Sri Lanka’s rubber sector received a major opening from world’s leader in car production when Slovakia, world’s leader in car production called for using Sri Lankan rubber –specially rubber tyres for their car manufacturing industry.
“We want to diversify our rubber intake and to this end want to expand the sourcing from our present African and South East Asian suppliers,” stressed the visiting Slovak Finance Minister Peter Kazimir. Slovak Minister Kazimir, who accompanied a nine-member official delegation, was in discussion with Minister of Industry and Commerce Rishad Bathiudeen during his courtesy call on Minister Bathiudeen in Colombo yesterday.
“As a result of post-Soviet era economic restructuring, Slovakia has become a manufacturing economy. 40% of our industrial exports are automotives. Well established global brands such as KIA, Volkswagen, Jaguar Land Rover, Audi, and PSA Peugeot Citroen are now manufacturing in Slovakia at Tier One OEM level,” said Slovak Minister Kazimir.
“More than 400 Slovak SMEs too are part of our supply chain as second tier suppliers and Tyre supplies are crucial for us.”
“We want to expand this sourcing and are now keenly focusing on Sri Lankan rubber sector, especially tyres. We also wish to send our business delegations here and even ready to transfer our technical know how to Sri Lankan (automotive) industry.”
Slovak Minister Kazimir also stressed their interest in investing in Sri Lanka and called for a bilateral Investment Protection and Double Tax Avoidance mechanisms between both countries during his meeting with Minister Bathiudeen.
Bilateral trade between Sri Lanka and Slovakia totalled a mere $ 45 Million in 2017. Sri Lanka’s leading export to Slovakia in 2017 was apparel.
“Global demand for our high quality rubber continues to increase-even last year our rubber exports increased by 18% to $ 39 million from 2016’s $33 million,” Minister Bathiudeen responded.
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