Colombo, April 1 — The All Ceylon Egg Producers Association announced that, effective today, an 18% Value Added Tax (VAT) will be imposed on income from egg production.
According to Association Secretary Ratnasiri Alahakoon, this marks the first time in Sri Lankan history that VAT is being levied directly on egg producers’ income.
While he assured that the new tax will not lead to an immediate increase in egg prices, Alahakoon warned that it could cause severe financial strain on producers and negatively affect the overall poultry industry.
He emphasized that small- and medium-scale egg producers, in particular, will find it difficult to sustain operations under the new tax burden.
The association has not ruled out future discussions with the government in hopes of seeking relief or policy adjustments to safeguard the industry.
