Africa wakes up to Lanka’s world class garments

Tuesday, 3 June 2014 01:28 - - {{hitsCtrl.values.hits}}

Your apparel and tea sectors have our attention: Ambassador Assran
13 Lankan firms in 14 African projects by 2013
Lanka-Africa bilateral trade at $ 322 m: Rishad

As Sri Lanka’s trade with the African continent topped $ 322 million, Sri Lanka’s world class apparel sector too has garnered the attention of African investors looking to diversify. Meanwhile, Lanka trade officers in Africa actively promote the country. “Africa’s relations with Sri Lanka have been historic. Sri Lanka’s apparels are well known the world over as well as Ceylon Tea. Today, these two sectors offer great investment potential for African investors to Sri Lanka,” said Egypt’s Ambassador to Sri Lanka Mahamoud Hisham Mohamed Assran recently in Colombo. Ambassador Assran was addressing the ‘Africa Day: Trade Promotion and Investment in Africa’ held on 25 May at the Taj Samudra in the presence of Minister of Industry and Commerce Rishad Bathiudeen. Also present on the occasion were High Commissioner of Nigeria to Colombo S.U. Ahmed and Tunisian Honorary Consul in Colombo Mukthar Marikkar “Africa’s relations with Sri Lanka have been historic. It is one of the historic bilateral relations that both parties are proud of,” said Ambassador

Assran, and added: “Sri Lanka’s apparels are well known the world over as well as tea. Today, these two sectors offer great investment avenues for potential African investors to Sri Lanka. Africa also offers a host of investment opportunities for Lankan investors. We invite Lankan investors to Africa.” As at the end of last year, 13 Sri Lankan firms have committed to 14 investment projects in five countries across the African continent to the tune of $ 33 million. Among them are Jinasena, Ranfer Teas, Bank of Ceylon, MAS Capital, NDB, Hayleys Advantis, Vidullanka, and Hemas Power. Five of the projects are in Uganda. African private sector investments in Sri Lanka are negligible. Sri Lanka’s apparel sector, considered as world class, is the largest net forex earner to the country with an annual raw material (fabrics and accessory) imports bill topping $ 1 billion, one indicator of the strength of this sector in its GDP. Among promising sub sectors of foreign investment in Lanka’s apparel industry are dyeing of woven and knitted textiles, high fashion garments, accessories (including buttons, zippers, and labels) as well as high fashion Buying Offices. “Sri Lanka’s interest in building closer and stronger relations with Africa has added dynamism with the recent state visits of President Mahinda Rajapaksa to Kenya, Uganda, Seychelles and Tanzania. We too have received Heads of State from the African nations to the CHOGM besides bilateral visits of the heads of States from Uganda, Seychelles and Swaziland,” said Minister Bathiudeen. He added: “This is a clear manifestation of the commitments on the parts of Sri Lanka and the African Nations to forge, broaden and deepen bilateral relations and cooperation. Sri Lanka’s trade relations with Africa are represented by trade officers serving in Sri Lanka Missions in Cairo and Pretoria. These trade officers are actively engaged in promoting Sri Lanka’s trade and investment interests through an array of focused initiatives. “Let me share with you certain statistics on trade between Sri Lanka and Africa in 2013.The total bilateral trade reached to $ 322 million by

2013. This represents about 1% of our total world trade. I am happy to note the total trade between Sri Lanka and Africa has been growing at an appreciable rate over the years and we observe a 2% growth in 2013 over the previous year. Although many opportunities are in trade and investment spheres for forging close alliance between Africa and Sri Lanka activities, we are lagging behind the true potential. Therefore, you would agree with me, that time has come for a new beginning in our cooperation to look beyond the limited activities we have at present. It is therefore incumbent upon us to explore new avenues and the prospects for introducing new products and services to each other’s markets. We are hopeful that blessed with the enthusiasm and commitments our leaders are have Sri Lanka’s bilateral relations and cooperation with the African nations will gradually progress in to a new era. We should find ways and means to overcome the existing fetters and address them with a renewed vigour to leap forward our action program, towards achieving our common objectives. I believe the business community of the two sides needs our encouragement, facilitation and assistance in this direction. Regular vigorous interaction among the business communities of the two sides is indispensable to make our cherished goals a reality.”