News & market updates

The Colombo Stock Exchange opened its Galle branch (its 12th) to offer CDS account openings, access to eight stockbroker firms, investor workshops and listing support, aiming to expand capital-market access for local entrepreneurs and the region's cinnamon and tea businesses.

The Colombo Stock Exchange opened its Galle branch to provide CDS account openings, services from eight stockbrokers, investor education and listing support for local businesses; the CSE has branches nationwide and plans a Gampaha branch in May 2026.

Colombo Stock Exchange ASPI rose 0.40% to 22,218.06 at midday, with market turnover of Rs.1 billion and diversified financials leading turnover at Rs.263 million. Ceylon Tea Brokers said it will not proceed with the sale of DP Logistics and its shares were up 3.39% at Rs.12.20.

Planters' Association warns fertilizer shortages caused by Middle East disruptions and closure of the Strait of Hormuz could cut Sri Lanka plantation yields over the next 2–4 months; government raised fertilizer subsidy to Rs.18,000 and a 25,000MT urea shipment is expected but will cover only a small fraction of needs.

Planters’ Association warns that Middle East conflict and Strait of Hormuz disruptions are restricting fertiliser supply and could hit plantation crop yields over the next 2–4 months, raising production costs and threatening export earnings. Government raised a fertiliser subsidy to Rs.18,000 and a 25,000 MT urea shipment is expected this week, but PA says this will meet only a fraction of needs.

IMF, World Bank and WFP warned the Middle East war threatens global energy and food security, causing sharp increases in oil, gas and fertilizer prices and rising food insecurity. They said low‑income, import‑dependent countries will be hardest hit and pledged coordinated support to protect lives and livelihoods.

Sri Lanka's recovery from Cyclone Ditwah has slowed, with more than 149,000 people still displaced and $23.4m pledged of the $35.3m required for the humanitarian plan. OCHA warns rising fuel and energy costs, supply-chain disruptions, heat-reduced hydro output and funding gaps risk food security, livelihoods, tourism and resettlement.

National tea sales average fell for a third straight month in March to Rs. 1,144.23 ($3.63), down Rs. 7.88 from February and Rs. 57.35 from the December 2025 peak. The Jan–Mar 2026 average was Rs. 1,153.25, down Rs. 26.07 from the same period in 2025.

Lankem Ceylon PLC has invested Rs. 3 billion to open a 50,000 tpa Single Super Phosphate (SSP) plant 'Mada Raja' via subsidiary Lankem Minerals, targeting up to 80% of Sri Lanka's SSP demand and reduced imports. The locally made SSP supplies phosphorus, sulphur and calcium to address sulphur-deficient soils and support crops including tea, paddy and coconut.

Lankem Ceylon (LCEY.N0000) invested Rs. 3 billion to commission a Single Super Phosphate (SSP) plant with 50,000 mt annual capacity, targeting up to 80% of Sri Lanka's SSP demand. The plant will use Eppawala rock phosphate and source over 30,000 mt annually from Lanka Phosphate to reduce imports and support soil health for crops including tea.

An 8-member delegation of European tea growers (Netherlands, Portugal, France, Spain, Belgium) visited Sri Lanka from 23–30 March 2026 to strengthen collaboration with the country's artisanal tea sector. The program included visits to plantations, the Sri Lanka Tea Board, Colombo Tea Traders Association and the old Colombo auction site to foster future production, education and trade partnerships.

Dividend · Rs 4.60 · XD Apr 15, 2026

Third Interim dividend of LKR 4.6/share; XD 2026-04-15; record 2026-04-15; payable 2026-04-27; FY 31st March 2026

Dividend · Rs 0.78 · XD Apr 15, 2026

Third Interim dividend of LKR 0.78/share; XD 2026-04-15; record 2026-04-15; payable 2026-04-27; FY 2025/2026

Dividend · Rs 1.75 · XD Apr 15, 2026

Third Interim dividend of LKR 1.75/share; XD 2026-04-15; record 2026-04-15; payable 2026-04-27; FY 2025/26

Sunshine Holdings completed the acquisition of a 75% stake in Joint Agri Products Ceylon Ltd for Rs. 2.6988752284 billion (≈Rs. 2.7 b). The target processes and exports spices, coconut products and tea, and the deal bolsters Sunshine's consumer/export portfolio and presence in export markets.

Asia Siyaka Commodities PLC appointed Executive Director Chamara Dissanayake as CEO effective 1 April 2026 and named Shashike Silva and Kirk Wijesekera as Executive Directors. Dissanayake is currently SVP and Group COO and has experience advising the tea value chain, including as a consultant to the Asian Development Bank.

The war in the Middle East is driving higher energy prices and major supply‑chain disruptions, which are boosting inflation and tightening global financial conditions. Energy importers, food and fertilizer‑dependent agriculture, tourism, manufacturing and banks face the greatest strain.

Dividend · Rs 3.00 · XD Apr 10, 2026

First Interim dividend of LKR 3/share; XD 2026-04-10; record 2026-04-14; payable 2026-04-30; FY ended 31st March 2026

Dividend · Rs 2.00 · XD Apr 10, 2026

First Interim dividend of LKR 2/share; XD 2026-04-10; record 2026-04-14; payable 2026-04-30; FY ended 31st March 2026

Dividend · Rs 4.00 · XD Apr 10, 2026

First Interim dividend of LKR 4/share; XD 2026-04-10; record 2026-04-14; payable 2026-04-30; FY ended 31st March 2026

Sri Lanka's export earnings rose 4.22% YoY to $1.4bn in February, with Jan–Feb total exports up 7.56% YoY to $2.89bn (merchandise $1.06bn, services $335m); apparel fell 6.29% YoY to $831.7m in Jan–Feb while ICT/BPM, coconut products and food & beverage exports showed strong gains.

Unemployment fell to 3.8% in 4Q 2025 as employment rose to 8,465,808 while labour force participation eased to 48.8%; the economy grew 4.8% in 4Q and 5% for 2025. Cyclone Ditwah caused an estimated $4.1bn in direct damage and threatened rice and tea output (tea losses up to 35%), affecting hundreds of thousands of workers.

Horana Plantations PLC (HOPL.N0000) has established a full-time MBBS-led primary care unit at Gouravila Estate, integrated it into government medicine supply and added transport/ambulance arrangements, improving early diagnosis, referrals and continuity of care for estate workers.

Sri Lanka's merchandise exports rose 1.32% to $1,066.88m in February 2026, driven by coconut products, food & beverages and electrical/electronic components; tea, rubber and apparel exports declined.

February tea exports fell to 19.92 M/Kgs (down 0.48 M/Kgs YoY), but Jan–Feb shipments rose to 40.63 M/Kgs (up 0.86 M/Kgs) and cumulative FOB increased to Rs. 1,804.08/kg ($5.83), supported by stronger rupee returns even as dollar earnings weakened.

Russia’s Deputy Energy Minister will visit Sri Lanka for formal talks on a government-to-government oil deal to address fuel shortages and price hikes. Sri Lanka has been constrained from buying Russian oil by fears of US trade retaliation and high third-party tanker insurance/logistics costs despite a temporary US waiver.

The Planters’ Association urged a sustainable electricity tariff framework as the CEB has proposed a 13.6% tariff hike for Q2 2026, warning it would raise production costs for tea and rubber processors and hurt export competitiveness. Plantation companies (eg. Talawakelle) are increasingly investing in solar, mini‑hydro and efficiency measures to reduce grid dependence.

Gulf escalation and shipping disruptions have hit Sri Lanka's tourism, tea and apparel sectors, pulling the bourse down 12.7% through March 20; plantation and apparel stocks plunged (Namunukula -30.6%, Agalawatte -22%, Teejay Lanka -20.6%) while Sunshine benefits from higher palm oil prices.

President Anura Kumara Dissanayake said the government will prioritise the export sector and intervene fully to overcome current challenges, highlighting difficulties in securing fuel supplies. He met leading exporters and industry representatives to discuss measures to minimise the sector's economic impact.