Lanka targets Rs. 951b through exports in 2009

Anuradha KODAGODA

Sri Lanka is targeting Rs. 951 billion through export earnings this year. According to the latest Export Development Board (EDB) statistics, Sri Lanka recorded 4.21 percent growth in 2008, through total export earnings compared to 2007. The growth was mainly in agricultural products - 19.7 percent.

The break down of the agricultural products such as tea, rubber and coconut-the growth rates are 21.17, 12.17 and 13.48 percent. A 121.78 percent growth in vegetable exports was also recorded.

Chairman EDB Anil Koswatta said with the sharp growth in agri exports last year, the government allocated Rs. 500 million to set up Agri Export Zones covering the provinces to promote Agri based products for exports this year.

It is proposed to set up ten Agri Export Production Zones and 15 Export Projects at village level.

Programs will also be introduced to promote investments in the non-traditional agricultural sector, the Integrated Agriculture Model Project (IAMP) program and National Organic Certification program to develop the organic production base in the country, he said.

There was a significant drop in the apparel and textile sector in the world due to the world financial crisis, but Sri Lanka recorded 1.88 percent growth in 2008.

According to the EDB, a 10.99 percent growth in industrial products such as diamonds, gems and jewellery was recorded. Satisfactory growth in petroleum products - 47.34 percent was also recorded. The EDB also hopes to implement the “Export Development Reward Scheme” under the Government’s Stimulus Package to reward manufacturers engaged in value added exports in view of the vulnerability and risks associated with the current global economic crisis, he said.

To further sustain the export business, the government has allocated Rs. 100 million for the provision of financial assistance to exporters, to assist them find new markets for their products and to work towards expanding orders in their existing markets.