspected to be ordered after ethanol import ban
By Maheesha Mudugamuwa
A shipment of ethanol ordered for the production of alcohol was held by Customs on suspicion that it was ordered after the Government imposed a ban on the import of ethanol in January, but was cleared late on Friday evening following inspection.
Director of Customs Sunil Jayarathna told The Sunday Morning that 20 tankers were being held by Sri Lanka Customs under this suspicion.
The shipment was ordered by the Harry Jayawardena-led Distilleries Company of Sri Lanka PLC (DCSL), the country’s largest liquor manufacturer, according to the Director General of Customs (Retd.) Major General Vijitha Ravipriya. However, he said investigations were conducted by Customs to see whether the shipments of ethanol have been imported to the country before or after the government ban was imposed, and were subsequently cleared.
He also noted that Sri Lanka Customs officials have been informed of such attempts and necessary action would be taken.
When contacted on Friday evening, Harry Jayawardena said that he was in a meeting and could not speak at that time.
In January, Finance Minister Mahinda Rajapaksa ordered the ban on the import of ethanol, the main input of arrack, in what the Government said was a bid to protect domestic producers.
The Government last week announced that the ethanol ban would not be lifted and it would confiscate the alleged shipments of ethanol that have been brought into the country following the imposition of the ban.
Commenting further, he said the State-owned Sevanagala and Palewatta sugar factories have commenced production of locally manufactured ethanol and the two factories are involved in 100% production of locally manufactured ethanol, which has proved to be sufficient to cover the requirement of the country.
Minister Pathirana further said the ban on ethanol imports will enable the two factories to remain profitable over the next few years.
The Minister further refuted reports of ethanol produced at the State-owned Sevanagala and Palewatta sugar factories being of substandard quality, assuring it meets the necessary standards.