Trade Minister Bandula Gunawardane on Friday urged the Government to use the Export Development Fund (EDF) to better support the private sector, insisting that the industry is capable of supporting the country to overcome the foreign exchange crisis.
“The EDF was specially established to support the export community with the proceeds of the CESS to be credited to the fund. However, the Treasury is taking the full amount at present and we get nothing to support the exporters,” he claimed.
The Minister urged the Government to at least provide one quarter of the total funds to support the exporters, who had continuously supported the country, despite the multiple challenges they faced over decades.
“If at least one quarter of the EDF is given, then I promise to take Sri Lanka’s exports to $ 20 billion or more,” Gunawardane assured.
The Minister also pointed out that the Government should not take it lightly on the reason for exporters taking their factories outside Sri Lanka.
“Export incentives are necessary to encourage and to support the manufacture of competitive products. Exporters have been complaining about the high cost of production and as a result, we see that a lot of apparel exporters have already set up their factories in Kenya, Ethiopia and South Asian countries,” he stressed.
The Trade Minister explained that it was critical to organise the factors that can be managed, whilst practically handling those factors that are not in the control.
He also called on to reassemble the Export Development Council of Ministers (EDC) that went into slumber after its first discussion two years ago following resurrection.
(FT)