Chilean expertise for Lankan agribusiness

Saturday, 26 October 2013 07:27 - - {{hitsCtrl.values.hits}}

By Cheranka Mendis Sri Lanka, with its aim to boost trade and attain economic prosperity, has much to learn from Chile, a country that has much in common with our own in terms of geographical size and island-like positioning by looking into its growth through the agribusiness sector. Even though only 2% of its land area is recognised as being ‘useful’ for agriculture, Chile has managed to successfully shift its trade positioning from what it was through economic reforms to become a free market with export-led growth, opening up the country to the world. Titled ‘From Agriculture to Agribusiness: The Pathway to Chile,’ the Agricultural Office from the Embassy of Chile in Delhi

yesterday hosted a seminar for the business community, presenting the country’s success story in the sector and how Sri Lanka could benefit by following a similar growth pattern. University Catholic of Chile (PUC) Faculty of Agriculture and Forestry Engineering Professor Sergio Rodriguez presented ‘The Chilean Path’ to the audience, highlighting the importance of opening up to the world through microeconomic stability to attract investment and establishing a competitive environment with a solid rule of law. He pointed out that Chile managed to grow under a good collaborative effort between the private and the public sector, creating an interconnected economic system. “The key is to question and rethink what you are doing wrong, what could be better and moving forward with the world economy,” Rodriguez said. Governments on their part should step up and let go of bureaucratic controls, because “business is not for governments,” and facilitate growth through investments in infrastructure, empowering innovation and technology and opening up the financial market. Trade between Sri Lanka and Chile in 2012 was US$ 35 million, with Sri Lanka exporting US$ 4.4 million worth of goods to Chile while importing US$ 30 million from the country. Main export items from Sri Lanka are apparel, tea and rubber while Sri Lankans depend on Chile primarily for canned fish, spirits and fresh fruits. Ambassador of Chile to Sri Lanka Cristian Barros, Honorary Counsel of Chile in Colombo Mano Selvanathan and Industry and Commerce Minister Rishard Bathiudeen also attended the event.