Wednesday Jan 29, 2025
Wednesday Jan 29, 2025
Tuesday, 28 January 2025 03:11 - - {{hitsCtrl.values.hits}}
In an ambitious push to reshape the economic landscape, President Anura Kumara Dissanayake yesterday reactivated the long-dormant Export Development Council (EDCM) after a four-year hibernation, signalling a renewed commitment to boost export revenue to $ 36 billion by 2030.
The meeting comes after a four-year hiatus and decades of irregular activity, with the Council last engaging meaningfully in 1992 before briefly resurfacing in 2020. The directive aligns with the Government’s vision of ‘A Thriving Nation – A Beautiful Life.’
The session marked a turning point, with key representatives from Ministries spanning Trade, Shipping, Plantations, Agriculture, Industry, Textiles, Fisheries, Finance, Foreign Affairs, Supply Chain, and Rural Development. Its primary objective is to enhance Sri Lanka’s global competitiveness by formulating and implementing national export development policies and programs.
Dissanayake asserted that achieving the 2030 target would require a shift towards an export-driven economy, leveraging the country’s strategic geographic location, skilled workforce, and abundant natural resources.
The strategy aims to revitalise domestic manufacturing industries, increase competitiveness in the export sector, and expand Sri Lanka’s global market footprint. Renewable energy adoption, modernised technology, and investment incentives are central to the plan, which also seeks to attract significant foreign direct investment (FDI) through a newly established Investment Facilitation Committee under a national framework, creating a conducive environment for new investments, reducing production costs and ensuring the availability of essential infrastructure and resources.
Export revenue, which stood at $ 16.17 billion in 2024, is expected to rise to $ 18.2 billion this year, with a long-term goal of reaching $ 36 billion by 2030 through a comprehensive action plan.
A standout decision from the meeting was the introduction of a VAT refund system for tourists at the airport, designed to incentivise purchases of ‘Made in Sri Lanka’ goods.
Additionally, delays in export inspections will be addressed with the installation of an automated scanning system at the Bandaranaike International Airport (BIA) in Katunayake, funded by the Industries Ministry, replacing the outdated manual processes.
Another significant move is the decision to enable domestic ‘inspection of railway engines’, previously a barrier to exporting locally manufactured engines.
It was also decided to introduce renewable energy sources to reduce costs within the export sector and to launch a program to encourage exporters to adopt modern technology, enhancing cost efficiency while conserving electricity.
In addition, the Government has earmarked funds from the CESS fund to support programs for entrepreneurs and investors, aiming to meet the ambitious export targets.
Specific focus was also placed on boosting key industries such as gems and jewellery, with export incentives tied to accurate valuation methods.
Additionally, the electronics sector is set to benefit from Customs duty concessions on raw material imports, paving the way for increased exports of locally manufactured electronic devices.
Digital transformation also featured prominently in the discussions, with plans to modernise export data systems and streamline administrative processes.
During the meeting, banking reforms to increase guarantee limits for service exports were also proposed as a means to incentivise growth in this segment.
It also addressed challenges currently faced by the export sector and potential solutions. Issues related to the inspection of apparel exports were highlighted, and resolutions were formulated with the consensus of all stakeholders.
Notable attendees at the meeting included Industry and Entrepreneurship Development Minister Sunil Handunneththi, Transport, Highways, Ports, and Civil Aviation Minister Bimal Ratnayake, Plantation and Community Infrastructure Minister Samantha Vidyarathne, Trade, Commerce, Food Security and Co-operative Development Minister Wasantha Samarasinghe, Rural Development, Social Security and Community Empowerment Minister Dr. Upali Pannilage, Sri Lanka Export Development Board (EDB) Chairman Mangala Wijesinghe, Ministry Secretaries, and a group of State officials.
