Sri Lanka Crosses the $ Eight Billion Export Mark Minister Calls Upon Officials to Formulate a Detailed Plan for the Next Three Years

- KARMANTHA - VANIJA Ministry of Industry & Commerce Sri Lanka KIRULA Sri Lanka Export Development Department of National Intellectual Property National Enterprise Development Sri Lanka Institute of Textile Department of the Registrar Board Commerce Office Authority & Apparel of Companies

April 2011, Vol. 01 Edition 01 www.industry.gov.lk

President Mahinda Rajapaksa focused on driving accelerated development of the economy in the area of industrial and commerce sectors of Sri Lanka is seen here officially handing over the subject Ministry to Minister Rishad Bathuideen in November 2010. The Minister with a strong working agenda based on RBA(results based activation) is implementing ground based tactical strategies under the guidance of Senior Advisor to the President and Minister of Economic Development, Hon. Basil Rajapaksa. Sri Lanka crosses the $ eight billion export mark Minister calls upon officials to formulate a detailed plan for the next three years

The Sri Lanka Export Development Board (EDB) the prime export functioning in Sri Lanka’s Missions overseas to boost the exports. arm for driving Sri Lanka’s exports to countries around the world, The EDB officials also stated that they are focusing on the Expenditure & Earnings 2010-2011 had a review of the export performance for the first half of the year strategy of developing Agro zones to increase the production at the Ministry of Industry and Commerce, chaired by Minister of of key fruits and vegetables targeting tourists destinations like the Industry of Commerce Rishad Bathiudeen. Maldives.

...the gold award won by the EDB at the ...everyone ought to contribute to make Kunming Fair in China gave a head start to Sri Lanka a wonder of Asia. -- Minister the activities of the EDB for 2011. “A robust buyer – seller partnership development programme has also The Minister addressing the officials remarked that the E.D.B. has been developed and rolled out since the beginning of the year,” they some of the best officers in the public service and should endeavour added. to extend greater cooperation to the private sector by facilitating buyer / seller meetings, promotional programmes and securing It was also pointed out that the gold award won by the EDB at the Source Central Bank of Sri Lanka stalls at international fairs so that Sri Lanka could cross the eight Cuming Fair in China gave a head start to the activities of the EDB billion dollar export target in 2010 thereby exceeding the last year’s for 2010. The award was won by an integrated business approach Export earnings January 2011 + 72.4% growth performance. adopted by the EDB. The Minister emphasized that this achievement should be repeated in the future too and that everyone ought to Earnings from exports in January 2011 increased by 72.4 per cent The Minister urged the EDB to initiate specific activities based on the contribute to make Sri Lanka a wonder of Asia. year-on-year, to US dollars 813 million led by significant increases in proposals spelt out in the mini budget for the next six months and thereafter to formulate a detailed plan for the next three years aimed Deputy Minister of Industry and Commerce Jayaratna Herath, exports of textile and garments and rubber products. In comparison at enhancing the exports thereby contributing to the narrowing Additional Secretary Mr. Janaka Sugathadasa, Chairman Export to January 2008, exports have increased by 47.3 per cent. Expenditure down of the budget deficit to below 5% in the future, in keeping Development Board Mr. Janaka Ratnayake, Executive Director Export on imports increased by 21.3 per cent to US dollars 1,501 million in with the government strategy. Development Board Dr. Marikkar, the new Board members Director- January 2011, mainly due to increases in imports of motor vehicles, General Mrs. Sujatha Weerakoon and senior officials were also electrical equipment and transport equipment. Accordingly, the trade present at the review meeting. The officials of the Sri Lanka Export Development Board explained deficit in January 2011 narrowed by 10.2 per cent, year-on-year, to US how the Board uses sophisticated forecasting models like “Export “Export earnings must strengthen our economy, the Government is dollars 688 million. Prediction Models,” linking programmes with Commercial Attaches prepared to extend its fullest support.” -- Minister. - KARMANTHA - VANIJA Ministry of Industry & Commerce KIRULA 2

Senior Presidential Advisor & Economic Development Minister Basil Rajapaksa explaining the Divi Neguma concept to senior government officials at the launch meeting held recently One million economic units aim to strengthen the rural population

With the abundance of the Aluth Avurudda in the air, the brainchild participation in order to improve their nutrition level and livelihood. An awareness campaign on this project will be conducted island- ofSenior Advisor to President &Minister of Economic Development Pensioners, senior citizens, woman and clergy have expressed their wide and a special card will be issued to the people who will Hon. Basil Rajapaksa to establish one million home economic support to the programme which involves greater participation of become the partners of this purpose. units in the country which was spearheaded on January 22 this the people so that their own nutritional levels and livelihoods are year was received with tears of appreciation and gratitude as the improved. Rishad Bathuideen Minister of Industry and Commerce, unprecedented economic benefits were realized by the rural people. NimalSiripala De Silva, Minister of Irrigation and Water Elaborating on this unique programme the MinisterBasil Rajapaksa Resources Management, AnuraPriyadarshanaYapa, Minister of The overwhelming response and appreciation of the general public to said that four key government officials who will have direct contacts Environment, PavithraWanniarachchi, Minister of Technology and the Divi Neguma initiative validated the endorsement of the public to with the public will, under this programme, will be in charge of the Research, MahindaYapaAbeywardena, Minister of Agriculture, the government’s efforts to strengthen the rural population. project. SalindaDissanayake, Minister of Indigenous Medicine, Reginald Cooray, Minister of Small Export Crops Promotion, S.M Chandrasena, This life changing project was launched on January 22, 2011, after Thus, Agrarian Research Officer, Samurdhi Officer, Minister of Agrarian Services and Wildlife, MuthuSivalingam, Deputy which the minister held discussions focusingon enhancing the living GramsewaNiladhari and family planning officers have been named as Minister of Economic Development, LakshmanYapaAbeywardena, standards of the people and strengthening their economic level with the co-coordinators of the entire project. Deputy Minister of Economic Development, H R Mithrapala, the assistance of administrative bodies of the Government. Deputy Minister of Livestock and Rural Community Development, The project involves home economic units which will be put into Beneficiary families will be directly supervised by these officials WeerakumaraDissanayake, Deputy Minister of Traditional Industries practice in the coming Yala and Maha seasons. It is learnt the to ascertain the effectiveness of the programme. Several sectors and Small Enterprise Development, P B Jayasundara, Secretary t identification of areas where these economic units are to be set up including agriculture, industries, self-employments, fisheries, live-stocks, o the Ministry of Finance and Planning and W B Ganegala, Secretary will be completed during the first part of the year 2011. small crops exporters, animal husbandry, dairy industries and home to the Ministry of Mass Media and Information participated in this garden will thus be strengthened with the direct support of the discussion District level meetings with the participation of senior citizens, government. government officials, parliamentarians was held in several areas up Awareness programmes were held by the Minister in Kalutara, to April 5 in an attempt to build awareness on healthy and wealthy Explaining further Minister Basil Rajapaksa said that the government Ratnapura, Kegalle. Kurunegala, Anuradhapura, Matale, Kandy, lifestyle through the setting up of these one million domestic will help the people to initiate the domestic economic units but NuwaraEliya, Hambantota, Monaragala and Galle since the launch of economic units. This national programme was initiated with peoples maintaining them will be the responsibility of the people. this iconic programme in January this year.

Minister appoints task force to accelerate ...a high level task force progress of the Industrial Sector to recommend a new Minister of Industry and Commerce Rishad Bathiudeen has appointed a high The seven member committee is headed by Chairman of strategy to drive the level task force to recommend a new strategy to drive the Industrial Sector the Ceylon Chamber of Commerce and former Unilever Industrial Sector of Sri of Sri Lanka in order to exploit the new-found opportunities in the post-war Director, Dr. Anura Ekanayake, former Chairman of Sri Lanka economic landscape of Sri Lanka, said the Ministry. Export Development Board and Head of National Portfolio Development Lanka so that it can United Nations Office(UNOPS) Rohantha Athukorala, Engineering The Ministry of Industry and Commerce is one of the stronger ministries exploit the new found Design Specialist of the University of Moratuwa, Prof. Kapila Jayasinghe, that has been architechtured under the new government to give a new opportunities in the dimension to trade and commerce in the country. Rubber strategist, Mr. Lakna Paranawitharana, the NEDA Consultant W.C. Dheerasekera, post-war economic The Minister advised the high powered committee to take into account the Mahinda Chintana – Ediri Dakme so that it gives the whole country the Chairman of PASS Research and Consultancy, Samantha Pathirathne landscape of Sri Lanka. direction that it needs to work towards this vision. and the Director, Policy and Planning of EDB, Jayawickrama Silva.

Email Karmantha-Vanija- Kirula: [email protected] Telephone: 011 243 6124 Fax: 011 244 9402 - KARMANTHA - VANIJA Ministry of Industry & Commerce 3 KIRULA External trade performs well in December 2010

A positive month for exports in December has propelled the country exports consisted mainly of new pneumatic tyres and articles of to conclude 2010 as the best for ‘Made in Sri Lanka’ in global markets. apparel and clothing accessories (mainly gloves).

The Central Bank said exports in December recorded the highest However, earnings from machinery and equipment and the diamonds ever figure of $ 968 million, boosting the full year value to $ 8.3 billion, and jewellery exports recorded year-on-year declines in December the best ever in the country’s history. December shipments recorded 2010. Earnings from agricultural exports increased in December 2010, 34% growth whilst end 2010 performance reflected a 17.3% growth reflecting a healthy growth in all major sub sectors, mainly due to over 2009. The year 2010 also surpassed the previous highest in higher prices recorded by major export crops in the international exports $ 8.11 billion achieved in 2008. market.

Exports soar to highest ever of Import expenditure on food and drink increased in December 2010 $ 968 m, boosting 2010 full total to mainly due to higher food prices in a record $ 8.3 b, up 17.3% over the international market 2009 The average export prices of tea and rubber continued to remain Imports soar to $ 1.42 b bringing high at $ 4.56 per kg and $ 4.26 per kg, respectively, in December 2010. Earnings from minor agricultural exports increased by 28.8% 2010 total to $ 13.5 b, up 34% from to $ 30 million in December, 2010 mainly due to significant increases 2009 recorded in the export volumes of cocoa, essential oils, cashew nuts and cardamoms. Trade deficit surpasses $ 5 b mark Expenditure on imports of intermediate goods increased in December from $ 3 b in 2009 2010, led by higher expenditure incurred on petroleum imports. The average import price of crude oil increased by 16.5% to $ 90.37 per Imports had also amounted to its highest level in December with $ 1.42 barrel in December 2010. billion, up by 31% over the corresponding month of 2009, whilst the total figure for the full year was $ 13.5 billion, up 32% over 2009. Textile imports also increased substantially in December 2010, These twin developments saw the trade deficit expand to $ 5.2 billion indicating a better outlook for the garment industry. The expenditure in 2010 from $ 3.1 billion in 2009. on fertiliser imports increased by 119.4% to $ 29 million reflecting higher import volumes due to the extended acreage cultivated in the The largest contribution to the growth in exports in December was Northern and Eastern Provinces and extension of fertiliser support from the industrial sector, led by significant increases in exports of scheme to coconut cultivations. textiles and garments, food and beverages and rubber products. Earnings from garment exports to EU and USA increased by 33.9% Import expenditure on food and drink increased in December and 31.4%, respectively, in December 2010. 2010 mainly due to higher food prices in the international market. Expenditure on non food consumer import category also increased Exports of food, beverages and tobacco products increased by mainly due to higher imports of motor vehicles. All categories of 74.3%, year-on-year, mainly due to higher earnings recorded by investment goods imports increased in December 2010. exports of fruits, vegetables and animal fodder. Rubber product

Discovering: Kahatagaha Graphite Mines to strike Gold

Kahatagaha Mines are located in North Western Province of Sri Graphite which is produced by petroleum coke. Lanka at Maduragoda, Dodangaslanda in the Kurunegala District, As graphite was mined from the earth it was called “MIHIRAN” in STANDARD PARTICLE SIZE approximately 90 km. from the capital of Colombo, and managed Sinhala in the early which was later turned to “MINIRAN”. by Kahatagaha Graphite Lanka Limited. (KGLL) It is a fully government +10mm Lumps owned public limited liability Company, under the Company Act No. The properties of graphite, such as stability at high temperatures, 1.7-5mm Bold Chips 07 of 2007 purviewed by the Ministry of Industrial Development and chemical inertness, non-toxicity and lubricity have made it an 0.5-1.7mm Fine Chips the major share holder is Secretary to the Treasury. important raw material for modern industry. -0.5 Chippy Dust It is situated at an elevation of 25 meters in Hilly terrain and PRINCIPAL USE OF GRAPHITE -10+60 mesh Flakes approximately 102 acres with free hold title, while Kahatagaha The principal use of graphite is in the manufacture of refractories, Graphite Lanka Ltd. is only occupying a few acres of the surface land. which are used to line the surface of furnaces in the steel industry, -40+100 mesh Flakes Type Powder The mine extends as far as 500 meters at its widest point. crucibles and foundries. Over 30% of the world consumption of -200 mesh Powder Graphite is in the form of refractories, crucibles, retorts, stoppers, Kahatagaha Graphite Mine is 2000 feet (610 meters) deep which Gaskets, Bearings, Dry Cell batteries, Varnishes & Paints, sleeves ASH COMPOSITION OF +99%C GRAPHITE makes it is the deepest mine in Sri Lanka and accessed by 2 shafts. and nozzles for industrial purposes. Other major applications are The one at Kahatagaha is 1132 feet (345 meters) and Kolongaha in foundries (15%), lubricants (14%), brake linings (13%), and pencils SiO 49.30% goes up to 330 feet (101 meters). The below shaft bottom access is (7%). FeO 47.57% by series of winches up to 2000 feet (610 meters). Main winch is MgO 0.69% operated to send underground workers up to 1132 feet level to reach GRAPHITE EXPORT COUNTRIES up to 2000 feet level. KGLL is a 100% export oriented Company, and its major export CaO 0.93% countries are U.S.A., U.K., JAPAN, AUSTRALIA, INDIA and PAKISTAN. Al2 O3 0.74% KAHATAGAHA UNIQUE PRODUCT New inquiries have been made for Kahatagaha Graphite from Brunel While having a world recognition, Sri Lanka is the only commercial University of United Kingdom - to be used first in Boeing’s aero planes K2 O 0.31% Source of supply of high Carbon Natural Crystalline Vein Graphite and and also in future testing of NASA space rockets. Na2O 0.14% particularly Kahatagaha Mine is capable of mining high purity Natural CuO 0.12% Vein Graphite over 99% carbon in fully crystallized form. It is found THE GRADES as needles, lumps, rossets, and flakes, enjoying monopoly of high Kahatagaha Graphite Lanka Limited, carbon crystalline vein graphite with low ash content having a proven KL +99%C reputation of world market acceptance as an unique product. Mr. D. Kalansooriya - Chairman KHL 97-99%C Lady Lochore Loan Fund Building, WHAT IS GRAPHITE KBL 97-99%C 100, 1/3, Sir Chittampalam A Gardiner Mawatha, Graphite is the mineralogical of the naturally occurring crystalline forms of carbon. Graphite is soft, insoluble, tasteless, odorless, greasy KL 97-99%C Colombo-2, to touch, and iron black to steel grey in color. Sri Lanka KL 95-97%C

Graphite can be divided mainly as natural graphite and synthetic KL 92-95%C Tel: +94112388662 graphite. Natural graphite is sub divided as amorphous, crystalline vein KC 90-92%C and crystalline flake. Amorphous is low carbon source of graphite. Fax: +94112388663 Vein and flake graphite are medium to high carbon source. Synthetic FLAKE 90-95%C Email: [email protected] Email Karmantha-Vanija- Kirula: [email protected] Telephone: 011 243 6124 Fax: 011 244 9402 - KARMANTHA - VANIJA Ministry of Industry & Commerce KIRULA 4

Focused rural centric infrastructural development to promote local industry Regional Industrial Development to generate 28,000 new jobs

Disparity of infrastructure facilities between regions and the center For further inquiries: is one of the main obstacles for industrial development in the country. Regional Industrial Development Programme is one of the Mr. H.P. Jayananda main projects implemented by this Ministry to promote regional Director industrialization encouraging industrialists to invest at the regional Regional Industrial Development level and provision of employment to the rural masses. Under Division this programme, industries which were located heavily in Western Ministry of Industry and Province has shifted to regional level with the development of 24 Commerce industrial estates throughout the country, Under this programme lands 73/1 Galle Road are identified in the regions and developed with major infrastructure Colombo 03 facilities such as roads, electricity, water supply etc. required by industrialists to setup their industries. Tel: 0112441490 Fax: 0112423965 Currently, a total of 13,942 employment E mail: [email protected] opportunities have been created in these industrial estates expecting 28,000 opportunities in full capacity.

There are 24 industrial estates in operation and within those estates 252 industries are in commercial operation with an investment of approximately Rs. 26.9 billion and another 35 factories are under construction. Currently a total of 13,942 employment opportunities have been created in these industrial estates expecting 28,000 opportunities in full capacity.

Provision of infrastructure for industrial development through industrial estates has become important mainly due to the scarcity of suitable lands to locate industrial units with proper waste management system adhering to environmental norms & regulations. Availability of skilled labour in the vicinity is also considered in the selection of locations to cluster industries.

At present special emphasis is made in developing industrial estates in North and East. As the war has become to an end, the potential of these regions which had remained untapped for decades, would be renewed. Five industrial estates in the various parts of the North and East would be established and the industrial estates in Trincomalee (Stage1) and Ampara have been already completed. Figure 6 and figure 7 below provide an illustration of the industrial estates currently in operation and new industrial estates proposed, respectively. Email Karmantha-Vanija- Kirula: [email protected] Telephone: 011 243 6124 Fax: 011 244 9402 - KARMANTHA - VANIJA Ministry of Industry & Commerce 5 KIRULA Sri Lanka Institute of Textile and Apparel Training aims to supply qualified manpower to the industry

With the mission to be an internationally renowned training and both a part time and full time basis; Certificate in Fabric Technology technical service provider for the textile and apparel industry, The Sri which is a part time course and a Certificate Course in Management Lanka Institute of Textile and Apparel (SLITA) also hopes to facilitate for Executives in Textile and Apparel which can be followed on a Sustainable Development of Sri Lankan Textile and Apparel Industry part time basis. Certificate in Knitting Technology is another part time by producing a competent workforce with specialized skill. course that the SLITA offers. Short courses designed to educate in a minimum period of time The Institute, with a modern Auditorium and a Seminar Hall equipped include part time a course in the Technological Aspect of Fabrics for with all the latest audio/visual aids and other features to meet Textiles and Garment Industry, Full time courses in Dyeing of Garment international requirements provides the infrastructure to give a sound Accessories, Socks Knitting, Batik Dyeing for Export and part time education. The Library is equipped with a 4000 volume in textile, courses in Fabric Inspection, Management Skill Development for clothing and allied subjects. Supervisors, Circular Knitting Technology.

The Library also has in place International Journals and magazines on The Sri Lanka Institute of Textile and Apparel Training programme all aspects of the textile and clothing industry. International Magazines in the month of Jaunary included Deiploma in Textile and Apparel related to Business and Commerce, Economics, Accounting , Technology, Certificate in Clothing Technology, Certificate in Work Management , Marketing facilitate an all round education. Study and Factory Management, Certificate in Merchandising Management, Certificate in Pattern Cutting, Grading and Styling The Sri Lanka Institute of textile & Apparel (SLITA) was established Development, Sewing Machine Engineering and maintenance, on July 01, 2009 under the provisioning Act No.12 of 2009 by merging Certificates in Pattern Cutting Grading and Styling Development, the Clothing Industry Training Institute and the Textile Training and Sewing Machine Engineering and Maintenance, Services Centre which had jointly served the apparel industry for nearly 25 years. In the month of February, the course programme included Fabric Today, the Sri Lanka Institute of textile and Apparel (SLITA) is a Inspection, Management Skill Development for Supervisors, Certificate premier institute which is geared to better not just the whole facet of in Garment Quality Management, Certificate in Merchandising textile and apparel in the country but to give the manpower essential Management, CAD DEveloploment (LECTRA), Children’s wear pattern for the smooth running of the industry. cutting and Grading, Jigs and Attachment Technology.

The Sri Lanka Institute of textile and Apparel (SLITA) has forged ahead with confidence and today emerges not just as a hallmark of textile and apparel but a training centre.

The Institute, with a modern Auditorium and a Seminar Hall equipped with all the latest audio/visual aids and other features to meet international requirements provides the infrastructure to give a sound education. The Library is equipped with a 4000 volume in textile,s clothing Sri Lanka Institute of Textile & Apparel and allied subjects. Mr.Y.L.S. Hameed Director-General The Sri Lanka Institute of textile & Apparel (SLITA) has confidently undertaken to offer short course, diploma courses and certificate Kandawala Estate, No.2, courses which are on par with courses associated with textiles and Gen. Sir John Kotalawela Mawatha, apparel the world over. Ratmalana. Sri Lanka The diploma courses include fulltime and part time courses for Diploma in Textile and Apparel Technology, Advanced Diploma in T. 94-11-2632406 / 94-11-2622649 / 94-11-2636917 Coloration and Finishing Technology, which is a part time course and F. 94-11-2636337 / 94-11-2636916 Diploma in Testing and Quality Assurance of Textile and Garment. E. [email protected] Among the Certificate Courses are Certificate in Garment Washing, Dyeing and Finishing Technology a course that can be followed on website: http://www.textile-clothing.lk

Email Karmantha-Vanija- Kirula: [email protected] Telephone: 011 243 6124 Fax: 011 244 9402 - KARMANTHA - VANIJA Ministry of Industry & Commerce KIRULA 6

The Sri Lankan Design Festival catwalk showcasing one many designs by Sri Lankan designers and companies.

Sri Lanka Design Festival 2011 to unite design with economic development

Sri Lanka Design Festival 2010 was recognised as an impressive Sri Lanka Design Festival supports the traditional arts and crafts platform to showcase Sri Lankan creativity and created new market industry of Sri Lanka is a long-standing initiative. SLDF is committed linkages for the Apparel Industry and rural communities. implemented to the renewal of traditional craft by integrating artisans’ technical with the support of the Ministry of Industry and Commerce The skills with the innovative thinking of modern designers. In 2010, festival this year is to take place in November 2011, with the key SLDF conducted a range of nation-wide collaborative projects with objective of exemplifying ‘Design’ as a driving force in Economic international design graduates and local craftspeople. The results of Development. these projects were high-quality exports of global standards, which raised the bar for Sri Lankan craft-based exports and new market links for our artisans. In 2011, Sri Lanka Design Festival expects to expand the scope of these projects and create direct, international Academy of Design (main organizers of market linkages for local artisans. The Academy of Design (main organizers of the festival) are conducting nation-wide craft revival the festival) are conducting nationwide projects with a special focus on the North and East including Ampara, Batticloa, Mulativu, Mannar and Jaffna. These projects incorporate craft revival projects with a special focus Palmyrah, Fabric Weaving, Knitting, Woodwork, Lacquer, Brasswork, on the North and East including Ampara, Ceramic, Embroidery, Rattan, Coconut-shell, Batik, Paper and more. Sri Lanka Design Festival will present a series of events such as the Batticloa, Mulativu, Mannar and Jaffna. ‘Ethical Fashion Symposium’ where Sri Lanka’s industrial integrity is showcased in an international forum, apparel industry fashion shows Sri Lanka Design Festival (SLDF) 2011 focuses on utilizing the power and exhibitions displaying the strength and the creativity of the trade, of creativity to foster social and economic development and graduate fashion shows and exhibitions highlighting Sri Lanka’s young showcasing the many ways of using design as a value addition and talent and many workshops that will offer the general public access a responsible and sustainable problem solver fomenting economic to a range of creative areas. leading to growth. Since its inauguration in 2009 SLDF has focused on promoting the local Apparel industry to international fashion retailers Sri Lanka Design Festival (SLDF) is organized by the Academy of and design brands in order to aid the industry in the discovery of new Design – one of Sri Lanka’s premier educators in Design. The local markets and clientele. SLDF also takes a special interest in creating creative industries and the Sri Lankan government that have identified awareness of the unique aspects of the Sri Lankan apparel sector and the great potential of the event have also pledged their support to takes the messages behind Sri Lanka Apparel’s ‘Garments without SLDF. Guilt’ Campaign out to the world. ‘Garments without Guilt’ highlights the ethical manufacture and sustainable development ethos of the SL Apparel Industry and its dedication to prevent sweatshop conditions, child labour and other adverse working conditions. SLDF 2010 yielded many positive outcomes for the local Apparel Industry, resulting in several prestigious European retailers linking with Sri Lankan apparel makers while Lankan designers have also collaborated with big names of European fashion retail. SLDF 2011 is focused on demonstrating the results of the amalgamation of design and technology by highlighting the creative potential of the local apparel industry. Sri Lankan design sees new leading edges Email Karmantha-Vanija- Kirula: [email protected] Telephone: 011 243 6124 Fax: 011 244 9402 - KARMANTHA - VANIJA Ministry of Industry & Commerce 7 KIRULA

Greener times ahead... SL ready to advance in $50bn beverage market

Global market place Minister Bathuideen said that we should work towards these standards after completing the Minimum Residual Level Rs. 7.3 million invested (MRL) standardization.

Chairman of the Tea Advisory Committee for the Ministry of Industry for Cleanest Tea and Commerce RohanthaAthukorala asserted that until the recent past tea was considered a commodity but that it is now categorized in the very competitive range and stringent quality standards are proposition expected. As a beverage that is worth globally over 50 billion dollars with many value addition activity -many Sri Lankan exporters has In the back drop of some the revolutionary move made by the successfully entered already. With this initiative of ensuring that all teas Ministry of Plantations where a 10 million dollar promotional fund exported are as per global hygiene standards Sri Lanka can now drive was orchestrated with the implementing partner being the Sri Lana the global industry stronger” he said. Tea Board in 2010, yesterday in a unique partnering gesture- the Minister of Industries and Commerce Rishad Bathuideen supported The development of tea being classified as a beverage globally has the industry by investing Rs73 million to ensure that the Clean Tea led to the product being subject to the biological and physical food proposition is consolidated with good agricultural practices. The standards to ensure food safety of the global customer which is why move involved that minimum residue levels (MRL) of tea exported this initiative is a key national project. In fact with initiative it further are within the limits specified to the sensitive markets of EU and consolidates our proposition of Ozone friendly status that can drive Japan. The project will be implemented by the Sri Lana Tea Research a premium in the global market, commented the Director of Tea Institute(TRI). Research Board Hasitha De Alwis and thanked he Ministries of Trade and Commerce for their continued support. Minister Rishard Bathuideen commented that Sri Lanka needs to ensure that all products marketed globally are within the quality The Secretary to the Ministry Mr. TilakCollure, Additional Secretary parameters expected by its targeted customers so that any Sri Lankan HasithaSeneviratne and RohanJayatileka were also present together products will not be subject to any non-tariff barriers in any country with the other senior officials of the Ministry, Sri Lanka Tea Board and around the world. “In fact we need to set the quality standards for a Private sector. product such as tea which Sri Lanka dominates in the global market even though competition is entrenched” he said.

Hasitha De Alwis Director of SL Tea Board, Dr. Abeysinghe (Director Tea Research Institute), Mr. RohanthaAthukorala (Chairman Tea SL – Iraq trade talks Advisory Ministry of Industry and Mr. JayanthaKeragala Chairman Sri Lanka Tea Exporters in discussion with Hon. Minister of Industry and Commerce Rishard Bathuideen. This is the photo caption after eight years

“Sri Lanka tea achieved an all- time record of 1.3 billion dollars in 2010 After a lapse of eight year in Sri Lanka began discussion on and we need to thank all the stakeholders who made his possible for Economic and Technical cooperation between Sri Lanka and Iraq Sri Lanka”, said the Minister who is charge of Sri Lanka exports for under the direction of the Minister of Industry and Commerce Hon. the country. A sum of approximately Rs.450 million will be invested in Rishard Bathuideen. its global marketing drive to ensure Sri Lanka will achieve the twenty Minister Bathuideen with his Iraq counterpart billion dollar export target by 2020. Sri Lanka had a market share of almost 65% in the 1990’s and we Dr. Mohommed Abdul Hakeem Alsafi must once again regain this share said Minister RishardBathuideen. The Chairman of the Sri Lana Tea Exporters Association forecasted that Sri Lanka will be able to beat the $1 billion performance in 2011 He went on to say that a definitive action plan must be agreed Almost twenty key exporters of tea from Sri Lanka are currently in given that tea prices at the auction in the 1st week of 2011 has been between the two countries so that in depth and breadth the Baghdad at the international trade Fair to sketch out the business strategy positive but cautioned on the adverse weather conditions and the countries can mutually benefit from the discussion. which is an indication of the renewed interest between the countries looming wage discussions that are to take place later during the year. specially in the focused industry of tea which is driving on a new The total trade that was 8.7 million dollars way back in 2003 has positioning platform of Ethically manufactured ozone friendly teas. It is a The Director of the Sri Lanka Tea Research Institute of Sri Lanka Dr. now grown to become a 37.5 million dollars in 2009 but now proposition that is unique to Sri Lanka. Minister Bathuideen emphasized SaranthAbeysinghe ensured that with the field trials done on the 27 with a stronger focus on a liberalized policies in Iraq there can be the need for a Private Public partnership as the new model of driving trade globally so that Sri Lanka can become a 20 billion dollar export industry by chemicals that Sri Lankan tea growers use a new standard that the a propensity for greater opportunities for the Sri Lanka’s private world must accept could be developed. This reflects the respect 2010. to Sri Lanka. sector to support Iraqi economy and there by achieving a mutually that the world has on the quality standards of Ceylon Tea. The Chairman of the Tea Traders Association (CTTA) Mr. Aravinda De Silva beneficial relationship. The Iraqi trade minister Dr. Mohommed Minister Bathuideen emphasized the need for a Private-Public partnership highlighted the new trend seen around the world where propositions Abdul Hakeem Alsafi commented the need for rubber to support as the new model of driving trade globally so that Sri Lanka can become like ‘ Rainforest Alliance’ can further differentiate Ceylon Tea in the the aggressive industrial drive that is taking from in Iraq. a 20 billion dollar export industry by 2010.

Email Karmantha-Vanija- Kirula: [email protected] Telephone: 011 243 6124 Fax: 011 244 9402 - KARMANTHA - VANIJA Ministry of Industry & Commerce KIRULA 8 “Ransalu” (Golden Wear) the Twentieth National Handloom Exhibition and Contest 2010

Sri Lankan government is determined to develop the handloom apparels industry through a five year strategic action plan.

This was revealed at “Ransalu” (Golden wear) the Twentieth National Handloom Exhibition and Contest 2010 which was kicked off by Minister of Economic Development, Basil Rajapaksa recently.

...allow development to be distributed evenly in all provinces, all regions, all villages, all families, and all individuals. -- Minister

Addressing the distinguished gathering at Minister Rajapaksa said that the intention of President Mahinda Rajapaksa was to allow the benefits of development trickle down to grassroots. “We could have Lanka’s handloom: Dress for success. Hon. Basil Rajapaksa admiring one of the exhibits, accompanied by Hon. Rishad Bathuideen, Hon. achieved necessary growth levels by having two or three large scale Jayarathne Herath Deputy Minister of Industry and Commerce Ministry and Mr. Tilak Collure Secretary to the Ministry projects. But President Rajapaksa’s idea is to allow development to be distributed evenly in all provinces, all regions, all villages, all families, and all individuals. So development must happen at family level.” He said that during the day itself the government was successful in An exposure visit for coir industries and coir related machinery securing an investment into apparels industry amounting over Rs. manufacturers will be organized in order to improve the local coir 8.3bn (US $ 75mn). “I am confident that the government will be able industry. ...the government was successful in to achieve its handloom industry targets as Minister Rishad Baduitheen securing an investment into apparels was a dynamic and young leader along with a committed team,” the The ministry will work together with the ministry of Plantation Minister added. Industries to establish a proper mechanism of supplying raw materials industry amounting over Rs. 8.3bn to the value added coir industry. Speaking at the occasion Minister of Industries and Commerce, (US $ 75mn). Rishad Bathiudeen, said that the government was thoroughly focused on developing the textile industry through a five-year strategic plan. Processed Food Sector Minister Rajapaksa added that the government after heralding in Training and awareness programmes to encourage food processing an era of peace has brought into the country phenomenal growth Steps and studies to further uproar the coir machinery will be industries to obtain food safety certificates such as Hazard Analysis through infrastructure development in highways, ports and aviation, conducted in the Department of Mechanical Engineering of the will also be carried out. power and energy. University of Moratuwa. A Closer Look: Industrial Policy Division - Promotes complete sustainability

The Industrial Policy Division’s main function is to adhere to the present the administrative and accounting work too is done by the division. government’s policies and create a competitive advantage for industries In addition, the division gets involved in designing and monitoring and promote sustainable industrial development in the country. Its programmes of the centre. objectives also emphasise strongly with regional development, which is promoted as a means of creating social equity and a balanced development. Certain policy changes and programmes which are ...create a competitive advantage for necessary to achieve these targets are also proposed by this division to relevant authorities. With the above mandate the division’s activities industries and promote sustainable could be broadly categorized in to the following areas. industrial development in the country. Policy related work includes In relation to the Regional Industry Service Centers administrative and managerial functions are handled by the division. It also oversees the preparation of reports/articles cabinet activities of the Industrial Associations of various Industrial Estates. These associations along with the Regional Industrial Service Centers are papers and observations for the Hon. responsible for management of the industrial estates after completion. Minister. The environmental aspects of the Industrial Estates and other major environmental related work too is handled by the division. Industrial facilitation and guidance With the current trends, and compliance requirements of buyers, the international conventions and protocols ratified by Sri Lanka and emphasizing on environment friendly with the World Trade Organization’s (WTO) agreements on standards industries. in environmental labour, social welfare, productivity and quality norms become vital. This requires the industrial sector to be more competitive in the export market, in order to fulfill these compliance requirements which are enforced by the European Community and Management of Industrial Estates, other importers. assisting and monitoring the smooth In order to achieve the above, it requires certain criteria to be fulfilled. functioning of Regional Industry Prudent environmental management, sustainable consumption of Service Centres. raw materials, adherence to global reporting initiatives and corporate responsibility concepts for accounting of industry related ventures are some of them. Along with these developments it has become Development and encouraging important for the industries to obtain ISO standards such as ISO 9000, 14000, 18000 and 22000 series EMS, QMS, HACCP, ECO TEX 1000 for industries in the regions and industrial garment and textiles and a host of other standards. This also includes process development. certain voluntary standards too. The facilitation of process development industries to reach the earlier In order to achieve the above objectives the division monitors the mentioned standards are implemented through the NCPC and activities of the National Cleaner Production Centre (NCPC) and UNIDO Focal Point Office of the Ministry. The Ministry’s activities Regional Industry Service Centers. These centres act as facilitators initiated through the NCPC are given below. in performing the above activities. Regarding the NCPC some of Competitive yet colourful advantage Email Karmantha-Vanija- Kirula: [email protected] Telephone: 011 243 6124 Fax: 011 244 9402 - KARMANTHA - VANIJA Ministry of Industry & Commerce 9 KIRULA Promoting Sri Lanka abroad: Points of Contact

Hon. Rishad Bathuideen France/Paris P.O.Box 94360 Minister Ms. Yoshitha Jayasuriya - Third Secretary (Commercial) Riyadh 11693, KINGDOM OF SAUDI ARABIA Ministry of Industry and Commerce Embassy of Sri Lanka Tel: 9661 4608251 / 4606906 73/1 Galle Road 16, rue Spontini Fax: 9661 4608846 75016 Paris , FRANCE Colombo 03 E-mail: [email protected] Tel. : (0033) 155730375 / 155733131 Tel: +94112431671 Fax : (0033) 155731849 Singapore Email: [email protected] E-mail : [email protected] Mr.D.G.A.P.Dharmapriya - Minister (Commercial) Ministry Website: http://www.industry.gov.lk High Commission of Sri Lanka Germany/Frankfurt #13 - 07/12 Goldhill Plaza Mr. Tilak Collure Consulate General of Sri Lanka 51 Newton Rd, 308900, SINGAPORE Secretary Lyoner Str. 34 Tel : +65 6254 4595 Direct: +65-6250 8662 Tower 2 - 7th Floor Ministry of Industry & Commerce Fax - +65 62507201 60528 Frankfurt / Main GERMANY Tel: 011-2436124 Fax:011-2449402 Email: [email protected] Tel: 0049 69-660539813 [email protected] Email: [email protected] / [email protected] Fax: 0049 69-660539899 Email: [email protected] Departments South Africa / Pretoria Ms. Nalika Kodikara - Third Secretary (Commercial) Sri Lanka Export Development Board India/Mumbai Sri Lanka High Commission www.srilankabusiness.com Ms. Upekkha Samarathunga - Consul General Consulate General of Sri Lanka No 410, Alexander Street , Brooklyn, Pretoria 0181, SOUTH AFRICA Department of Commerce 34, Homi Modi Street Tel: 0027 12 3466 453 (D) 0027 12 4607 679/ 90 (Gen.) www.doc.gov.lk Mumbai 400 023, INDIA Fax: 0027 12 4607 702 Tel: 00-91-22-22042339, 22045861 ,22048303 E-mail: trade@ srilanka.co.za National Intellectual Property Office of Fax: 00-91-22-22876132 Sri Lanka Email: [email protected] Sweden / Stockholm www.nipo.gov.lk Mr. L G Dissanayake - Third Secretary (Commercial) India/Chennai Embassy of Sri Lanka Strandvägen 39, 1tr Box 24055 ,10450, Stockholm National Enterprise Development Authority Mr. Samantha Wijesekara - First Secretary (Commercial) ,SWEDEN www.neda.lk Deputy High Commission of Sri Lanka TP: 0046 8 6676154 (Direct) 0046 8 6636523/25 (General) No.196 TTK Road , Alwaroet Fax: 0046 8 6600089 Sri Lanka Institute of Textile and Apparel Chennai 600 006 INDIA Email: [email protected] [email protected] www.textile-clothing.lk Tel: 91 44 24987896 / 24987612 Department of the Registrar of Companies Fax: 91 44 24987894 Switzerland / Geneva www.drc.gov.lk E-mail: [email protected] Dr. A. Dayaratna Silva - Ambassador/PR to WTO [email protected] Permanent Mission of Sri Lanka in Geneva Kahatagaha Graphite Lanka Limited 56, rue de Moillebeau www.kgraphite.lk Italy / Rome 1209 Geneva , SWITZERLAND Ms. Gothami Indikadahena - Minister (Commercial) Tel : +41.22.919.12.50/58 Sri Lanka Embassy, Fax : +41.22.734.90.84 Department of Commerce – Via Adige 2, 00198 Rome , ITALY E-mail : [email protected] Mr. Gomi Senadhira, Director-General Tel: 0039-06 8840801/068554560 web: www.lankamission.org Department of Commerce. Fax: 0039-0684241670 4 th Floor, “Rakshana Mandiraya”, Email: [email protected] Switzerland / Geneva 21, Vauxhall Street, Colombo 02 [email protected] Ms. Lakmini Peiris - First Secretary (Commercial) Tel: +94-11-2329733 Permanent Mission of Sri Lanka in Geneva Japan / Tokyo Fax: +94 11 2382490 90 / +94-11-2430233 56, rue de Moillebeau Mr. M Somasena - First Secretary (Commercial) 1209 Geneva , SWITZERLAND . email: [email protected] Embassy of Sri Lanka Tel : +41.22.919.12.50 2-1-54 Takanawa, Fax : +41.22.734.90.84 Overseas Commercial Representation Minato-ku Tokyo - 108-0074, JAPAN E-mail : [email protected] Tel: 81-3-3440 6916, 3440 6912 [email protected] Australia/Sydney Fax: 81-3-3440 6914 Mr. P. D.Fernando Consul-General E-mail: [email protected] Consulate General of Sri Lanka United Arab Emirates / Dubai [email protected] Level 11, 48, Hunter Street , Sydney 2000 Mr. M M Abdul Raheem - Consul General [email protected] Tel Nos.: (02) 9223 8729 / (02) 92238742 Consulate General of Sri Lanka P.O. Box 51528 Direct No. : (02) 92352582 Malaysia / Kuala Lumpur E-mail: [email protected] Dubai, UNITED ARAB EMIRATES Mrs. Shafi Mohin - Minister(Commercial) slcgsyd-trade@@bigpond.com Tel. No: +971-4- 3989880 Sri Lanka High Commission Website: www.slcgsyd.com Fax No: +971-4- 3984687 No. 12, Jalan Keranji Dua E-mail: [email protected] Off Jalan Kedongdong Belgium / Brussels Jalan Ampang Hilir Mr. R.D.S. Kumararatne - Minister (Commercial & Economic Affairs) 55000 Kuala Lumpur MALAYSIA United Kingdom / London Embassy of Sri Lanka Tel: + 603-4256 8987 / 4257 1394 Mrs. S.N.I. Wijeratne - Minister (Commercial) Jules Lejeunestraat, 27 Fax: + 603-4253 2497 High Commission of Sri Lanka 1050 - Brussels BELGIUM Email: [email protected] No. 13 Hyde Park Gardens Tel: 32-2-344 5394 & 3445585 Direct No. (02) 344 55 23 London W2 2LUU, UNITED KINGDOM Fax: 32-2-344 6737 Pakistan / Karachi Tel: +44-207 262 1841-6, 3996 (direct) E-mail: [email protected] Mr. D.W. Jinadasa - Cónsul General Fax: + 44-207-262 7970 [email protected] Consulate General of Sri Lanka Email:[email protected] Website: www.srilankaembassy.be 20/1, 18th Street [email protected] Khayaban-e-Shamsheer, Phase V D H A , Karachi, PAKISTAN Canada/Toronto Tel: + 92-21-35857471 / 35346614 United Kingdom / London MR. H.M.B, Herath - Act. Consul General Fax: + 92-21-3585 7472 Mr. A.P.J.N. Kumara - First Secretary (Commercial) Consulate General of Sri Lanka Email: [email protected] High Commission of Sri Lanka No.40, St. Clair Avenue West Suite 405 No. 13 Hyde Park Gardens Toronto-Ontario M4VIM2, CANADA Republic of Korea/Seoul London W2 2LUU, UNITED KINGDOM Tel; 001-1-416 3239133 (direct) Mr. Y.M.C. D Yattogoda - First Secretary Tel: +44-207 262 1841-6, 2883 Fax: 001-1-416 3233205 Embassy of Sri Lanka Fax: + 44-207-262 7970 E-mail: [email protected] 229-18, Itaewon-dong Email: [email protected] / [email protected] [email protected] Yongsan-gu [email protected] Seoul 140-202, Republic of Korea United States of America / Washington Tel: 00-82-2 735-2966 Mr. A.G.N. Karunathilake - Minister (Commercial) China/Beijing Fax: 00-82-2 737-9577 Embassy of Sri Lanka Ms. S Ariyaratne - First Secretary (Commercial) Email: [email protected] 2148 Wyoming Avenue NW Washington DC 20008, Embassy of Sri Lanka UNITED STATES OF AMERICA No. 3 Jian Hua Lu Russia / Moscow Tel: 1-202-483-4026 1-202-483 4029 Beijing-Postal Code 100600, CHINA Ms. Chandima Abeyratne - Third Secretary (Commercial) Fax: 1-202-232-7181, 483-8017 Tel: 00-86-10 - 65321862, 65321861 Embassy of Sri Lanka E-mail: [email protected] / [email protected] Fax: 00-86-10 - 65325426 Ulitsa Schepkhina 24, E-mail: [email protected] / [email protected] Moscow , RUSSIA United States of America / Los Angeles Tel: +7-495-6881620/6881651 Mr. Asoka Godawita - Consul (Commercial) Consulate General Fax: +7-495-6881757 Egypt / Cairo Embassy of Sri Lanka Email: [email protected] Mr. D.D. Premaratne - First Secretary (Commercial) 3250, Wilshire Boulevard Suite# 1405 , Los Angeles CA 90010 [email protected] Embassy of Sri Lanka UNITED STATES OF AMERICA No. 8, Sri Lanka Street Tel: 00-1-213-3870210/ 214 Zamalek, Cairo, EGYPT Kingdom of Saudi Arabia / Riyadh Fax: 1-323-3870216 Tel : 00-20-2 27351381, 27350047 Mr. W A P Sirimanna - Third Secretary (Commercial) E-mail: [email protected] / [email protected] Fax: (202) 7367138 E-mail : [email protected] Embassy of Sri Lanka Email Karmantha-Vanija- Kirula: [email protected] Telephone: 011 243 6124 Fax: 011 244 9402 - KARMANTHA - VANIJA Ministry of Industry & Commerce KIRULA 10 Plans for 2011 - Development Division 1 Plans to steer Tea and Coir sector towards greater success

Tea Sector The GI registration will result in safeguarding the tea Following the decision of the advisory council for tea, produced in Sri Lanka from adulteration and from being the Tea Research Institute (TRI) and Sri Lanka Tea Board sold under different names in other markets. This would (SLTB) will implement the following project proposals ensure the overall export market for Ceylon Tea. with the assistance of the ministry. Furthermore, the ministry is planning to organize a special forum consisting of tea producers and exporters Establishment of pesticide residue levels in Sri to facilitate and encourage them for value added tea Lankan tea under good agricultural practices exports. This will also include the provision of tax concessions to import tea processing machinery (which Increasing value addition by protecting and are used for value addition) and to import necessary raw enforcing Intellectual property Rights on regional materials duty free. Ceylon teas in overseas markets under the TRIPS (Trade Related Intellectual Property System Coir Sector Agreement of the WTO on Geographical Steps and studies to further uproar the coir machinery Indication (GI) will be conducted in the Department of Mechanical Engineering of the University of Moratuwa. Enhancing value addition by recognizing Ceylon tea as the cleanest tea in the world in terms An exposure visit for coir industries and coir related of pesticide by International Standards machinery manufacturers will be organized in order to Organization. improve the local coir industry.

By establishing pesticide residue levels in Sri Lankan tea The ministry will work together with the ministry of cultivated under good agricultural practices, this division Plantation Industries to establish a proper mechanism of expects to provide data on pesticide residue levels of supplying raw materials to the value added coir industry. Sri Lankan tea to the high end markets such as Japan, European Union and USA to prove that Ceylon tea is the Processed Food Sector cleanest tea. This would help to increase the passage of Training and awareness programmes to encourage food Sri Lankan tea to these markets and increase the market processing industries to obtain food safety certificates share for “Ceylon Tea”. such as Hazard Analysis will also be carried out. Seeking overseas markets Land for Industries Prime land in industrial parks beckons prospective investors

Valuable land plots with infrastructure facilities such as Industrial Park Plot size Number of Plots Interested investors should forward the applications with Water supply, electricity, Telecommunication facilities & available following details: Wide road network are available on Long Term Lease Nalanda Ellawala 80-160 perches 9 Plots basis in following Industrial Parks. Name, Address, Tel / Fax Numbers, Nature of Industry, Industrial Estate Desired Location of the Industrial Estate, Extent of the 2nd Stage Land required, Employment generation and other relevent (Kuruwita) information. Industrial Park Plot size Number of Plots available Nalanda 40 perches 6 Plots Director (Regional Industrial Development) Embilipitiya 40 - 78 perches 14 Plots Industrial Ministry of Industry & Commerce Industrial Estate Estate (Naula - 73/1, Galle Road, Colombo 03. Telephone : 011 2441490 Matale)-- Fax : 011 2423965 80 - 115 perches 16 Plots 120 - 147 perches 4 Plots 80 perches 2 Plots

160 - 195 perches 4 Plots 1 acre 1 Plot Bata-atha 2 acres 1 Plot Industrial Estate Nawagampura 10 - 40 perches 8 Plots (Ambalantota) Industrial Estate (Ampara) 2.5 acres 5 Plots Karandeniya 40 - 80 perches 9 Plots 80 perches 6 Plots Industrial Park (Gasmanhandiya) Puttalam 1 - 1.5 acres 7 Plots Industrial Estate 1 - 1.5 acres 3 Plots Lakshauyana 80-120 perches 16 Plots 2 acres 1 Plot Industrial Ulapane 1 acre 1 Plot Estate Stage II Industrial Estate (Polonnaruwa) 1.5 acres 12 Plots 20 perches 1 Plot

40 perches 1 Plot Valuable state land available for development

Email Karmantha-Vanija- Kirula: [email protected] Telephone: 011 243 6124 Fax: 011 244 9402 - KARMANTHA - VANIJA Ministry of Industry & Commerce 11 KIRULA Investing in post-war Sri Lanka Meetings with International Trade Delegations The US, Iraq, Korea and Iran meet to discuss investment and bilateral trade

The second Sri Lanka US Public Private Iraqi Minister of Trade Dr. Safa Al-Deen Park Young June, Vice Minister, Ministry of The 9th Joint Economy and Trade Partnership conference was held in Mohammed Abdul Hakeem Al-Safi, Knowledge and Economy, South Korea Cooperation Committee meeting Colombo recently. The conference aims headed the Iraqi delegation at the Seventh (covering energy, Industry, Commerce, IT between Iran and Sri Lanka, was held to promote closer linkages between the Session of Sri Lanka-Iraq Joint Committee and Post) made a courtesy call on Rishard from the 13th to the 15th of September. private sector business leaders of the for Economic and Technical Co-operation Bathiudeen, Minister of Industries and United States and Sri Lanka and to involve on October 21,2011. Commerce on 23 February. The Iranian Commerce Minister Mehdi their maximum participation in the post Ghazanfari led Iranian delegation. conflict development initiatives launched Minister June led a 30 member High In the meeting the two countries by the Government. powered delegation including South commerce ministers signed six MOUs Korean Governmental officials and and cooperation agreements in the The conference is a productive exercise business leaders to Sri Lanka during 22 – fields of customs, sisterhood between in harnessing emerging opportunities in 24 February 2011. Shahid Rajaei and Colombo ports and Sri Lanka to make it a dynamic economic acceptance of each other’s maritime hub,” Industry. certificates.

Kunming Fair gives Sri Lanka its due place Distinct slot for Sri Lanka and Special Invitation for Minister Bathiudeen Industry and Commerce Minister Rishad Bathiudeen has (Minister of Industry and Commerce) for the fourth South been officially handed over a ministerial level invitation to Asian Trade Fair to be held in June in Kunming, China. the forthcoming Kunming by the China Council for the The fourth South Asian Countries’ business forum Promotion of International Trade (CCPIT) Vice Chairperson and trade fair will be held from 5 June to 10th June at Huang Shah. Kunming. Kunming is a well-known transportation hub in Southwestern China, located within the Yunnan Province. According to well-informed sources, China the second largest supplier of goods to Sri Lanka will also allocate The Ministry of Commerce of China with the Yunnan a special area for Sri Lanka in the forthcoming Kunming Provincial Government has invited Minister Bathiudeen to International Trade Fair. take part in the exhibition from 6th to 10th June 2011 and the Business Forum held from 5th to 7th June 2011. The Fourth South Asian Countries Business Forum and Trade Fair will be held from June 5 to June 10 at Kunming which is Minister Bathiudeen, addressing the delegation revealed a well-known transportation hub in South Western China, that China is the second largest supplier of goods to Sri located in the Yunnan Province. Lanka. “Today China has become important market for Sri Lanka and under Asia-Pacific Trade Agreement; Sri Lankan Minister Rishad Bathiudeen went on to observe recently that China has become an important market for Sri Lanka. exporters have been able to enter into Chinese market “Under Asia Pacific Trade Agreement, Sri Lankan exporters China is the second largest supplier of goods to Sri Lanka. have been able to enter into the Chinese market. Our Our exports to China has shown a significant growth of 50 exports in China have shown a significant growth of 50 % in 2010 compared to 2009 having increased value of percent in 2010 compared to 2009 having increased the Sri Lanka’s exports from US $ 59 million 2009 to US $ 80 value of Sri Lanka’s exports from US $59 million in 2009 to Million in 2010” the Minister said. “In our export promotion US $ 80 million in 2010,” observed the erudite Minister . drive, it is very important for us to actively participate at International Trade Fairs. In this context, I greatly appreciate China is planning to provide favourable policies for custom Extending a friendly invitation Kunming Trade Fair Authorities for extending an invitation to clearance and inland transportation for exports coming Sri Lanka for the third consecutive year” he added. This year Sri Lanka expects to take over hundred Sri Lankan from Sri Lanka. It will also allocate a special area for Sri exporters for this prestigious event. “Sri Lanka has been Lanka in the forthcoming Kunming international trade fair Minister Bathiudeen assured: “My Ministry will extend its actively participating this fair and was able to shown very and will give 100 free booths for Sri Lanka at this fair, said positive results” Minister Bathiudeen said. Ms. Huang Shah, Vice Chairperson of China Council for the fullest cooperation and we will hopefully ensure this year Sri Lanka’s participation will be exceptional.” Promotion of International Trade (CCPIT), addressing Rishad Also present on the occasion were Ms. Xu Lei (Staff , China Bathiudeen, Minister of Industry and Commerce. The South Asian Countries Trade Fair (SACTF) is an annual Kunming Import and Export Fair Office), Mr. Yin Dong trade fair organized in parallel to the China Import and (Vice Chief of International Relations & Membership Affairs Minister Bathiudeen promptly assured: ‘Sri Lanka will have Division of China Council for the promotion of International exceptional participation at the forthcoming international fair.” Export Fair known as the Kunming Fair and it is exclusively limited to South Asian countries. A three day Business Trade, Yunnan Sub-Council) and Mr Bao Yaxiong (Vice Forum is also organized to coincide with the Trade Fair. Last Chief of International Exchange Division, Yunnan Foreign Ms Shah revealed the above on Tuesday March 22 on year Sri Lanka pavilion won the best country pavilion award Affairs Office) and Deshabandu Macky Hashim, Immediate the occasion of the official handing over of the Chinese at the SACTF. Past President of SAARC Chamber of Commerce and Ministerial level invitation to Minister Rishad Bathiudeen Industry. Email Karmantha-Vanija- Kirula: [email protected] Telephone: 011 243 6124 Fax: 011 244 9402 President Rajapaksa paves the way with budget speech for: The apparel industry to be a cut above Sri Lanka’s apparel industry will be launching an industry growth drive “Three textile processing zones will be established in order to industry growth in 2011 and an awareness campaign, to increase enhance the value addition in apparel exports. Special emphasis will apparel export incomes to US $five billion in 2015. “Sri Lanka’s apparel be paid to product diversification and to produce raw fabrics,other industry continues to manufacture world renowned quality apparels raw materials and accessories to feed the apparel industry, “states the for global brands. It has adhered to ethical practices and environment Sri Lanka,the Emerging Wonder of Asia policyframework.The industry standards. The industry has a huge potential to become a US $ has already positioned itself as an ethical manufacturer of apparel five billion industry. Towards this, further facilities will be arranged to among its local and international stakeholders. promote entrepot trade involving imports processing and re-exports as well as transshipment business in apparel clothing. Incentives have “As pioneers in ethical business practices, passionate advocates been given business to promote textile, apparel and leather product of Garments without Guilt, and home to the world’s first green related high value added activities. As such, machinery and equipment factories.it is obvious how committed we are towards our social and to manufacture textile, leather footwearand bags will be exempted ecological responsibilities.” said the Secretary General of Joint Apparel from import duties and VAT. Association Forum (JAAF), Mr. Tuli Cooray Mr. Cooray notes that Sri Lanka has always been among the most The government also plans to attract leading buyers to establish their progressive in the world, when it comes to ecological awareness headquarters in Sri Lanka fro management, finance, supply chain and and responsibility. With numerous programmes that include marine billing operations. I also propose to exempt foreign exchange earnings conservation and preservation, Sri Lanka has always stepped up for from such activities from income taxes. In order to promote these the environment it has been observed. activities the exchange control requirements and Custom procedures will be simplified,” said President Mahinda Rajapaksa in the budget The Sri Lankan apparel industry also offers three other major speech in November 2010. advantageous to international buyers. The first and foremost being the speed of delivery,based on Sri Lanka’s unique geographical location In addition, the government’s latest development policy framework, , the industry’s vertical integration and inter connectivity within the based on the Mahinda Chinthanaya from Department of National country. Planning of the Ministry of Finance and planning, titled ‘Sri Lanka, the Emerging Wonder Asia, has also earmarked the apparel industry for “From manufacturing to logistics, Sri Lanka Apparel has learned to cut growth. timelines, offering our clients the benefit of faster turnaround’ he said. The second strong point of the industry is its ability to supply world class The National development policy framework notes that the apparel products through the latest technologies and the capacity to innovate. and textile industry is a significant contributor to the Sri Lankan economy with the highest Nett foreign exchange earnings. In 2009, “With a strong focus on building up design capabilities, the latest export incomes from the sector accounted for 46% of total export technologies and the capacity to innovate, Sri Lanka Apparel has been incomes of the country at US$ 3.262 billion. offering client’s world class products for over a decades” Mr. Cooray added. The policy framework notes that the local apparel manufacturers must develop new products to overcome increasing competition in The third advantage offered by the apparel industry is Sri Lanka’s International markets and to remain competitive. favorable business policies and investor climate, he pointed out.

Styled for success Concept by: Jumar Preena ( Strategic Alliance PR (Pvt Ltd.)) Design & Layout by: Omar Amath (Today Creative (Pvt) Ltd.) Creative (Today Amath by: Omar Design & Layout Alliance PR (Pvt Ltd.)) ( Strategic Preena by: Jumar Concept