Reduce import costs and generate jobs by manufacturing components and assembling locally, instead of importing final products, says a wholesale importer in a proposal to the government.
It would be beneficial to Sri Lanka if most of the goods that are imported from other countries, which could be manufactured here (which are viable to manufacture ) are manufactured in Sri Lanka, says Rifdhi Jameel, a wholesale importer.
Home appliances such as gas cookers, rice cookers and ovens can be assembled locally if the government can provide duty concessions, he says. Mr Jameel says local assembling plants will generate employment and will help importers become manufacturers. In the long run, says Mr Jameel, this process can lead to manufacturing some of the parts locally. This is also expected to curb the tendency by importers to bring down low priced items, compromising on quality.
“This can be applicable to all home appliances such as rice cookers, gas cookers, oven gas cookers, radios, blenders and clocks, etc,” he says in his proposal.
Products such as ceramic tableware are also seen to benefit from importing some components and using local inputs for the balance. Mr Jameel says the cost of local production of ceramic tableware is much higher than the cost of importing from China. Therefore, he suggests importing the white body of the ceramic items and engraving or décor printing locally. Manufacturing glass tableware is also seen as unprofitable for the low market.
In his proposal to the government, Mr Jameel suggests inviting all importers to launch production houses for at least one out of 10 products imported by them.
To facilitate the process Mr Jameel suggests special soft loans through state banks for importers to set up factories, initially with tax holidays, duty concessions for raw materials, discounted tariff rates for water and electricity and trade loans through SME for distributors and wholesalers. |
E-mail
