Crude oil would not dip below $ 100 a barrel after increase - Economists

Economists anticipate crude oil to climb to $100 a barrel in the months ahead and thereafter, not dip below the $100 mark, United National Party (UNP) deputy leader, Karu Jayasuriya said. An economist had in 2003 (when the UNP was in office) said that within a year crude oil prices would escalate and not drop below the $150 per barrel mark, but Jayasuriya had not believed that estimation.

Jayasuriya hoped the government was bracing against an anticipated oil shock and the trickle down effect of it on the poor. Jayasuriya was addressing the fifth annual Ceylon National Chamber of Industries (CNCI) Janashakthi Achiever awards, held last week.

Jayasuriya, who counts 37 years in the private sector, said that business life was more enjoyable than his recent political life.

Speaking on the role of government, in a challenging hour, Jayasuriya said that while burning issues beset the country, it is the duty of any government to govern the nation and leave the work of creating wealth to the private sector while ensuring an environment for it. A very peaceful environment and strike-free zones are necessary for foreign investment, Jayasuriya said. Labour was unsettled, and the cost of electricity, was unrealistic.

Jayasuriya hoped the proposed bridge, linking Rameswaran, in India and Mannar, in Sri Lanka would be undertaken, leading to a roadway, to 22 countries.

Free trade agreements being the global norm, Jayasuriya called for more such agreements for Sri Lanka. Also, that the long lull of holding international trade exhibitions, in Sri Lanka would be ended. As a responsible party, the UNP would agitate for such measures to be realised, he said. Jayasuriya complimented Janashakthi Insurance, for good and innovative insurance cover, undertaken.

Minister of Industrial, Development Kumara Welgama said it was a good idea to open the awards scheme to Sri Lankan companies which have set up industries in SAARC nations, being an encouragement for more Lankan companies to base overseas.

The awards scheme, encourages industries towards improvement and Sri Lanka needs industries which are of a global standard, to compete with the outside world, Welgama said.

CNCI chairman, Nimal Perera said that at a time when nations were liberalising their economies and regional trade agreements and revised tariff structures were changing the environment and ground rules in which businesses operate entrepreneurs need to adapt to change and adopt new options.

Such options should focus on higher productivity, improved quality and achieve overall excellence, ahead of the competitor, and the CNCI awards, was helping such moves.

CNCI senior vice chairman, and chairman organising committee, Newton Wickremasuriya said that a prime objective of the industrial excellence awards was to utilise good management practices, to be competitive globally.

Chairman of the panel of judges, Sunil Wijesinghe said that the winners, from all categories, large, medium, small and micro, had demonstrated a high degree of excellence relative to resources at their disposal.

EL