“Bypass USD and invoice food imports directly in INR”

Associations representing the food importers of the country called on the Central Bank and Government to take immediate measures to make sure that the importation of essential items from India was invoiced in Indian Rupees as opposed to US Dollars.

Essential Food Commodities Importers and Traders Association spokesperson Nihal Seneviratne noted that it would be easier for the government to obtain credit lines in Indian Rupees and then use those very credit lines to ensure adequate supplies of essentials. He noted that such a move would help save US dollars and ensure that shortages do not occur. Seneviratne was speaking on April 8 on the sidelines of a joint press conference calling for immediate action by the government to the economic crisis on April 8 at the JAIC Hilton.

Seneviratne said that though Indian milk products may not be to the taste of the Sri Lankan consumer they could be used at least in the dairy byproduct sector. Seneviratne noted that given the relative sizes and proximity of India and Sri Lanka the distribution networks were unnecessarily impeded by the usage of the US Dollar.

Currently, part of the US Dollar-denominated credit line issued by the Indian government to Sri Lanka is being utilized for food and other essential imports. 

by Daily News Sri Lanka

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