Sunday, October 1, 2017

Joint ventures, exports, way forward for Lankan manufacturers - PM

Ceylon Biscuits once again emerged as the most outstanding exporter of the year at the NCE export awards. Here Sharmalee Wickramasinghe, Managing Director, Ceylon Biscuits Limited is seen after receiving the award with Prime Minister Ranil Wickremesinghe and other officials. Picture by Sulochana Gamage

There were two sets of Sri Lankan manufactures, one looking at the local market and the other segment targeting exports, said Prime Minister Ranil Wickramasinghe.

Speaking at the 25th National Chamber of Exporters (NCE) Export Awards held at Hilton Main Ball Room Colombo he said that there should be only one tier and the manufactures concentrating only on the local market should look at exports and the government would offer them all assistance to go global. “There should not be a distinction between export and local market.”

He said that while the country is targeting over US 3 billion of Foreign Direct investments by 2020 and local entrepreneurs too should look at joint ventures with foreign companies. “They must try to take in technology from them and enter the export market.”

He said with 20 million people in Sri Lanka there are limitations for local manufactures and they must go global. “If Sri Lanka did not export, tea, rubber, coconut and apparel, Sri Lanka would not be enjoying this life style today.”

He said that both Japan with two atomic bomb explosions and Korea devastated by a 40 year war developed by concentration in exports. “China also development by going for exports.”

The premier said that though some may not agree tax rebates alone cannot drive competition. Most countries including China pays more taxes to the government than Sri Lanka. It’s the innovation that matters and drives growth, he said.

Wickramasinghe however admitted that there are some gray areas and identified high cost of power as one. He predicted that with wages and other expenses increasing some of the local manufactures would move out of the country.

The Premier also said that they in a bid to increase connectivity and making Sri Lanka a smaller nation, many transport related infrastructure projects were been conducted, these too will help local entrepreneurs. “We have also selected over 7,700 acres in Hambantota, Paranthan and Kandy areas especially for industrial development. A further 6,000 acres have been year marked for tourism development.”

The Chinese joint venture project for Hambantota harbour development would also create series of new industries and we will also have several new investment zones all over Sri Lanka.

Referring to ancient Ceylon the Premier said that the country has been always an export oriented nation and even Cinnamon grown in the up country was exported from the harbours in the South.

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