Singapore offers to help LAKSATHOSA revival

Non-Resident High Commissioner to Sri Lanka S. Chandra Das (left) meets Minister of Industry and Commerce Rishad Bathiudeen on Wednesday in Colombo

In a significant development affecting the Sri Lankan retail market segments, Singapore has extended its support to revive LAKSATHOSA, Sri Lanka’s sole State-owned retail chain.

The offer of support comes in the wake of a ministerial level request made on 7 October in Colombo. “We’ll do this for Sri Lanka; Singapore is pleased to support LAKSATHOSA,” said S. Chandra Das, Non-Resident High Commissioner to Sri Lanka, during a courtesy call on Minister of Industry and Commerce Rishad Bathiudeen in Colombo.

“In 2014, Singapore has become a the fourth place in the list of Sri Lanka’s main importing countries representing 6.6% of  Sri Lanka’s total import from the world.  Products imported from Singapore are petroleum oils, milk and creams, fertilisers, iron, steel and plastics. Imports from Singapore stand at around $ 1.2 billion,” said Bathiudeen.

He added: “LAKSATHOSA is Sri Lanka’s sole State-owned retail chain with more than 310 outlets. It’s the primary goods price informer of the Lankan market. We are restructuring LAKSATHOSA and are still experiencing monthly losses. Prime Minister Ranil Wickremesinghe advised me to follow the Singaporean retail model to revive LAKSATHOSA. We would appreciate possible support from Singapore in this regard.” 

“We are strong in healthcare, housing, education, logistics and urban planning,” said Das, the former Member of Parliament of Singapore. “I recommend you follow Singapore’s NTUC Fairprice Co-operative model for LAKSATHOSA. There is no central warehouse for LAKSATHOSA; you need to establish central logistics. Send a study team from LAKSATHOSA to Singapore with just one week’s advance notice and I shall see to it that NTUC Fairprice training is arranged for them.”

Bathiudeen welcomed the offer and said instructions would be given to make the necessary arrangements towards this end.

LANKASATHOSA is a fully State-owned company incorporated under Act No.17 of 1982.