Nov 19, Colombo: Sri Lanka's Consumer Affairs Authority filed cases against the two major flour millers, the Prima Group and Serendib Co. in Colombo High Court for violating the Consumer Protection Act.

The companies are accused of increasing wheat flour price unilaterally without prior approval of the Consumer Affairs Authority.

According to the Consumer Protection Act, approval of the Consumer Affairs Authority is needed to increase the price of wheat flour which is an essential food commodity.

Prima and Serendib wheat flour companies increased the prices of their products on October 26. Prima increased the price of a kilo of wheat flour by Rs. 6 per kilo while Serendib increased the price by Rs. 4.

Following the price increase in flour, the bakery owners have also raised the price of a 450 grams loaf of bread by Rs. 2.

In a previous occasion, the government broke the monopoly of the Prima Company and encouraged launch of Serendib Company in a similar circumstance when Prima increased price of wheat flour without the approval of the Consumer Affairs Authority.