Focus on Lanka's export performance in Delhi

The policy of the government of Sri Lanka with regard to exports highlights the need not only to increase the volume of foreign exchange earnings but also to ensure equitable economic development by ensuring that the income from enhanced exports reaches the grassroots, said Prof. G. L. Peiris, Minister of Export Development and International Trade, in his address at the Partnership Summit organised by the Confederation of Indian Industry in Gurgaon, India last week.

He was speaking as a principal panellist on the subject of inclusive growth in the context of trade negotiations. Minister Peiris gave a detailed account of the steps taken by the government of Sri Lanka to develop the system of export promotion villages as an instrument for achieving rural prosperity.

The products identified for each export promotion village depend on geographical factors and the expertise available in each region. The basis of the system, the Minister pointed out, is a partnership between the producers and the private sector.

He described it as an outsourcing system, in terms of which leading export companies, in a direct relationship with the producers, make seed material and advice available and buy back the product at an agreed sum. This eliminates the unconscionable profits made by a series of middlemen and ensures that the farmers reap the full benefit of their work.

Prof. Peiris referred to value addition, with its accompanying potential for employment generation, as the crucial component of Sri Lanka's export promotion strategy.

He offered the participants a description of the initiatives made available by the government of Sri Lanka for investment in the less developed areas of the country - a policy complemented by practical action in such areas as skills and infrastructure development and poverty alleviation.

One of the co-panellists joining Prof. Peiris was Kamal Nath, India's Minister of Commerce and Industry.

Dr. Sarath Amunugama, Minister of Enterprise Development and Investment Promotion, and Prof. Peiris led the Sri Lanka delegation which included Mahen Dayananda, Chairman of the Ceylon Chamber of Commerce and Prema Cooray, Secretary General and CEO of the Chamber.