‘SL should move away from traditional exports’
By Lalin Fernandopulle
The Export Development Board (EDB) targets an export income of US$
14.5 billion this year despite a tough global business environment that
has even affected the level of consumption in countries.
The EDB has set an ambitious target and is confident of reaching it,
although there has been a major set back in export revenue since last
year. Export income dwindled from around 34 percent to 14.5 percent last
year given the highly volatile global economic scenario triggered by the
instability in the Middle East, the depreciation of the Russian Ruble,
the US elections and the European Union turmoil due to Brexit.
EDB Chairperson Indira Malwatta said despite a drastic drop in export
income on a year-on-year basis since last year to 16.5 percent, the EDB
is confident the gloomy scenario will change in the second half with
export volumes and income ticking up.
“We have set an export revenue targets of US$ 14.5 billion this year.
Usually export improve in the second half,” Malwatta said.
When queried as to the strategies of the EDB, the premiere body that
spurs export development, she said it is high time the country moved
away from traditional export items such as tea, rubber and coconut to
value-added exports to new markets in Asia and Africa. “We are focusing
on Asian and African markets with aggressive promotion of our products.
“We need to diversify the markets and the product basket,” the
chairperson said.
“The EDB is focusing on ship and yachting sectors that has immense
potential to bring in the much needed foreign exchange to the country.
When yachts birth here, the crew spends two to three nights which brings
in foreign exchange to the country. The pharmaceutical industry,
automotive and value added spices are potential areas to focus on to
develop exports,” she said.
She said beside a sluggish global environment, the withdrawal of the
GSP Plus concessions, the ban on fish exports to the European Union
affected the export sector. Speaking on gem and jewellery exports,
Malwatta said FACETS 2016 show will attract foreign buyers and increase
exports of the precious stones which currently is the fifth largest
export earner to the country. The 26th edition of the FACETS exhibition
will be held from September 1-4 at the BMICH.
National Gem and Jewellery Authority Chairman Asanka Welagedera said
that the NGJA has launched a program to promote Sri Lankan products in
the Russian market which has a wide scope for niche brands. “Sri Lanka
has moved into the Russian market but not in a strategic way.
We will come up with a plan to expand the foot print in Russia. It is
high time that we go for a new child having a 26-year-old referring to
the FACETS which is being held for 26 years.
He said a novel feature of this year’s exhibition is the focus on
small and medium enterprises in the industry. Forty exhibitors will be
accommodated at the new wing of the show to exhibit their products and
build links with international buyers |