Laksala goes global, inks deal for first-ever franchise outlet overseas in US

Boom Lanka Batik and Gifts LLC-USA Chairman Sudharma Warnakulasooriya (left) and Sri Lanka Handicraft Board Chairman Lakmal Wickramaarachchi exchange the agreement of the initiation of the Laksala franchise outlet in Miami – USA at the Laksala Chairman Office – Colombo 07 yesterday. State Ministry of Batik, Handloom Fabric and Local Apparel Products Secretary Janaka Dharmakeerthi and State Minister of Batik, Handloom and Local Apparel Products Dayasiri Jayasekara look on  - Pic by Ruwan Walpola 

State-owned gift and souvenir shop – the world-renowned Laksala – yesterday inked agreements to open the first-ever franchise outlet overseas in Miami – USA, to promote Sri Lankan traditional handicraft items, manufactured by local craftsmen.

Franchisee, Boom Lanka Batik and Gifts LLC-USA Chairman Sudharma Warnakulasooriya and franchiser Sri Lanka Handicraft Board Chairman Lakmal Wickramaarachchi signed the agreement at the Laksala flagship store office in Colombo 07 yesterday.

Handloom and Local Apparel Products State Minister of Batik Dayasiri Jayasekara and State Ministry Secretary Janaka Dharmakeerthi also participated at the event. 

The concept initiated under the guidance of the State Minister Jayasekara aims to introduce Sri Lankan traditional products to international market keeping in line with the President Gotabaya Rajapaksa’s policy framework to strengthen a people-centric economy.

Handicrafts items, batik, handloom products, Ceylon tea, coffee, spices, ayurvedic products, organic products and cosmetic products will be promoted at the outlet.

Other financial benefits to Laksala include generation of additional export sales turnover, franchisee’s monthly sales turnover-based commission to Laksala, and annual royalty fee for the usage of brand Laksala. 

The franchise outlet also opens up the US as a niche market for the Sri Lankan rural handicrafts artisans, who are currently battered due to non-arrival of tourists, and to recover Laksala sales turnover.

It was pointed out that the disruption to the tourism industry had directly impacted the sales of Laksala, where it is experiencing a loss as high as 90% of its turnover. Despite the ongoing challenges, Boom Lanka Batik and Gifts LLC-USA expects to open up 50 more franchise outlets in other states of the US. 

Laksala has also planned to expand this franchise business model in Japan, Australia, UK, Canada and in the Middle East by the end of 2023. 

Laksala is the only State-owned Gift and Souvenir Shop established in 1964 under the purview of the State Ministry of Handloom, Batik Handloom and Local Apparel to promote Sri Lankan crafts locally and internationally and to help local craftsmen sell their products convincingly under one roof. Accordingly, Laksala has provisions to promote the sale and marketing of handicrafts of Sri Lanka within the country and overseas.