Sri Lanka attends ICC Conference on Global Economic recovery in Dhaka

Asian Tribune - 31/10/2014

The Export Development Board of Sri Lanka led a trade delegation from Sri Lanka to participate at the International Chamber of Commerce Conference on Global Economic Recovery which was held in Dhaka on 25-26th October 2014.

On the sidelines of the Conference, nine Sri Lankan companies included in the delegation participated in two Business Match-Making sessions with the members of the Federation of Bangladesh Chamber of Commerce and Industry (FBCCI) and the Dhaka Chamber of Commerce and Industry (DCCI) at two events on 27th October. The participating companies represented printed packaging products, garment and textile accessories, IT and education, food processing and electric cable sectors. The delegation also met with the senior officials of the Board of Investment of Bangladesh and Bangladesh Garment Manufacturers and Exporters Association.

During their interactions with Bangladesh entrepreneurs, the members of the Sri Lankan business delegation expressed their keen interest to invest in suitable sectors of Bangladesh. Both sides agreed that despite sharing similar basket of export goods, there is a need to complement each other’s products than to compete against one another.

In addition to the Chamber interactions, the Export Development Board had organized separate Meeting sessions for the 12-member delegation with individual companies in collaboration with the High Commission of Sri Lanka in Bangladesh. The Mission had also organized an interaction for the visiting delegation with the Sri Lankan entrepreneurs already established in Bangladesh on the evening of 26th October.

Global Rubber Conference 2014 kicks off in Colombo

Daily FT - 29/10/2014

The local rubber industry received much emphasis yesterday with the Global Rubber Conference (GRC) 2014 kicking off in Colombo.

The four-day event, which started on 27 October, is taking place for the fourth consecutive year.
The GRC is recognised to be one of the world’s leading conferences on natural rubber and NR-based products and is held on an annual basis rotating in different rubber-producing countries.

Organised by the Sri Lanka Export Development Board (SLEDB) and Confexhub with the support from the Ministry of Plantation Industries and the Ministry of Industry and Commerce, the event saw about 250 delegates from over 25 countries come together to discuss and get updated on the pertinent issues affecting the global rubber industry.

The conference aimed to fulfill five key objectives which are, to bring together regulatory authorities and commercial players of the rubber industry to provide updates on current trends and future challenges faced by NR industry, to facilitate the exchange of information and subsequently open up new turfs of business opportunities and expansion, to promote industry-wide investment opportunities in Pan Asia countries in general and the host country specific, to provide a platform for policymakers and association heads to discuss determining factors within the industry and to enable industry experts to communicate the latest R&D innovations.

While GRC 2014 was officially opened yesterday, on 27 October a pre-conference study tour was arranged to visit Lankem Crepe Rubber Processing Plant and Sloe Crepe Production Centre at Padukka Estate, Kotagala Rubber and Tea Plantations at Rayigam Estate and the Sri Lanka Rubber Research Institute, the oldest in the world.

The technical sessions that will come to a close today included two keynote addresses on ‘Global Economic Growth Prospects and Commodity Markets’ by The World Bank (WB), USA, Senior Economist Dr. John Baffes and ‘Sri Lankan Government’s Policy on the Development of Rubber Based Product Manufacturing Industries’ by Ministry of Industry and Commerce Secretary Anura Siriwardena, along with technical sessions highlighting six key areas.

The six areas comprehensively deliberated were, ‘Global Rubber Situation and Prospects: Supply, Demand and Price Forecast for 2015’, ‘Defining Sustainability: The Game Changer for the Natural Rubber Sector’, ‘Enhancing Quality of Rubber Materials’, ‘New Dir3ections and Strategies for Sustainable Rubber Supply’, Tyre Industry: Market Outlook and Strategic Direction for Sustainable Development’ and ‘Directions of World Economic Forces on Dipped Goods Sector’. On 30 October the visiting delegates will be given the opportunity to visit the Rubber Auction Market which is the only one in the world. The GRC was incepted in 2005 as ASEAN Rubber Conference and was renamed in 2011 as the Global Rubber Conference. It has been held in seven ASEAN countries including Thailand, Vietnam, Cambodia, Philippines, Laos PDR, and Malaysia and the last was held in Indonesia.

Sri Lanka has an impressive record in planting, production & export of rubber – President

Asian Tribune - 28/10/2014

Sri Lanka has an impressive record in the planting, production and export of rubber which is today the third largest sector to the country’s economy, said President Mahinda Rajapaksa.

Rubber is an important part of the country’s plantation sector and its contribution to agro-industry provides gainful employment to more than 300,000 persons making it a mainstay in the socio-economic aspects of the country, he added.

Sri Lankan Rubber and Rubber products have today earned worthy recognition for good quality and reliability in the international market, he stated.

The business-friendly environment that prevails in Sri Lanka today has great promise for the further development of the Rubber Industry, the President stated in his message issued for the Global Rubber Conference (GRC) 2014, inaugurated today (Oc. 27) at the Cinnamon Grand Colombo.

Following is the full text of the message by President Rajapaksa;

“I am pleased to send this message on the occasion of the Global Rubber Conference 2014 being held in Colombo.

Sri Lanka has an impressive record in the planting, production and export of rubber which is today the third largest sector to the country’s economy. Rubber is an important part of the country’s plantation sector and its contribution to agro-industry provides gainful employment to more than 300,000 persons making it a mainstay in the socio-economic aspects of the country.

Sri Lankan Rubber and Rubber products have today earned worthy recognition for good quality and reliability in the international market. This success is largely due to the cooperation of the state and private sectors in the rubber industry, and the special role of multi-national companies operating in Sri Lanka in this sector.

The business-friendly environment that prevails in Sri Lanka today has great promise for the further development of the Rubber Industry. This is made possible by increased investment in infrastructure facilities, and the development of ports and highways that help open new opportunities to the business sector, both among the small and large investors.

International market trends give good indications of an excellent growth potential for the Rubber Industry with a rise in global demand for natural rubber. To help to meet this demand, the Government has taken several measures to modernize, streamline and increase rubber production in the country and encourage the maximum value addition to this important product of the plantation sector.

In this context the holding of this Global Rubber Conference - 2014 in Sri Lanka is most timely and of much value to the progress of this industry, through the exchange of knowledge and experience by those in the international rubber market who are able to analyze the emerging trends in the global rubber industry, and thus contribute to Sri Lanka’s potential for further advancement in this sector. It will also contribute much to attracting foreign investment to Sri Lanka in this well established area of agro-industry.

I commend the Sri Lanka Export Development Board and M/s Confexhub Sdn Bhd. of Malaysia, for organizing this event in Sri Lanka and also thank the Ministry of Industry and Commerce, Ministry of Plantation Industries and all other relevant stakeholders for their contributions to the holding of this event in Colombo.
I wish the Global Rubber Conference 2014 every success”.

The Conference which will be held until October 30 is co-organized by the Sri Lanka Export Development Board (SLEDB) and supported by the International Rubber Research Development Board (IRRDB) and over 20 global Government agencies and associations.

The GRC 2014 is locally supported by the Ministry of Industry and Commerce and the Ministry of Plantation Industries.

Global Rubber Conference 2014 themed “Sowing the Seeds for Sustainable Future” is expected to bring together over 500 experts and delegates including government officials, rubber producers & planters, traders, importers & exporters, manufacturers of rubber products, commodity and investment analysts, rubber machinery & equipment suppliers and their supporting industries representing over 25 countries.

They will converge at this event to discuss a wide spectrum of commercial and R&D developments, share experiences, get updated on the latest trend and technologies transformation at the same time strengthen friendship.

It will be addressed by 18 eminent guest speakers who represent Government agencies, rubber research bodies, rubber associations and commercial companies.

The conference aims to bring together both regulatory authorities and commercial players of the rubber world to provide updates on current trends and future challenges faced by the natural rubber industry.

Lanka’s top global FDI partner in yet another $ 1 b rollout

Daily FT - 28/10/2014

• Malaysia places Lankan SMEs as top priority
• Going up to $ 1 b: – Delegation Lead Abdullah
• Great news for our SMEs: Rishad
• We are moving to SA via Lanka: SME Factors’ Al Qudsy
• Lanka-Malaysia trade at $ 577 m

Sri Lanka’s largest global FDI partner Malaysia is mulling a new wave of incremental FDI totalling $ 1 b with an emphasis on SMEs.
It will become one of the largest-ever Private Public Partnership (PPP) ventures in Sri Lankan SMEs and the entry of biggest SME financier in Malaysia to Sri Lanka is the first step in their South Asian leap.
“We are thinking of another $ 1 billion portfolio in Sri Lanka in addition to the current investment portfolio here by EXIM Bank of Malaysia. SMEs are the priority sector in this new $ 1 b rollout while other sectors are also being mapped,” said Syed Zed Al Qudsy, President of SME Factors, Jalan, Malaysia on 15 October, addressing Minister of Industry and Commerce Rishad Bathiudeen at the EDB Building in Colombo.

Al Qudsy was a member of the visiting Malaysian business delegation that made a courtesy call on Bathiudeen. The delegation was led by Dato’ Latt Shariman Abdullah (Special Functions Officer to Malaysian Prime Minister and the Finance Minister).

“This is the first time that we have been invited to Sri Lanka and this invitation is by Senior Minister for International Monetary Co-operation Dr. Sarath Amunugama. I will be reporting back to Malaysian Prime Minister Najib Razak of our successful tour to Sri Lanka,” said Abdullah.

He added: “The Malaysian business delegation I am leading now is of mostly financial sector consisting of Government as well as private sector firms. We are looking to partner with the financial sector, especially SME financing, and also mulling a new FDI incremental investment wave running up to $ 1 b in addition to what is here.”

Bathiudeen responded: “We warmly welcome your decision to enhance current FDIs to new levels. The National Enterprise Development Agency (NEDA) has been working to uplift the SME sector. This sector’s importance is recognised even by the vision of President Mahinda Rajapaksa.  SMEs are vital in many ways; they contributing more than 50% of our GDP. NEDA too reported that financing is a very critical issue. Your visit can help boost our bilateral trade too.”

In 2013, Sri Lanka-Malaysia bilateral trade totalled $ 577.66 m. The balance of trade has been heavily in favour of Malaysia due to high volume of imports of petroleum, palm oil and cement from Malaysia.
“We are a leader in SME financing in Malaysia, and the number one in SME receivable financing specifically. We have a proven track record in Malaysia. We intend to work with local partners in Sri Lanka and develop capacity with the objective of building the SME industry here. The sectors for the new $ 1 b rollout have to be mapped out in detail, since it’s still preliminary, but SMEs are priority. We need time to create the investment stories when we go into new territories. Operations-wise, we are in Malaysia but we have also gone to Thailand and Indonesia as well. SME Factors is also looking to expand with regional offices to South Asia and South East Asia, one important reason we are partnering here,” said Al Qudsy.
He added: “Such an expansion will boost business. We are coming to Sri Lanka with the hope and aspiration to partner and increase our presence. We have been supporting SMEs here already. In this next wave, we want to have an incremental investment running up to $ 1 b in addition to what has already been invested here. SME sector is the priority sector in this next $ 1 b new rollout and other sectors are being mapped. EXIM Bank of Malaysia is already partnering with SME Factors of Malaysia.”

Bathiudeen stated: “When it comes to Sri Lanka’s SMEs, it is the most neglected sector with regard to financing. As a result of lack of collaterals, they are continuously hampered and Lankan financial institutions too avoid them. In such a background, entry of firms such as yours can help our SME cash flows.”
Once the $ 1 b new investment from Malaysia comes in, it would become one of the largest-ever Private Public Partnership (PPP) ventures in the Lankan SME sector, which contributes more than 50% of Lankan GDP.

According to the Department of Commerce, the cumulative realised investment from Malaysia has surpassed $ 1.4 billion. Malaysia has become the number one investor in Sri Lanka and Dialog Axiata is the largest investor in Sri Lanka with over $ 1 billion realised investments.

In addition to Dialog, Maxis Berhard, Naratha Agro Industries, Wincon Development Ceylon Ltd., APPIT College and Merbok are among other Malaysian investment projects in Sri Lanka.

Jaffna IT Week to take IT/BPM sector north

Daily FT - 25/10/2014
By David Stephens

SLASSCOM Vice Chairman and Jaffna IT Week Convener Mano Sekaram addressing the media last evening. Also present from left: SLASSCOM Executive Director Dharshan Cooray, Emeritus Chairman Madu Ratnayake, SLEDB Chairman/CEO Bandula Egodage, ICTA CEO Reshan Dewapura and University of Jaffna Senior Lecturer Dr. A. Ramanan

The National IT/BPM Chamber, Sri Lanka Association for Software and Services Companies (SLASSCOM), in an effort to promote inclusive growth and reconciliation, will stage the Jaffna IT Week from 3-6 December at a number of venues across the region.

The Jaffna IT Week will comprise the Future Careers Program on 3 and 4 December at the Vembadi Girls’ High School, an IT/BPM Export Forum staged at the Tilko City Hotel on 5 December and the Jaffna IT Conference, which will be held at the Kailasapathy Auditorium of the University of Jaffna on 6 December.

Partnering SLASSCOM in this initiative are the Export Development Board (EDB), the Information and Communications Technology Agency of Sri Lanka (ICTA), the Ministry of Education, the University of Jaffna and the Yarl IT Hub.

The event’s organisers seek to use it as a vehicle to transport the IT/BPM sector to the north of the country.
“It’s very important that we get access to the talent base and capabilities of the entire country. Even today, a large part of the IT workforce, although they are in Colombo, comes from all over the country. It is not simply concentrated in one part of the city. Our vision is to take business to other parts of the country and I think Jaffna is a very promising destination,” asserted Virtusa General Manage and SLASSCOM Chairman Madu Ratnayake.

“Some of the early entrepreneurs and technologies came from Jaffna University and that part of the country. So I’m very excited to go there and raise awareness and bring on board other partners,” he added.
99x Technology CEO and SLASSCOM Vice Chairman Mano Sekaram echoed these sentiments before going on to highlight the finer details and objectives of the individual programs within the entire project.
“Within the next five years, we want to see 50% of our IT/BPO companies moving out of Colombo. Inclusiveness is imperative because 95% of the IT/BPO companies are in Colombo but 80% of the workforce is from other regions,” he told the Daily FT.

Towards this end, Sekaram said three locations had been identified – Jaffna, Kandy and Hambantota. “Our industry can operate from anywhere as long as there is infrastructure. We need to be close to universities, have good infrastructure in relation to transport and telecom, and the living standards of our workforce must also be high. We are trying to promote this during Jaffna IT Week,” he added.

The Future Careers exhibition will be organised by SLASSCOM, ICTA and the Ministry of Education, while the IT/BPM Export Forum will be sponsored by EDB and ICTA. Proceedings will be brought to a close with the Jaffna IT Conference, an event which will bring together a number of preeminent personalities from the IT/BPM sector.

Sri Lanka represented at the largest SME Fair in the Asia Pacific region in Guangzhou

news.lk - 21/10/2014

Sri Lanka participated for the first time at the 11th edition of the China International SME Fair (CISMEF) in Guangzhou from 11 to 14 October 2014. The Sri Lanka Pavilion was jointly organized by the Consulate General of Sri Lanka in Guangzhou and the Sri Lanka Export Development Board and had strong representation from business leaders of the SME sector, showcasing premium products from thrust export sectors such as gems and jewellery, tea and spices, handicrafts, handlooms and ayurvedic products.
Mrs. Sujatha Weerakoon, Director General of the Sri Lanka Export Development Board, speaking at the opening of the Sri Lanka Pavilion pointed out that the Government’s numerous trade facilitation initiatives and President Xi Jinping’s recent State Visit to Sri Lanka have created new opportunities for even closer cooperation between Sri Lanka and China, particularly in trade and urged Sri Lanka companies present to maximize the opportunity to enter the attractive Chinese market.

CISMEF, the largest SME Fair in the Asia Pacific region is both a window for Chinese SMEs to learn about the world, and a bridge for the products and services of international SMEs to enter the Chinese market. This year Mexico was the co-host country; there were 560 overseas participants from 21 countries; 2714 Chinese booths and around 200,000 visitors.

Mrs. Weerakoon, addressing the International SME Development Seminar & Roundtable Conference held on 12 October highlighted the attractive business environment in Sri Lanka; the significant increase of Sri Lanka’s exports from US$ 6,000 million in 2005 to US$ 11,000 million in 2013 and SME Development initiatives by the Sri Lankan Government, noting that many large well known Sri Lankan companies started off as SMEs.

The Sri Lanka trade delegation also participated in the Sri Lanka- China Jewellery Forum organized on 13 October by the Consulate General of Sri Lanka in Guangzhou; the Guangdong Institute of Diamonds, Jade & Jewellery and the Chamber of Commerce of Coloured Gemstones & Jewellery of Guangdong as well as in the Guangdong- Sri Lanka Enterprises Business meeting organized on 14 October by the Consulate General and the Guangdong Committee of the China Council for the Promotion of International Trade (CCPIT). Successful B2B meetings were held as a key part of both these events.

Mrs. Weerakoon met key officials of the Guangdong Commerce Department and the Guangdong CCPIT to explore further partnership opportunities in trade development.

Sri Lanka’s participation in the CISMEF Trade Fair is a landmark in establishing the presence of Sri Lanka’s premium trade products in Guangdong – China’s richest province.

First-ever on-water Boat Show a success

Daily FT - 18/10/2014

• 2013 boat exports surge by 46%
• Buyers and exhibitors from Korea, Maldives, Seychelles
• Improved standards: Minister Senaratne
• Value-added business: EDB’s Egodage

Economic Development Minister Basil Rajapaksa (second from left), Minister of Fisheries and Aquatic Resources Development Rajitha Senaratne (third from left) and EDB Chairman/CEO Bandula Egodage at Boatshow 2014 on 10 October at Dickowita Harbour, Wattala

Colombo’s latest international boat show, which featured an on-water boat display for the first time, concluded successfully after a three-day run on 12 October.

“We have been talking about five hubs. Today there are two major milestones taking place at this event – the promotion of the maritime hub as well as our tourism,” said EDB Chairman and CEO Bandula Egodage, addressing the inauguration event of Boatshow 2014 on 10 October at Dickowita Harbour, Wattala.

Economic Development Minister Basil Rajapaksa visits Boatshow 2014 on 10 October at Dickowita Harbour, Wattala

Taking part in the opening session were Minister of Fisheries and Aquatic Resources Development Rajitha Senaratne, EDB ED Dr. Yousuf Maraikkar, Boat Building Technology Improvement Institute Chairman Neil Fernando, Boat Building Technology Improvement Institute Managing Director Gamini B. Herath, local and international delegates of International Council of Marine Industry Associations, ICOMIA Marinas Group Chairman Roberto Perochchio, ICOMIA Marinas Group Secretary Peter Jansen, local and international exhibitors at Boatshow2014 and buyers and boat experts from S. Korea, Bangladesh, Maldives, and Seychelles.

Minister of Economic Development Basil Rajapaksa toured the Boatshow ’14 on 10 October. The one-day ‘Industry Conference on Marina Development and Marine Tourism in Sri Lanka’ was held on 12 October and that too concluded successfully.

“We have been talking about five hubs. Today there are two major milestones taking place at this event-promotion of the maritime hub as well as our tourism” said Bandula Egodage (Chairman & CEO of EDB), addressing the event, and added:
Egodage added: “Fishery contains tourism. This is the link between the Boatshow and ICOMIA effort. Non-traditional exports are the future. By doing this event, we hope to increase exports. Not just imports or exports but an increase in bilateral trade. Boat building is a value-added business, bilaterally. You are the experts and we need your help.”

Sri Lanka’s boat exports that stood at $ 56 m in 2012 increased by a strong 46% in 2013 to $ 82 m. In 2013, a market diversification study by the EDB identified that ships and boat exports were a “winning export category” in a growing global market. In this analysis “boat exports” also achieved the top slot among several such other promising exports of Sri Lanka.

“This event would facilitate manufacturers and fisheries suppliers to promote their products and services to a target audience in the international market,” said Minister of Fisheries Senaratne.

He added: “This would undoubtedly help to promote Sri Lanka as a main boating hub in South Asia while helping to develop this market by showcasing the latest products, technology, and services in this industry. Following Boatshow 2008, 2010 and 2102, I believe this show has further improved its standards with the participation of Bangladesh, Maldives, Seychelles, South Korea, Belgium, Netherlands and Norway.

Suppliers of leisure, pleasure, commercial and industrial and fishing vessels, materials, repairs, training and other service provision. A trend is evolving in the Western market to turn towards developing Fibre Enforced Plastic (FEP), especially for hull construction, which is mainly due to cost saving factor. I hope this Boatshow will be very helpful to meet this challenge.”

In Sri Lanka, more than 100 establishments are engaged in boat manufacturing; 15 of them are large scale, while 35 are medium to large scale companies. This sector also provides around 12,000 direct and indirect employment opportunities to Sri Lankans. More importantly, global ship and boat manufacturing is a promising exports sector.