Sri Lanka, May 20 -- Sri Lanka could face a major sugar supply and price crisis, along with potential price hikes in imported milk powder and other essential food items, after India suspended sugar exports and the Sri Lankan Rupee continued to weaken sharply against the US Dollar, the Essential Food Importers Association warned yesterday.

Association spokesman said importers are now scrambling to source sugar from alternative markets including Brazil, Thailand and several European countries following India's sudden decision to temporarily halt sugar exports from May 15 until September 30.

He said Sri Lanka, which heavily depended on Indian sugar imports, has been forced into an urgent search for new suppliers amid fears of rising prices...