China pledges greater market access for Lankan exports

CHINA: China expressed its readiness to continue with its assistance for Sri Lanka’s economic and social development to the best of its ability and pledged to encourage greater market access to Lanka’s exports in China to reduce Sri Lanka’s present trade deficit.

In a joint communique at the conclusion of President Mahinda Rajapaksa’s State visit to China, the two sides agreed that in the 50 years since the establishment of diplomatic relations, China-Sri Lanka relations have continued to strengthen despite changes in the international environment.

The two sides emphasised that expanded economic cooperation and trade would be conducive to the two countries common progress and prosperity.

It said bi-lateral economic cooperation and trade should be further strengthened by fully tapping potential and seeking new ways on the basis of current cooperation.

Sri Lanka expressed deep gratitude for assistance given through technical support and financial facilities for major infrastructure projects in Sri Lanka including the coal power project on which work has commenced and other infrastructure projects and supplies on which decisions have already been taken.

It was noted that discussions have proceeded on the Hambantota Development Zone which includes harbour development, a bunkering system and tank farm, and positive progress had been made between the Chinese companies and Sri Lankan authorities.

The Sri Lankan delegation briefed their Chinese counterparts on the domestic situation in Sri Lanka and the action being taken in the interest of peace and harmony against terrorism.

China reaffirmed its commitment to support Sri Lanka in its efforts to safeguard the country’s sovereignty, national unity and territorial integrity against terrorist forces.

The two sides resolved to fight tirelessly against the three evil forces of terrorism, separatism and extremism and to step up consultation and coordinating on regional and international counter- terrorism action.

Agreements and Memoranda of Understanding signed during the visit:

* Agreement on Economic and Technical Cooperation between the Govern ment of the People’s Republic of China and the Sri Lankan Government.

* Memorandum of Understanding between the Chinese Ministry of Construction and Sri Lankan Ministry of Urban Development and Sacred Area Development.

* Agreement between City of Guangzhou and Hambantota on the establishment of Friendship City Relationship.

* Memorandum of Understanding on two-way investment promotion cooperation between the Investment Promotion Agency of the Chinese Ministry of Commerce and the Board of Investment.

* Memorandum of Understanding on Cooperation in the Film Industry between the Film Bureau of the State Administration of Radio, Film and Television, the People’s Republic of China and the National Film Corporation.

* Memorandum of Understanding for the Donation of Eye Corneas and Promotion of Cooperation, exchanges, Technical and Technology Transfer between the Red Cross Society of China and the Eye Donation Society of Sri Lanka.

* Memorandum of Understanding between the Chinese Academy of Agricultural Mechanization Sciences and Department of Agricultural of the Ministry of Agriculture.

* Memorandum of Understanding of Academic Exchange between Beijing Foreign Studies University and University of Kelaniya.