Financial Times

Marshall Plan needed to overcome Sri Lanka's worst natural calamity
Federation of chambers' magnificent initiatives
By Quintus Perera
The Federation of Chambers of Commerce & Industry of Sri Lanka (FCCISL), Sri Lanka's biggest umbrella group, came out swiftly to first understand the sheer crisis situation in the country and immediately plan out a strategy to face the situation.

Driving this process at the FCCISL was its Senior Vice President Nawaz Rajabdeen who has been working round the clock, closely coordinating relief activities with the Prime Minister's Office and mobilizing support from the private sector and neighboring countries.

On Sunday evening itself FCCISL swiftly moved to map out a vigorous plan of action by first contacting its own members and its regional chambers. By Monday morning it had set up a special Relief Coordination Unit headed by Secretary General Samantha Abeywickrama. A relief fund was set up and FCCISL President, Nihal Abeysekera said donations are flowing into the fund.

FCCISL, realizing the magnitude of the unprecedented crisis is suggesting the formation of a strong independent body with private sector-public sector partnership to map out a solid strategy, covering the entire spectrum of activity of rehabilitation, reconstruction and revamping the economy back on track, at the earliest.

Macky Hashim, past President, FCCISL suggested that this body should take the form of Marshal Plan that operated immediately after the Second World War, as the magnitude of the crisis is so gigantic. FCCISL is also exploring all possible avenues of assistance and has alerted the Chambers in SAARC countries and has already contracted the Chambers in India, Pakistan and Bangladesh for pharmaceutical items, sleeping material etc.

The following press release from the FCCISL lists out the tragedy in the regions and steps being taken to reduce the damage:

The Relief Coordination Unit's priority is discussing an immediate plan focusing on the immediate relief measures for thousands of displaced people in the affected areas, and a short and medium term economic revival programme to assist the affected businesses to be brought back into a possible functional position.

Ground situation Galle
In Galle the economic infrastructure and businesses in the city and coastal belts have been completely destroyed. The fisheries, harbours at Hikkaduwa and Beruwala and large number of tourist hotels, guest houses and restaurants in the coastal belt have been severely damaged and will not be able to operate without a major re-construction intervention.

A number of fishing villages along the Galle coast have been completely destroyed. The damage caused in the town of Galle is worst compared to other towns in the coastal belt. Most of the buildings are either completely destroyed or damaged to an extent, which need complete re-construction.

One official said they just can't think of where to begin the re-construction activities and how to revive businesses within a short period of time. He feels the challenge is unimaginable and needs a lot of coordinating support from various government, private sector institutions and international organizations. The chamber is helping the members jointly with the government and the provincial council to ensure immediate relief.

Matara
According to Yasantha de Silva, Chief Executive Officer of Matara District Chamber of Commerce & Industry, a member body of FCCISL, the damage is severe.

Tourist hotels, guesthouses and restaurants in well-known locations such as Polhena and Unawatuna have been completely washed away. Fisheries industry in Matara coastal belt is also badly affected. Fisheries harbours such as Dondra, Gandara, Weligama and Mirissa are all badly damaged. According to him most parts of Matara town have not been damaged to the extent of Galle town. However the damage caused to certain parts of Matara and smaller towns is severe.

The Matara District Chamber is co-ordinating relief measures with FCCISL and district relief committee headed by Minister Mangala Samaraweera.

Hambantota
The Hambantota District Chamber of Commerce, a member body of FCCISL, says the town is badly affected including fisheries, harbour, a number of hotels, guesthouses along the coastal belt and a few small-scale farms.

Ampara
Acording to Mr. Wasantha Kumara, Chief Executive Officer of Ampara District Chamber of Commerce & Industry, a member body of FCCISL, even though Ampara town is not affected the business areas such as Akkraipatthu and Samanthurai have been severely damaged. In Ampara unlike other districts most of the agricultural infrastructure has been damaged hundred of acres of paddy fields have been filled up with water. Small fisheries and harbours on the Ampara coastal belt have been severely affected. Ampara Chamber is currently coordinating immediate relief measures to a number of camps in and around of Ampara town.

Batticaloa
P.Charathchandran, Chief Executive Officer of Batticaloa District Chamber of Commerce, Industry and Agriculture, a member body of FCCISL reported that the Batticaloa tourist areas like Pasikudah and Kalkudah have been severely affected and most of the newly refurbished hotels have been destroyed. A large number of paddy fields closer to the coastal areas have been affected by seawater.

A large number of domestic and small scale farms have been destroyed and cattle and goats killed. A number of prawn farms have been affected. The Chamber is busy at the moment with immediate relief measures to the community.

Trincomalee
Keetha Ponkalan, Chief Executive Officer of Trincomalee District Chamber of Commerce & Industry, a member body of FCCISL, said the most affected areas in Trincomalee are Kinnya and Muttur. Fishing areas such as Nilaweli, Kuchchaweli and Kinnya are all submerged and the loss of lives and damage to economic activities is unprecedented. Nilaweli's famous tourist area hotels are all completely destroyed.

Well known hotels such as Nilaweli Beach Hotel, Club Oceanic and other hotels in the Beach are damaged. The Chamber is busy in helping the community by coordinating immediate relief work.

Jaffna
The Yarlpanam Chamber of Commerce & Industry represented by Chief Executive Officer K Senthivel reported that the worst affected areas in Jaffna are Point Pedro and Valvettiturai. Even though there are no industries in the area, fisheries and retail sectors have been badly affected. The Yarlpanam Chamber is coordinating relief work jointly with the GA of Jaffna.

Kalutara
Kalutara District Chamber of Commerce & Industry sources also revealed that Kalutara and Panadura beach areas are affected and a large number of hotels, restaurants and guesthouses has been severely damaged.

Immediate relief measures initiated by FCCISL:
- Having set-up the Relief Coordination Unit at FCCISL Secretariat a number of immediate relief measures have been initiated including collection of immediate essential items such as Dry rations, Food items, Medicine, Clothes, Roofing sheets, Tents, Drinking water, Baby items etc.,

- A number of regional chambers such as Anuradhapura, Central Province, Central Province Women's, Wayamba, Vavuniya, Nuwara-Eliya are collecting dry rations and other items and sending to Colombo for re-distribution to affected areas.

Moneragala Chamber has already distributed relief items in Ampara whereas Wayamba Chamber has already distributed such items in Trincomalee and Matara.

Appeal for tax rebate
The Federation of Chambers of Commerce & Industry of Sri Lanka (FCCISL) has urged the government to double the tax rebate on all the contributions made to relief, rebuilding and rehabilitation efforts after the devastating killer waves. Its President, Nihal Abeysekera said that as an example every Rs 100,000 contributed to the relief efforts should be treated as Rs 200,000 when considering the contribution for tax exemption.

He said that with the rehabilitation work progressing, the GDP would come down to 1 ½ percent. "If by chance we prolong the rehabilitation, the economic activity in the country will be reduced to a great extent and the GDP would drop further.

. What we suggest is to induce more and more people with incentives to fund the relief effort expeditiously," he said.

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