Business

Improving Sri Lanka’s market access to the US – growing beyond traditional products

Published

2 years ago

2021/04/19

The National Chamber of Exporters of Sri Lanka (NCE) is partnering with the Sri Lanka Embassy in Washington D.C. (SLEMB/DC) to better inform Sri Lankan exporters regards the evolving trends in the US market and strategies that could help navigate challenges and overcoming bottlenecks.

At a webinar held recently, over 40 Sri Lankan registered exporters, engaged with 10 selected business entrepreneurs identified by SLEMB/DC, following its State level interactions of the recently constituted Overseas Sri Lankans (OSL) Network. The event was also live streamed through social media of the Chamber, making the discussion accessible to a broader base of those interested in exporting to the USA. Moving forward, it was agreed to conduct sector specific dialogues, where the Sri Lankan exporters will be provided with the opportunity to engage in discussion with the business community of the particular sector, in order to foster mutually beneficial trading relationships. Further a separate event is proposed as a dialogue to enhancing long term trade related relationships such as partnerships, Franchise and Investment opportunities between the two countries.

Inaugurating the session, Sri Lanka’s Ambassador to the USA Ravinatha Aryasinha said, while increasing the value of apparel exports to the US, a concerted effort is presently being made to diversify the export product basket to US. He noted that while the USA has remained the largest single buyer of Sri Lanka’s exports since 1979 and in 2019 had a share of 26.3% of all exports, the products basket to the US had seen very little diversification. Apparel has been the dominant export item accounting for 74.5% of the total value, and did not benefit from GSP facility. The rest which enjoyed GSP, were mainly rubber based products which accounted for 7%, and the other products included tea, iron and steel articles, activated carbon, precious and semi-precious stones and sea food. The Embassy was reaching out to the OSL community in the US and to Americans who are interested in doing business with Sri Lanka and helping them in identifying the products which they could import from Sri Lanka to the US. The increased production of some of these products, could also encourage greater US investment in to Sri Lanka.

In the discussion that followed led by Chairman of the NEC Shiham Marikkar, focused on obstacles faced by importers when importing from Sri Lanka including quality assurance, pricing, promotion and communication and shipping and logistics. The need for adaptation to the largely e-commerce marketing strategies to increase exports. SLEMB/DC Minister (Commercial) Sumedha Ponnamperuma shared insights on the introduction of the US market, import system and current trends.

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Business

National Trade Facilitation Committee Secretariat to be established

Published

6 hours ago

2023/06/9

Priyan

The NTFC review meeting in progress

In an effort to accelerate trade facilitation commitments and bolster the business landscape in Sri Lanka, a high-level review of the National Trade Facilitation Committee (NTFC) was conducted at the Presidential Secretariat on Wednesday (7).

The review focused on assessing the progress of trade facilitation commitments and scrutinizing the performance of the NTFC Secretariat. The private sector also voiced their views on expediting actions to ensure the completion of measures ahead of the projected timeline of 2025-2030.

In order to streamline compliance and optimize performance, several directives were issued during the meeting. Firstly, it was decided to establish the NTFC Secretariat under the supervision of the Ministry of Finance. Secondly, immediate measures to be taken to address the staffing requirements of the Secretariat and lastly, the budget allocated for the NTFC Secretariat in 2023, currently under the Department of Customs, was to be transferred to the Ministry of Finance to prioritize pending actions such as the development of the NTFC website and progress reporting system.

During the meeting, deliberations took place concerning the proposed National Single Window, a system aimed at simplifying and expediting trade processes. The participants agreed to expedite the submission of the proposal in a sequential manner to ensure its swift implementation.

Business

PM discusses ADB future projects in Sri Lanka with ADB DG and new Country Director

Published

8 hours ago

2023/06/9

Priyan

Asian Development Bank’s (ADB) Director General for South Asia Kenichi Yokoyama and newly appointed Country Director Takafumi Kadono held discussions with Prime Minister Dinesh Gunawardena on Thursday (June 8) at the Temple Trees in Colombo.

The Prime Minister, while welcoming the new Director General thanked the outgoing DG, Chen Chen for the support extended to Sri Lanka during the height of Covid pandemic and the economic crisis. He thanked the ADB for extending short term, immediate contingency support which has helped Sri Lankan economy to recover from the unprecedented crisis within a short period of time. ADB loan funds amounting to USD 380 mn were targeted for enhancing fiscal space and efficient public financial management system as well as strengthening the SME sector with access to finance. Further USD 250 mn was obtained as budgetary support to develop Capital Market.

The Prime Minister made a special mention about ADB’s US$ 333 million emergency assistance to support import of essential items such as fertilizer, medicines and chemicals for water treatment, working capital support to SMEs, and cash transfer to most poor and vulnerable to mitigate the impact of economic crisis.

ADB Director General for South Asia Keinichi Yokohoma, praised the recovery made by Sri Lankan economy and briefed the Prime Minister about the ADB’s mid-term and long-term projects for economic progress and infrastructure development.

Business

ADB provides Sri Lanka access to concessional financing to facilitate sustained and inclusive recovery

Published

13 hours ago

2023/06/9

Thilina Walpola

Kenichi Yokoyama, Director General of ADB's South Asia Department

Low interest -rate financing broadens country’s options to bridge urgent development financing needs

ADB support now comes in concessional and market-based financing, technical assistance, policy advice, and knowledge solutions

The Asian Development Bank (ADB) has approved the eligibility of Sri Lanka to access concessional financing. The availability of concessional assistance, offered at low interest rates, broadens Sri Lanka’s options to bridge its urgent development financing needs to restore economic stability and deliver essential services, particularly to the poor and vulnerable.

Eligibility for concessional resources among the developing member countries of ADB is based on gross national income per capita and creditworthiness. ADB’s decision was considered based on a request from the Government of Sri Lanka in view of the severe and unprecedented economic crisis that has reversed hard-won development gains.

“ADB is committed to further enhancing its support for the people of Sri Lanka as the country responds to this deep crisis that has severely undermined their livelihoods and well-being,” said ADB Director General for South Asia Kenichi Yokoyama. “The availability of concessional assistance will help Sri Lanka to lay the foundation for economic recovery and sustained, inclusive growth.”

Sri Lanka is now eligible for ADB support including concessional and market-based financing, technical assistance, policy advice, and knowledge solutions that together comprise a comprehensive suite of options to address the crisis. Access to concessional financing will also ease debt servicing pressures through more favorable lending terms.

ADB is committed to achieving a prosperous, inclusive, resilient, and sustainable Asia and the Pacific, while sustaining its efforts to eradicate extreme poverty. Established in 1966, it is owned by 68 members—49 from the region.