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Removed and reinstated by the President

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The Controversial Debenture Issue

More than a year had passed since my appointment as Chairman of the Employees’ Trust Fund Board. Many of the new initiatives were being implemented. G.M. Premachandra was now the Minister of Labour, and Mr Shyamon Jayasinghe was the Secretary. I received a directive from the Treasury to invest one and a half billion rupees in a particular debenture of a government institution dealing in housing. Since the interest offered was 3% less than the Treasury Bill rate at the time, the Board disapproved. Subsequently, many letters were exchanged with the Treasury and the Central Bank. The Central Bank determined that the lower rate was justified in the long term.

The Treasury maintained that it was a Cabinet decision and that I had no option but to comply. I countered that the Board would adhere to the cabinet’s investment decision. Still, I noted that the decision did not specify the interest rate. Letters were going up and down, but the Board was firm in its decision not to agree to a very low interest rate. The Minister got involved and asked me not to give any information to the Treasury without going through him.

The Treasury asked for details of all our investments, and I had to tell them that they should route any queries through the Minister. This made matters worse. Now, it was a full-blown battle. The debenture closed with no subscription at all. Who would invest at 3% less than the Treasury Bill rate?

I was out of Colombo when I received a call from the Secretary, stating that the President wanted my resignation with immediate effect. I came to Colombo and sent my letter of resignation the following day, along with another letter. In the second letter, I stated that I was unaware of what my fault was, and I listed various possible causes and my explanations for each of them. I sought the help of my uncle, Sam Wijesinha, a former Secretary General of Parliament, for the second letter.

The following morning around 6 am, I get a call from the Secretary to the President, Mr K H J Wijedasa, that the President had read carefully my second letter and realised that it was not my fault and therefore I should not seek another job but await the cooling down of the President whereupon he would authorise re-appointing me. The entire Board was summoned for a meeting that evening. I returned the car and asked my Secretary to quickly prepare some charts of progress made during my period.

President’s meeting with the Board

At first, the President showed his anger and reprimanded the Board indirectly for not subscribing to the controversial debenture and reminded the Board that if the Treasury did not ask for investments in Government bonds from time to time, the country would be in a precarious position. He reminded the Board that if the country’s financial requirements were not met, and we lost the country, the existence of the ETF would be of no consequence. This was during the war years, and the Treasury needed funds.

Thereafter, he pitched into me. I defended my actions. After all, I thought I had been removed and had nothing more to fear. I may have been a little aggressive because the Commissioner of Labour, G Weerakoon, seated next to me, whispered, “Aila says you should shut up and just listen to the President”. He was referring to Mr Ailapperuma, the Secretary of the Ministry of Highways, who was on our Board and seated two places away from me.

I took the cue and immediately fell silent, keeping my hands on my lap as a mark of respect. The President continued to find fault with me and even hinted at a parallel government, which I later learned was a reference to my Minister G.M. Premachandra, who was apparently in dispute with the President at the time. I have been caught in the middle of the conflict.

When the meeting was effectively over, I took the chance to show the President the progress charts showing what I had achieved in my short tenure. He studied them very carefully and said, “You have done so much good work, and then go on to do something unnecessary. Anyway, I want you to remain on the Board”, and inquired whether there was a vacancy, because my place had already been taken by H B Dissanayake, as acting Chairman.

The Secretary answered in the negative, and the President immediately directed that the Treasury representative should resign and I be appointed in his place. It was such a relief. Had I been removed for some financial impropriety, obviously, I would not have been asked to remain on the Board.

An assignment in Malaysia

Before this fiasco, I was invited by the International Cooperative Alliance (ICA) to undertake a study of Malaysia’s Consumer Cooperative Movement. The Ministry was dragging its feet in granting me leave for two weeks for the on-site fact-finding visit. Immediately after I was removed and notwithstanding the assurance that I would be re-appointed, I informed the ICA Regional Office in New Delhi that I was available immediately. I completed my fact-finding for two weeks and returned. I was glad to have completed this assignment, as the report was adjudged the finest on the Malaysian Consumer Cooperatives. In my hurry to travel to Malaysia, I had missed the fact that I would be landing there in the thick of the Chinese New Year. This delayed some of my interviews and the statistics I wanted, but it ultimately worked out well.

The Reappointment

When I returned from Malaysia, there was a letter from the President’s office to the Ministry authorising my re-appointment. However, there were many blocks in the path of my re-appointment. The Minister’s personal staff were dead against my return. They could not stomach it because I may not have treated them as they expected. They had even organised an ice cream party for all my staff the day I was removed.

The letter re-appointing me was ready, but the Minister was not signing it. I was checking regularly, and I was told that the letter was at the top of his tray, but he had not signed it. Apparently, the Minister had promised the post to several others and was now in a quandary. One day, I called him directly, and he claimed to have heard that I was migrating and was no longer interested in the post. When I informed him that I had no plans to relocate and that I wanted my position back, he invited me for a discussion at his ministerial residence. After a one-hour conversation, he agreed to sign the letter. A week passed, but there was no sign of the letter.

One day, I called the Secretary of the Ministry. I said that if I did not receive the letter that day, I would complain to Mr Paskaralingam, Secretary of Finance, and the most powerful person in the Government. Even ministers were afraid of him. Within one hour, the letter was delivered to my home. I thought I would return to the office the following day. I started receiving several calls from the staff asking me to come back to the office immediately.

Reluctantly, though, I asked for the car and went to the office that afternoon. I was shocked to see the entire staff lined up from the gate right up to my office like a cricketer receiving a guard of honour. I was embarrassed, but at the same time quite happy about the turn of events.

The aftermath – Playing cricket with the President

I will relate one incident as an aftermath. After my re-appointment, I was more relaxed, and one day I was playing cricket with my son at Independence Square. It was on the grass patch between the Independence Memorial and the Independence Arcade, which is now a shopping complex. My wife had dropped us off and gone on some errand. Suddenly, a motorcade with a security escort was seen opposite the clock tower building of the Arcade. It was the President himself with his security escort. The motorcade turned onto the road (now closed to traffic) opposite the Memorial building and stopped.

The President, as usual, was inspecting the D S Senanayake statue to check the arrangements for the ceremony the next day. Instead, the President made a beeline for both of us, and we respectfully stopped playing. He came up to me and said, “When I saw you playing cricket here, it reminded me of the days I played cricket here with my son, and so I want to play cricket now”. After asking how old my son was, he said “Putha go and bowl”, and took the bat to his hand.

He hit the ball hard, and it went all the way across the road near the Sports Ministry ground, and he shouted “Boundary”. He was enjoying himself. All the exercise enthusiasts who were walking or exercising stopped and looked stunned at the scene that was unfurling before their eyes. The President was playing cricket with a small boy. Finally, he introduced me to Weerasinghe Mallimarachchi, who had accompanied him. He said, “This is the Chairman of ETF, and he is doing an excellent job.” He gave a “pirith” book to my son and said he just received it from the Gangaramaya temple. This was just about two months after he removed me. I felt it was his way of saying, “Sorry, it was a mistake that I sacked you”.

Reflections

Soon after I resumed office, I called Prof Gunapala Nanayakkara, the Director of the Postgraduate Institute of Management at the time I studied for my MBA. He warned me not to be complacent. Don’t behave like a victor, be humble, he advised. He advised me to reflect on what happened and what I would do differently now. This was excellent advice. Perhaps, I was arrogant, and perhaps my communications were not effective.

It was true that, having been interviewed and appointed by the President, I did not accord the Minister the respect he deserved. Perhaps, I could have handled the Minister’s personal staff better. I learned valuable lessons that would benefit me throughout my career.

In a way, I was a victor, and so was the ETF. People began to respect the Fund better and understand that it was not to be used in a manner detrimental to the interests of its members. I was a victor because I protected the Fund, and if not, our members might have lost around half a per cent in interest for many years. I was proud of that achievement. Perhaps, it was my young spirit that enabled me to challenge the establishment. My father would always say, “Always do the right thing, so that you can hold your head high and walk on the streets without shame or guilt when you retire. People will admire you for that more than for the acquisition of any wealth”.

The next episode will continue to describe the reforms I continued to implement, the challenges I faced and the lessons I learned.

by Sunil G Wijesinha ✍️
(Consultant on Productivity and Japanese Management Techniques
Retired Chairman/Director of several Listed and Unlisted companies.
Awardee of the APO Regional Award for promoting Productivity in the Asia and Pacific Region
Recipient of the “Order of the Rising Sun, Gold and Silver Rays” from the Government of Japan.
He can be contacted through email at bizex.seminarsandconsulting@gmail.com)



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Features

Sri Lanka’s rice conundrum: Time to stop managing crises and start fixing the system

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Prof. Ranjith Senaratne,
Emeritus Professor in Crop Science and former Vice-Chancellor,
University of Ruhuna and General President of the Sri Lanka Association for the Advancement of Science (2023) and
Prof. Prasad Jayaweera,
Dean, Faculty of Computing, University of Sri Jayawardenapura

Rice is not merely another crop in Sri Lanka. It is our staple food, an integral part of our history and culture, and a foundation of the civilisation that flourished around our ancient hydraulic systems. Revered as Buddha Bhogaya, the Buddha’s crop, rice has sustained our people for more than two millennia. Yet, remarkably, a country with such a profound relationship with rice continues to lurch from one rice crisis to another.

At one time, we have a surplus. At another, we face shortages. Prices rise sharply, consumers complain, farmers struggle to obtain remunerative prices, millers and traders become the focus of public attention, imports are hurriedly arranged, and governments announce yet another set of measures to contain the crisis. Then, after the immediate problem subsides, the matter recedes from the national agenda, until the next crisis arrives.

Why does this keep happening despite decades of agricultural research, policy interventions, expert committees and public debate?

Perhaps because we have been asking the wrong question. The fundamental problem is not simply how to produce more rice. Nor is it merely a question of prices, imports, fertiliser, farmers, millers or markets. The rice conundrum is a complex national systems problem.

We cannot solve a system by fixing its parts in isolation

Sri Lanka’s rice sector is an intricate web of interconnected systems involving agriculture, land, water, climate, technology, finance, energy, transport, markets, trade, governance, institutions and consumer behaviour. A decision made in one part of this system can have consequences, sometimes unintended, in another.

A change in fertiliser policy, for example, can affect productivity and production costs, which in turn influence farmer profitability, market prices and the need for imports. Irrigation decisions affect not only production, but also water availability, energy use and environmental sustainability. Guaranteed prices influence farmers’ cropping decisions, while import policies can simultaneously protect consumers and weaken incentives for domestic production. Likewise, market concentration can affect both the price received by farmers and the price paid by consumers. This is precisely why isolated interventions so often produce disappointing results. We keep treating symptoms while leaving the underlying system largely untouched.

For decades, we have generated valuable scientific knowledge on individual aspects of rice production and marketing. But knowledge generated within disciplinary and institutional silos does not automatically translate into solutions to complex real-world problems. What is needed now is a fundamentally different way of thinking.

From a “rice crop” to a “rice system”

The first step is to stop looking at rice simply as something that is grown in a paddy field.

The rice system begins with land, water, seed, inputs, technology and finance. It extends through cultivation, harvesting, drying, milling, storage, transport, wholesale and retail marketing, and finally to the consumer’s table. At every stage, there are different interests, incentives, constraints and actors: farmers, farmer organisations, input suppliers, machinery operators, millers, traders, wholesalers, retailers, financial institutions, government agencies, researchers and consumers.

And hovering over the entire system are climate change, changing consumer preferences, technological transformation and national economic conditions. A weakness anywhere in this chain can compromise the performance of the whole system.

Consider post-harvest losses. If significant quantities of rice are lost because of inadequate drying, storage or processing facilities, increasing production alone cannot solve the problem. Similarly, if farmers produce efficiently but face weak markets and poor bargaining power, productivity gains may not translate into improved livelihoods.

The question, therefore, should not be “How much rice can we produce?” but “How can we make the entire rice system work better?”

That requires us to see the connections.

The missing ingredient: reliable, real-time information

There is another fundamental weakness that deserves urgent attention: we still lack a comprehensive, integrated, interoperable and reliable national information system for rice. Information is scattered among different institutions, often collected using different methodologies and not necessarily available when decisions need to be made.

How much rice will actually be produced? How much is in storage? What is the likely demand? Where are the emerging production shortfalls? What are the stocks held by different actors? How are prices moving along the value chain? What are the likely consequences of climate conditions? Without timely and reliable answers to such questions, policymakers are forced to make critical decisions with incomplete information. This is not merely an administrative inconvenience. It is a national food-security vulnerability.

Sri Lanka should therefore seriously consider establishing a National Rice Intelligence and Decision Support System (NRIDSS), an integrated digital platform that brings together relevant real-time information from agriculture, meteorology, irrigation, markets, trade, statistics and other institutions. Such a system could support production forecasting, market monitoring, import decisions, early warning and evidence-based policy formulation. In an increasingly uncertain climate and volatile global economy, this should no longer be regarded as a luxury. It is becoming an essential component of national food-system governance.

The deeper problems cannot be ignored

A systems approach would also force us to confront some uncomfortable structural realities. Why does productivity remain relatively low despite decades of research? Why are so many holdings too small to achieve economies of scale? Why are modern technologies and precision agriculture not being adopted more rapidly? Why do farmers often have limited bargaining power? Why do substantial losses occur after harvesting? Why can market power become concentrated in a relatively small number of actors? Why are guaranteed prices sometimes announced too late to influence farmers’ production decisions? Why are policy interventions so often reactive rather than proactive? And how will droughts, floods, temperature extremes, changing rainfall patterns and emerging pests affect the stability of rice production in the years ahead? These are not separate questions. They are parts of the same system.

From crisis management to systems governance

Sri Lanka does not need another isolated discussion about rice. What is needed is a national policy dialogue and action forum that brings all relevant actors together, not merely to exchange speeches, but to develop a shared understanding of the system and agree on what needs to be done. Such collaboration must go beyond consultation or the exchange of views. The different parties need to work together from problem definition through to implementation, bringing their diverse knowledge, perspectives, interests and practical experience into a common process.

Farmers bring contextual and experiential knowledge; industry actors understand market realities and operational constraints; scientists contribute evidence and analytical capabilities; policymakers bring institutional and regulatory perspectives; while technology and data specialists can provide new tools for understanding and managing the system. When these different perspectives are brought together systematically, they can reveal interdependencies, challenge assumptions, identify feasible interventions and generate solutions that are evidence-based, practically implementable and socially acceptable.

This is the essence of a transdisciplinary systems approach: not simply working across disciplines, but bringing together multiple stakeholders and multiple forms of knowledge to co-create solutions and share responsibility for outcomes. The process should therefore go beyond presentations and speeches. It should involve systems mapping, causal analysis, stakeholder dialogue, scenario planning and the participatory identification of the critical bottlenecks and leverage points in the rice system. Most importantly, it should distinguish between what is urgent and what is important, and between interventions that merely alleviate symptoms and those capable of changing the underlying behaviour of the system itself.

We need an implementation roadmap, not another report

There is, however, one important caveat. Sri Lanka has no shortage of reports, recommendations and policy documents. What we often lack is sustained implementation. Any national initiative on the rice conundrum must therefore end not with another set of broad recommendations but with a prioritised national action roadmap. It should identify short-, medium- and long-term actions, assign institutional responsibilities, establish timelines and define measurable indicators of progress. The ultimate objective should be to move Sri Lanka from reactive crisis management to proactive systems governance.

A national opportunity

The rice conundrum may, in fact, provide Sri Lanka with an opportunity that extends well beyond rice to deal with other important crops. If we can demonstrate that a complex national problem can be addressed by bringing together science, policy, stakeholder knowledge, real-time information and systems thinking, the approach could become a model for addressing other persistent challenges, from climate resilience and water security to energy, food systems and disaster risk.

The choice before us is therefore quite stark. We can continue responding to each rice crisis as it emerges, adjusting prices, arranging imports, appealing to millers, reassuring consumers and supporting farmers, only to repeat the cycle later. Or we can step back and ask a more fundamental question:

What is it about the way our rice system is structured and governed that continually produces these crises?

That is the question that needs to be answered. Sri Lanka has the scientific expertise, institutional capacity and stakeholder knowledge required to do so. What is needed now is the willingness to bring these fragmented sources of knowledge together and examine the rice sector as one interconnected system.

Our ancient civilisation understood the importance of interconnectedness: land, water, agriculture and society were organised as parts of a larger whole. Perhaps, in confronting the modern rice conundrum, we need to rediscover that systems wisdom, this time supported by modern science, technology, real-time data and transdisciplinary thinking. The time has come to stop merely managing the rice crisis. It is time to fix the system that keeps producing it.

It is against this backdrop that the Sri Lanka Association for the Advancement of Science (SLAAS) proposes to convene shortly a “National Policy Dialogue and Action Forum on the Rice Conundrum in Sri Lanka”, bringing together the key stakeholders across the rice system. The Forum is intended to provide a platform for moving beyond piecemeal and reactive interventions towards a coordinated, evidence-based and transdisciplinary systems approach, one capable of generating lasting and pragmatic solutions to what has become an “island-shaking national issue”.

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This curse of partisan politics in Sri Lanka

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78 Years of Demagoguery, Not Democracy

by Brigadier Ranjan de Silva
rpcdesilva@gmail.com

On the 4th of February every year, we raise the lion flag and speak of democracy. We speak of 78 years of “self-rule.” But honesty demands we ask: what kind of rule have we actually had? It was not democracy. Democracy is government for the common good, constrained by law, informed by reason, and accountable to truth.

What Sri Lanka has had for 78 years is demagoguery — government by manipulation, by party, and by passion.

Defining the Curse:

The dictionary defines demagoguery as “political activity that seeks support by appealing to the desires and prejudices of ordinary people rather than by rational argument.” Its tools are simple: divide the people, promise the impossible, demonize the opponent, and govern for the next election, not the next generation. That is the political culture we inherited in 1948 and perfected since.

78 Years of Evidence:

The record is not ambiguous. Policy by Pendulum – 1948–2024. Instead of a national development plan, we got a partisan wrecking ball. 1956: The “Sinhala Only Act” was passed not after linguistic study, but as an election mobilization tool. 1970-77: The SLFP nationalized private enterprise and imposed import controls. 1977: The UNP reversed course with an open economy overnight. 2005-2014: Mega infrastructure was built on Chinese loans with no feasibility transparency. 2015-2019: Those same projects were called “white elephants” and stalled. 2020-2021: The organic fertilizer ban was announced as a populist “green” policy, reversed 6 months later after it collapsed agriculture and food prices. The Colombo Port City, Hambantota Port, and the Central Expressway all followed the same pattern: started, stopped, rebranded. The country pays twice. The party takes credit once. Economics as Election Candy. Demagoguery is expensive. 1960s: Subsidized rice to win rural votes, leading to the 1971 food crisis.

2005-2014:

Fuel subsidies and public sector hiring sprees that doubled the wage bill. 2019:

Unfunded tax cuts that removed Rs. 500 billion in annual revenue with no offset. By April 2022, external debt hit $51 Billion and we defaulted for the first time. The party that cut taxes was not in power to manage the IMF program. The party that inherited it was blamed for the austerity. This is the cycle. Institutions captured. A democracy needs referees. We turned them into party cadres. The 17th Amendment 2001 created independent commissions. The 18th Amendment 2010 abolished them. The 19th 2015 restored them. The 20th 2020 gutted them again. Police transfers, university vice-chancellors, and state bank chairmen have all been decided by party headquarters, not merit.

When the institution serves the party, the citizen gets leftovers.

Identity over Ideas: From 1956 to 1983 to 2009 to 2022, our elections have been won on fear, not spreadsheets. “They will erase your language.” “They will sell the country.” “Only we can protect Buddhism/the minorities/the nation.”

Rational debate on debt, productivity, or climate adaptation never wins a rally. Prejudice does. That is demagoguery by definition.

Party Interest subverted the National Interest. The core damage of 78 years of partisan politics is this: the nation became secondary to the party. Need power sector reform? Impossible, because our unions will strike. Need to cut 300,000 ghost employees? Impossible, because our voters will defect. Need a 20-year education and export plan? Impossible, because it won’t show results before the next election. So, we borrowed. We patched. We lied. The result: a railway system that still runs on 1950s engines, hospitals without paracetamol in 2022, and a brain drain of 300,000+ skilled workers since the crisis. The parties rotated. The country declined.

The Opposition’s Original Sin and here, all parties share guilt equally. In opposition, the job is not to govern. It is to destroy. The UNP in the 60s called the SLFP “communist.” The SLFP in the 70s called the UNP “imperialist.” The JVP called both “traitors.” The SJB, SLPP, and NPP today use the same script with new logos. Every tax is “anti-people.” Every reform is “a sell-out.” Every crisis is proof the other side is evil and must be removed at any cost. Then they win. And implement 80% of what they opposed. Because demagoguery has no principles, only positions. 78 years of unmerciful, bad-faith criticism has not produced accountability. It has produced cynicism. The public now believes all politicians are the same — because for 78 years, they have behaved the same.

Breaking the Curse:

Changing the party in power will not end this. We must change the incentives that reward demagoguery. Three reforms are non-negotiable: Bind future Parliaments to national policy. Pass 10-year frameworks for energy, education, and public debt with 2/3 majority protection. Infrastructure and fiscal rules should outlast one government, as they do in Chile and New Zealand. Depoliticize the state. Independent commissions for police, elections, public service, and bribery must have constitutional budgets and appointment panels that exclude MPs. No more 18th/20th Amendment style rollbacks. Demand better from voters We must stop rewarding the best slogan and start demanding the best spreadsheet. Town halls over rallies. Costings over promises. A 5-year plan over a 5-minute speech.

In 1948, we did not inherit democracy. We inherited an election. For 78 years we have used that election to choose our favourite demagogue. The prize has been debt, division, and decay. The curse of partisan politics will only end when citizens and leaders agree on one principle: Party second. Country first. Until then, February 4th will remain a ceremony, not a celebration.

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Developing markets for fruits, vegetables and flowers in the Gulf

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Image courtesy Export Development Board)

Export diversification – Missing the wood for the trees – Part II

by Gomi Senadhira

Sri Lanka established its diplomatic presence in the Gulf region only in the early 1980s. First, a small embassy was opened in Abu Dhabi, covering the UAE. Then in 1982, embassies were opened in Jeddah and Kuwait. The embassy in Jeddah covered Saudi Arabia while Kuwait was responsible for Kuwait, Oman, Qatar and Bahrain. Commercial Diplomats were also assigned to these two embassies. A senior private sector executive, with experience in marketing, was posted to Jedda as the commercial counsellor. I was posted to Kuwait as a second secretary (Commercial). Our instructions were very clear. Focus not only on traditional exports. Product diversification was a priority.

Developing Markets for Agricultural Products

At that time, Minister Lalith Athulathmudali had just launched his Export Production Villages (EPV) programme. He believed that the EPVs working closely with the exporters would provide an ideal opportunity for rural households to directly benefit from the government’s new open trade policy. Agricultural products, particularly fruits and vegetables, were a key component of this approach and the ministry thought that the Gulf countries, with large Sri Lankan communities, would have a ready-made market for these items. Thus, from day one we were compelled to explore the market for nontraditional exports; fruits and vegetables (F&Vs) were on the top of our priority list.

From cane baskets to cardboard boxes

Fortunately, the market for the F&Vs products in the region was at a very early stage of development. That provided an opportunity for Sri Lankan exporters, who were also inexperienced, to work with the importers and grow together. For example, in Kuwait, one of our first customers for F&Vs was a small supermarket where the manager was a Sri Lankan. After the first shipment arrived, he invited me to inspect the shipment. I visited the supermarket and was shocked by what I saw. While produce from other countries was packed nicely in cardboard boxes, our packaging mirrored transport to Manning market, cane baskets! As a result, fresh produce had suffered significant damage. A long report, with photographs, to the trade ministry produced an immediate response. After all, this was a pet project of the Minister. Within weeks, shipments were packed in cardboard boxes. Immediately afterwards, an expert on packaging from the Commonwealth Secretariat was sent to Kuwait with an official from the EDB to study the problem.

By then, we had also managed to develop a friendship with the management of the Salmiya supermarket, a large upmarket supermarket patronised by wealthy Kuwaitis and expats. It was a cooperative and the chairman was a Kuwaiti public servant. I could only meet him after 6 PM when his large office functioned as a diwaniya, a cherished cultural space in Kuwaiti society. Guests moved in and out the room. I had to spend time with them sipping many cups of tea. Though that meant at least two hours on each visit, it helped greatly to develop a close relationship. The general manager was an efficient and friendly Palestinian. After many visits we had succeeded in getting an order for F&Vs. The day after the first shipment arrived, I got an urgent call from the GM to come and inspect it. Once again, I was in for a surprise. Inside the cold room, the consignments from other countries were stacked neatly on top of each other, while vegetable boxes from Sri Lanka had collapsed once placed on top of each other, crushing the produce within.

Fortunately, our packaging experts arrived in Kuwait soon after this incident. They spent two days in the Salmiya Supermarket, studying the packaging from other origins. We were also successful in assuring the GM our packaging would improve. After that, packaging improved and exports moved smoothly. With that, Sri Lanka emerged as a small but reliable supplier to the mainstream market, not just the ethnic segment of the market.

Export of Fresh Vegetables by Sea

Towards the end of my tour, a Sri Lankan businessman requested me to find a buyer for cabbages, which he was prepared to export in large quantities by sea. I introduced him to the largest fruit and vegetable importer in Kuwait. Their regular suppliers of similar vegetables were Jordan, Lebanon and Syria. Luckily, the company was keen to diversify the supply sources. A few weeks later, the first container load of cabbages from Sri Lanka arrived in Kuwait. Immediately after the arrival of the container, I visited the company. They were pleased with the quality and the price and were looking forward to importing more fruits and vegetables. Unfortunately, that turned out to be a one-off event. Later on, when I was back in Sri Lanka, the exporter informed me that he couldn’t continue with it due to the problems with the local supply chains.

Floriculture

During the period I was asked by the EDB to explore the market for floricultural products, more particularly for cut flowers. At that time Kuwait was a relatively large importer of cut flowers and live plants. The main suppliers were the Netherlands and Colombia. Importers were also reluctant to move out of the established supply chain, particularly due to “snob value” associated with the product from Europe. However, after some difficulties, one importer agreed to place a pre-paid trial order. After the arrival of that shipment, he was impressed by the quality of the product and the orders expanded rapidly. As a result, by the end of 1985 Kuwait had become a major buyer of Sri Lanka’s floricultural products.

From village to global markets

As a result of the proactive promotional work undertaken by the EDB and the embassies in the region, by 1985, Sri Lanka had managed to acquire a small but significant share of the F&V and floriculture markets in the GCC countries. We had also identified domestic supply chain issues that hindered exports. All that was done, long before Southeast Asian or African countries even entered into that market. In fact, my Southeast Asian colleagues used to contact me often to reserve “durian” for them at the “Sri Lankan supermarket”.

Most importantly, a substantially large share of produce from Sri Lanka in Kuwaiti supermarkets originated in the EPVs. Of course, that didn’t just happen. The ministry (or the minister) using the carrot and stick approach “encouraged” exporters to buy the produce directly from the newly established EPVs. (The writer can be reached at senadhiragomi@gmail.com)

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