Sri Lanka and Indian Merchants’ Chamber discuss expanding trade ties amid geo-strategic concerns

Consulate General of Sri Lanka in Mumbai and the Indian Merchant’s Chamber (IMC) organised an interactive session between the committee members of the IMC and the Mission officials on 09 November 2021 at the auditorium of the IMC in Mumbai.

Consul General of Sri Lanka to Mumbai Dr. Valsan Vethody graced the event as the chief guest, and he was warmly welcomed by President Juzar Khorakiwala and Director General of the chamber Ajit Mangrulkar upon his arrival. The purpose of the event was to interact with the officials and the committee members of the chamber to explore possible opportunities in expanding trade, investment and tourism between Sri Lanka and the western region of India.

During the welcome address, the President of the IMC while highlighting  the longstanding multifaceted bilateral ties between Sri Lanka and India, underlined some of the major promotional activities that IMC has successfully completed in collaboration with the Mission, such as  the webinar on “India – Sri Lanka current business environment, opportunities for joint collaborations for Agri and Processed Food Sector” organized on 29 September 2020″ and about the business delegation from the IMC to Sri Lanka in 2017.

In the keynote address the Director General of the IMC sounded curious to know about the developmental reforms laid out by the Sri Lankan government, the sectors opened for the investments and about the present economic situation in Sri Lanka, especially in the context of various adverse media reports in the Indian media. He also underlined the IMC members’ interests for the participation in the economic development process of Sri Lanka on a win-win economic equation favorable for both the parties.

Addressing the gathering and answering the inquiries raised by the committee members, Consul General explained about the present situation in Sri Lanka. During his address, he highlighted the GOSL’s successful vaccination campaign, measures taken by the government to welcome the international travelers and to revive the tourism industry; the investment opportunities available in Sri Lanka such as the pharmaceutical zone, textile zone, the port city, opportunities in fisheries & agro-sector; favorable investment climate; improving economic situation; air connectivity and the potential for furthering the trade and investment activities and he clarified the adverse propaganda on the Hambantota harbor, the  Port City and on the ‘so-called Chinese geo-strategic interest in Sri Lanka’. He went on to clarify the adverse media reports on foreign currency issue in Sri Lanka stating that it’s not a structural issue, but only a short-term liquidity issue due to the covid pandemic and that the central bank of Sri Lanka has already begun the process of normalizing the situation.

When inquired about China’s growing geo-strategic influence in Sri Lanka, Consul General Dr. Vethody clarified that we Sri Lankans are proud of our sovereignty and integrity and we will never be subservient to any other nations, and the ‘so-called Chinese economic presence in Sri Lanka’ is purely due to economic factors. He cited the examples of how Sri Lanka finished the separatist war despite mounting foreign pressure from powerful nations and the incidents of how a Chinese ship with undeclared radioactive material was sent out of Hambantota harbor and the recent incident of Sri Lanka not accepting the fertilizer consignment from Chinese company as the samples were tested contaminated. He invited Indian investors to participate to capture the opportunities in Sri Lanka without making up presumptions afterwards. All the participants were invited to attend the upcoming investment seminar organized by the Mission in association with the Confederation of the Indian Industries (CII), Gujarat Chapter).

IMC is a long-standing business association with rich heritage in Mumbai. Most of the major business establishments and industrialists in Mumbai and the western region of India, such as Reliance, Mahindra & Mahindra, Godrej, etc. are the members of the IMC. It has a membership base of over 5000 members and over 150 trade associations affiliated to it. The chamber was established on 07 September 1907 by few Indian Merchants, to fight for the rights of the local businesses’ interests. In recognition of the Chamber’s contribution to nation building, Mahatma Gandhi accepted honorary membership in 1931.The foundation stone of the Chambers’ building in Churchgate at Mumbai was laid by Shri Sardar Vallabhbhai Patel. The Chamber’s core function during the present time is to provide policy inputs and to promote interests of industry and economic growth of the country.

Consul General was assisted by Consul (Commercial) Sandun Sameera of the Mission during the visit.