An Overview of Sri Lanka's Trade Policy
Sri Lanka has been practicing an open economic policy since 1977. The economy has been growing steadily during the past few years with a rate of over 8% in 2014. GDP growth remains one of the healthiest in the region at 7.3% with per capita income at USD 3,191 in 2013. The country also has a high literacy rate of 95.6% and an unemployment rate of 4.4%.
The main exports are textiles and apparel, tea and spices, rubber products, precious stones, coconut products and fish. Sri Lanka is world famous for tea and overseas employment of Sri Lankans is also a significant contributor to the economy. Key imports include petroleum, textiles, machinery and transportation equipment, building materials, mineral products, foodstuffs. Sri Lanka's main markets include USA, UK, Japan, China, India and the Middle East. Among the main import markets are Japan, India, UK, USA, among others.
Sri Lanka has signed Free Trade Agreements with India, Pakistan and China. It is also a member of the South Asian Free Trade Area (SAFTA), APTA, BIMSTEC and a member of the G-15.
Sri Lanka has been successfully moving towards achieving the Millennium Development Goals and has achieved halving poverty, gender equality and education goals.
The Ministry of Industry and Commerce and particularly its Department of Commerce, is tasked with Sri Lanka's trade policy, implantation and promotion, especially overseas.
For more information please visit the following websites:
Ministry of Industry and Commerce: www.industry.gov.lk
Department of Commerce: www.doc.gov.lk
Why Invest in Sri lanka
Sri Lanka has one of strongest economies in the South Asian region, with a growth rate of over 8% in 2014. Strategically located in the Indian Ocean, with a large and dynamic services sector, an educated and skilled workforce, excellent infrastructure and global connectivity, Sri Lanka is an ideal destination for the foreign investor. The country is also fast emerging as an air, maritime, energy, knowledge and commercial hub in the region.
The Government of Sri Lanka has put in place several regulations to promote and protect foreign investment, including total foreign ownership in almost all areas of the economy. There are no restrictions on repatriation of earnings and the safety of foreign investment is guaranteed under the constitution. There is also a sophisticated and transparent legal framework in place. Sri Lanka has signed 28 bilateral investment protection agreements and 38 agreements on the avoidance of double taxation. Free trade agreements with India, Pakistan and recently with China, also provides access to these large markets.
Sri Lanka's export processing zones and industrial parks have been a linchpin in the industrial development and inflow of foreign direct investment into Sri Lanka. The country's economic development zones are seen as benchmarks of successful implementation of zone development strategies.
Sri Lanka’s strategic location in the Indian Ocean is an added incentive for the investor, as it is situated in one of the world’s most important and busiest maritime routes. The country is also well connected by air. The Government has heavily invested in infrastructure and energy. Yet, Sri Lanka is also mindful of environmental protection and sustainable development.
The Board of Investment of Sri Lanka (BOI) is the key institution regarding the promotion of investment and the one stop shop for all potential investors to Sri Lanka.
For further information regarding investing in Sri Lanka, please visit the BOI website on. www.investsrilanka.com
SALE OF HEAVY MINERAL SANDS
INTERNATIONAL COMPETITIVE BIDDING
TENDER REF. NO: LMS/MKT/TDR/19/07
The Chairman of Ministry Tender Committee, on behalf of Lanka Mineral Sands Limited, invites sealed bids from Foreign Parties who are interested in Buying following heavy mineral sands available in the Factory at Pulmoddai of Sri Lanka. The Local Parties, who wish to purchase the products and export or add further value to the products could also submit their bids.
The deatil of PRODUCTS and other RELEVANT details are in the below.
|BID SECURITY||PACKAGE AND TERMS OF DELIVERY||DATE & TIME OF TENDER CLOSING AND OPENING|
(HS 2614 00 20)
|Exw - IRZ Plant
|30 / 05 / 2019 at 14.00 hrs.|
(HS 2615 00 10)
|Exw - IRZ Plant
(HS 2614 00 10)
|Exw - IRZ Plant
|Low-Grade Zircon Crude
(HS 2615 00 10)
|In Bulk "AS IS" in the existing condition|
The complete Bidding Document is published in the official websites www.industry.gov.lk and www.lankamineralsands.com. The interested parties could visit the websites and download the Biding Document free of charge for reference.
The first ever Colombo International Logistics Conference is scheduled to be held on 1st and 2nd August 2019 at the Galadari Hotel, Colombo, Sri Lanka.
Amongst others, this international conference aims on the following industries:
• Distribution Companies
• Wholesale importers /exporters of products
• Logistics Companies-3PL/4PL
• Warehousing companies
• Technological hardware equipment companies for logistics
• Technological software & innovation product companies for logistics
• Business opportunities/ partnership seekers
• Investment opportunity seekers
Known as a mega transshipment location in South Asia, Sri Lanka is the fastest growing one among major ports of the world, with the rank of 11th best connected port in the world of shipping.
Situated in the middle of the Indian Ocean, connecting multiple continents and reaching out to billions of people, Sri Lanka, sitting next to the major market of India is probably the best geographical position for logistics, distribution and storage of both bulk and containerized cargo. Sri Lanka has very flexible and investor friendly environment through its commercial hub act opening the country for logistics FDI with least procedures for international investments. In addition, it has three major ocean ports being extensively developed for variety of purposes and connectivity. Colombo being the main container transshipment port is the only main South Asian port, closest to the East-West shipping route that is well equipped for the 21st century mega container ships.
Hambantota managed by China Merchant Group is another emerging deep draught port which will service multiple commodities and types of shipping, supporting bulk, Ro-Ro, gas and bunkering services. With the huge hinterland land available for logistics services, this port is expected to transform the Southern landscape of Sri Lanka into a mega metropolis and is a key node for China’s “belt & road initiative”.
On the Eastern flank of the country is the world’s second largest natural port, Trincomalee used by the British during World War II. It is now being designed to be a major maritime city to service the region of the Bay of Bengal, connecting South East Asia to South Asia.<br/ ><br/ >As South Asia’s population and the middle-income group expands, demand for products for manufacturing and consumption is likely to triple or quadruple by 2050, making a huge demand for cost effective logistics services. The space in Sri Lanka is unmatchable to any other geographic location to provide logistics to emerging markets. In fact, Sri Lanka is the only location that connects two major hubs of Far-East and Middle East (Singapore & Dubai) within four days of sailing or four hours of flying. This unique advantage combined with the Indian Sub-continent market gives an unprecedented advantage to reduce costs, deliver on time to markets and provide access to consumers.
In view of this developing opportunity, the first ever Colombo International Logistics Conference with the support of the government of Sri Lanka, will be held on 1st & 2nd August 2019, to showcase an investment destination beyond 2020. The conference will be combined with port visits, free zone visits and optional tours as the country has been designated as the “top travel destination for 2019” by Lonely Planet. The conference is put together by CIMC Events, which had two major conferences in Colombo on the maritime industry of Sri Lanka in 2015 & 2016, where over 400 delegates took part. In addition, CIMC Events have conducted two international conferences in Mumbai, India and Dhaka, Bangladesh in 2017/2018 (South Asia Maritime and Logistics Forum).
The official media partner for the Colombo international Logistics conference 2018 is Maritime Gateway, India. A large international gathering is expected in Colombo for this conference.
Further information can be found on
Tel: +94 773820703/ +94 011 3560844
REGISTRATION OF SUPPLIERS TO SUPPLY COAL FOR LAKVIJAYA POWER PLANT-NOROCHCHOLI UNDER SPOT AND TERM TENDERS
Chairman, Special Standing Cabinet Appointed Procurement Committee (SSCAPC) of Ministry of Power and Energy, invites you amongst others to register with Lanka Coal Company (Private) Limited to supply of coal for the 900MW Lakvijaya Coal Power Plant at Puttalam. This invitation is extended on behalf of Lanka Coal Company (Private) Limited (LCC).
Lakvijaya Coal Power Plant (The Plant) of CEB requires 2.25 + 10 % Million MT of coal per year. LCC has been contracted by the CEB to supply entire requirement of coal for The Plant. In order to make sure the guaranteed quality supply of coal to The Plant, LCC decided to select internationally reputed coal suppliers and register them as its coal supplying parties. After the eligible coal suppliers are registered the LCC will call bids only from those who have registered to supply coal for The Plant. Therefore in future open bids will not be called, to supply coal to Lakvijaya Power Plant. However to include new suppliers to the registered list, LCC will call applications to register new suppliers. Therefore new suppliers always can be included in the coal suppliers list and update the list. The registration will be done for three years and can be renewed after evaluation on the criteria for registration. This process will help LCC to build the partnership with coal suppliers, so that unnecessary delays in evaluation of Technical and Financial capabilities of bidders can be avoided. Once the suppliers are registered, only the Price Proposals can be invited from the Registered Suppliers. Registration does not guarantee that the registered suppliers will be awarded a coal supply contract. Bidders must win the tender for that.
The application form can be downloaded here.
Ministry of Housing, Construction & Cultural Affairs has mandated the Construction Industry Development Authority (CIDA) to register the Foreign Contractors involved in identified construction work in Sri Lanka, as per the Section No. 39 of Construction Industry Development Act, No. 33 of 2014.
The regulation on Registration of Foreign Contractors has been published in the Gazette no. 2085/19 dated 23 August 2018.
Instruction for registration, fees including the application form relating to the registration process can be downloaded from CIDA website.
Sri Lanka has many assets to attract investors. Among many others, some of them are
- Its geographic key position in the Indian Ocean and on the New Silk Road;
- Its well trained, qualified and high committing staff;
- Best developing country in South Asia and best developing emerging country worldwide (reference: Bertelsmann Report 2018);
- Its stable Democracy, complying to international standards;
- Highest standards of respect and protection of environment and working conditions in South Asia;
The Board of Investment of Sri Lanka (BOI) is dedicated to assist all investors who wish to invest in Sri Lanka or are considering Sri Lanka as an investment opportunity. It was established in 1978 targeting on the development of the surrounding vicinity of Colombo. In 1992, its mandate was enlarged to the entire country.
The BOI has determined six sectors of investment and encourages international stake holders to invest in those domains.
The sectors are:
- Value Added Manufacturing
- Information Technology Enabled Services
- Tourism & Leisure
- Large Scale Infrastructure
If you wish to invest in one of the above or any other domain, BOI will be happy to assist you in
- Visa Facilitation
- Engineering Approvals
- Environmental Clearances
- Legal Services
- Import/Export Facilitation
- Industrial Labor Relations
- Zone Management/ Regional Offices
For further information, please visit www.investsrilanka.com.
Current Calls for Tenders:
Bid forms are available at the Sri Lanka Embassy in 1040 Vienna, Weyringergasse 33 - 35, 4th floor.
Procurement Notice for the Procurement of 400,000 nos. GRN Insulators to Sri Lanka Railways - Procurement no. SRS/F.7633
Closing date: 21 May 2019
The Procurement Notice may be downloaded here.
Procurement Notice for the Procurement of 20,000 nos. Low Friction Composite Brake Blocks for Vacuum Brake Equipped Rumanian Coaches for Year 2018/2019 to Sri Lanka Railways - Procurement no. SRS/F.7620
Closing date: 22 May 2019
The Procurement Notice may be downloaded here.