World Export Development Forum 2014 to be held in Africa for the first time

The forum is slated to take place in Kigali, Rwanda on 16-17 September, under the theme SMEs: Creating jobs through trade.

The World Export Development Forum (WEDF), a flagship event of the International Trade Centre (ITC), is bringing its 14th edition to Africa, with a dedicated focus on entrepreneurs.

Dedicated to supporting trade-led inclusive and sustainable development, the forum will be held in Africa for the first time, and is slated to take place in Kigali, Rwanda on 16-17 September, under the theme SMEs: Creating jobs through trade.

Besides, participants at the 14th World Export Development Forum (WEDF) will have the opportunity to hear expert views from entrepreneurs, policymakers and representatives of trade support institutions on how both new technology and traditional sectors can help promote growth.

Speakers include the Director-General of the World Trade Organization (WTO), the Secretary-General of the United Nations Conference on Trade and Development (UNCTAD) and the World Trade Editor of the Financial Times.

SMEs are the backbone of the global economy, especially in developing countries, where they contribute two-thirds of employment.

Their role is even more important in least developed countries, where they account for 80% of jobs and are key to inclusive growth. Increased participation of SMEs in regional and global trade leads to improved livelihoods for a large segment of the population, including for women and youth.

SMEs’ contribution to job creation in developing countries is thus essential. They will be a key source of employment as 500 million men and women enter the global labour market by 2030.

Among the confirmed speakers at the event with focus on entrepreneurial experiences is Ashish J Thakkar, Founder of Mara Group, which has activities ranging from real estate and tourism to financial services, information and communications technology, renewable energy and manufacturing.

The company operates in 18 African countries and has a foundation to support emerging African entrepreneurs.

Experts working in emerging sectors, such as electronic commerce and mobile technology, will comment on the potential for economic growth in these areas.

Speakers at WEDF will also come from international organizations, including Roberto Azevêdo, Director-General of the World Trade Organization; Anabel González, Senior Trade and Competitiveness Director at the World Bank; Márcio Favilla Lucca de Paula, Executive Director for Operational Programmes and Institutional Relations at the World Tourism Organization; and Aeneas C. Chuma, Regional Director for Africa at the International Labour Organization.

Among the many high-ranking ministry officials speaking at the event are François Kanimba, the Rwandan Minister of Trade and Industry; Phyllis Kandie, the Cabinet Secretary of the Ministry of East African Affairs, Commerce and Tourism of Kenya; and Humberto Santos de Brito, the Minister of Tourism, Industry and Energy of Cape Verde.

Representatives of trade support institutions who will speak at WEDF include Mulu Solomon, the Honorary President of the Ethiopian Chamber of Commerce and Sectoral Associations; Richard Sezibera, Secretary-General of the East African Community; and Bandula Egodage, Chairman and Chief Executive of the Sri Lanka Export Development Board.

WEDF is a unique global forum dedicated to discussing innovations in export development and export competitiveness, and to identifying and analyzing the challenges faced by developing countries and economies in transition.

WEDF will bring together over 500 senior national and international policymakers, heads of trade support organizations, business leaders and representatives of international agencies. Through a varied programme, participants will increase their practical knowledge in the latest innovations, processes and policies, and establish new partnerships and contacts through networking.

Lankan biz throng first Seychelles forum in Colombo

Asian Tribune - 27/08/2014

Pierre Laporte (Minister for Finance, Trade and Investment of Seychelles-second from right) gifts a ‘Coco de mer’ sea coconut prevalent only in Seychelles to Rishad Bathiudeen (Minister of Industry and Commerce of Sri Lanka-second from left) on 27 August in Colombo as Bandula Egodage (Chairman & CEO-EDB-far left) and Waven William (Seychelles Ambassador to Sri Lanka-far right) look on.

No less than 130 reps from 125 Lankan firms thronged the first bilateral B2B call between Sri Lanka and Seychelles biz ever to be held in Colombo on 27 August. “Today’s event can be a stepping stone for more bilateral trade between both countries, which is an urgent need at this moment. The total bilateral trade has been low at only $3.7 Mn. Today’s initiative therefore is a major step in this direction” said Rishad Bathiudeen (Minister of Industry and Commerce of Sri Lanka) on 27 August in Colombo.

Minister Bathiudeen was addressing the inauguration of “Seychelles Trade and Investment Forum-Sri Lanka:

Fostering Economic Partnership” event organised by the EDB and held on 27 August in Colombo. More than 130 Lankan private sector representatives from 125 companies packed the three hour long in-depth session of presentations of 27 August. Seychelles’ 20 member delegation is led by Pierre Laporte (Minister for Finance, Trade and Investment of Seychelles), and joined by Rupert Simeon (CEO of Seychelles Investment Board), Mrs Anne Lafortune (Principal Secretary – Department of Tourism), Glenny Savvy (CEO-Island Development Company) as well as such Seychelles firms as Le Grand Trianon Marie-Antoinette Restaurant, SAP Construction, INOVATECH Trading, Doubleclick Exchange, Fashion and Sportsworld, Silver Crystal Home Décor, Seychelles Trading Company, and Clifford International Business Services joining the visiting Sri Lankan delegation.

Sri Lankan firms operating in Seychelles such as Bank of Ceylon, Sanken Overseas and Seychelles government institutions such as Seychelles Investment Board, Seychelles Fishing Authority, and Seychelles Tourism Department were also taking part in the delegation.

Addressing the event, Minister Bathiudeen said: “Being Indian Ocean Islands, both countries share many long standing issues, trends, as well as benefits that are similar in nature with historic friendship. Relations between Seychelles and Sri Lanka became stronger after the visits of Heads of States from both countries to each other’s starting in 2010. The visit of His Excellency President of Seychelles Mr James Michel to Sri Lanka four years ago around this time in 2010, followed by our President His Excellency Mahinda Rajapasa’s visit to Seychelles in 2013 and this June, as well as the opening of Sri Lanka High Commission in Seychelles this year have brought bilateral cooperation and understanding to new levels. It is important for us to discover in what context this bilateral trade and business cooperation would be placed–in that how a Forum of this nature, could be leveraged.”

Minister said, “I believe that there are many avenues and possibilities but an important answer is in the gateway synergies of both countries. In that, just as Seychelles is the gateway of investment and trade to African continent, Sri Lanka too is the hub and the gateway to the more than 1.2 billion South Asian market. It is time that investors and businesses at both sides, make use of these potentials. Today’s business forum is a way to unlock these bigger opportunities. For example Seychelles investors, entering Sri Lanka can consider manufacturing partnerships here and make use of our FTAs with India and Pakistan, to access the South Asian markets. I am pleased that with today’s event can be a stepping stone for more bilateral trade, which is an urgent need at this moment. The total bilateral trade between Sri Lanka and Seychelles has been low at only $3.7 Million in 2013. Main products exported from Sri Lanka include, tea, fishing vessels, cereals and sausages, and the main import from, Seychelles are some spices. We believe that our gems and jewellery, furniture, other types of vessels, seafood and plastic products, to have strong potential in Seychelles market. It is time we find ways to increase this, low bilateral trade and today’s initiative, is a major step in this direction.”

Sri Lankan Minister also said, “I think we could both agree that, connectivity too is an important component to enhance cooperation between us. Mihin Airlines commenced flights to Seychelles last November and SriLankan Airlines too has code share arrangements, between Sri Lanka and Seychelles. Equally important is maritime cooperation. Hon Mr Jean Paul Adam, the Foreign Minister of Seychelles who paid a courtesy call on me in 2012 April, informed me that Sri Lanka has become, Seychelles’ ship building hub, which is good news for us. We have almost 25 active boat yards delivering high standard vessels. Of this 25, six are directly exporting their boats. This is yet another promising investment opening for Seychelles investors. I am pleased to say our annual boat exports around the world have increased by 45% to $ 82Mn in 2013. Despite several leading Lankan business enterprises, such as Bank of Ceylon, Nawaloka, and Sri Lanka Insurance, have actively investing in Seychelles, we observe that Seychelles investors are yet to partner here. Therefore we invite Seychelles investors to partner with us and begin investing here. We allow 100% ownership for foreign investors, profit repatriation, as well as constitutional guarantee of safety for global investors. Specifically, Seychelles investors can, leverage such synergies as travel and tourism, fisheries, boats as well as maritime cooperation with Sri Lanka. Seychelles’ previous experience in creating joint Seychelles-Africa tour packages can help formulate Seychelles-South Asia travel packages via Sri Lanka. I also invite “Seychelles Tourism” to tap the surging Sri Lankan tourist market.”

According to the Department of Commerce, the total bilateral trade between Sri Lanka and Seychelles was reported at $3.7 Mn in 2013. Main products exported from Sri Lanka included tea, fishing vessels, cereals and sausages, while the main import from Seychelles was some spices. Sri Lanka believes that gems and jewellery, furniture, other types of ocean vessels, seafood and plastic products, to have strong market potential in Seychelles. As for COMESA, it began in 1994 and currently has 21 member states (Angola, Burundi, Comoros, Democratic Republic of Congo, Djibouti, Egypt, Eritrea, Ethiopia, Kenya, Libya, Madagascar, Malawi, Mauritius, Rwanda, Seychelles, Sudan, Swaziland, Uganda, Zambia, and Zimbabwe) opening an African market of 390 million.

Addressing the event, Minister Laporte said: “I have been following Sri Lanka closely. We are impressed by Sri Lanka’s development. Seychelles and Sri Lanka share similarities and has a special friendship. The bilateral cooperation has seen renewed momentum in exchange of expertise in various fields such as education health maritime nautical services legal aviation and defence. Our government is committed to further strengthen the affinity of people of Seychelles and Sri Lanka. We continue to overcome the constraints shared by us as Island nations. Given our strategic location at East of Africa, and South of Asia and the Middle East, Seychelles in very accessible and open for business. We continue to attract investors from all parts of the globe. We hope today’s forum can create opportunities for both countries. We see ample opportunities in key sectors such as tourism, industries, fisheries, renewable energy, financial services, agriculture etc. With the recent provision of offshore financial services, our financial services have grown. Our close collaboration with OECD countries will ensure that our country will follow highest standards once we accede to WTO. We have seen an improvement in the quality of our human resources recently. We have a network of membership to Indian Ocean Commission and Indian Ocean Ring. We are vigorously engaged in signing agreements with countries of African continent as the gateway to Africa. This Forum today is also an effort to extend our international cooperation opportunities. This is the first that we organised this year. I hope this forum will entice you to commence business with Seychelles. I convey my gratitude to government of Sri Lanka-specially to the Minister and Ministry of Industry and Commerce of Sri Lanka as well as the External Affairs Ministry of Sri Lanka.”

Bandula Egodage (Chairman & CEO-EDB), addressing the event said: “This is a remarkable milestone. EDB is entrusted with enhancing exports of the country. The three objectives of this Forum by EDB are to create awareness on investment opportunities at both countries for each other, provide information on potential trade opportunities and thirdly, find networking opportunities.”

High level ‘Nam push for Lanka investments

Asian Tribune - 25/08/2014

The Government of Vietnam, while unravelling Lankan investment volumes within its borders, signalled on 22 August of its own investment push towards Sri Lanka-and coming from its high levels. “Already 10 Sri Lankan investment projects are in Vietnam. Vietnam investors and businesses too are eager to go out of the country and invest.

I hope the Government of Sri Lanka would create an enabling environment for Vietnamese business and investors” said a keen Pham Binh Minh (the Vietnamese Deputy Prime Minister who is also the Minister of Foreign Affairs of Vietnam) on 21 August in Hanoi.

Deputy PM Binh Minh was addressing Rishad Bathiudeen (Minister of Industry and Commerce of Sri Lanka) on the afternoon of 21 August at Hanoi’s Foreign Ministry offices located at Ba Dinh. Minister Bathiudeen and his official delegation were making a courtesy call on Deputy PM Binh Minh on the afternoon of 21 August. Joining Minister Bathiudeen at the meeting were RDS Kumararatne (DG-Department of Commerce), Bandula Egodage (Chairman & CEO-EDB) and Ivan Amarasinghe (Sri Lanka’s Ambassador to Vietnam).

“Congratulations on your delegation’s successful visit to Vietnam. I have been informed that the Joint Trade Sub Committee between the two countries is now a reality” said an upbeat Deputy PM Binh Minh, and added:

“Formal relations between our two countries go a long way back to July 1970. Since then we have been able to maintain regular bilateral diplomatic contacts at higher levels. Our modest bilateral trade is now expected to increase to $1B by 2015/’16. It is clear the our current trade levels are far below its real potentials. The responsibility to meet this target now lies with you-Minister Bathiudeen, and on our side, our own Minister of Industry and Trade of Vietnam. In this background I am glad the Sub Committee has been set up. I really hope and keen that we can buy more products from Sri Lanka. I believe that to increase trade and investment, it is time that both countries make bigger progress on the existing double taxation avoidance and bilateral investment treaties. More importantly, I am pleased to say that there are already 10 Sri Lankan investment projects in Vietnam at a cumulative investment level of $ 14 Mn. Vietnam investors and businesses on the other hand, are eager to go out of the country and invest. I am positive that the Government of Sri Lanka would create an enabling environment for Vietnamese business and investors! We look forward to B2B level exchanges. We also look for cooperation on agro sector, a key sector for our economy as well as society, as well as tea sector of Sri Lanka since Sri Lanka being a major tea producer and exporter.”

At present Vietnam ranks as the 40th export destination and the 23rd supplier, accounting for 0.43% of our total exports and 1.06% of our total imports respectively. The total trade between both countries which stood at US dollars 119.5 Million in 2012 increased to US dollars 224.4 Million in 2013 registering a remarkable growth of 88%. Since 2011, Petrovietnam Oil Corporation (PVOil) has supplied to its Sri Lankan partner with petroleum products. In the field of industry, the two countries have concluded a number of important documents, creating a legal framework for further enhanced cooperation activities.

Responding to Deputy PM Binh Minh, Minister Bathiudeen said: “I thank Your Excellency’s interest to enhance trade and investment cooperation with Sri Lanka. In fact, we extend a warm welcome to Vietnamese investors to enter Sri Lanka and yes, our government is ready and extend its fullest support to Vietnamese investors entering to Sri Lanka. Sri Lanka allows 100% ownership to foreign investors’ capital, total profit repatriation and constitutional guarantee for their capital. Sri Lanka’s rubber, light electronics and tourism are sectors of investments that could serve the Vietnamese investors profitably. Our FTAs with India and Pakistan gives access to prospective Vietnamese investors more than 1.2 Bn ready market. We also seek tech know how for agro sector and your investments and technology could be leveraged by our agro sector as well. I totally agree that the time has come for business to business level cooperation between the two countries. We are the globally reputed Pure Ceylon Tea brand and I am happy we got Vietnam market’s attention as well. We also welcome your support our fishery and aquaculture.”

Deputy PM Binh Minh said: “I stress that Vietnam has good expertise in Fisheries and aquaculture, and we are happy to extend our support to enhance your fisheries as well. I shall speak to Vietnamese Minister of Fisheries and Aquaculture about supporting your fisheries.”

Responding, Minister Bathiudeen said: “We thank you for taking the initiative to contact your colleague Minister of Fishery and Aquaculture on our behalf. These new avenues of cooperation further strengthens our historic friendship.”

Both Minister Bathiudeen and Deputy PM Binh Minh stressed of the need for continued dialogues between Sri Lanka and Vietnam.

Toxic toys

It goes without saying that toys are bought with the hope that it may cheer up a child. But what if we’ve been taking this nothing for granted all along. What if you were told that the toy you recently bought is replete with a highly toxic chemical that puts children at great risks?
A laboratory study by the Centre for Science and Environment in India showed that the presence of phthalates, a highly toxic chemical, was present in toys sold in the Indian market.
These toxic chemicals which are not regulated or monitored by the government, puts children inadvertently at risk. Scientific evidence has shown that exposure to phthalates can cause a variety of health problems ranging from asthma to pre-term birth.

Historic Lanka-Vietnam trade link established in Hanoi

Asian Tribune - 22/08/2014

Rishad Bathiudeen (Minister of Industry and Commerce–right) appreciates the souvenir gift from the Minister of Trade and Industry of the Vietnam Vu Huy Hoang (centre) at the Head Quarters of Ministry of Industry and Trade of Vietnam, in Hanoi.

The first ever Sri Lanka Vietnam official trade mechanism went live in Hanoi on 21 August. And the new mechanism, according to the Vietnamese side, is the practical way for bigger trade cooperation in the form of an Agreement.

“Today’s new beginning will open many new opportunities for both countries. I am fully convinced that setting up of a Joint Working Group (JWG) or Joint Trade Sub Committee, would lay a concrete foundation to enhance the existing bilateral trade and economic relations new heights. My Ministry would closely monitor the progress” said n Rishad Bathiudeen (Minister of Industry and Commerce of Sri Lanka) at the Head Quarters of Ministry of Industry and Trade of Vietnam, Hanoi on 21 August.

Minister Bathiudeen, who made an in-depth and lengthy submission, was addressing the opening session of the bilateral discussions to establish the first Joint Trade Sub Committee (JTSC) between the two countries, held at the Head Quarters of Ministry of Industry and Trade of Vietnam, Hoan Kiem District, Hanoi on 21 August.

A six member team led by Minister Bathiudeen is currently in Hanoi for the talks to setup this first official trade mechanism. Along with Minister Bathiudeen in the delegation are RDS Kumararatne (DG-Department of Commerce), and Bandula Egodage (Chairman & CEO-EDB). Also joining the Sri Lankan team is (HE) Ivan Amarasinghe (Sri Lanka’s Ambassador to Vietnam). The seven member Vietnamese official delegation is led by the powerful Minister of Trade and Industry of the Vietnam (HE) Vu Huy Hoang and joined by his top commanders-Nuuyen Phuc Nam (Head of Western Asia Markets), and Qui Hui Son (DG-Vietnam Trade Promotion) as well as Deputy Directors. RDS Kumararatne (DG-Department of Commerce) is leading the technical sessions of the first JTSC in Hanoi.

“We commend and highly appreciate Sri Lanka’s efforts on economic and social development strategies-in that povery alleviation and economic development in the short period after the end of war. We greatly appreciate Lanka’s improvements in Human Development Index rankings, poverty reduction and international economic development as well as policies and direction of Sri Lanka’s economic development strategy under Mahinda Chinthana development framework. Vietnam in fact wants to learn from Sri Lanka about the five hub strategy. These are good lessons for us to apply for the social development of our country as well. Vietnam economy too, similar to Sri Lanka has faced difficulties due to global recession. Despite this Vietnam too managed to reconrd strong GDP growth-in 2013 at 5.32% and in the first seven months of 2014 at 5.5%. Our inflation which was at 6.2% in 2013 fell to a very low 1.45% in the first seven months of 2014! Our total international trade which stood at $ 266 Bn in 2013, expected to rise to $300 Bn. We have managed to bring our poverty household rate to 9% by 2013. Both Sri Lanka and Vietnam have lots of unrealised potential in joint economic cooperation and investments-in that the current trade volumes are modest and not in par with the strong bilateral cooperation that exists between both countries-and there is vast potential for new heights and lets work together. I request Sri Lanka Ministry of Industry and Commerce under Minister Bathiudeen to establish the Joint Sub Committee on Sri Lanka side and work with us. We take note of Sri Lanka’s proposal and engage relevant agencies in Vietnam to for this effort-both sides will continue their exchanges in this regard. The most practical way after establishing the JTSC is to study the possibility of establishing the Preferential Trade Agreement between both countries.”

At the 3rd Meeting of the Joint Commission held in Hanoi in July 2012, an ambitious target was set at for the total value of bilateral trade to reach US$ 01 Billion in the long term, commensurate with the decision taken by the two leaders during the visit of H.E. the President Mahinda Rajapaksa’s to Vietnam in October 2011 to Colombo. At present Vietnam ranks as the 40th export destination and the 23rd supplier, accounting for 0.43% of our total exports and 1.06% of our total imports respectively. The total trade between both countries which stood at US dollars 119.5 Million in 2012 increased to US dollars 224.4 Million in 2013 registering a remarkable growth of 88%. Since 2011, Petrovietnam Oil Corporation (PVOil) has supplied to its Sri Lankan partner with petroleum products. In the field of industry, the two countries have concluded a number of important documents, creating a legal framework for further enhanced cooperation activities. Those documents include: the MOU on Machinery Manufacturing Cooperation between the Ministry of Industry and Trade of Viet Nam and the Ministry of Industry and Commerce of Sri Lanka; the MOU on Oil and Gas Cooperation between the Ministry of Industry and Trade of Viet Nam and Ministry of Industry and Prime Minister’s Secretary Office of Sri Lanka.

“Today’s new beginning will open many new opportunities for both countries” said Minister Bathiudeen, addressing the session, and added: “Sri Lanka being a founder member of the GATT 1994, as well as WTO has been fully committed to liberal and market oriented Economic policies which aimed at achieving greater integration into the world economy. Sri Lanka has been an active participant in the Doha Development Agenda, having tabled, together with other countries, proposals on: technical barriers to trade; geographical indications; labelling of textiles, clothing, footwear, and travel goods; preferences erosion; and trade facilitation. These initiatives and consistency in our economic policies under able leadership of His Excellency Mahinda Rajapaksa, the President of Sri Lanka with his vision for the future under “Mahinda Chinthana” have brought Sri Lanka much closer with the global partners and in particular, with the countries in Asia. “

Sri Lankan Minister said, “The trade objectives within "Mahinda Chintana" also focus on increasing integration of the Sri Lankan economy with global markets. The latest IMF assessment has given a glowing tribute to Sri Lanka’s economic performance. Its July 29th statement says: “Sri Lanka’s economic growth has been one of the fastest among Asia’s developing economies in recent years. After falling to 6.3 percent in 2012, real GDP growth accelerated to 7.3 percent in 2013”. The Free Trade Agreements that Sri Lanka entered into with India (year 2000) and with Pakistan (year 2005) have already become the gateways for the manufacturers and investors in Sri Lanka in accessing the sub-regional market with over 1.6 billion people. Sri Lanka is progressing towards becoming South Asia’s Economic nucleus, through developing 05 hubs namely Aviation, Commercial, Maritime, Energy and Knowledge. In the realm of bilateral relations, Sri Lanka and Vietnam have been enjoying warm and cordial relations over a long period of years and it has been steadily developed based on mutual respect and shared values. In this context, I am pleased to observe that the trade volume between Sri Lanka and Vietnam has been growing at a steady pace in recent years. “

He added, “The total trade between both countries which stood at US dollars 119.5 Million in 2012 increased to US dollars 224.4 Million in 2013 registering a remarkable growth of 88%. These facts signify that there is huge, unrealized trade potential between two countries that we jointly need to exploit. However, there is no mechanism in place between the two countries at the government level, at present, aimed at strengthening existing bilateral trade and commercial relations. I am glad to learn about growth in the Vietnam Economy and in particular the growth in the industrial and high tech sectors. I am also confident that both countries would find many business opportunities which may be complementary to each other. Ton Sinh Thanh, the Vietnamese Ambassador who just returned to your country after his term in Sri Lanka, has been instrumental in further strengthening relations between our two countries. He recently opened a Vietnam Trade Center in Colombo. He is also of the view that possible Free Trade Agreement between the two countries would help to further improve the trade and economic relations. In this context, I am fully convinced that setting up of a Joint Working Group (JWG) or Joint Trade Sub Committee, comprising senior officials from the two countries would lay a concrete foundation to enhance the existing bilateral trade and economic relations new heights. I have no doubts that the deliberations of our technocrats would finalize modalities of the Joint Working Group. My Ministry would closely monitor the progress towards enhanced trade, investment and economic cooperation between our two countries. I am therefore, confident that we may jointly be able to create a trade facilitating environment towards this objective.”

Sri Lanka to increase trade and investment with China

China.org.cn

Sri Lanka will focus on increasing trade and investment with China as well as broadening the scope of a proposed Free Trade Agreement (FTA), a top official said on Tuesday.

Sri Lankan Investment Promotion Minister Lakshman Yapa Abeywardene made the remarks during an interview with reporters.

He said relations between Sri Lanka and China have leapfrogged since 2008 with around 5 billion U.S. dollars in infrastructure loans being given to the Sri Lanka government by China for various massive projects including ports, airport, highways and railroads.

‘A strong national budget will bring macro economic security’

Daily News - 20/08/2014

The following is the continuation of Treasure Secretary Dr. J. B. Jayasundera's address to the Defence Seminar.

This scale of economic growth depends on the level of investments, productivity, improvements in the policy environment and the institutional setup to do business efficiently, application of research, technology and innovation, macro economic stability, national security and law and order. It is a much more challenging task than the previous two five – year phases, similar to an airplane that takes off on a long-haul flight, where the year 2020 will only be a stop-over destination.