President's visit to boost Pakistan-Lanka trade

Shirajiv Sirimane

VISIT: Increasing trade between Sri Lanka and Pakistan would be one of the priorities of President Mahinda Rajapakse's visit from March 31 to April 2 on the invitation of Pakistan's President Gen. Pervez Musharraf.

With the free trade agreement between Pakistan and Sri Lanka, the annual trade volume between the two countries had picked up to around $ 300 million in the very first year of inception of FTA.

President Federation of Chamber of Commerce and Industry and Vice President SAARC Chamber of Commerce, Nawaz Rajabdeen who will be the leader of the Trade delegation said that they would be looking to increase trade in tea, textiles, betel and other items and look at new areas.

"Pakistan is an untapped market and this is why there many Sri Lankan businessmen involved for the visit," he said.

Leading Sri Lankan garment exporters too would be part of the delegation and they would be meet with textile mill owners in a bid to set up of joint ventures to manufacture fabric in Sri Lanka.

The President will also address the Pakistan business community during his visit in Islamabad and this would be followed up by a one to one meeting with Sri Lanka and Pakistan businessmen.

The event would be organised by the Pakistan Chamber of Commerce and high-powered entrepreneurs would attend it.

The delegation would also include Trade, Commerce and Consumer Affairs Minister Jeyaraj Fernandopulle and Foreign Affairs Minister Mangala Samaraweera and they would be focusing on areas where there are trade disputes.

"Though there are zero tax for many items there are hidden taxes and the Ministers will try to iron out these issues as well," he said.

Rajabdeen will also sing a MoU with the Pakistan Trade chamber to promote business between he two countries.

In addition, the Sri Lankan delegation will include Education Minister Susil Premajayantha, Mass Media and Information Minister Anura Priyadharshana Yapa, Fisheries, Housing Development Minister A. L. M. Athaullah, Deputy Mass Media and Information Minister Cegu Isadeen and MP Faizer Musthapha. The President's Secretary Lalith Weeratunga, Treasury Secretary Dr P.B. Jayasundera, Foreign Ministry Secretary H. M. G. S. Palihakkara and other senor officials including members from the Board of Investment will accompany the President.

The President will also participate in the Expo Pakistan 2006 at the Karachi Expo Centre. Participants from 80 countries including 12 companies from Sri Lanka will participate in this event.

Pakistan's exports to Sri Lanka were around 97 million US dollars in 2004, up from 76 million dollars in the previous year.

On the other hand, Sri Lanka's exports to Pakistan stood at 48 million dollars, up from 38 million dollars in 2003.

In 2005 Sri Lanka's exports to Pakistan increased by 10.05 while Pakistan's imports increased by 7.5% compared to the previous year.