MONETABRIEF — Sri Lanka is to remove cess from more than 800 imported items, including squatting pans, water-closet pans and all types of tiles, in a move that liberalises a sector long protected by high import tariffs.
These vital building materials will become cheaper from April 2027, when the cess—currently Rs.50 to Rs.100 per kilogram for squatting pans and water-closet pans—is removed. Customs duty of about 20 per cent, however, will remain.
Sri Lanka’s tile and toilet manufacturers have long been protected by high tariffs, making it difficult for lower-income groups to access sanitaryware at reasonable prices.
However, in many cases, imported sanitaryware has remained cheaper than locally manufactured products despite the high taxes, which has contributed to exorbitant prices for domestic products. With the removal of cess, imported sanitaryware will become even more attractive.
While all types of toilets will see the cess removed from April, tiles will have their cess tax phased out to zero by April 2028.
Fireworks are among the items whose cess is to be removed. It is unclear how large a market exists for imported fireworks, although the Port City has hosted displays using fireworks imported from China.
Books, other printed materials and newsprint will also be exempt from cess. Wigs will also be removed from the tax list, along with tripods, bipods and monopods used by photographers.
Bird feathers will also be excluded, a move that could tickle consumers. There is encouraging news for motorists, too, as cess on car and motorcycle batteries is also to be removed from April.
Motorists need not blow a gasket, as radiators too will become cess-free from April. (Colombo/Nov14/2026)