Sri Lanka should focus on entering more Free Trade Agreements (FTA) and those should be negotiated in favour of the country, said Chairman, Exporters’ Association of Sri Lanka (EASL) Ranil Goonetilleke.
Through more FTA’s Sri Lanka should be able to grow exports, he said at a joint press briefing organized by National Chamber of Exporters of Sri Lanka (NCE) along with several other export related chambers at Galadari Colombo on Tuesday.
Goonetilleke stated that small and medium entrepreneurs are getting lack of support from the government.
“Since they don’t have much access to knowledge, technology and equipment, there must be a mechanism to support these people.”
President of the National Chamber of Exporters Sri Lanka, Jayantha Karunaratne emphasized the urgent need for effective policy making to counteract the stagnation of merchandise exports and propel sustainable economic growth.
The stagnation in merchandise exports, despite the occasional increase in merchandise exports in certain months, underscored the significance of collaborative efforts between the government and the private sector to navigate these challenges effectively.
Karunaratne also highlighted the need to address the outdated laws and regulations that hinder Sri Lanka’s competitiveness in the global market. Their antiquated provisions not only impede business but also deter potential investors and hinder the growth of startups.
“To remedy this situation, he advocated for a comprehensive overhaul of existing laws and regulations to align them with current industry practices and global standards.”
Secretary General of the Joint Apparel Association Forum Sri Lanka (JAAFSL), Yohan Lawrence stated the impact of the changing exchange rates for their competitiveness in the international markets. Also he pointed out that higher pricing of the electricity has made Sri Lanka an noncompetitive place for manufacturing.
Chairman Tea Exporters Association, Ganesh Deivanayagam talked about the issues arising with the imposition of the value added tax (VAT) on tea as a commodity.
Also he mentioned about the refund mechanism which is currently failing. Sri Lanka Shippers Council Chairman, Sean Van Dort emphasized the importance of fully digitalization in port and airport services. He also
mentioned brand protection, which impacts immensely in international trade.
Sri Lanka Association of Manufacturers and Exporters of the Rubber Products, Chairman Pushpika Janadheera said industry needs more natural rubber and high costs of electricity and water makes Sri Lanka less production compared with nations like Vietnam, Thailand and Indonesia.
He also identified not having lands and proper institutes to certify the standards of rubber products manufactured locally are also burning issues.
Sri Lanka Association of Software and Service Companies, Chairperson Jehan Perinpanayagam said that the government expects USD 5 billion dollars by export revenue earnings by 2030. The IT field has immense potential to achieve that target.
“For that we need to step up our country branding. Also he emphasized retaining the local talent in the country, labour mobility and fast tracking of enacting new labour law.”
Thushan Jayasuriya