Most comprehensive UN commission extends support to new Sri Lanka

Saturday, 31 January 2015 00:00 - - {{hitsCtrl.values.hits}}

‘Our BPAs can give 15% value addition!’: ESCAP’s Dr. Ratnayake
‘Here’s warmly
welcoming you!’: Rishard
‘Don’t drop ‘hubs’ just yet’: Dr. Ratnayake

In the promotion of Sri Lanka’s exports, the country can leverage the Business Process Analysis by no less than a top UN agency – and the most comprehensive of the United Nations five regional commissions is ready to partner with Sri Lanka in a wide array of streams in the country’s newest phase, as revealed on 28 January. “The new Government of President Maithripala Sirisena has brought fresh hopes to all Sri Lankans. ESCAP is ready to help Sri Lanka in its new phase!” said a keen Dr. Ravi Ratnayake (Director of the Trade and Investment Division for ESCAP) on 27 January in Colombo. Bangkok based Lankan born ESCAP Director Dr. Ratnayake was addressing Minister of Industry and Commerce Rishard Bathiudeen on 27 January afternoon during his courtesy call on Minister Bathiudeen at the Ministry of Industry and Commerce, Colombo 3. “The United Nations Economic and Social Commission for Asia and the Pacific (ESCAP), the regional development arm of the United Nations for the Asia-Pacific where two thirds of the world’s population live. Therefore ESCAP is the most comprehensive of the United Nations five regional commissions! The new Government of President Maithripala Sirisena has brought fresh hopes to all Sri Lankans. “Still, Sri Lankans need to be careful and not throw baby along with bathwater,” said Dr. Ratnayake, who was once an Economic lecturer with New Zealand’s Auckland University, and added: “The new Government need not fully abandon certain economic development concepts and projects by the previous regime overnight – some infrastructure projects and the concept of five hubs and tourism strategy are examples. They can be developed further since there is still a story in them. “Sri Lanka’s hub positioning is a great strategic asset anyway and though not necessarily all ‘five’ hubs in the previous strategy are considered, at least three of them – commercial, knowledge and maritime – still hold promise, and therefore could be leveraged in some way by the new economic vision. There was strong emphasis on infrastructure development during the last few years which was fulfilling of a need but the process could have been more inclusive of the other relevant stakeholders, transparent and also how these projects directly linked to economic activities so that the masses would benefit, was not very clear. This impacts their Return on Investment (RoI). “ESCAP is ready to help Sri Lanka here and in its new phase. We can support to build capacity in internal logistics, trade facilitation negotiations, time and cost saving national single window for exports, etc. For example, Singapore’s new single window has reduced trade processing time from seven days to less than 15 minutes. At the moment Sri Lanka qualifies well for our support but the request needs to be officially made to us so that we can extend our assistance. We also strongly suggest Sri Lanka to commence Business Process Analysis (BPA) across the export sectors and map the value chains-for which ESCAP can lend its support. If BPA already done for certain sectors, they need to be promptly updated. Do the BPAs covering the entire process-starting from farm-gate to the ship loading point. It needs to be supported by the ruling government-political will is critical here. The value addition to exports by a BPA, on average, is four-to five percent but often could go as high as 15% and above! The gains for global GDP from new trade transparency in Asia Pacific could be as high as $ 500 billion.” Responding to Dr. Ratnayake, Minister Bathiudeen said: “Export increase and recovering GSP plus are key aims of President Maithripala Sirisena in his 100 Day program and beyond. As the Minister in charge of exports, I welcome institutional level support from ESCAP to increase our export targets. The EDB has been already partnering with Geneva based International Trade Centre (ITC) in formulating our national export strategy and vision -and the process is already under way. ESCAP’s BPA too could be useful in strengthening this effort further at a time when we focus on diversification of our product basket and destinations as well.” Responding to Minister Bathiudeen, Dr. Ratnayake said: “ESCAP too has been closely working with ITC in many aspects and I am so pleased to hear that Geneva’s ITC is partnering with EDB and your Ministry to formulate national exports’ way forward.” On 21 January a top delegation from Geneva’s International Trade Centre (ITC) led by Xuejun Jiang (Chief-Office for Asia and the Pacific, ITC, Geneva) met Minister Bathiudeen and informed that it will be involved in euro 7 million valued capacity development exercise for Sri Lanka’s trade framework, which is expected to commence within a year and span three-four years.