News & market updates

Cleantech (Pvt) Ltd (Abans Group) became Sri Lanka’s first GP Certified plastic recycler on 7 Jan 2026, meeting standards to produce certified recycled pellets for FMCG packaging. The certification provides a local compliance pathway to support EPR rollout for FMCG brands.

Luce Beauty Salon has opened on Galle Road, Colombo 3, introducing an Italian-inspired luxury beauty destination offering hair, nail, facial, massage services and premium international products.

Nestlé Lanka was named among Sri Lanka’s Top 10 Best Employers at the EFC National Best Employer Awards 2025 and won the Franklyn Amarasinghe Memorial Award for Best Industrial Relations. The company reiterated its people‑centric culture and noted it manufactures over 90% of products locally.

Daraz Sri Lanka is running a 'Fabulous Feb – 2 Good 2 Miss!' 2.2 campaign from Feb 1 (8:00 PM) to Feb 6 with deals up to 85% off, Rs.50 million in vouchers, free delivery, Golden Rush Hour discounts and bank partner payment offers. The campaign also promotes ongoing Everyday Low Price pricing for essentials.

Headline CCPI inflation accelerated to 2.3% YoY in January 2026 (up from 2.1%), with month-on-month CCPI rising 0.59%. Food inflation rose to 3.3% YoY while core inflation eased to 2.3%; the Central Bank projects inflation to gradually reach 5% by H2 2026 with supportive policies.

Correction: Ceylon Chamber chief says Cyclone Ditwah caused an initial 40% rise in fruit and vegetable prices and about Rs. 500 million in tourism infrastructure damage (previously misreported as ~1% and Rs. 500 billion).

Hayleys Agriculture (Hayleys PLC group) showcased modern agricultural technology and value-added products at the Jaffna International Trade Fair (23–25 Jan 2026), highlighting digitised, mechanised solutions and partnerships such as Kubota to boost on-field productivity and value addition.

Colombo CCPI rose to 2.3% year-on-year in January 2026 (from 2.1% in December 2025); food inflation increased to 3.3% while non-food inflation remained at 1.8%.

IPS research finds about 70% of green-labelled and 50% of amber-labelled SSBs in Sri Lanka contain non-sugar sweeteners (NSS) and recommends updating SSB policies—including FOPL warnings and extending SSB taxes—to cover NSS and close reformulation loopholes.

Colombo market fell as the ASPI dropped 0.38% (91.22 pts) to 23,900.89 with turnover over Rs.6.9bn and foreign net outflow of Rs.20.9m. Top negatives included Senkadagala Finance, Ceylon Tobacco, John Keells, Carson Cumberbatch and C T Holdings while Prime Lands Residencies gained.

SLIM and Kantar will run the SLIM‑Kantar People’s Awards 2026 to recognise Sri Lanka’s most trusted brands, personalities and organisations based solely on independent nationwide consumer research by Kantar. The awards emphasise research-driven consumer trust rather than juried or vote-based recognition.

The 13th Sri Lanka–Pakistan Joint Economic Commission met in Colombo and agreed cooperation across IT, pharmaceuticals, agriculture and maritime connectivity, including a Joint Working Group on IT and progress on pineapple and avocado export procedures. Commerce-level talks also reviewed PSFTA implementation.

Central Bank of Sri Lanka kept the Overnight Policy Rate at 7.75%. Inflation was 2.1% in Dec 2025 and is projected to move toward 5% by H2 2026 amid rising food and core inflation, strong credit growth and post-cyclone rebuilding; gross official reserves were $6.8bn at end-2025.

John Keells Holdings reported Group EBITDA up 68% year-on-year to Rs.23.76 billion in Q3. Nine-month EBITDA rose 84% to Rs.55.10 billion, profit attributable was Rs.6.48 billion, City of Dreams and the Colombo West terminal are ramping up, and a second interim dividend of Rs.0.10/share was declared.

David Pieris Logistics opened Jaffna’s first purpose-built multi-user 3PL warehouse near Palaly International Airport, offering warehousing, handling and regional distribution for FMCG, retail, agriculture and manufacturing and aiming to boost supply-chain connectivity and local employment.

Dividend · Rs 40.00 · XD Feb 9, 2026

Final dividend of LKR 40/share; XD 2026-02-09; record 2026-02-09; payable 2026-02-26; FY 2025

Dividend · Rs 15.00 · XD Feb 9, 2026

Final dividend of LKR 15/share; XD 2026-02-09; record 2026-02-09; payable 2026-02-26; FY 2025

Hemas Holdings has received Competition Authority of Kenya approval for its proposed acquisition of a majority equity stake in a Kenyan consumer products company (Share Sale and Purchase Agreement dated 25 Sep 2025). The deal remains subject to remaining conditions precedent, including Central Bank of Sri Lanka approval, and Hemas will update the Colombo Stock Exchange.

John Keells Holdings, Hemas Holdings and JAT Holdings outlined growth strategies at First Capital's investor symposium; JKH highlighted City of Dreams and West Container Terminal Phase One at ~90% utilisation. Hemas sees consumers shifting back to branded quality and demographic-led convenience growth, while JAT targets post-cyclone reconstruction and manufacturing expansion.

India and the EU agreed a free-trade deal creating a two-billion-person free-trade zone covering about 25% of global GDP, with tariffs on 96.6% of EU goods to India to be eliminated or reduced. The pact aims to boost sectors including machinery, chemicals, pharmaceuticals, cars and consumer foods and is expected to double EU exports to India by 2032.

Sri Lanka will host its largest-ever 510 sqm country pavilion at Gulfood 2026, with 61 exporters participating to showcase food and beverage products, including Cargills, Elpitiya Plantations, Ceylon Cold Stores and Renuka Agri Foods.

CleanTech has received Good Plastic Standard GP 5040:2025 certification, becoming the first company in Sri Lanka to meet the national benchmark for post-consumer recycled plastic pellets. The accreditation enables CleanTech to supply verified recycled plastics to FMCG brands and supports EPR compliance pathways.

Dividend · Rs 1.00 · XD Feb 6, 2026

First Interim dividend of LKR 1/share; XD 2026-02-06; record 2026-02-08; payable 2026-02-25; FY 2025/2026

Ambeon Capital's subsidiary Ambeon Essentials signed an agreement to acquire a 51.11% controlling stake in Harischandra Mills (price undisclosed). Harischandra shares jumped Rs.1,396 (25%) to Rs.6,982 after the announcement.

Sri Lanka will host a 510 sq m Country Pavilion at Gulfood 2026 with 61 exporting companies participating, including Cargills, Ceylon Cold Stores, Renuka Agri Foods and Elpitiya Plantations; the pavilion aims to boost exports of tea, spices, coconut and processed foods to MEASA markets.

The Colombo market hit an intraday record of 24,052.06 but closed flat, with the ASPI down 0.01% at 23,953.09 and the S&P SL20 up 0.20% at 6,663.12. Turnover was over Rs.5.4bn; York jumped 24.81% while SAMP, RICH, DFCC, CTHR and CARG were top negative contributors.

Sri Lanka showcased Ceylon tea, cinnamon, coconut products and handicrafts at the Sri Lankan National Pavilion at Grüne Woche 2026 in Berlin, receiving positive interest from German and EU buyers. AHK Sri Lanka said the fair provides SMEs a platform to explore and enter EU/German markets.

Mabroc Teas (part of Hayleys Group) launched TeaTrace, a QR-linked digital traceability platform providing batch-level supply-chain visibility to meet European ESG and sourcing requirements. Hayleys says the platform aligns with its digital transformation and sustainability priorities and will be expanded to other markets.