Features
13th Amendment and Tamil polity: A pragmatic approach
By Dr Nirmala Chandrahasan
There is much speculation in the Tamil political circles as to the usefulness or otherwise of the 13th Amendment to the Constitution and whether the Provincial Council system set up under its aegis gives a measure of power sharing or devolution of powers to the Tamil speaking provinces, or whether it is an ineffective institution which blocks out any greater devolution under the exercise of internal self- determination. This debate has been sparked by the decision of Tamil speaking parties including the TNA, to send a letter to the Prime Minister of India Narendra Modi, requesting him to use his good offices to induce the Government of Sri Lanka to implement the 13th Amendment fully, in the context that the 13th Amendment arose out of the provisions of the Indo -Sri Lanka Peace Accord of July 1987, to which treaty India and Sir Lanka are signatories. The letter was duly signed by six Tamil party leaders and handed over to the Indian High Commissioner, triggering some protests by those opposing the 13th Amendment. This debate takes on even greater urgency in the context of the impending new constitutional proposals of the Experts Committee appointed by the Gotabaya Government to be tabled in Parliament shortly.
In order to determine which is the better view we have to take a look at the provisions of the 13th Amendment and the workings of the Provincial Councils set up under them, which have been in operation from 1988 onwards in most parts of the Country. Although the PCs as originally envisaged were intended to be set up for the amalgamated Northern and Eastern provinces, to give expression to the long standing demand of the Tamil speaking people since independence, for devolution and power sharing within a Federal framework, it was extended to the Sinhala majority provinces as well although there had been no demand for them in these provinces. The first Provincial Council elections were held in April 1988 for the North Central, North Western, Sabragamuwa and Uva Provinces, and subsequently for the other provinces. In September 1988 the Northern and Eastern provinces were made one administrative unit in accordance with the provisions of the Indo -Sri Lanka Treaty, and in November 1988 elections were held for the North East Provincial Council. In 1990 the PC was dissolved. Thereafter the North East Province was directly administered by the Central government. During the civil war it was not possible to hold PC elections In the northern and eastern parts of the Country. In 2006 pursuant to a Court decision the two provinces were separated. It was only in May 2008 that the Eastern province, Provincial Council election was held. Subsequently after the termination of the war in the north, the Northern Province, Provincial Council election was held on 21st September 2013. We can see that this institution has been operating over a long period of time but during this long period certain sections of the 13th Amendment dealing with the powers conferred on the Provincial Councils, set out in the 3 Appendixes to the 9th Schedule of List 1 Provincial Council List, are yet to be activated and are in abeyance. These Appendixes deal with the following subjects; Appendix 1, law and order which has to do mainly with Police powers and institution of a Provincial Division of the Police Force alongside the National Division of the Force. Appendix 11 Land and land settlement, and Appendix 111 Education.
Apart from the above, the Provincial Council exercises powers in respect of the subjects assigned to it, over which it has both legislative and executive powers. The subjects assigned to the Province and set out in the provincial List, List 1 include inter alia Provincial housing and construction, agriculture and agrarian services, rural development,health, land, Irrigation, roads bridges and ferries within the province, planning, and plan implementation of provincial economic plans, educational services, and supervision and administration of local government authorities. The list even includes ancient and historical monuments other than those declared to be of national importance. I mention this in the context of the Archaeological explorations being made in the northern and eastern provinces by the recently appointed task force on archeology without any representation from the Tamil and Muslim communities. There is also a concurrent list, List 111, over which both the Provincial Council and the Centre can exercise powers, these include planning and appraisal of plan implementation strategies at the provincial level, education and educational services, higher education, agriculture and agrarian services, health, irrigation, tourism, etc. In these areas there can be overlapping powers and hence disputes arise. The Provincial Council can pass statutes and exercise executive powers in respect of the subjects set out in the Provincial and Concurrent lists. These powers are largely based on the powers conferred on the States in the Indian constitution part VI. The States in India are running efficiently and providing the people with the services that they need. Tamil Nadu for example is recognised as having a very efficient administration presently under the Chief Minister M. K Stalin. The question is why the Provincial Council system in Sri Lanka is generally regarded a white elephant and as not effective in providing services to the people. For this we must examine the road blocks in the system and make the necessary adjustments, rather than just dismantling the entire system, and throwing the baby away with the bath water so to speak.
An appraisal of the workings shows that most of the stumbling blocks to the smooth functioning of the Provincial Councils are as a result of the provisions of the Provincial Councils Act no 42 of 1987, which was passed alongside the 13th Amendment. Under this Act the Governor is given powers over the finances of the PCs and is given control of the Provincial Public service as well as the Provincial Public Service commission. The 13th Amendment provides that the executive power of the Provincial Council is vested in the Governor and he acts through the Board of ministers or through members of the provincial public service. The Chief Minister and the Board of Ministers aid and advise the Governor in the exercise of his functions and the Governor Shall act in accordance with the advice except where he is required under the Constitution to exercise his discretion. In the Indian Constitution similarly in respect of the States ,the executive power is vested in the Governor but as in the Westminster scheme of governance the Governor acts on the advice of the Chief Ministers and is a nominal head. On the other hand, in Sri Lanka we find many instances of Governors exercising these powers like executive heads and not as nominal heads, particularly in the Tamil majority provinces and not so much in the Sinhalese majority provinces. The Governors stranglehold over the functioning of the PCs is most clearly demonstrated in his power over the finances of the province. To run the PCs money is required and this is where the Councils have been most hamstrung as the Provincial Councils Act gives the Governor controlling power over the finances of the Province. The custody of the Provincial Fund is with the Governor. The PC cannot pass any statute imposing or abolishing taxes without the consent of the Governor. More over the constitutional framework severely limits the revenue raising capacity of the PCS, as pointed out in the Report of the Parliamentary subcommittee on Centre- Periphery relations of November 2016. Hence the PCs have to depend largely on Central grants for their funds.
Another area which needs to be redesigned is the Administrative system. To run the Provincial Councils effectively the Council requires control not only over its funds but also an effective administrative system and defined areas of competence. At present the District Secretary and the Divisional Secretary as well as the Grama Niladaris come under the Central Government These officers perform administrative functions within the territory of the province but without any control from the provincial administration. Also, although the Local Authorities are under the supervisory control of the Provincial Councils as per the devolved List, most of the power at the local level remains with the Central Government.
For efficient administration of the province there has to be defined areas of competence. But in effect, the Centre has been encroaching on the areas assigned to the provincial administration. The reserved List of the Centre List 11, starts with the Rubric” National policy on all subjects”. This has enabled the Centre to take over subjects which it designates as National. To remedy this, what is National policy or National standards should be laid down through a participatory process with the involvement of the Provinces culminating in framework legislation passed by Parliament to which both Centre and Provinces should adhere. This has been proposed in the Report of the Experts Committee on the Constitution,2006. Another matter which has to be amended is the Concurrent list. Here too it has been recommended that the List be eliminated and the relevant subjects be divided between the Centre and the Province, so that they each have defined areas.
In an article of this nature, it is not possible to do a more in-depth study but I have outlined what are the important issues to be addressed if the Provincial Councils are to provide meaningful Devolution. Some of the areas which need amendment are as follows. The Governor’s role has so far tended to be an obstruction to the functioning of the PCs. The Governor should continue as a nominal head and leave the running of PC to the elected representatives. This is also a recommendation of the Parliamentary subcommittee in its 2016 report.
Hence the Governor’s powers have to be pruned and the Provincial Councils Act suitably amended. The revenue raising capacity of the PCs must be enhanced. It is suggested that they be given the power to obtain loans from foreign sources or at least have the power to administer projects financed by foreign aid. Another important issue is to put in place an administrative structure that can carry out the functions of the Provincial Council in services delivery to the people and for this the administration has to be redesigned so as to bring the District Secretary , the Divisional Secretary and the Grama Niladaris, under the Provincial administration while they still carry out agency services for the Centre. Furthermore, although local Authorities are under the Authority of the PC, as per the devolved List, this provision is being undermined by the Centre using the Urban Development Authority (UDA), Mahaweli Authority and other Central bodies operating within the Province. Hence it must be mandated that such bodies operate within the Province only with the consent and in conjunction with the Provincial and Local Government Authorities. As for the powers in respect of Law and Order and Police powers contained in Appendix 1 of List 1 the 9th schedule , they could be transferred to those PCs which request them as for example in the case of the Northern Ireland Assembly in the UK , where these powers were initially with the Centre, but there was a provision that allowed them to be released on request. In 2010 they were transferred to the Assembly under the Hillsborough Agreement. Until such time as Appendix 1, comes to be activated other provisions can be put in place, such as a policy of recruiting a percentage of the Police cadre stationed in the northern and eastern provinces from these provinces and mandate that they have an O level pass in the Tamil language so that they could operate efficiently in the Tamil speaking areas. I would suggest some similar provision in respect of some areas in the Central provinces so that the upcountry Malayaha Tamils, are also benefited. It is submitted that the Appendix 11 on land be fully implemented as it is essential for the land security of these provinces that the utilization of state land as well as alienation of such land under Presidential order be done in consultation with, or advise of the Provincial Council. The provision in Appendix 11 on the constitution of a National Land Commission with members being appointed from all 3 communities should be carried out forthwith.
I would suggest that the Tamil parties take up the proposed reforms with the Government of Sri Lanka in a negotiated process. As the Government of India was the other party to the Indo Sri Lanka Treaty, India can legitimately demand that the obligations undertaken in the treaty be carried out and the provisions of 13 A be implemented fully so that meaningful devolution is assured to the Tamil speaking people whom the Treaty specifically denotes as the historical inhabitants of the northern and eastern provinces of Sri Lanka. In line with the UNHCR resolution the Sri Lankan Government should also hold the Provincial Council elections so that these institutions can be functioning and not in abeyance as they have been for some years. The Provincial Councils in the South will also benefit from the reforms proposed as it will provide the citizens of the entire Country a stream lined system which is a service provider to the people. I note that the President in his Budget speech has advised the Tamil parties to look to their peoples’ needs and concentrate on economic development of their areas. This can best be done when there is true democracy and the people are taken into the process of consultation as to the strategies for economic development and this is best done at the local level through the Provincial Councils, and local Government Authorities, rather than through bureaucrats sitting in Colombo who have no knowledge of the local conditions or the needs of the people. In my view the Province remains the best unit of devolution at present to serve the needs of the Tamil speaking people. It gives them some measure of autonomy in their traditional areas of inhabitancy. Similarly, in the United Kingdom which is a Unitary State, Scotland, Wales and Northern Ireland which are ethnically distinct have their own Legislative Assemblies, in the case of Scotland it is called a Parliament, and exercise similar powers to those set out in the 13th Amendment.
I would like to point out that all the major changes suggested in this article respecting the Governors powers, Financing of the Provincial Councils and the Re-designing of the Administrative system in the Provinces have been recommended in the following Reports: Report of the Experts Committee advising the APRC on Constitutional matters and resolution of the National Question 2006, the Report of the APRC( All party Representative Committee) on a new Home grown Constitution 2010, Report of the Parliamentary sub- committee on Centre -Periphery relations 2016 , presented to the Steering Committee of the Constitutional Assembly which was engaged in producing a new Constitution during the tenure of the previous government. In the circumstances the proposed new Constitution could incorporate these features and there is no need to reinvent the wheel. I would submit that the Provincial Council system can be an efficient and successful system if all the short comings referred to above are eliminated and the necessary amendments made. These changes will not require any major constitutional procedures, and can be accomplished by legislation in Parliament with a simple majority, and the administrative changes by Presidential gazette notification under the provisions of the 13th Amendment itself.
*The writer was a member of the Experts Committee 2006, and a signatory to the Majority Report of this Committee.
Features
Sri Lanka’s rice conundrum: Time to stop managing crises and start fixing the system
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”.
Features
This curse of partisan politics in Sri Lanka
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.
Features
Developing markets for fruits, vegetables and flowers in the Gulf
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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