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Laugfs to stop LP gas imports

19 Jul 2021

By Aazam Ameen Laugfs Gas has made a decision to stop all imports due to difficulties faced in opening Letters of Credit (LCs) and the accumulation of losses, The Morning learnt. Speaking to The Morning, Founder and the Executive Chairman of Laugfs Holdings Limited W.K.H. Wegapitiya stated that the company was slowly pushing towards making this decision.  “This is not a decision that we looked forward to making. We have been lobbying with every responsible person including the President of the country to no avail, it was a natural decision,” he told The Morning. Wegapitiya expressed that the company has been facing tremendous difficulties with the rising Dollar rate as banks do not have enough Dollars to open LCs. Further, he also noted that Laugfs Gas has been making a loss of around Rs.800 to Rs.900 on the sale of each gas cylinder. “What else can we do?” Wegapitya remarked.  When queried about the response of the authorities in light of this, he stated that the Consumer Affairs Authority (CAA) has noted that they will not allow for any price increase to take place with regard to gas cylinders.


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