'Opportunities in emerging economies'

By Gamini Warushamana

Sri Lanka faces serious issues as a result of declining exports and sharply increasing imports. As a result there is a foreign exchange outflow which creates pressure on the exchange rate. To face the situation and increase exports innovative strategies should be adopted, said CEO, Ceylon National Chamber of Industries (CNCI), Kumara Kandalama.

“While appreciating the government's efforts to face the situation we urge all stakeholders to take steps to reduce the trade deficit,” he said. CNCI last week organised a seminar on international trade for exporters and importers to expand Sri Lanka's international trade. Kandalama said that Sri Lanka has several options to increase exports.

Deeper penetration in the traditional markets, exploring new markets, especially in the emerging economies.

The economic crisis in US and EU and political issues in the Middle East are the main reasons for the widening trade deficit.

“Therefore increasing our exports to traditional markets may depend on the economic recovery of those countries,” he said.However, there are new opportunities in relatively stable economies such as Australia, emerging economies such as China, India, South America and regional markets such as India and Pakistan. New opportunities have also opened up in the African continent where our exports are insignificant at present.