Windfall for local contractors

Lankan products and services get boost:

Ramani KANGARAARACHCHI

The State Engineering Corporation (SEC) will give priority to local manufacturers and contractors when doing purchases for engineering projects in the future.

SEC Chairman Prof Ashu Marasinghe

State Engineering Corporation Chairman Prof Ashu Marasinghe said Cabinet approval has been granted recently to give priority to local products at the purchases made by State institutions.

It has been decided that the State Engineering Corporation will follow this decision at its purchases.

He said utilizing local products for the development process in the country would satisfy many aspects in the field of development and it will also lead to enhance local raw material market and generate job opportunities.

It will also pave the way of new creations, attitudes and enhancement of living standards.

Prof Marasinghe said 7.5 percent priority will be given to local job contracts in projects funded by the World Bank (WB) and the Asian Development Bank (ADB).

Ten percent priority will be given to local job contracts in the projects funded by Sri Lankan Government as well.

Fifteen percent priority will be given for purchases in projects funded by the WB and ADB to locally manufactured goods and twenty percent priority will be offered to locally made goods for the purchases in the locally funded projects.

Prof Marasinghe said the Finance and Policy Planning Ministry under the state finance circular number 448 has recently recommended to use the national business directory annually issued by the Sri Lanka Telecom, SLT Rainbow Pages in obtaining goods and services under the price providing system from 2011. The State Engineering Corporation has decided to use the accreditation prepared by Mawbima Lanka Foundation for choosing local products following this procedure.

State Engineering Corporation Director Chandananda Diyunage said this is a positive move and as a local manufacturer he foresees good results out of this move combined with tax exemptions given in the budget.