France looking at Sri Lanka’s construction, energy sectors

Sri Lanka has invited top level French business and industry delegations to the mega export exhibition ‘Sri Lanka Expo 2012,’ in addition to welcoming French investors to partner in our economic upswing, said Minister of Industry and Commerce Rishad Bathiudeen.

Bathiudeen revealed this when he addressed Ambassador of France to Sri Lanka and the Maldives Christine Robichon and Economic and Commercial Counsellor, Embassy of France in Sri Lanka and Maldives Jean Louis Poli yesterday.

Robichon and Poli were making a courtesy call on Minister Bathiudeen yesterday at the Ministry of Industry and Commerce in Colombo.

“I invite French business and industry delegations to the mega export exhibition, ‘Sri Lanka Expo 2012,’ organised by the EDB, to be held from 28 to 30 March 2012 in Colombo,” Minister Bathiudeen informed Robichon. “I believe that this will be an important step in strengthening our bilateral trade relations,” he added.

“France is now aware of Sri Lanka’s new post-war dynamism. Details on Sri Lanka’s new macroeconomic data should be made available to the business and investor community of France for their awareness,” Robichon said. “France wants to invest in Sri Lanka’s construction sector. We are also keen on power and energy sector, especially on energy efficiency.”

According to the Department of Commerce of Ministry of Industry and Commerce, France is one of the most important trading partners for Sri Lanka, accounting for US$ 310 m of total trade turnover in 2010.

Trade between the two countries has been fluctuating in both directions. In 2010, Sri Lanka reported a positive trade balance of US$ 8.06 m in its trade with France, which in 2005 stood negatively for Sri Lanka at $ 21.62 m.

 The trade balance has been in favour of Sri Lanka during the last six years except 2005 and 2008. The main export item from Sri Lanka to France were apparels and clothing accessories accounting for 37% of total exports of 2010. The 2010 total exports to France recorded US$ 159 m.

The other major export items in 2010 were fish fillets (10.5%), bicycles and other cycles (6.3%), articles of vulcanised rubber (4.9%), frozen fish (4.1%) and pneumatic tyres (4%). In 2010, imports from France recorded US$ 151 m, electrical apparatus for line telephony/line telegraphy parts being the largest item imported by Sri Lanka from France at (27% of total imports).The other main imports were sugar, parts of aircrafts, uncoated paper and paper board, railway construction materials iron or steel, woven fabrics, plates, sheet, strip, rod and profile shapes or rubber and instruments and appliances used in medical surgical, dental and veterinary sciences.

Among potential Sri Lankan exports to France as identified by the Department of Commerce are garments (woven and knitted), rubber-based products, wooden toys and games, leather-based products (footwear, bags, etc.), gem and jewellery items, tea, ceramic products, essential oils, spices, coconut fibre-based products, handicraft/ornamental items and packaging items.

Also present during the Courtesy Call was Sri Lanka’s Deputy Director of Commerce Sidath Kumar.