[Development]

Participation of over 1,200 overseas buyers at Expo 2012:

Opportunity to display Lanka’s potential

By Shirajiv SIRIMANE

President Mahinda Rajapaksa opens a stall

Some of the stalls at Expo 2012

“Moving in tandem with the rise of Asia as the new economic hub of the world, Sri Lanka is now ready to be re-positioned as a strategically important economic centre in this continent of growth”, said President Mahinda Rajapaksa at the opening of the four-day Expo 2012 which concludes today in Colombo.

“This is why foreign direct investment in Sri Lanka has more than doubled in the past year. This is why the statistics of net inflows to the Colombo Stock Exchange so far this year are most encouraging just as much as the inflows of investment in commercial banks.

This is why foreign investors are ready to place their trust in Sri Lanka’s Development bonds and also the reason for the many new Initial Public Offerings in the Colombo Stock Exchange,” he said.

“It is our conducive business environment coupled with a good image abroad and the rapidly increasing tourist arrivals, in itself a barometer of confidence, that have brought international hotel chains such as Shangri-la, Sun City and Sheraton to invest in Sri Lanka while other investments in a diverse portfolio of opportunity are in the pipeline. We are a new hub of opportunity in a vast field of business,” he told Expo 2012.

The President urged foreign business leaders who were present on the occasion to make the most careful study of the progress Sri Lanka was making and earn the best profits by investing in the island.

“Discover the challenges of opportunity in a land liberated from terror and participate in the progress of Sri Lanka,” President Rajapaksa added.

“The magnitude and range of exhibits at this memorable event make it very clear that Sri Lanka is now fully open for business,” he said.

Recalling Sri Lanka’s past, he said Sri Lanka had suffered the worst brutalities of terrorism. “It is the period when business turned away from Sri Lanka because of the forces of terror that had some support from certain countries,” he said.

Midst of peace

“Sri Lanka will not allow forces of separatism and terror to raise their ugly heads again. Sri Lanka is in the midst of peace, won at great sacrifice. We are progressing on the path of peace and reconciliation.

Our government is committed to walk that extra mile to establish permanent peace through reconciliation.”

Even before President Rajapaksa had made these remarks, the world’s top business leaders had shown an interest in Sri Lanka.

A leading international real estate agency, Savills, based in London, had already opened an office in Colombo while a Malaysian consortium will be building the country’s first speed rail link to the Colombo Airport.

The London Eye, which was just a dream to the SAARC region, too would soon be seen in Sri Lanka while a cable Car service which had been talked about for two decades would also be a reality in less than two years. British investors would be handling this project.

Kalpitiya is to have the region’s first seven-star hotel in three years with a Dubai investment while Nuwara Eliya would have the region’s first hotel which could be accessed only by helicopter. This investment would come from a German high-end hotelier.

The Colombo harbour is currently being upgraded while the second international airport and harbour in Hambantota and the international port in Kankesanthurai would enable access to Sri Lanka from many points, bringing the country even closer.

The Export Development Board, which is hosting the Expo after 15 years, has spelt out in its strategic plan for the year 2011-2015, an overall target of US$ 15 billion of export earnings.

Despite the World Trade Organisation forecasting only 5.8 percent world export growth for 2011, Sri Lanka’s export sector showed strong resilience, by registering a highly commendable growth rate of 22.37 percent in comparison to 2010, said Minister of Industry and Commerce Rishad Bathiudeen.

Positive performance

“I am very happy to state that the export sector of Sri Lanka makes up 17 percent of Sri Lanka’s GDP. The positive performance achieved by the export sector in 2011 was led by industrial and agricultural sectors. Agricultural exports, which accounted for 23 percent of the total export earnings, grew by 11 percent while industrial exports, which accounted for 75 percent of the total export earnings, grew by 27 percent.”

“Sri Lanka has not been diminished by false propaganda that is being spread by those who are trying to prevent investments flowing to our country,” he said.

“Expo 2012 is a viable platform for the UAE to identify the export product portfolio of Sri Lanka. In fact, we did not know that Sri Lanka has such a huge export portfolio until today,” said Director of Government Communications Department and Ministry of Foreign Trade of the UAE Rashid Al Telaji.

“We are surprised by your vast export portfolio and we gained new awareness on Sri Lanka. Having seen your portfolio, we are now keen to see potential possibilities of more trade with Sri Lanka. I shall be conveying more businesses and corporates in the UAE of Sri Lanka’s trade potential,” he added.

The UAE is the second largest Arab economy and the fourth largest oil exporter in the world. Its growth was four percent for 2011 and this growth will be powered by new technologies.

The main objectives of hosting the Sri Lanka Expo 2012 is to promote Sri Lanka’s trade, investment and tourism; to re-position the island as a lucrative business, investment and tourism destination in Asia and to instill buyer confidence in Sri Lanka’s quality products and services, all of which will facilitate the business community.

Sri Lanka Expo 2012 provided an opportunity to display and promote quality export products on a single platform and more than 300 leading companies in exports representing apparel, tea, rubber, footwear and leather products, ICT/BPO/KPO, gem and jewellery, food and beverages, spices and allied products, coconut and coir-based products, confectionery and bakery products, fish and fisheries products, fruits and vegetables, boat building, ceramic and other mineral products, giftware and lifestyle products, handloom, wooden products, spa and herbal products, ornamental fish, floriculture and plastic, paints and allied products, electric and electronic products, ship repairing and ship building, and services sectors. Over 1,200 overseas buyers from strategic markets participated in the event.