China to open doors to Lanka’s apparel sector

The Sunday Times - 23/06/2013

By Bandula Sirimanna

 Sri Lanka’s apparel industry is to get a big boost as the world’s largest textile producer, China is exploring possibilities of opening its huge domestic market to the island’s garment exports, an industry heavyweight said.

Secretary General of the Joint Apparel Association Forum (JAAF) M.P. Tuly Cooray told the Business Times that their umbrella body is to enter into an agreement with the China National Garment Association to allow access for Sri Lankan apparel industrialists to penetrate the Chinese domestic market and also set up joint ventures to produce internationally branded products for overseas markets.

A high-powered, 20-member delegation from the Chinese association visited Sri Lanka recently and held preliminary discussions towards signing a Memorandum of Understanding (MOU) enabling Chinese apparel makers and top global retailers to shift their orders to Sri Lanka due to the rising labour cost in that country, he revealed. He noted that they aim to get duty free access for apparel from

Chinese authorities through another MOU recently signed between China and Sri Lanka to improve and strengthen bi-lateral economic relations between the two countries, particular on trade investment and tourism.

The JAAF has been advocating in the past two years for the need to negotiate market access instruments with new and emerging markets particularly with China as a priority market because of enormous potential it offers.

Although, China is also a top global exporter of apparel, China also imports apparel and in 2012 imports amounted to US $4 billion, he said.

“Our apparel industry which has evolved to be a mature international player is now a supplier to many leading brands and no longer supplies to the low end of the market,” he said.

Sri Lanka has carved out a niche market for itself and does not consider China to be a competitor as it aims to supply to higher end of market by manufacturing for Chinese local brands as well as exporting international brands through manufacturing bases in Sri Lanka, he added.

The vision of the industry is also to make Sri Lanka the apparel hub for Asia as Sri Lanka is no longer a basic manufacturer but a total solution provider with front and back end services to their clients, he revealed.

“Since China is switching over to the higher segment of the market and also the hi-tech industry, the country will need to import garment products. We should seize the opportunity to export our goods there,” he said.

“China has the world’s most complete industry chain, the most skilled workers and the most advanced production equipment, but they don’t have a world famous brand,” he said adding that “Sri Lankan apparel industrialists have already established links with world famous brands like Abercrombie & Fitch, Victoria’s Secret, Next, Levi’s, Marks & Spencer, Reebok, GAP and Banana Republic”.

Sri Lanka’s apparel exports to China were US $15 million in 2012. “With high level of GDP growth and rising per capita income the expanding middle class offers a lucrative market not only for foreign brands but also for Chinese local brands.

Processed food exports top $ 73 m

Sunday Observer - 23/06/2013

“In 2012, 26% of total food and beverages exports were processed foods, at $ 73.4 million.

Our overall processed food exports which stood at $ 67.1 million in 2010 rose to a strong $ 95 million in 2011,” said Minister of Industry and Commerce, Rishad Bathiudeen at the launch of the first International Food Safety and Compliance training sessions for Sri Lanka’s food exporters by Associate Professor of the Department of Food Science and Human Nutrition of the Washington State University, Food Scientist, Dr. Barbara Rasco, were held at the Ministry of Industry and Commerce.

The pioneering session was organised by the Sri Lanka Food Processors’ Association and the Ministry of Industry and Commerce with the Spice Council and VEGA-FEG. The sessions were held from June 11 to June 21.

Dr Rasco has contributed to 200 published scientific papers on Food Science.

She (with Dr Bledsoe) published the first book on Intentional Food Contamination, considered as a criminal practice, in which companies were shown how to deal with food terrorism.

She has worked with hundreds of firms, including Starbucks, Coca Cola, Kraft US, Dole, Cargill Inc and American Sea Foods. “Dr Rasco is a great contributor to global food science specially in the integration of the legal and technical aspects and tries to come up with practices for the global industry to make the overall value chain of food, much safer,” said Minister Bathiudeen.

“This type of awareness sessions are an urgent need which is being fulfilled today, considering that in 2012, 26% of total food, and beverages exports were processed foods totalling to $ 73.4 million. Our processed food exports which stood at $ 67.1 million, in 2010 strongly increased to $ 94.84 million in 2011. In 2012, it stood at $ 73.4 million. The slight decline is a result of the on-going, global market turmoil,” he said.“My Ministry has been extending considerable support to build Sri Lanka’s food processing sector. We allocated $ 197,000 to the Sri Lanka Food Processors Association for this initiative. The other key initiative is the annual Pro-Food Pro Pack exhibition. The 11th exhibition in this series will be held in August at the BMICH,” the Minister said.

“Dr Rasco’s main contribution to Food Science is the integration of the legal and technical aspects and trying to come up with rational practices for the global industry to make the overall value chain of food, safer.

“This is an export sector with strong potential and we need this type of initiatives to sustain our competitive edge,” he stressed. “I am happy to help Sri Lanka’s food industry to secure its exports competitiveness,” said Dr Rasco, who has extensive working background in 30 countries - mostly in Central, South and South East Asia. “Despite the difficulty to get into new export markets and despite being expensive, your food operators and exporters are doing the right thing by following regulatory compliance,” she said. “Americans are beginning to look for spicy food from Sri Lanka. I see new opportunities for Sri Lanka’s full bodied spicy food exports in the US,” Dr Rasco said.

“Representativess from more than 20 leading firms, including Elephant House and Coca Cola took part,” said Administrative Secretary of Sri Lanka Food Processors Association, Ivan Peiris. “This is the first time that a program of this nature took place in Sri Lanka.”

EXPORT DEVELOPMENT BOARD Ministry of Industry and Commerce Sri Lanka Partner Country Pavilion

Rishad, top Washington scientist start Lanka’s first Food Compliance

news.lk - 19/06/2013

For the first time in Sri Lanka’s exports history, on June 11, a renowned global food scientist began  to extensively train Lankan food exporters on the much needed international regulatory compliance rules.

Rishad Bathiudeen, Minister of Industry and Commerce of Sri Lanka said that processed food has grown to become a key component of Sri Lanka’s overall annual food exports. In 2012, 26% of total food and beverages exports were processed foods, at $ 73.4 Mn. Sri Lanka's overall processed food exports which stood at $ 67.1 Mn in 2010 rose to a strong $ 95 Mn in 2011 added the Minister.

Minister Bathiudeen was addressing the launching ceremony of fist International Food Safety and Compliance Training session by globally renowned Food Scientist Dr. Barbara Rasco, Associate Professor of the Department of Food Science & Human Nutrition of the Washington State University for Sri Lanka’s food exporters at the Ministry of Industry and Commerce.

The pioneering session was organised by the Sri Lanka Food Processor’s Association with the support of Minister Bathiudeen’s Ministry of Industry and Commerce in partnership with the Spice Council and VEGA-FEG. The sessions commenced on 11 June will continue up to 21 June.

Dr. Rasco, one of the few professionals in the world simultaneously practicing Food Law and Food Science as a Food Scientist, arrived in the island on Saturday (08 ).

She published the world’s first  book (with Dr Bledsoe) on intentional food contamination, considered as a criminal practice in which companies were shown how to deal with food terrorism. She has worked with hundreds of firms - including Starbucks, Coca Cola, Kraft US, Dole, Cargill Inc and American Sea Foods.

“I am happy to help Sri Lanka’s food industry to secure its exports competitiveness. I am also impressed with the level of sophistication of Sri Lanka’s food industry. You are very proactive” said Dr Rasco, who admitted her strong liking for Sri Lankan Jaggery and hot curries, and stressed: “despite the difficulty to get in to new export markets and despite being expensive, your food operators and exporters are doing the right thing by following regulatory compliance.”   She further said that Americans are beginning to look for spicy food from Sri Lanka and there will be new opportunities  for Sri Lanka’s full bodied spicy food exports in US.

Reps from more than 20 leading firms-including Elephant House and Coca Cola participated in the session.

Sri Lanka makes their presence felt at the Paperworld 2013 exhibition held in Frankfurt

The Paperworld International Trade Fair is  a specialized fair for office supplies, school supplies, stationery and paper products held annually. It is an important venue for developing new contacts and maintaining existing business relationships for Sri Lankan exporters in the printing and stationery industry.  It is well recognized by buyers to source gifts and premium products including Office and School Supplies and Christmas Decorations. 

Paperworld 2013, held in January 2013 at Frankfurt, Germany which provided a great opportunity for exhibitors and trade visitors to study and analyze the position of the competitors and global market trends in products and  prices.  It also provided an insight into innovative and eco friendly products made of environmental friendly materials.

Facts at a glance

 2,967 exhibitors and 83,206 visitors from all over the world participated in paperworld  2013

• Everything revolved around tomorrow’s trends, impulses and business opportunities.
• 66 countries presented their latest products and marketing concepts at the Paperworld, Creativeworld and Christmas world trade fairs in Frankfurt.
• With its comprehensive complementary programme, Paperworld was also a valuable source of impulses and ideas: important trends, such as the presentation of themed and product worlds, commercial purchasing, multi-channel strategies and sustainability, were taken up in business programmes, special presentations and forums.
• Almost 300 people attended Procurement Business Programme, which was aimed at buyers of commercial office materials from private companies and public authorities with 100 or more office workplaces. This is an increase of 70 percent over last year.

 Sri Lankan Participants – Country pavilion organised by EDB –Sri Lanka

• Amoha Pvt Ltd (Back to Earth)
• PrintXcel
• Graphic Sytems (Pvt) Ltd
• Nalaka Stationary
• CIC Holdings 
• Toppan Forms 
• Madhawee Printers

Recommendations made by the Sri Lanka Consulate General in Frankfurt Germany

Paper world, creative world, and Christmas world is an emerging market in Europe.

It presents enormous business opportunity for businesses in Sri Lankan in terms of presenting their creative and production capacity. It also gives an opportunity to Sri Lankan companies to meet with companies that are looking for prospective business partners in the east.

After the successful completion of Paperworld this year we encourage companies to make arrangements in advance to participate in next year’s event.

Contact the trade division of the consulate for further information and assistance

‘More Americans looking for Lankan spiced food’ – Dr Rasco

Daily News - 19/06/2013

For the first time in Sri Lanka’s exports history, a renowned global food scientist began on June 11 to extensively train Lankan food exporters on the much needed international regulatory compliance rules. And processed food has grown to become a key component of Sri Lanka’s overall annual food exports.

“In 2012, 26% of total food and beverages exports were processed foods, at $ 73.4 mn. Our overall processed food exports which stood at $ 67.1 mn in 2010 rose to a strong $ 95 mn in 2011,” said Rishad Bathiudeen, Minister of Industry and Commerce of Sri Lanka on June 11 in Colombo. Minister Bathiudeen was addressing the launch event of fist International Food Safety and Compliance Training session by globally renowned Food Scientist Dr. Barbara Rasco, Associate Professor of the Department of Food Science & Human Nutrition of the Washington State University.


The pioneering session was organised by the Sri Lanka Food Processor’s Association with the support of Minister Bathiudeen’s Industry and Commerce in partnership with the Spice Council and VEGA-FEG. “Dr Rasco’s main contribution to Food Sciences is the integration of the legal and technical aspects and trying to come up with rational practices for the global industry to make the overall value chain of food, safer. These types of awareness sessions are an urgent need, specially considering that 26% of our Food and Beverage exports consist of Processed Foods as we face global export turmoil,” said Minister.

“This is an export sector with strong potential and we need this types of initiatives to sustain our competitive edge” he said.

“I am happy to help Sri Lanka’s food industry to secure its exports competitiveness. I am also impressed with the level of sophistication of Sri Lanka’s food industry. You are very proactive,” said Dr Rasco, who admitted her strong liking for Sri Lankan jaggery and hot curries, and said, “Despite the difficulty to get in to new export markets and despite being expensive, your food operators and exporters are doing the right thing by following regulatory compliance.”

“Americans are beginning to look for spicy food from Sri Lanka. I see new opportunities for Sri Lanka’s full bodied spicy food exports in US.” He said.

“Reps from more than 20 leading firms-including Elephant House and Coca Cola- will be taking part in this session which will continue till June 21, ” said Ivan Peiris, Administrative Secretary of Sri Lanka Food Processors Association. “This is the first time that such an extensive programme of this nature is taking place in Sri Lanka,” Peiris added.

Sri Lanka Economic Summit from July 9-11

Daily News - 08/06/2013

The 14th annual Sri Lanka Economic Summit which scheduled to be held from July 9-11, 2013 in Colombo will have one of its sessions discussing about Sri Lanka's export strategy.

The Government policy framework has targeted to raise the rate of growth in exports to double that of GDP growth, but exports as a % of GDP have halved from year 2000 to 2012. The share of exports of Sri Lanka as a percentage of world exports has also declined over the years to reach 0.06% by 2011. The basket of merchandise exports from Sri Lanka as well as our exports markets have remained largely unchanged over the last few decades. The foregoing situation and change in the global economic scenario, with Asia gaining ground over the West, require us to rethink our export strategy given the importance of exports to a small economy targeting to achieve sustained high economic growth in the future.


Leading economists and key exporters have been invited to discuss and identify changes required to current strategy to rejuvenate the exports sector in Sri Lanka.

The keynote note speaker of this session will be Dr. Premachandra Athukorala, Professor of Economics at the Australian National University and Honorary Professorial Research Fellow at the University Of Manchester, UK.