CCC spreads wings to Chile to further strengthen trade, investment and tourism

The Ceylon Chamber of Commerce with a view to build a dependable, pragmatic, and advantageous relationship and to establish friendly and cordial relations between Sri Lanka and Chile, signed a Memorandum of Understanding with the National Chamber of Commerce, Services and Tourism Chile (CCC-Chile) recently.

Signing of the MoU was facilitated by Dr. Mahinda Balasooriya, Ambassador for Sri Lanka in Brazil, Deshamanya Mano Selvanathan, Consul for Chile in Sri Lanka who is also the Past Chairman of the Ceylon Chamber of Commerce and   Sebastian Vicuna, Consul for Sri Lanka in Santiago, Chile.

‘CCC-Chile’ is the representative body of the industrial and commercial entities of Chile, established with an objective of increasing the flow of trade through creating business opportunities and improving the business climate for the private sector.

“We have similar objectives hence we enter into an alliance with CCC-Chile to promote the private sector business entities to become reciprocal partners and to extend all support cooperation and assistance to each other for the overall benefit of both countries,” said Harin Malwatte, Secretary General/CEO of the Ceylon Chamber of Commerce.

The scope of the MoU would be to make provisions for a possible alliance between the parties to carry out trade duties and functions for the betterment of the trade, Industrial, services and tourism sectors.

In the Memorandum of Understanding both parties agreed that coordinated efforts be made to promote joint ventures, initiate partnerships, provide technical expertise, introduce licensing possibilities and arrange visits of industrialists, businessmen and entrepreneurs in co-operation with Board of Investments of both countries and the respective diplomatic entities.

It was further agreed that strategic and concrete proposals, suggestions and recommendations that are consequential and significant in the acceleration of bilateral relations of the two countries needed to be formulated in order to achieve the main objectives of the MoU: Image building to dispel perceptions, attracting investments and trade opportunities, organising and maintaining a database to identify and promote products and services, influencing the initiation of investment protection, taxation/other treaties, initiating measures to enhance mutual trust, patience and transparency and to promote joint promotions, marketing and ventures.

Selvanathan said that he was very glad that a MoU has been signed between the Ceylon Chamber of Commerce and Chile Chamber of Commerce. He added: “Chile is a business hub and the best city for doing business in Latin America. Chile’s strategy of international integration has played a key role in this process. Thanks to the country’s widening network of Free Trade Agreements signed with countries such as USA, Canada, European Union etc, companies in Chile enjoy privileged – and, in many cases, zero tariff-access to more than 1.25 billion consumers in the world, and many foreign investors are taking advantage of these opportunities.

“Due to Chilean political stability and the dynamic business environment multinational companies have increasingly begun to view Chile as a springboard to do their business through the region and rest of the world. Sri Lankan Companies too could enter, set up their regional hub in Chile and enter other parts of the American Continent through the Free Trade route.

“Presently Sri Lanka is the 10th largest exporter of tea to Chile and I am sure in the near future Sri Lanka could increase the tea exports. Canned fish and wine are the major imports from Chile to Sri Lanka and is increasing on a regular basis. I am sure that the MoU signed would increase the business relationship between the two countries.”

Balance of trade with Chile is in favour of Sri Lanka. Exports from Sri Lanka to Chile amounts to US$ 31 million during 2011 compared to US$ 26 in 2010. Main items exported from Sri Lanka consist of tea, rubber products, garments, fruits and nuts.  Imports from Chile amounted to US$ 7 million in 2011 compared to US$ 11 million in 2010. Main items imported from Chile to Sri Lanka are canned fish, wine and tobacco.

The Ceylon Chamber of Commerce has already signed 93 such Memoranda of Understanding expanding and further strengthening strong relationships with overseas trade promotion organisations for the benefit of business community in Sri Lanka.