Exporters dismayed over failure to implement strategic plan
Two strategic documents on exports handed over to the Ministry of Finance and other key government institutions have not been implemented although it was incorporated in the national budget.
“We have not seen the intent and the commitment on the part of government to fire all guns in order to grow exports with the exception of the Ministry of Development Strategies and International Trade (MODSIT), the Ministry of Ports and Shipping and the Ministry of Science and Technology,” said Chairman-elect of the Exporters Association of Sri Lanka (EASL), Chrisso de Mel at the 22nd Annual General Meeting held in Colombo this week.
He said the new procedure to be implemented with scanning of cargo will cost the trade additionally for exports and imports. “We are fully in support of the introduction and the installation of scanners and other modern security devices but the trade should not be taxed or burdened,” he said.
Referring to the Colombo Port handling of transshipment volume of 75 per cent from neighbouring countries, he said the port has failed to capitalize on a trading platform to generate export revenue. The development of entreport trade and multi country consolidation, free zone facilities and off shore trading has to be pursued aggressively.
“We must understand these concepts and develop necessary procedures to make it more feasible for business to operate.” The chairman said the Export Development Board (EDB) has to be commended for working closely with the EASL for the formulation of the National Export Strategy (NES) and other export development initiatives.
Dawn Austin, a veteran exporter who made the keynote address, said the EASL had alerted the authorities over the past five years that despite the Free Trade Agreement between Sri Lanka and India there are inexplicable and insidious non -tariff barriers being implemented to dissuade Sri Lanka exporters from tapping into the vast Indian retail market.
The case in point is that Sri Lankan food items still have to undergo multiple testing procedures before being permitted into India, while Indian products are imported into Sri Lanka with relative ease. She said there is a fast growing labour shortage in many industries that require the attention of policymakers. As skilled labour is in serious short supply, it may be appropriate to request Sri Lankan companies to be permitted to bring in labour from neighbouring countries like Nepal and Bangladesh as is evident in the Maldives for instance.
“How does one perceive it to be an even playing field for development when one observes certain construction sites using Chinese labour exclusively,” she asked.