News & market updates

Companies can cut carbon footprints and reduce energy costs with low-cost steps — upgrading equipment, switching to renewables, optimizing transport, working with suppliers, reducing waste and measuring emissions to find savings.

Consumers increasingly expect ethical, transparent supply chains across clothing, food and electronics, valuing honesty and evidence of remediation over perfection. Companies face reputational and regulatory risk from false claims and must audit and monitor suppliers rather than rely on one-off checks.

Adopting circular economy practices can turn Sri Lanka's municipal, agricultural and industrial waste into economic value through recycling, reuse, and waste-to-energy, improving resource efficiency and creating jobs. Opportunities span manufacturing, construction, agriculture, packaging/retail, and digital technologies for material tracking and financing.

Sri Lankan businesses are increasingly treating diversity, equity and inclusion (DEI) as a strategic driver of innovation, employee retention and investor confidence. Inclusive policies, transparent reporting and supply-chain labour standards are highlighted as ways to boost competitiveness and attract responsible investment.

A University of Peradeniya study found foods made with 7 Star Chakki Atta are low-GI: chapati GI 45, roti GI 44 (37 with chickpea curry) and puri GI 50, with glycemic loads of 16–19, supporting their suitability as everyday staples.

New Anthoney's is scaling antibiotic-free Harithahari chicken to counter routine antibiotic use in Sri Lanka's poultry, where a study found 98% of farms use antimicrobials and tetracycline resistance reached 81.8%.

Sri Lanka's NCPI inflation rose to 6.5% year-on-year in June, up from 5.4% in May, driven mainly by higher food prices. Food inflation climbed to 3.3%, core inflation to 5.0%, and monthly NCPI increased 1.6% to 222.3 points.

ASPI fell 0.29% to 21,145.73 while the S&P SL20 rose 0.03% to 5,945.01; turnover exceeded Rs.3.2bn with foreign net inflow of Rs.79.8mn and a Rs.2.3bn crossing in Cargills driving volume. Negative contributors included CINS, COMB, RICH, CARS and HARI; Melstacorp, NTB and HNB were also active.

Cargills (Ceylon) PLC dominated CSE trading with block crossings of Rs. 2.26 billion, taking its total turnover to Rs. 2.88 billion and helping push total market turnover to Rs. 3.27 billion. The ASPI fell 62.37 points to 21,145.73, while Melstacorp accounted for Rs. 181 million of turnover.

Sri Lanka's NCPI rose to 6.5% year-on-year in June 2026, up from 5.4% in May, as the All Items index increased 1.6% month-on-month to 222.3. The monthly rise was driven by a 2.5% jump in the Food index (250.5), while non-food inflation stood at 9.3% year-on-year.

Colombo Stock Exchange ASPI fell 0.22% (47.45 pts) to 21,160.65 with turnover Rs 3.28bn, led by food & staples retailing and large crossings dominated by Cargills. Dialog, John Keells, Aitken Spence and Lanka Ashok Leyland were top gainers while Ceylinco Insurance, Harischandra Mills and HNB were top losers.

Sri Lankan exporters must prepare for new EU sustainability rules—EmpCo (from 27 Sep 2026), PPWR (from 12 Aug 2026) and EUDR (due diligence from 30 Dec 2026)—which expand scrutiny of claims and supply chains and carry penalties up to €2m or 4% of turnover.

ASPI fell 0.92% (197.31 pts) to 21,208.10, its lowest in over three months, with 193 counters down and market turnover at around Rs.2.6bn. DIAL, COMB, RICH, JKH and CARS were the major contributors to the decline.

Hafele has partnered with Sri Lankan retailer Damro to make Hafele appliances available in 15 Damro Mega Showrooms across Colombo, Kandy, Galle, Matara, Kurunegala and Jaffna, expanding its retail presence nationwide.

Colombo Stock Exchange ASPI was up 0.06% at midday (13.19 pts to 21,221.29) with market turnover LKR 358.7m and Food, Beverage & Tobacco leading turnover at LKR 201.3m. Positive contributors included John Keells, Dialog, Aitken Spence and Browns; HNB, DFCC and Ceylon Grain were top negatives; Tess Agro listed 125,000,000 shares effective July 21, 2026.

Ceylon Cold Stores' Elephant House partnered with Eco Spindles on 30 June 2026 to clean Ruwanwelisaya, collecting about 350 kg of plastic bottles that will be processed into monofilaments and yarn. The CSR drive involved 60 volunteers and aimed to raise visitor awareness on waste segregation.

Sri Lankan exporters are being urged to prepare for new EU sustainability rules — EmpCo, PPWR and EUDR — with compliance timelines from Aug–Dec 2026 and penalties up to €2m or 4% of turnover. The measures target sectors including tea, food/agriculture, apparel, rubber, plastics, fisheries and tourism; Peterson Solutions is offering guidance and a free ESG webinar on 29 July 2026.

The Consumer Affairs Authority has made SLSI certification mandatory for all single-use sanitary towels (SLS 1732 and SLS 1748) sold in Sri Lanka, effective 8 October 2026; imports must also pass SLSI import inspection and approval.

CSE indices fell sharply — ASPI down 197.31 points to 21,208.10 and S&P SL20 down 56.46 to 5,943.22 — despite turnover rising to Rs.2.63bn. Turnover was driven by crossings in CT Holdings (Rs.561m), Cargills (Rs.544.95m) and Lanka Milk Foods (Rs.232m), while price losses in Dialog, Commercial Bank, John Keells and Carson Cumberbatch led the ASPI decline.

The Body Shop Sri Lanka launched a Mid-Season Sale offering up to 50% off select skincare, bodycare, haircare, makeup and fragrance items until 31 July 2026. The promotion runs across all outlets including the brand’s shop at Odel Alexandra Place and online.

Sweden's ambassador reaffirmed plans to bring a Swedish trade delegation to Sri Lanka Expo 2027 (14–17 Jan 2027) to connect Swedish buyers with Sri Lankan exporters, highlighting opportunities in cinnamon, coconut products, gems & jewellery, apparel and ICT.

The Exporters Association of Sri Lanka elected Nalaka Ratnayake as Chairperson at its 29th AGM; the new Executive Committee includes representatives from CIC Holdings, Hayleys, Dipped Products, Hatton National Bank, Sampath Bank and Lion Brewery. Speakers urged faster trade digitalisation, lower export costs and improved logistics to boost competitiveness.

The Sri Lanka Institute of Directors will host the Sri Lanka Corporate Director Summit 2026 on 22 July at Cinnamon Grand Colombo focused on governance, reputation and sustainable leadership. Keynote speaker Vivek Sharma will discuss reputation risk and panels include Nestlé Lanka's MD and Commercial Bank of Ceylon Chairman Sharhan Muhseen.

Odel founder Otara Gunewardene will be a keynote speaker at the BNI Sri Lanka National Conference on 24 July at Cinnamon Lakeside Colombo. The event will also feature Zoho director Rajendran Dandapani and aims to connect SMEs through networking and leadership sessions.

Colombo's ASPI fell 1.7% this week while turnover hit a 65-week low of about Rs. 722.64 million; top drags on the index included John Keells (JKH), PKME and NDB. Banking led turnover (notably Sampath Bank) and activity was concentrated in capital goods, food & beverage and energy names.

HNB General Insurance appointed Lakshman Silva as Non-Executive/Nominee Director and Sandra De Zoysa as Independent/Non-Executive Director to its board. The appointments are intended to strengthen governance and drive digital/CX transformation as the insurer scales its platforms and customer service architecture.

Ather, via distributor Evolution Auto, showcased the Ather 450X at the Colombo EV Motor Show 2026, drawing strong customer interest. The company introduced two new features for Sri Lanka — Infinite Cruise and Magic Twist — highlighting connected tech and battery/chassis design to boost premium EV adoption.

Lion Brewery (LION.N0000) has deployed Sri Lanka's first long-haul electric prime mover in its outbound supply chain, supplied by Ceyconnect (a Ceyline Group subsidiary). Ceyconnect plans to expand the electric fleet over time as part of Lion's cleaner-energy and sustainability efforts.

BrandRadar (Roar Global) released "The State of AI Visibility in Sri Lanka 2026", a three-month study of 198 brands across six industries showing editorial authority and third-party citations strongly predict AI visibility. The report finds Toyota and BYD scored above 89 across platforms while some brands (e.g., Ceylinco General Insurance) show large visibility variance between AI systems.

Sri Lanka Customs collected 125.2 billion rupees in the first 14 days of July, more than 65% of its 192.4 billion-rupee monthly target and on track to outperform the target for a seventh consecutive month. Stronger enforcement, digital scanning, improved valuation and a rebound in imports have driven collections, boosting Treasury revenue.