$ 1.2 b agreement to be signed with Trans Asia Star Refinery

by Lalin Fernandopulle

[email protected]

The agreement to set up the US$ 1.2 billion oil refinery at Hambantota will be signed with Trans Asia Star Refinery, a leading oil company in Dubai next month, said Investment Promotion and Export Development Minister Dr. Sarath Amunugama.

He was addressing the IMEXPRO 2008, Import Export Promotion Fair at the BMICH organised by the Ceylon Chamber of Commerce (CCC).

The Minister said with the oil exploration to be carried out and the refineries to be set up shortly, the country's expenditure on fuel will be less and industries will benefit.

"The focus now should be on getting the GSP Plus concessions renewed and make maximum use of the privileges granted to exporters by the European Union. Sri Lanka is the only country in Asia that enjoys so many benefits to export to the EU region", Dr. Amunugama said.

The GSP Plus scheme which granted zero duty concessions to Sri Lankan exporters for three years will end this year.

The country attracted business for the garment industry through the scheme and made up for the loss due to the quota system imposed by the US.The government with private sector stakeholders is making a concerted effort to get the GSP Plus scheme renewed.

The Minister said all industries should emulate the tea industry which reached a milestone by achieving the US$ one billion mark recently.Our industries have the potential to compete better and capture new markets than most exporters in the region.

"Foreign agencies should be treated with a bit more respect and criticisms against institutions should be fair. Excessive criticism could have a negative impact on the country", he said.

The IMEXPRO fair was held to assist the local and overseas business community to source suitable business partners and showcase products and services.