Cabinet nod to sign MoU with Switzerland to boost exports

• Move broadens opportunities for Sri Lankan export products to gain access to the EU 
• Import Promotion Programme of Switzerland to fund Swiss Franc 100,000 to conduct detailed research on processed food, sustainable fish and marine food, value-added garment exports 
• Cabinet Co-Spokesman Bandula Gunawardena says boost in foreign reserves only way to resolve BOP issue, stabilise economy
• Highlights importance to reach beyond $ 12-13 b export performance

The Cabinet of Ministers at its meeting on Monday agreed to sign a memorandum of understanding (MoU) between the Export Development Board of Sri Lanka and the Import Promotion Programme run by the Swiss State Secretariat for Economic Activities.

The move will pave the way to motivate and broaden the opportunities for Sri Lankan export products to gain access to the European market.

In a bid to broaden the opportunities for Sri Lanka’s export products to gain access to the European market, the Cabinet of Ministers at its meeting on Monday approved to sign off a memorandum of understanding (MoU) between the Export Development Board of Sri Lanka and the Import Promotion Programme implemented under the Swiss State Secretariat for Economic Activities.

The Import Promotion Programme of Switzerland bears a sum of Switzerland Franc 100,000 to conduct detailed research regarding processed food, sustainable fish and marine food and value-added garments export production.

“Promoting exports is one of the main ways to overcome the unprecedented economic crisis,” Cabinet Co-Spokesman and Minister Bandula Gunawardena said at the post-Cabinet meeting media briefing yesterday.  

He explained that a boost in foreign reserves is the only way to resolve the balance of payment issue and stabilise the economy.  “In the past few decades, the export promotion did not happen the way we needed it to perform. Irrespective of the policy decisions that were made, the exports continued to remain at around the $ 10 to $ 12 billion range per annum. Even this year, exports have barely exceeded $ 1 billion per month,” he said.

Gunawardena said that it was important to realign some of the policies to go beyond the usual maximum of $ 12 to $ 13 billion annual export performance, insisting there are multiple value-added export industries to expand on. 

Citing a Finance Ministry report issued last week, he pointed out that some of the free trade deal agreements were the country 600% more exports than imports in 2022 in the first six months. “The Cabinet discussed opening foreign markets for local exporters and it was decided to fast-track the free trade agreements with China, India and Singapore along with other countries,” he said.