Govt: Lanka companies bullish at EDB’s first ever China-Lanka direct B2B

The Island - 29/09/2013

"Eager Sri Lankan biz has experienced a sudden boost and witnessed new doors of opportunities on 26 September with a surge of inquiries from the powerful Chinese businesses now scouring Sri Lanka," the Ministry of Industry and Commerce said in a statement.

On 26 September, one hundred (100) Lankan firms of small, medium and large scales met reps from 23 powerful Chinese firms that arrived in Sri Lanka on 25 September as part of the Chinese Trade Promotion delegation to Colombo.

This is the largest Chinese private sector delegation to visit Sri Lanka. The Chinese delegation is led by Jia Guoyong, the Vice Director General of Chinese Trade Development Bureau (TDB). This is one of the strongest such Chinese delegations to arrive in recent Lankan trade history. The 36 member strong Chinese delegation consists of unprecedented Chinese private sector representation with 23 companies taking part in glass manufacture, mining/minerals, agriculture, polymer/petroleum bi-products, chemicals, and real estate. Three of the firms are in Fortune 500 list- Sinochem Group ($49.5 Bn revenue), China Minmetals ($ 37.5Bn) and Sinosteel ($27.2Bn). Among other visiting firms are Anhui Light Industries International Co., Ltd. (ALIC), Zibo Top Arts, Zibo Honghan Trading, Shandong Hanbang Household Glassware, Zibo Unishine, XinHe Commerce and trade Refco Group, Hebel Kaifa Glassware, AVIC International Holding, CITIC International, Chinatex, China National Township, Sinosteel Raw Materials, Sinochem Guangdong, and Sinochem Plastics.

During the four hour long Sri Lanka-China Business Meeting –the B2B matchmaking sessions facilitated by EDB- held at Cinnamon Lake Hotel on 26 September, the 23 Chinese firms met 100 Lankan firms for potential partnership on diverse sectors of interest.

Among the potential partnership avenues discussed were overall trading (both import/export), importing from Sri Lanka, exporting to Sri Lanka and business joint ventures.

EDB, on 27 September, said that the majority of Sri Lankan businesses that took part in the EDB facilitated B2B session, reporting ‘it was a very effective session’ with many potential partnership leads being generated for them.

Among the business sectors at play at the B2B session were chemicals, petroleum and fuel refining, activated carbon, metals (including non-ferrous), agriculture, financials, rubber and rubber products, plastics, activated carbon, glass and real estate.

On the eve of 26 September after the B2B sessions were over, many reps from the Chinese business side confirmed successes with eager Lankan firms, but insisted that it is premature for them to reveal the identities or Lankan partnership details since ‘they have to process paperwork back home on nature of partnerships and determine exact Lankan (product) HS codes first.’

"We had very good, very successful meetings today. We also identified one Lankan partner firm for trading in Activated Carbon" said Anqi Fu, the Business Manager of CITIC International (Fortune 500 ‘CITIC Group’ s annual revenue at $ 43 Bn, subsidy CITIC International annual revenue at $ 500 Mn). "The next step is to identify the exact product categories. We will start buying through the Lankan partner firm as soon as possible once the agreements finalised. We are also thinking of increasing purchase volumes in future but in step by step process" Qi Fu added.

"We had discussions with no less than 45 Lankan companies today" said a somewhat exhausted Ms Wang Zhi Jie (Assistant Manager-Strategic Planning) of Beijing’s SINOCHEM Group (Fortune 500 firm, with $49.5 Bn revenue). "There was a strong demand from many Lankan firms to partner with us. We are focusing on chemical products and fuel refining. We listed several Lankan firms for partnership possibilities demanding refining services from us. We have an annual refining capacity of 1200 tonnes. We also have positive negotiation outcome for partnership with one Lankan rubber supplier for SINOCHEM’s rubber plant in China. We are ready to start buying as soon as Sri Lankan firm’s quotation is approved by our SINOCHEM offices. We are also looking for both import as well as export trading" added Ms Jie.

Han Ven Han (Manager Operations -Beijing’s SINOSTEEL Metals) said: "We had many rounds of discussions with seven Lankan firms. And our cooperation prospects are looking good. We are looking for mineral sourcing from Sri Lanka as well as partnering in logistics and services. Within logistics, we are looking specifically for transport, warehousing and in the general value chain of logistics. We are still at fact finding stage and in discussion with the seven companies and we will make our decision back home based on what we learn here. We will also look into the possibility of investing in Sri Lanka on logistics. Sri Lanka’s geographic and marine location is very strategic for logistics, which is the reason we are interested. We also want to source metals from Sri Lanka."

Gua Honghai [Administrative Officer of China Minmetals Non-Ferrous Metals Co Ltd, one of 800 subsidy firms of Fortune 500 ranked China Minmetals which has $ 37.5Bn revenue)], is keenly scouring for non-ferrous metal supplies from Sri Lanka-in large volumes. "We are looking to buy non-ferrous metals in large quantities. We are in need of 100,000 tonnes of copper, 100,000 tonnes of zinc and 400,000 tonnes of aluminium annually" said Honghai, and revealed: "But today, I could not locate any Sri Lankan suppliers who can give me these volumes even after speaking to ten companies. We are realising that Sri Lanka has no non-ferrous resources that we can make use of. But that is not the only option we have for Sri Lanka-there are still other avenues of business for us here, specially in logistics which we are now looking at. I also think Sri Lanka should learn from Singapore as to how to use your very distinct, strategic geographic location advantage to make it a maritime transport hub."

China seeks minerals, logistics services from Sri Lanka

Lanka Business Online - 28/09/2013

Chinese firms are planning to buy activated carbon and rubber from Sri Lanka following the visit of a trade delegation and others are in talks over minerals and logistics services, the island's trade ministry said.

"We have identified one Lankan partner firm for trading in activated carbon," An Qi Fu, international business manager of CITIC International, a Chinese state firm, was quoted as saying in a statement.
"We will start buying through the Lankan partner firm as soon as possible once the agreements finalised."

The Chinese trade delegation led by Jia Guoyong, the vice director general of the Chinese Trade Development Bureau (TDB), had 23 companies in glass manufacture, mining, minerals, agriculture, polymer, petroleum bi-products, chemicals, and real estate.

The trade mission met around 100 companies at a meeting arranged by Sri Lanka's Export Development Board.

There was a strong demand from many Lankan firms to partner with us," Wang Zhi Jie, assistant manager of strategic planning at Sinochem group was quoted as saying.

"We have a positive negotiation outcome with one Lankan rubber supplier for Sinochem’s rubber plant in China. We are also looking for both import as well as export trading."

China is among Sri Lanka's top trading partners with imports of 2.4 billion US dollars in 2012 and exports of 108 million US dollars.

Chinese good are usually costs less, and help increase the living standards of lower income Sri Lankans particularly as they try to build a roof over their heads, battling the high building materials prices of protected domestic producers.

But analysts say in order to beat protectionist taxes on some imports, lower quality goods may be imported at times.

Anhui Light Industries International Co., Ltd. (ALIC), Zibo Top Arts, Zibo Honghan Trading, Shandong Hanbang Household Glassware, Zibo Unishine, XinHe Commerce and trade Refco Group, Hebel Kaifa Glassware, AVIC International Holdings, Chinatex and China National Township were also in the delegation.

Han Ven Han, manager operations at Sinosteel Metals was quoted as saying that they were in talks with seven Sri Lankan firms.

"We are looking for mineral sourcing from Sri Lanka as well as partnering in logistics and services," he said.
"Within logistics, we are looking specifically for transport, warehousing and in the general value chain of logistics. We will also look into the possibility of investing in Sri Lanka on logistics."

Gua Honghai from China Minmetals Non-Ferrous Metals Co Ltd said they were looking for copper, zinc and aluminium suppliers and found out that there were none in Sri Lanka but were interested in the location as a logistics base.

Sri Lanka has ports and airports with quick connections to the Indian subcontinent and other areas.

India has become a large importer of Chinese goods with bi-lateral trade at over 66 billion rupees last year.

China has financed a second international airport and an industrial port in Hambantota in the South.

A Chinese state-firm has also built a container terminal in Colombo.

Saudi buyers, sellers invited to trade exhibition in Sri Lanka

Arab News - 27/09/2013

The Sri Lankan Embassy has invited buyers and sellers to participate in an exhibition to be held concurrently with the Commonwealth Heads of Government Meeting (CHOGM) 2013, scheduled to be held in Colombo from Nov. 13.

Anil Sirimanne, commercial counselor at the Sri Lankan Embassy, told Arab News that the event, which will discuss Sri Lanka’s trade, tourism and investment, will also coincide with the Commonwealth Business Forum (CBF), which will also be held in Colombo during the same period.

The Commonwealth is a voluntary association of 54 independent countries and the CHOGM is held every two years to enable leaders of Commonwealth countries to come together to discuss global and Commonwealth-related issues and to decide on collective policies and initiatives.

Running parallel to the CHOGM, “Reflection of Sri Lanka,” an international exhibition on trade, tourism and investment, will be held from Nov. 13 to 17 in Colombo, in which numerous private and public sector agencies will be participating.

More than 300 leading exporters of various sectors from Sri Lanka and foreign machinery and technology suppliers will showcase their products and services.

It will be held at the Folk Art Center (Janakala Kendraya) in Battaramulla, a suburb in the capital, Colombo.
“The Embassy of Sri Lanka in Riyadh would like to invite you to participate in this exhibition to develop economic relations with Sri Lankan partners. You can register as a buyer or an exhibitor at the exhibition,” Sirimanne said, adding that attractive travel packages will be offered to participants by the sponsors of the event.

“Sri Lanka is privileged to hold this summit this year. This is the first time an Asian country hosts such an event in 24 years. This prestigious event presents Sri Lanka with a valuable opportunity to promote and reposition Sri Lanka as a strategically important economic center of the world.”

The exhibitors are expected to maintain the highest quality and international standards in displaying their products.

The diplomat said the trade exhibition will be a great opportunity for leading exporters and potential exporters to present their capabilities to the heads of Commonwealth States, high-powered delegations, business leaders and other foreign buyers, which will pave the way to further pursue their business in the global market.

The exposition on trade, tourism and investment will be organized by the Ministry of Economic Development, the Ministry of Industry and Commerce and Sri Lanka Tourism and Board of Investment (BOI) in collaboration with the Sri Lanka Export Development Board (EDB) and in association with other government agencies to showcase Sri Lanka’s export portfolio at its best.

The exposition includes product displays, networking sessions, seminars and industry visits. Foreign exhibitors will present state-of-the-art equipment and technology.

Promotional packages include a 25-percent discount on airfare to and from Colombo, gratis visa, internal transport, including airport pick up free of charge and concessions for hotel charges.

Ten Prominent Business groups to represent Sri Lanka at Pakistan EXPO 2013

Asian Tribune - 26/09/2013

High Commissioner of Pakistan Qasim Qureshi with the participants of expo 2013

The High Commissioner of Pakistan in Sri Lanka Maj Gen (R) Qasim Qureshi hosted the Sri Lankan businessmen participating in Pakistan EXPO 2013 along with the officials of Export Development Board Sri Lanka, today at the High Commission of Pakistan prior to their departure for Karachi.

Ten companies from Sri Lankan representing various sectors such as tea, herbal cosmetics, commercial paints, bicycles, fruits & vegetables, textiles and pharmaceuticals sectors will attend the largest EXPO of Pakistan, from 26-29 September, 2013.

Expo Pakistan is the biggest trade fair in Pakistan, showcasing the largest collection of Pakistan's export merchandise and services. Foreign exhibitors, from neighbouring countries, also use this platform to launch their products. Held annually in the month of September, the four day Expo Pakistan has become the primary sourcing point for a large number of businesses worldwide, giving them a head start on the buying and ordering for coming seasons.

The Export Development Board of Sri Lanka has booked a separate Pavilion at the EXPO Center Karachi to showcase the Sri Lankan products.

During their stay in Pakistan, the Sri Lankan delegation will interact with the representatives of various business chambers and hold B2B meetings with businessmen of Pakistan.

The High Commission of Pakistan in Sri Lanka had formally launched The EXPO Pakistan 2013- Opportunities Unlimited on 24 June, 2013 in Colombo under the patronage of Minister for Industries and Commerce Sri Lanka, Rishad Bathiuddin.

The Expo 2012 generated over US$ 518 Million business with the participation of over 600 buyers from over 52 Countries.

Sri Lanka to hold exposition on Trade, Tourism & Investment in parallel to CHOGM

Colombo Page - 24/09/2013

 In order to maximize the opportunity presented by the upcoming Commonwealth Heads of Government Meeting (CHOGM) in November, Sri Lanka is holding an exposition on Trade, Tourism & Investment in parallel to the event.

"Reflection of Sri Lanka" will be held at the Folk Art Center (Janakala Kendraya) in Battaramulla, a suburb of capital Colombo, from 13th to 17th November 2013.

The expo is organized by the Ministry of Economic Development, Ministry of Industry and Commerce, Sri Lanka Tourism, and Board of Investment (BOI) in collaboration with Sri Lanka Export Development Board (EDB) and in association with other government agencies.

The five-day event will showcase Sri Lanka's export portfolio at its best, the organizers say.

The exposition includes product displays, networking sessions, seminars and industry visits. And the foreign exhibitors will present their state-of-the-art equipment and technology.

The exhibition will consist of three parts to promote trade, tourism and investment. The trade section of the exhibition will comprise approximately 300 stalls to display the exhibitors' products and capabilities.

The exhibitors are expected to maintain the highest quality and international standards in displaying their products.

According to the organizers, the trade exhibition will be a great opportunity for all the leading exporters and potential exporters to present their capabilities to Heads of Commonwealth States, high powered delegations, business leaders and other foreign buyers which will pave the way to further pursue their business in the global market.

The CHOGM 2013 will witness the presence of Heads of State of 54 commonwealth countries who will be accompanied by high powered delegations and also around 500 business leaders who will attend the Commonwealth Business Forum, held in Colombo parallel to the CHOGM from 13th - 17th November 2013.

In addition, the Ministry of External Affairs and the Department of Commerce is making arrangements to invite foreign buyers from important markets to visit the Trade Exhibition.

Speech of Mr. Bandula Egodage, the Chairman & Chief Executive of Sri Lanka Export Development Board, at the Exporters Association of Sri Lanka - AGM

Mr. Bandula Egodage, the Chairman & Chief Executive of Sri Lanka Export Development Board

I thank the Exporters' Association of Sri Lanka for inviting me to the AGM and giving me the opportunity to address this distinguished gathering of members.

The Exporters Association which represents about 80% of exporters in the country is the foremost body for exporters in Sri Lanka. We highly appreciate the contribution of Association towards the export development effort of the country.

The Government's vision as envisaged in the 'Mahinda Chintana' is to transform Sri Lanka into a strategically important economic centre of the world. This would then lead to socio economic development of the country. The export sector which contributes 17% to the GDP of the country, clearly plays an important role in achieving this objective.

The EDB is the premier state organization entrusted with the task of developing and promoting exports from Sri Lanka. The EDB is geared towards promoting products and services of the country with the objective of making Sri Lanka the most sought after destination for global sourcing in identified product sectors.

We strongly believe that the private/public partnership is very essential for the growth and the development of the sector. Private public partnership is not only essential for formulating successful export development strategies but also in implementing the same.

Our approach is based on the principle that the public sector plays the facilitator role in developing the export sector while the exporters drive the sector.

The public private partnership is also enshrined in the EDB Act. The enactment has provisions for establishment of Advisory Committees that are oriented towards the development and promotion of specific products as well as functional aspects of export trade.

In July this year we have established 26 new Advisory Committees comprising 400 members. These members represent both the private and public sector. This will enable us to work together to identify the problems confronted by the export sector and find suitable solutions to such problems. We have already scheduled the inaugural meetings of these committees and we expect the full participation of all members.

The export sector of Sri Lanka after showing strong growth in 2010 and 2011 experienced a set back in 2012 which continues to prevail even in this year. The set back is mainly due to the aggravated economic conditions in our key markets. The turmoil in these markets has lead to a drop in demand not only for our exports but also for exports of other developing &, emerging economies. Also there are supply side constraints in the domestic front.

The anticipated economic recovery in EU and USA which absorb nearly 50% of our products have not taken place. According to international agencies such as the IMF it will take some time for growth to pick up in these regions. The unsettled conditions in the Middle East has further aggravated the situation.

Despite these challenges I am happy to state that according to provisional Customs data, our export earnings have recorded a commendable increase in the Month of June this year. Export to our key markets USA and EU, specially to USA, have also shown a satisfactory increase in June 2013.

The problems in our key markets suggests that we should focus on diversifying our markets to other regions. The Asian region comprising China and India have registered substantial economic growth. Accordingly, we are concentrating on diversifying our markets to these regions and other member countries in the BRICS group where the potential is high. This will be done while sustaining our market share in our key existing markets.

We have already carried out promotional programmes in India and China and some more programmes are planned in the future to be carried out in these regions. We have also carried out market studies on Brazil and South Africa to ascertain the opportunities and barriers. The objective is to formulate suitable strategies to penetrate into these markets.

I am confident that the Exporters Association could make a very positive contribution to these efforts using their close relationship with relevant stakeholders nationally and internationally. Utilizing these strong links the Exporters Association could facilitate to create healthy business relationships to enhance our exports.

Sri Lanka has today become an ideal location for international buyers, to source a wide range of highly quality products and services. But our competitive advantage has been deteriorating over the years due to a number of factors.

The government has maintained inflation rate at a single digit level which is a positive factor. The energy cost is a major component in the cost structure . The Government has offered tax concessions for industries adopting alternative energy sources. It is very important that we improve our productivity to regain and sustain our competitive advantage. The government has also offered tax incentives for upgrading technology and acquisition of new technology.

Improvement in technology is very essential to produce innovative products and reduce cost of production. This would lead to improved productivity and competitiveness.

The EDB is also focusing on branding as a strategy to increase popularity of our products and enhance export earnings.

The strategic plan prepared by the EDB in consultation with the Advisory Committees have been updated to cover the period 2012 – 2016. It contains several programmes aimed at developing and adopting products and services to meet international market requirements, assisting exporters to identify new markets, facilitate supply chain efficiencies and promoting export oriented SMEs etc. We intend to implement these programs for the benefit of the export sector.

I would request you to have a close rapport with the EDB to discuss any issues or constraints which require our attention.

Finally, I wish to extend my best wishes for the successful conduct of the AGM of the Exporters Association.

Thank you.

SL’s fruit and vegetable exports tops US$ 32.5 m

Daily News - 20/09/2013
By - Fizel Jabir

Processors and exporters in combination have achieved as at today a 20 % increase in export revenue compared to last year, said Bandula Egodage, Chairman Export Development Board addressing the Lanka Fruit and vegetable Producers, Processors and Exporters Association's 32nd AGM on Wednesday.

He said the industry has earned US$ 32.5 million export earnings in 2012 which was very significant because members of the association were engaged in agriculture. He said the members of the association were playing a vital role in terms of rural development in Sri Lanka and was engaged in a huge CSR campaign which was more vital than figures. He said value addition was vital to overcome rising input costs.

Lanka Fruit and vegetable Producers, Processors and Exporters Association's 32nd AGM was held on Wednesday at Hilton Colombo Residence. The Chief Guest of the occasion was Anura Siriwardena. Bandula Egodage, Chairman Sri Lanka Export Development Board was the Guest of Honour.

Speaking at the occasion , Annes Junaid, Chairman Lanka Fruit and vegetable Producers, Processors and Exporters Association said that during the 32 years, the association has contributed immensely to the rural economy.

He said although the quantity was small the impact the association has on the rural economy of Sri Lanka was immense and great. Junaid said their main products were fruits and vegetables and this were all coming from the rural economy of Sri Lanka.

He said they sourced fruits and vegetables from all parts of the country.

“While catering, to uplift of the rural economy we also earn valuable foreign exchange for which the local value addition was very high. In terms of value addition our industry could not be compared to other industries because our products are from the rural economy”, he said. In terms of export increase, he said they have a target for 2015 and 2020 and they were working hard toward achieving it.

He said however there were some impending issues which needed to be addressed by all concerned to drive the industry forward. Junaid said for this production should be increased and state intervention was required.

In this regard he said they recognize and respect the Divineguma Programme because it has brought about some sort of support to their members and the industry by stabilizing prices by supplying what is required for the local market.

He said if Thailand and Malaysia could export their fruits and vegetables to Europe and the USA, there was no reason why Sri Lanka could not do it.

Partnering Lanka shines bright at Turkey’s Izmir, snaps-up immediate orders

Asian Tribune - 18/09/2013

Sri Lanka, honoured as the first ever Asian Partner country at the Izmir Int’l Fair series in Turkey, has successfully clinched several trade and business deals at this global event, while also pushing its historic trade ties with the easternmost NATO power to new levels.

“We consider Turkey as one of the most important Trade Partners with high potentials for trade growth, and the present bilateral trade at $ 190 Mn is a credible starting point towards bigger trade, which in turn, has shown an increasing trend over last five years” said Rishad Bathiudeen (Minister of Industry and Commerce of Sri Lanka) addressing the huge audience at the inaugural session of 2013 Izmir International Fair (the 82nd international multi-product exhibition series) on 29 August in Izmir, Turkey.

Sri Lanka was the partner country at the 82nd show -and also to be honoured as the first ever Partner Country from Asia at this series- held in Izmir, which in turn, is a candidate city for the global EXPO 2020 event.

Turkey has honoured Sri Lanka by making it a partner country at the 82nd Izmir Int’l show held from 29 August to 02 September in Izmir. Izmir series is one of the largest-and wide ranging- industry fairs in the northern hemisphere encompassing many macro industries and their sub-sectors, which included, among others, food products & technology, automotives, furniture, decoration, household, appliances, white goods, passenger cars, trade vehicles, bicycle, motorcycles, construction and building materials, construction machinery, agricultural machinery, farming tools, hvac and sub-industries, electric, electronics, computer, it, telecommunication, general machineries, chemical and petrochemical products and related technologies.

No less than 14 Lankan exporters and 7 stakeholder institutions were travelling with Minister Bathiudeen to Izmir Int’l Fair as part of the 45 strong Lankan delegation. A minimum of 130 buyer leads were generated for Sri Lanka, according to the EDB. Immediate negotiations for Pure Ceylon Tea orders exceeding $65000 totals, materialised during the Izmir fair, along with other shipment-orders for coconut products, gem and jewellery, herbal teas, and ceramics. Among investment inquiries received were, spare parts, bicycle tyres, motor cycle assembly and infrastructure development projects. 46 B2B meetings, facilitated by EDB, were successfully concluded. Sri Lankan delegation, also facilitated by the EDB, concluded successful biz-meets with the official delegations of Indonesia, Namibia, Lybia, Izmir Chamber of Commerce and Agean Chamber of Industry and Turkey’s Small and Medium Industry Development Organization, KOSGEB.

“On behalf of HE the President of Sri Lanka Mahinda Rajapaksa and the people of Sri Lanka, I extend my sincere thanks to the Government of Turkey in giving this opportunity to Sri Lanka to act as the Partner   Country in this international event, which is a great honour for us” said Minister Bathiudeen and added: “Sri Lanka’s major exports to Turkey represent Ceylon Tea which is world renowned for its colour, flavor and aroma, and also Garments, Rubber products, Coir Based products including activated carbon. We import Woven Fabric, machinery and other equipments from Turkey. Sri Lanka can offer many other products to the world as well, with her rich natural resources. To name a few, natural gems including world’s best Blue Sapphires, Spices with inherent qualities including world famous Ceylon Cinnamon and mineral resources.

There are ample opportunities to set up value added industries in various sectors, targeting local & international trade. For Sri Lanka, Turkey could be considered as one of the gateways to the EU region and the same way, Turkey could consider Sri Lanka as one of the gateways to the Asia, as Sri Lanka’s strategic location which is geo-politically important, and the opportunities made available under the two Free Trade Agreements with India and Pakistan and many more bilateral arrangements that are under negotiation. Against this background, I consider that Sri Lanka’s participation at the Izmir fair is very timely and definitely plays an important role to enhance trade acting as a catalyst for the bilateral initiatives to proceed with the joint economic partnership efforts on accelerated mode and thereby achieve sustainable economic development for both economies. I have been given to understand that this international fair provides a platform to have interaction among the exhibitors who have come from almost 35 destinations which will create business interactions to promote international trade under one roof” Minister Bathiudeen said.

Status of Sri Lankan NR-based industry

Daily Mirror - 18/09/2013
by Dr. N.Yogarathnam

The Sri Lankan rubber products manufacturing industry is composed of about 4,530 manufacturing organizations of small, medium and large-scale entities.
Nearly 70-80 percent of the local rubber production is used by these domestic industries. Sabaragamuwa and Western provinces record 87 percent of the total number of rubber industries in the country.

All large and small-scale industries and 80 percent of medium-scale rubber industries can provide employment for trained personnel in rubber technology. Within a relatively short period, this industry has become a reputable major world supplier of quality rubber products.

The total rubber production (raw rubber and value-added) generated over 1.1 billion US dollars in terms of revenue and value-added rubber accounted for 80 percent of total rubber exports.

Finished products
This sector is classified broadly into two sub sectors; viz. latex-based products and dry rubber- based products.  Latex products include rubber gloves, hygienic or pharmaceutical articles (catheters), latex thread and articles of apparel and clothing products. Solid rubber products mainly consist of two categories, namely tyre and non-tyre.  Tyre sector includes pneumatic tyres, solid tyres and tread materials.

Dry rubber-based products have an export value share of 78 percent while latex based rubber products have a share of 22 percent.  Out of the latex-based rubber products, hygienic or pharmaceutical articles have a very minimal share.  In the dry rubber sector, tyre category dominates the non-tyre sector with a share of 85 percent of the export value share of the dry rubber based products.


Exports
Our external trade in rubber and rubber products has been dominated by the value-added rubber products consisting of 11 product groups from HS codes 4007 to 4017.  It highlights the following points: (i) despite market recession in year 2009, the country has been maintaining a favourable balance of trade throughout the 6-year period; (ii) the average share of the value of finished products exports was 81 percent from total exports in year 2007 changed to 83 percent in 2012; (iii) year on year average growth rate of the total value of rubber finished products exports was 36 percent from year 2007 to 2008 decreased to -10 percent from year 2011 to 2012.


Tyre sector  
In the tyre manufacturing sector, we produce pneumatic and semi pneumatic tyres, tubes, solid tyres, and re-treading materials. Despite the reduction of tyre exports to about 56 percent in 2009, tyre sector accounted for more than 60 percent share in the total value of exports in the rest of the period. The share of export earnings in 2012 accounted for 66 percent of the earnings from the tyre sector. Solid tyre sector earned US $ million 331 in 2012. It was the largest contributor in tyre sector in the last 6-years period .

The Asia/Pacific region was by far the largest market for tyres, accounting for over half of global tyre sales in 2010. This region is expected to register the strongest growth in tyre demand through 2015.  Revenue from new pneumatic tyre exports was US $ million 215.4 in 2011, although and a small drop was observed in 2012.
Both new pneumatic tyres and solid tyres were the major contributors to export earnings, 38 percent and 61 percent respectively. On the export value of the tyre sector, solid tyres being still the major contributor to Sri Lanka’s export value.


 Pneumatic tyres
 Tyres produced under this type consist of tyres used for motor cars including racing cars, busses, lorries, motor bicycles, bicycles and industrial machinery. Tyres for motor vehicles, which accounted for over 60 percent of all tyre demand in 2010, are expected to remain the largest segment of the tyre market by 2015. New pneumatic tyres of rubber are used for motor cars, wagons, racing cars, buses and lorries and always had the highest demand in pneumatic tyre sector. This sector earned US $ million 19.9 in 2011 and US $ million 27.7 in 2012. Total export quantity of new pneumatic tyres was 10,066,243 units in year 2012. It was only 9,632,000 units in the previous year. According to the world market news, demand for these kinds of tyres grows at a rate of 5 percent per annum. Sri Lankan new pneumatic tyre sector accounts for approximately 38 percent of total tyre sector earnings in year 2012.

Motorcycle tyres are categorized into two types; viz. road tyres and off road tyres. Road tyres are designed for more miles, better handling, grip and safety by positioning hard and soft rubber where needed. Off road tyres are designed for extreme conditions requiring cut resistance in addition to other normal requirements expected from a motor cycle tyre.

The global bicycle tyre industry is worth several Billions of dollars. Europe is said to consume 30 Million bicycles annually and is growing at a rapid rate due to interest in cycling to work and pleasure. Additionally, bicycle tyres need to be replaced at least twice a year. Total export of bicycle tyres was 7.56 million units in year 2012 from about 9 percent against the previous year. Tanzania, Italy and Egypt are the major bicycle tyre importers from Sri Lanka. Sri Lanka exported 29,58,419 of bicycle tyres to Tanzania and earned US$ Million 8.4 year 2012 which was about 50 percent of total exports.

Sri Lankan industrial export data shows lowest amount of pneumatic tyre exports in year 2009. Asian countries were the largest market for Sri Lankan   tyre sector. United States was the major importer of Sri Lankan pneumatic tyres.

Solid or cushion tyres
Vietnam and Sri Lanka in Southeast Asia which enjoy a large rubber output developed rapidly in solid tyre manufacturing field in recent years by virtue of their advantages in resources

USA is the largest importer of solid tyre from Sri Lanka. Belgium, Germany, Italy are the other major importers of solid tyre products. Solid industrial tyres are primarily used in material handling vehicles in areas such as airports, ports and transporting goods for storage. Sri Lanka has developed into a centre for the production of solid industrial tyres. Sri Lankan solid tyre sector earned US $ million 352 in year 2011 and US $ million 331 in year 2012. However the quantity of solid tyre exports had come down by 15% in year 2012.

In 2009 like the other industries, Sri Lankan solid tyre processing industry suffered from global financial crisis. This industry recorded a reduction of 41 in percent average annual growth again. Solid tyre sector performed well in the years 2010 to 2011 achieving higher growth rates of 73 to 84 percent respectively.


Non-tyre sector export performance
Non-tyre sector comprises of consumer rubber products, general rubber products and industrial rubber products. There is considerable amount of interest and activity in rubber bands, hot water bottles, and jar ring manufacture in Sri Lanka.

Availability of good quality NR in the form of latex crepe is one of the reasons for the interest in these products. In the footwear industry, Sri Lanka was one of the pioneers of supplying footwear in the world. Carpets and Floorings are another. The emphasis has been on the low cost low technology oriented products


Surgical gloves
Latex is perhaps the best raw material to manufacture certain products such as surgical gloves, thin walled products like condoms and extremely flexible horses. World Health Organization (WHO) defines medical gloves as disposable gloves used during medical procedures. They include, examination gloves (non-sterile or sterile) and surgical gloves that have specific characteristics of thickness, elasticity and strength and are sterile.

Global demand for medical gloves is growing at 8 – 10 percent per annum. Malaysia is the largest contributor supplying 63 percent of global demand while 29 percent and 9 percent is supplied by Thailand and Indonesia respectively.

Glove manufacturing & exporting industry of Sri Lanka is placed as one of the top manufactures of the world which also contributes more than 5 percent of global demand. This Sector has performed well during the year 2011 by increasing it’s growth to 22 percent .Total export value earnings from surgical gloves was US $ million 43 in year 2012 which accounted for 25 percent  of total latex-based products. Earnings from surgical gloves were US$ 45 million in year 2012. Exports accounted for 40 percent of total surgical gloves earnings of Sri Lanka.


Household gloves
Household glove is the first dipped product manufactured in Sri Lanka for export. Though the gloves are termed household, they are widely used in the industry for variety of purposes. The unlined gloves are widely used in the food industry. US is the major export destination of Sri Lankan household gloves. The global demand for rubber gloves has increased due to recent regulations on occupational safety. The demand for rubber gloves is expected to grow by 10 percent per annum.


Cellular rubber floor coverings, mats and erasers

Carpets and Floorings are among the products of interest in Sri Lanka. It contributes to about 11% of dry rubber based non tyre products. This sector didn’t perform well during the year 2012 although it showed 39 percent growth in the year 2011. The growth of this sector decreased by 21 percent in year 2012. USA, France and Germany are the major export destinations of these types of products. USA contributes about 28 percent of total cellular rubber earnings of Sri Lanka. 

Sri Lanka, China to close free-trade deal

Gulf News - 17/09/2013

Sri Lanka and China will finalise a free-trade agreement ahead of a Commonwealth summit in Colombo in November, a government minister said on Tuesday.

The two sides have been hammering out details of the duty-free goods under the deal, Investment Promotion Minister Lakshman Yapa Abeywardena told reporters in Colombo.

China has been investing heavily in Sri Lanka, with loans and expertise instrumental in building ports, highways, railways and power plants in the Indian Ocean nation.

“We are discussing the agreement right now and we hope to be able to finalise it before the Commonwealth meeting,” Abeywardena said, adding that a Chinese delegation had been in the Sri Lankan capital recently to discuss the deal.

Sri Lanka will host the Commonwealth Heads of Government meeting from November 15 to 17.
Although China will not take part, Sri Lanka is keen to showcase its economic progress since the end of nearly four decades of ethnic war that ended in 2009, and will host a trade forum alongside the meet.
The minister gave no details of the pact with China, but said Sri Lanka’s $3.7 billion garment manufacturing industry would feature strongly.

Trade is currently heavily skewed in China’s favour, with the powerhouse exporting $2.66 billion worth of goods to Sri Lanka last year, and Sri Lanka’s exports to China totalling $113 million.
Abeywardena said he hoped the new agreement would further open up the vast Chinese market to Sri Lanka’s manufacturers.

The Chinese investment in Sri Lanka, which is under pressure from Western powers and India over its human rights record, has raised fears in New Delhi about Beijing’s influence in the neighbourhood.
Sri Lanka’s biggest container terminal, built and majority-owned by China, was launched last month aimed at making Colombo a strategic shipping hub along the world’s most lucrative trading route.


Sri Lanka entered into a controversial free-trade agreement with neighbouring India in December 1998 during Sri Lanka’s bloody separatist conflict, but both sides have been bickering since over non-tariff barriers.

Sri Lanka plans to export salt from Hambantota Port

Colombo Page - 17/09/2013

Sri Lanka, expecting a bigger salt harvest this year from the country's salterns, plans to export the excess salt.

The Chairman of Lanka Salts Ltd., Pradeep Wijesiriwardana has said that there will be excess salt when the salterns at Elephant Pass produce salts and the excess can then be exported.

Wijesiriwardana has said that the plans are already underway to export the excess production from the Hambantota port.

According to the Chairman, the year-end salt harvesting at Bundala and Palatupana salt fields is being carried out now. About 20,000 metric tons of salt has been harvested and possibly another 100,000 metric tons can be harvested by the year end.

The fully automated salt processing and iodization factory at Hambantota produces a salt harvest of about 75,000 to 85,000 metric tons of salt annually, according to the Chairman.

Sri Lanka's annual requirement of salt is estimated to be around 150,000 metric tons.

Salt is produced in Sri Lanka relatively at a low cost but the transportation of the product incurs heavy expenses.

Increase in tea export earnings

Daily News - 13/09/2013
by Indunil Hewage

Sri Lanka's total quantity of tea exported including re-exports with imported tea for July reached to 29.88 million /kg, indicating a gain of 3.34 million/kg compared to the corresponding period in 2012.

The cumulative tea export earnings rose to Rs 17.76 billion, showing a slight gain of Rs 2.77 billion as against the same period last year with the increase in FOB (Free on Board) price per kg from Rs 564.92 to Rs.594.50, according to a tea market report.

Cumulative exports including re-exports with imported Tea for the period January to July 2013 recorded 174.25 million /kg, a decline of 7.82 million /kg in comparison to same period last year.

However, cumulative ex- port earnings amounted to Rs 104.48 billion, showing a slight gain of Rs 4.43 billion as against the same period last year with the increase in FOB price per kg from Rs 549.50 to Rs 599.58.

CIS countries including Russia are the main tea export destinations from Sri Lanka while Iran and Turkey continue to buy a major proportion of Ceylon tea. However, total tea exports from Sri Lanka to Libya has dropped by 7.65 million /kg as against the corresponding period last year.

Meanwhile, a total quantity of 5.9 mkgs was offered at this week's auction. Ex-estate offerings totalled 0.6 m kgs. Ex Estates met with good demand. Few select best western BOPs gained Rs.20 per kg and more for special enquiry. Others together with teas in the below best and plainer categories were irregular and Rs.30 per kg lower. Nuwara Eliyas gained Rs.30 to 40 per kg. Udapussellawas declined Rs.20 per kg. Select best Uva seasonal teas appreciated. Best western BOPFs gained Rs.10-20 per kg. Teas in the below best gained Rs.5-10 per kg. Nuwara Eliyas together with Udapussellawas declined Rs.30 per kg. Select best Uva seasonal teas gained sharply following airmail enquiry.

There was good demand coming in from Iran, Turkey and CIS. Last week. Crop intake for Western region showed a marginal increase whilst other regions maintained.

First Indo-Lanka textile agreement inked in Colombo

As the first ever textile agreement between India and Sri Lanka became a reality, both neighbours mulled joining to enter a coveted global textile foothold-China, the world’s largest textile market. “China’s textiles are gradually moving from production to consumption. Using our strengths together-Sri Lanka’s first class garment manufacturing infrastructure and India’s quality fabric outputs-let us jointly compete for China’s textile market” said a determined Ms Zohra Chaterji (Secretary of Indian Ministry of Textiles) on 09 September in Colombo.

 Ms Chaterji was addressing Anura Siriwardena (Secretary, Ministry of Industry and Commerce of Sri Lanka) on 09 September at Cinnamon Grand during her delegation’s official meeting with Sri Lanka’s delegation after the signing the first ever MoU between India and Sri Lanka on the same day at Galadari Hotel, Colombo earlier. During the successful Cinnamon Grand meeting, officials from both sides discussed in depth, of the modalities of the morning MoU and how to move forward and implement it in the coming months and agreed on the immediate next steps.

 The morning MoU signing event at Galadari was attended by, among others, Basil Rajapaksa (Economic Development Minister), High Commissioner of India in Sri Lanka (HE) Y.K.Sinha, Ashroff Omar (Chief Executive Officer of Brandix Lanka), M. Fowzie (Senior Minister) Ms Zohra Chaterji, PS Raghavan (Secretary, Ministry of External Affairs, India), Visvanath Agarwal (Chairman- Powerloom Development & Export Promotion Council of India-PDEXCIL), Anura Siriwardena (Secretary, Ministry of Industry and Commerce) and relevant officials and private sector reps from both countries. The Memorandum of Understanding on new textile cooperation effort is the latest development in the aftermath of Indian announcement in September 2012 that Sri Lanka can export eight million apparel pieces at zero duty to India.

A 2011 survey by “China National Garment Association (CNGA)” showed the cost of Chinese textile and garment companies on labor, raw material, energy and financing were “in the uptrend” and as such Chinese textile market shows promise for foreign imports. In its 2012 report, China Research and Intelligence Ltd estimated the Chinese textile market to be around $ 540 Bn while the combined annual exports of Chinese textiles and garments at $ 248 Mn. 40% of China’s annual industrial output comes from textiles.

 “The objective of this historic MoU being the expansion of the business and co-operation in the development of SME in Handloom, Power-loom and Textile sectors. The period of Memorandum of Understanding will remain in force for five years from the date of signing the MOU and it can be renewed thereafter.  The key persons in the resulting Joint Working Group (JWC) are the co-chairs –the Additional Secretary of the Ministry of Industry and Commerce of Sri Lanka and the Joint Secretary of the Ministry of Textiles of the Republic of India–as well as members who will collaborate on this MOU. We strongly believe in the involvement of the private sectors of both countries in taking this process forward” said Secretary Siriwardene, addressing the morning MoU signing event at Galadari Hotel. “We also observe that there appears to be much more unrealized potential for Sri Lankan textiles to serve the Indian textile markets and we are confident that this delegation will understand and support us to further enhance this direction. I would like to stress our strong appreciation towards Hon Anand Sharma, Indian Minister of Commerce and Industry who, during his visit to Sri Lanka in 2012 for his pioneering steps towards this bilateral textile MoU as well as for his extension of our textile export quota to India from three million to eight million pieces as a result of the  successful Discussions he had with HE the President Mahinda Rajapaksa, Ministers Basil Rajapaksa and Rishad Bathiudeen. We thank especially the Treasury Secretary Dr PB Jayasundara for his untiring efforts in making this MoU a reality” Secretary Siriwardena added.  

 According to the Department of Commerce, total Indo-Lanka trade in 2012 stood at $ 4.086 Bn. During January – June of 2013, exports from Sri Lanka to India stood at $ 279.17 Mn while imports from India at $ 1465.65 Mn, showing a declining trend in imports from India. India’s appetite for Sri Lanka apparels and textiles too has grown steadily. Last year, India was the 8th buyer country of Sri Lanka textiles and garments with $ 64 Million which was a three-fold increase from 2008. Also last year India became the 10th buyer country of world famous Sri Lanka apparels purchasing $ 39 Million of apparels, which was a strong 44% increase from 2011. I am sure that you may already be aware that Sri Lanka Apparel has become one of the world’s leading proponents of ‘Ethical Business and Manufacturing Practices’ for the Global Fashion and Apparel Sourcing Business. In 2012 India also ranked the second largest buyer of Sri Lanka’s woven fabrics category with $ 20 million purchases which was a 42% growth from 2008.

 Ms Zohra, addressing the MoU signing event at Galadari Hotel, said: “Textiles is an area which has immense promise for the mutual benefit of both our countries. Sri Lanka is India’s largest trade partner in South Asia. India is Sri Lanka’s biggest trade partner. Seeing that 45% of Sri Lanka’s exports account for garments, it is opportune for both countries to join hands to capture a larger global market share. The market opportunity is here and now it is for us to respond fast. This would be going. Sri Lanka offers fast delivery, faster transit times, low transit costs, we are able to supply flexible quantities of your yarn requirements. There are opportunities for joint investments both ways. The current MoU approved by Sri Lankan side is limited to SMEs of handloom, power-loom and textiles only but the Indian government is willing for a larger engagement -all sectors of Sri Lanka’s value chain in the next stages-including handicrafts. For now we are happy to go along with your strategy of incremental approach in textile cooperation process, we keep the doors open for expanding this textile cooperation further.”

Sri Lanka excels at 82nd Izmir International Fair in Turkey……

 

Sri Lanka, the first ever country in Asia has been offered the “Partner Country” status at the 82nd Izmir International Fair, the oldest Trade Exhibition in Turkey.  Sri Lanka’s participation promoted Sri Lanka as a reliable destination for trade investment & tourism and showcased the best that the island paradise has to offer,   under the theme “Sri Lanka -Wonder of Asia”.  This theme is in line with the Mahinda Chinthanaya,  vision of the President of Sri Lanka who has given the leadership to initiate a grand scheme of progress and development in the country.

Sri Lanka’s Partner Country participation organized by the Sri Lanka Export Development Board (EDB), which aims to drive the national economy through export growth. The main objectives of the event were to promote and re-position Sri Lanka’s trade, investment and tourism and instill confidence in the country’s high-quality products and services among international buyers.

Sri Lanka’s participation showcased a unique combination of an exhibition, B2B meetings and corporate events. Every endeavor was made to make it a valuable business experience for all stakeholders.
The Sri Lanka Export Development Board acts as a catalyst to achieve Sri Lanka’s export target of US Dollars 15 billion by 2015.  It is expected that Sri Lanka’s exports will receive a boost with the Sri Lanka’s participation at the event.

Parallel to the exhibition, there were meetings with the ambassador to Gambia, ministerial delegation of Libya, trade delegation of Indonesia, Governors of Izmir & Sinop City of Turkey and B2B meetings with eminent business leaders in Turkey from trade, investment & tourism to network with the trade delegation of Sri Lanka.

Sri Lanka’s participation showcased a wide array of high-quality export products.  It is expected to follow up with the inquiries received and negotiate for export orders with the buyers from strategic markets around the world, who had networking with the Sri Lanka trade delegation.

Sri Lankan cultural performances and the stall which projected Sri Lanka’s culture and the Art at the event attracted many visitors to the Sri Lanka Partner Country Pavilion, inquiring to facilitate travel to Sri Lanka.
Hon. Rishad Bathuideen, Minister of Industry & Commerce, made a speech at the ceremonial opening held on 29th August 2013 and Hon. Fizar Mustaffa, Deputy Minister of Tourism Development also accompanied Hon. Minister of Industry & Commerce. The reception hosted by the Sri Lanka Embassy in Turkey was attended by many ambassadors to the countries and other eminent representatives from trade and investment of participating countries.

Sri Lanka’s Partner Country participation was a very successful one.  It will be a window of opportunity for foreign buyers hoping to benefit from the Sri Lanka’s lucrative and rapidly growing export market.
The Sri Lanka Export Development Board is dedicated to creating export growth and competitiveness through global awareness of what Sri Lanka has to offer promoting Sri Lanka – Wonder of Asia at international trade events.

Radical new boat ‘will significantly boost Sri Lanka’s tuna exports’

Sunday Times - 08/09/2013

By Nick Hart

Pic shows a ‘test-bed’ vessel on which the tuna boat is based under construction at the Viksund yard

Negombo – A radical new, locally built high-speed catamaran fishing boat is poised to significantly boost the number of top-price tuna available for export from Sri Lanka to markets in Japan, China and the Middle East.

It will also help ensure tuna sustainability in Sri Lankan waters by reducing by up 70 per cent the number of fish needed to be caught in order to ensure maximum profitability.

Sri Lanka’s Ministry of Fisheries and Aquatic Resources Development has expressed keen interest in the new vessel, which will help put the country at the forefront of next-generation fishing-boat development.

It is hoped that a prototype, currently on the drawing-board at the Viksund boatyard on the Negombo lagoon, will be ready for sea trials later this year.

The new boat combines a hull design based on G3 offshore racing powerboats with high-tech refrigerated fish holds that eliminate spoilage and get fresh tuna back to port at speeds of up to 40 knots.

The ministry has said it will allow the new venture to be based at the recently completed state-of-the-art fishing harbour between Negombo lagoon and Colombo, where land will be made available for a factory to build the new boat.

It has also brokered agreement from the Sri Lanka Navy for Viksund, a Norway headquartered company, to use powerful 200-plus horsepower outboard engines, which are currently banned for use on civilian vessels.

Deputy Fisheries Minister Sarath Kumara Gunaratne has pledged to attend the launch of the prototype, which he hopes will spearhead the kind of entrepreneurial innovation that is essential to the long-term survival of Sri Lanka’s fishing industry.He says: “Fish and seafood represent a significant proportion of our GDP and export markets, and we welcome any development that will help our fishing industry stay ahead of the game.” At present, as much as 80 per cent of tuna landed in Sri Lanka is ‘spoiled’ because current vessels lack adequate refrigeration and handling technology to maintain the fish in Grade 1 condition for the long periods the boats are forced to remain at sea.

Grade 1 sushi bluefin tuna currently fetches up to US$1,000 per kilo wholesale in Tokyo. Prices for yellowfin tuna, which is more commonly found in Sri Lankan waters, range from $500 to $700.

Prices are dramatically lower for Grades 2 and 3 tuna, which are considered spoiled and thus not fit for sushi – and with the latter often contemptuously dismissed as ‘pet-food’ by tuna marketers.

Boatyard owner Yostein Viksund says he is looking forward to helping Sri Lanka develop its fishing fleet to meet the challenges it must overcome if it is to thrive over the next three to five years.

He says: “Stocks of tuna and other staple species are being depleted at alarming rates across the Indian Ocean. Our new boat will mean higher profits from fewer fish, which will greatly benefit tuna-stock sustainability as well as the Sri Lankan economy.”

Remenzie Fernando, who has extensive experience providing top-quality sushi tuna to Japanese markets and is now a livestock and fisheries consultant, is optimistic that with the right planning and logistical support the new boat will more than prove its worth in its first season of operation.

He says: “We have a state-of-the-art fishing port on one side of Negombo lagoon and an international airport with daily direct flights to Tokyo and the Middle East on the other. All we need are the right fish in the right condition at the right time, and that’s what this new boat will give us. It will be a classic win-win situation all round.”

(Nick Hart is a British travel and business writer based

in Negombo)

Dutch biz in town

Asian Tribune - 06/09/2013

Buddhi Athauda (Ambassador of Sri Lanka to the Netherlands-far right) and Dr Yousuf Maraikkar (Executive Director-EDB) engage the visiting members of the Dutch biz delegation at Hotel Mt Lavinia on 04 September.

Dutch biz are bullish on Sri Lanka’s emergent prospects. “Sri Lanka’s historic links with the Netherlands have entered a new era. This strong business and investment delegation is the latest sign” said an upbeat Buddhi Athauda (Ambassador of Sri Lanka to the Netherlands) on 04 September in Mt. Lavinia.

Ambassador Athauda was addressing the inaugural event of the visiting Netherlands business and trade delegation to Sri Lanka on 04 September held at Mt Lavinia Hotel, Mt Lavinia. The delegation, which is on a week-long tour in Sri Lanka, and which arrived on same day (04 September) in Colombo, consisted of reps from such leading Dutch firms as JIMPP Media, Abos, Defteq International BV, Beursgenoten, Fleurons & Prins, Velema Holdings, and Zonel Energy Systems.

EDB facilitated presentations from various Lankan private sector firms-including Ceylon Tea, and Tourism- were made to the visiting delegation on 04 September at the Mt. Lavinia Hotel, followed by a successful B2B session between Dutch and Lankan biz that continued throughout the afternoon. Jimpp Media BV, a business programme producer is also part of the delegation. Ron Abdoelhafiezkhan, a well-known Dutch talk show host and a TV producer as well as JIMPP’s leading producer Ms Juliette Iperen with her TV crew are also in the delegation. The JIMPP TV crew is scheduled to start shooting for two half hour segments on Sri Lanka’s new developments, to be televised in Netherlands.

According to the BoI, currently 30 Netherland investment projects are in operation in Sri Lanka to a total investment value of $ 437 Mn. These projects have been on-going from way back in 1978 (to to-date). Among the well-known Dutch brands operating in Sri Lanka are Holcim (cement) and Northwest Fisheries.
According to the Department of Commerce of Sri Lanka, Sri Lanka’s total trade with the Netherlands has fluctuated during the last 14 years but balance of trade has continuously in favour of Sri Lanka recording the highest value of US $ 303.6 million in 2010. In 2012, the total bilateral trade between the two countries stood at $ 237.5 Mn. Tobacco, tea, fish products, solid rubber tyres, coconut products were Sri Lanka’s leading exports to Netherlands which totalled $ 158.6 Mn in 2012 while the country imported chocolates, orthopaedic appliances, ethyl alcohol, medicaments, tubes, pipes and hoses, and fittings from Netherlands last year.

“Netherlans famous logistics, agro sector and financials offer strong promise for Sri Lankan businesses in such sectors, looking to partner with Dutch biz” said (HE) Athauda. “Sri Lanka can focus on such well known sectors to synergise with Netherlands biz” he added.

“Sri Lanka is very interesting for us” said Alexander OP van den Bos, Director of Abos Ultimate Vending, the high-end coffee brand in the Netherlands. “Your economy is growing very fast and offers good prospects to the global investors like us. We are looking for joint ventures with matching partner firms from Sri Lanka” Bos added. Bos’ Faityrade and ATZ certified ‘Café Primero’ brand of high end coffee and coffee processing machineries trade grossed $ 53 Mn turnover in 2012.


“Diplomatic relations between Netherlands and Sri Lanka go back to more than 60 years” said Dr Yousuf Maraikkar (Executive Director-EDB), addressing the event, and added: “The Dutch influence still lingers in many areas our national life. Their great architecture vividly recalls us their presence in Sri Lanka. In 2012, the total bilateral trade between the two countries stood at $ 237.5 Mn. Sri Lanka is hosting the CHOGM and the Commonwealth Business Forum in November and parallel to this is the large scale exhibition by the EDB and I invite you to actively take part in it.”

Strengthening ties at EDB

Daily Mirror - 02/09/2013

The Sri Lanka Export Development Board (EDB) celebrated its 34th anniversary recently. As a part of its anniversary celebrations, the formation of an Ex-EDB Employees society titled ‘Ex-EDB Employees Sansadaya’ was proposed, to strengthen the ties between the present and past employees of the EDB. The inaugural meeting and the get-together of the ‘Sansadaya’ was held on 23 August at the Cey-Nor Seafood Restaurant, Colombo, with the participation of present and past employees of EDB

Israeli Trade delegation upbeat on investment prospects in Sri Lanka

Asian Tribune - 31/08/2013

A high end Israeli Trade delegation consisting of approx. 25 delegates from diverse sectors such as agriculture, dairy, the high tech industry, defence, insurance and water management sectors is currently visiting Sri Lanka in order to explore potential scope for collaboration between the two countries. The trade delegation which arrived on 26th August is led by Ambassador Sarath Wijesinghe, Sri Lanka’s Ambassador to Israel.

The objective of organizing the visit by the Sri Lanka Embassy in Israel with the assistance of the Export Development Board, the Chambers of Commerce and the Israel –Asia Chamber of Commerce in Israel was to highlight Sri Lanka’s comparative advantages as well as the variety of investment incentives available in the priority sectors of the Sri Lankan economy. This visit is also timely since there has been considerable growth in bilateral economic relations between Sri Lanka and Israel with trade doubling to US $ 158.35 million last year.

H.E. the Ambassador Sarath Wijesinghe addressing the distinguished gathering at the inauguration of the event at the Grand Oriental Hotel stated that Sri Lanka is a stepping stone to the sub-Continent for Israeli investors and invited the Israeli entrepreneurs to make use of the emerging status of Sri Lanka as a hub in the region. Mr. Ajith Nivard Cabraal, Governor of the Central Bank who was the Keynote Speaker at the inauguration commented on the strength of Sri Lanka’s macro fundamentals and stated that the time is right to invest in Sri Lanka. Later in the day many leading Sri Lankan businessmen availed themselves of the business networking facilities with the Israeli trade delegates which were offered to them after the inaugural event concluded.

The delegation is expected to call on Minister of Irrigation & Water Resources Management Hon. Nimal Siripala de Silva, Minister of Agriculture Hon. Mahinda Yapa Abeywardena, Minister of Economic Development Hon. Basil Rajapaksa and Mr. Gotabhaya Rajapaksa, Secretary of the Ministry of Defence & Urban Development will visit the Board of Investment and other Government Institutions later on in their visit.