Raigam rejects allegations of salt shortage and excessive profit-making

Raigam Salterns PLC yesterday strongly denying recent allegations that the company created a salt shortage in the local market and inflated prices to earn excessive profits. The company made this clarification during a media briefing held at the Sri Lanka Foundation Institute, where several board members addressed the issue.

Raigam stated that, as a responsible company, it converted its limited salt stocks into table salt and distributed them fairly across the island using a rationing method. The company added that during the peak of the salt shortage, its “Isi Salt” was the only brand available in the market.

They further explained that while some businesses exploited the situation to earn instant profits by selling imported industrial salt without proper procedures, Raigam chose not to do so, thereby avoiding further disruption in the market.

The company pointed out that during this period, industrial salt prices in areas like Puttalam had increased to between Rs. 250 and Rs. 300 per kilo. Additionally, Raigam had to pay a large penalty for delays and issues related to imported salt that were beyond its control. Due to increased production costs, prices temporarily rose, but the company assured that prices would be reduced once the situation is fully stabilized.

Raigam also rejected a recent statement made by a politician claiming the company was selling salt above the maximum retail price.

“There is currently no government-imposed maximum retail price for salt,” the company stressed.

Furthermore, the company firmly stated that it has no involvement in political activities and has not provided any financial or other support to political entities.