The Milk Powder Importers’ Association says they are ready to grant consumers benefits if the price of milk powder reduces in the world market.
Media Spokesman of the Association Asoka Bandara said the dollar crisis must be resolved in order to avoid a shortage of milk powder in the market.
Bandara said the price of milk powder is determined according to the international auction in the world market.
He said milk powder prices kept increasing at the auction during the past eight weeks.
He said importers would have faced major losses if they didn’t order milk powder at the new price.
He said they expect to maintain the current price for a fair period of time.
Bandara said the shortage of milk powder in the world market must be acknowledged adding the main reason was the difficulty in opening Letters of Credit at local and international banks.
Bandara added companies with existing stocks must provide milk powder at previous prices while companies who manufacture new stocks will sell at new prices.
When questioned by media on the timeframe to obtain milk powder without queues and any shortages, he said they expect stocks to increase by February.
He said the dollar issue must be resolved jointly with the government adding companies will then increase orders.
Bandara said existing orders are not being processed due to the delay in releasing Letters of Credit.
He said however companies are still able to sell milk powder at lower prices if they wish to.