Sri Lanka investors wooed by Maldives

The new government in the Maldives, in move to privatize the economy, is looking at selling state-owned businesses and becoming more investor friendly, the Maldivian leader said on a visit to Colombo.

“We come here to open the country for business. We are looking at an ambitious decentralization program. We have some state-owned 'white elephants' that we are looking at offering to Sri Lankan businesses that are interested in investing in Maldives,” said President Mohamed Nasheed.

“The Maldivian government does not want to be the majority share holder when it is privatized.”

Nasheed, who is on a three-day official visit to Sri Lanka, told local media that he is inviting existing Sri Lankan investors in the Maldives to diversify their business and move into other areas of the economy in future.

Sri Lankan investments are heavily concentrated in the lucrative high-end hotels sector.

“We are requesting Sri Lankan companies to diversify their business from tourism to power, transport, port, airport and infrastructure. We are looking at investments in social security sectors such as healthcare and education.”

“Galle Face Hotel is investing in an island that has an airstrip. We want them to invest in an airport as the tourists who will come to the resort will need an airport.”

Most Maldivian citizens go to neighboring countries for their education and health needs. Nasheed and former president Abdul Gayoom both received their primary and secondary education in Sri Lanka.

Nasheed said 10 percent of grid electricity capacity in the Maldives is owned by Sri Lankan operators.

Taxing stimulus

Nasheed said in the face of the global financial crisis his government has taken a policy decision not to seek funding assistance but to adopt a private sector stimulus package that would return tax revenues to government coffers.

“We asked the International Monetary Fund and the World Bank not give money to the government as it’s very unproductive,” said Nasheed.

“We prefer to take tax money generated via these investments.”

Maldives is one of the largest exporters of blue fin tuna, a staple diet in high-end markets such as Japan. The other big money-spinner is the tourism sector.

Amidst the global financial crisis, by-end November 2008 over 620,000 tourists had arrived in the Maldives, an increase of 16 percent from 2007. Over 70 percent of the tourists came from Europe.

Sri Lankan hoteliers such as Aitken Spence and John Keells are amongst the largest foreign leisure operators in the tiny atoll nation.

John Keells operates three high-end resorts under the brand name Chaaya and Aitken Spence Hotels operates seven high-end resorts under the Adaaran brand.

Analysts say most hoteliers in Sri Lanka are surviving due to their Maldivian investments.

“The current security and economic situation in the country and the global financial crisis has hit local hotels badly. Already, a few operators who did not invest outside Sri Lankan are in deep trouble,” said Danushka Samarasinghe, research manager at Asia Securities.

“Sri Lanka’s JKH and Aitken Spence has benefited by investing in the Maldivian hotels sector and the recent proposals of the Maldivian government to further liberalize the economy would create opportunities for Sri Lankan corporates to reduce country risks and boost foreign earnings.”

Tangled web

The Maldivian archipelago is a chain of 1,190 small coral islands grouped into 26 atolls and its 1.6 billion dollar economy is dominated by tourism and a thriving fisheries industry.

The former British colony gained independence in 1965 and was an Islamic sultanate till 1968.

Maldives was ruled by President Nasir till 1978. Thereafter former president Abdul Gayoom ruled for the next three decades, the longest serving head of state in the Asian region.

In the 2008 presidential election, Gayoom lost the election amidst corruption charges. Nasheed won with a 54 percent majority to govern the Maldives' 350,000 strong population.

Nasheed, a former journalist, was an outspoken critic of Gayoom’s government.

Much of Nasheed’s election campaign under the Maldivian Democratic Party banner was launched from Colombo as he fearing persecution by Gayoom.

Political analysts say even though Gayoom has vacated the country’s top seat his political cronies are still in important positions.

Nasheed said some of the former government's contracts have been irregular but that he does not want a 'witch hunt'.

Nasheed said his government will be taking a fresh approach to clean up corruption and red tape that’s hindering investment and development of the country.

“We want to be transparent and operate by the book and it will happen,” said Nasheed.

Source: lankabusinessonline.com

Indian investors can strike gold in Maldives

"Today we are having a different kind of democracy in Maldives - a democracy, in which politics has taken a back-seat and commerce has taken a lead. Investors will have a very smooth sailing here," said Mr Maizan Omar Manik, President, Maldives National Chamber of Commerce and Industry (Mncci).

"Now it is time for Indian investors to strike gold in Maldives in real sense. Maldives is looking for cooperation in many different areas of commerce and economy, including power, housing and hotel & tourism industry," he added.

He was speaking at the Meeting with Maldives Business Delegation, organized by the Confederation of Indian Industry (CII), here today.

Speaking on tourism industry in Maldives, Mr Maizan said, "As such India, compared to Maldives, is far ahead in the hotel industry. However, Maldives has certainly developed expertise in island tourism."

In his welcome address, Mr V K Mathur, Chairman & Managing Director, Inapex Limited, said, "Maldives offers big opportunities for Indian entrepreneurs and investors. Presently the trade between India and Maldives stands at 19.3 million dollars and there is scope to multiply it many times."

"India and Maldives have a long history of good relation and close friendship. In the new world order, when there is a tectonic shift in the centre of economic activities of the world from Europe and the US to Asian countries, we look forward to building a more vibrant business relation with Maldives," he said.

Speaking about the tourism industry in Maldives, Mr Mathur said, "Maldives is doing better job than India in tourism sector and has initiated many innovative schemes to attract tourist from all around the world."

Mr Ahmed Siyam Mohamed, President, Sun Travel's and Tours Pvt Ltd, said, "There is now a big opportunity for Indian investors in hotel, travel and tourism industry in Maldives."

"It should also be noted that no investor has ever lost money in Maldives. It is one of the safest places in the world for investment," he emphasized.

Mr Ahmed Shahid, First Secretary (Economic and Commercial), High Commission of Maldives in India, said, "Housing is now one of the priority sectors in Maldives. The government is trying to decentralize the housing sector. In this changed scenario, we are looking towards India for partnership in this areas, especially in mid-to-high and affordable housings."

Source: webnewswire.com

MICROSOFT NAMES TRIDENT ITS SECOND DISTRIBUTOR FOR SRI LANKA AND MALDIVES

Welcoming Trident onboard was a strategic decision as the move itself is expected to usher in greater competitiveness within Microsoft’s partner community, with benefits eventually cascading down to the consumer. Sriyan de Silva Wijeyratne, Country Manager of Microsoft Sri Lanka, said: “We are delighted to welcome Trident onboard as only our Second Distributor for Sri Lanka and the Maldives. We are confident that the depth of the experience and wide reach they bring to our business will benefit us and consumers as well. We are especially impressed by Trident’s distribution capabilities and well established partner network. Trident has proved its mettle in the IT market in the Maldives and Sri Lanka and we look forward to a winning partnership.”

Established in 1999, Trident Corporation Pvt. Ltd. is a wholly-owned subsidiary of the Singapore-based Thakral Group. The group operates in 34 countries and has a diversified and balanced mix of business interests in these countries. Trident has enabled partners to create and broad-base their IT offerings through periodic skills, enhancement programmes and incentive-driven sales initiatives. This resource availability and the geographical spread have helped the IT business to grow faster than existing market growth rates for both the Group as well as their partnering principals.

Commenting on the landmark occasion, Bikram Thakral, Chief Executive Officer Thakral Group, said: “Trident Corporation, a subsidiary of the Singapore-based Thakral Group, has pioneered the IT distribution business in Sri Lanka in 1999. The company has grown steadily in strength and stature, and has added a portfolio of products and services to address the growing IT needs of customers. The Group considers Sri Lanka to be a strategic market and today we are proud to have been appointed as a Microsoft Distribution Partner. This will enable us to bring our regional experience and expertise to the local market. We are very optimistic about the prospects of the local market.”

In Sri Lanka, Trident will bring its established leadership in the IT distribution field to bear on its partnership with Microsoft. Trident will be in a position to extend a wide gamut of Microsoft related services to clients in the Microsoft partner network and fulfil the increasing demand for such offerings.

Source: www.dailymirror.lk

Two companies approach Maldives for oil exploration

Two companies have approached the Maldives government about the possibility of prospecting for oil on the Indian Ocean archipelago, where the last survey in 1992 came up dry, the government said.

"We have had proposals from two parties. It's at an early stage," Deputy Trade Minister Abdulla Salih told Reuters. "It is going slowly at the moment because of a lot of changes at election time."

He declined to name the companies.

The archipelago, ruled for the last 30 years by President Maumoon Abdul Gayoom, is due to hold its first multi-party presidential elections by Oct. 10.

The Maldives is a chain of 1,200 mostly uninhabited atolls 800 km (500 miles) off the southern tip of India, known for luxury beach vacations and its environmental consciousness in developing the tourism that sustains its $1.05 billion economy.

Royal Dutch Shell (RDSa.L: Quote, Profile, Research, Stock Buzz) was the last to explore the Maldives, but found no trace of hydrocarbons after surveys and drilling an exploratory well to 900 metres (3,000 feet).

Ahmed Naseem, who headed the Shell survey on behalf of the Maldivian government, said companies had carried out exploration because the islands were formed in the same volcanic activity that created India's Bombay High offshore oilfield.

"It was a huge investment. They would not have left unless they were sure the structure did not allow for oil. But that may not apply throughout the Maldives," Naseem said.

Exploration in the country dates from the early 1970s, when several two-dimensional seismic surveys were carried out in the lagoons of the country's 22 coral atolls and the country's Inner Sea and four exploratory wells were drilled.

The prospect of oil exploration on the islands may strike some as jarring, since Gayoom has been one of the most vocal leaders speaking out against global warming.

His nation is seen as among the most under threat from rising sea levels with three-quarters of its islands standing no more than 1.3 metres sea level.

A U.N. climate change panel predicts seas will rise 59 cm (2 feet) by 2100, which means many of the Maldives' islands would be uninhabitable.

Gayoom, Asia's longest-serving leader, told Reuters in April that he wanted steeper cuts in greenhouse gas emissions, but not from the polluting international flights upon which the Maldives' tourism industry relies. (Writing by Bryson Hull; Editing by Jason Neely)

Source: By Judith Evans (Reuters)

Bangladesh to import petroleum from Maldives

Bangladesh has decided to import 150,000 tons of refined oil from the Maldives by December to meet the demand in local market, Bangladesh's energy secretary Mohammad Mohsin told reporters on Monday.

He said the state owned Bangladesh Petroleum Corporation (BPC) will purchase the fuel from the Maldives National Oil Company Ltd (MNOC) between October to December this year at a cost of 183.44 million U.S. dollars.

Out of the quantity, the MNOC will supply 90,000 tons of diesel,30,000 tons of octane and 30,000 tons of Jet A-1 fuel (or Aviation Turbine Fuel) to Bangladesh.

Bangladesh, a net oil importing country, has a demand for nearly 3.8 million tons of petroleum per year, including 2.8 million tons diesel.

Out of the demand, some 1.2 to 1.45 million tons are imported in crude form while the rest in refined from.

Bangladesh's main oil supplier is the Kuwait Petroleum Corporation (KPC), a state-owned company of the Kuwait government. Some other Gulf countries, including Saudi Arabia and the United Arab Emirates, also export oil to Bangladesh.

Source: english.people.com.cn

HNB receives prestigious ‘Super Agent’ award from MoneyGram

MoneyGram International Inc, popularly known as ‘MoneyGram’ is a world-renowned service provider for electronic money transfer services. With the Sri Lankan diaspora being well dispersed around the globe today, MoneyGram has become a household name in Sri Lanka due to its unblemished track record for fast, efficient and safe delivery of remittances to Sri Lanka.

MoneyGram is made available worldwide through 150,000 locations in 180 countries and this network continues to grow. HNB has been the main agent for MoneyGram in Sri Lanka since 2002 and business volumes have continued to grow during this relationship. HNB were appointed Super Agent in Sri Lanka by MoneyGram in April 2008. MoneyGram hosted a conference recently for its agents in South Asia at the Leela Hotel a prestigious sea side resort in Goa India.

Agents from India, Nepal, Bangladesh, Maldives and Sri Lanka were present at the conference which was also attended by a top team from MoneyGram represented by Jonathan Lavercombe (Vice President Marketing & New Product Development), Mark Perryman (Regional Director UK & Ireland), Harsh Lamba (Regional Director – South Asia), Massimo Canovi (Country Director Italy), Zainab Ali (Marketing Manager – International Markets USA), Ananth Srivatsa (Regional Marketing Manager Middle East & Pakistan), Yapheth Killekar (Relationship and Business Development Manager – West & South India, Sri Lanka, Maldives) and others.

HNB were adjudged as the agent with the “Most Productive Network of Locations” and the presentation was made at this conference (along with other categories of winners from around South Asia), in Goa India at a colorful ceremony This is not the 1st occasion HNB have been recognized by MoneyGram. In 2007, HNB received “Best Signage Collaboration Project” award from MoneyGram at the MoneyGram Asia Pacific Agent’s Conference held in Shanghai China.

Today HNB has all its customer centers providing an efficient and courteous service to MoneyGram beneficiaries and plans are under way to expand the network under the Super Agent Status granted by MoneyGram to HNB, whereby beneficiaries will enjoy the privilege of having more points of convenience for collecting their payments.

Source: http://www.dailymirror.lk

Maldives and Thailand agree to expand cooperation

The Maldives and Thailand have agreed to expand cooperation in several
fields and to increase the number of flights between the two countries, according to Thai foreign minister Noppadon Pattama.

Mr. Noppadon welcomed Maldivian Foreign Minister Dr. Abdullah Shahid upon his visit to Thailand from March 27-29. The Maldivian minister said he was glad to pay an official visit toThailand to exchange information and step up cooperation between the two countries.

The two sides held talks on cooperation in many areas including information exchange and the civil sector, Mr. Noppadon said. The two countries will sign an agreement covering that within this year.

The Maldives called on the Thai government to simplify the visa application procedure for Maldivians and to exempt visa application for persons who carry diplomatic or official passports.

The Maldives asked Thailand to support its candidate to hold a temporary seat in the UN Security Council in 2018 -2019 while Thailand asked Maldives to voice its support for Thailand's bid for a temporary seat on the UN Security Council in 2017-2018.

Mr. Noppadon said the two countries also discussed trade and investment and planned to increase flights to facilitate Thai tourists travelling to Maldives and Maldivians flying to Thailand for medical treatment.

Source: enews.mcot.net

India cuts negative lists for poor Saarc countries; trade target at $40 billion

India on Monday expressed confidence that the new government in Islamabad will soon implement the South Asian Free Trade Agreement (Safta) with New Delhi and take necessary measures, including duty changes, to facilitate trade.

India has unilaterally decided to cut the negative list with regard to the least developed countries—Bangladesh, Nepal, Bhutan and Maldives—in the Saarc region to around 500 from 744, to expand trade in goods in the region. The necessary notification to this effect would be revised within a few months. The Safta ministerial council, which met here on Monday set an intra-Saarc trade target of $40 billion in the next 3-5 years, from the present $20 billion. The council also agreed to start talks on an agreement on trade in services, alongside discussions on trade in goods. The regional study on Trade in Services has been completed, giving an opportunity for an effective services agreement amongst Saarc countries.

“We are looking toward the new government in Pakistan to take more positive steps in fulfilling the agreement in Safta, which it has acceded to but not implemented. We are looking at the new administration in Pakistan to look at this positively because it is an advantageous situation for them,” commerce and industry minister Kamal Nath told reporters here after the third meeting of the Safta ministerial Council.

Source: financialexpress.com

India raises limit on export of river sand, stone to Maldives

India has increased the limit on export of construction materials - river sand by 30 per cent and stone aggregate by 95 per cent - to Maldives for the next financial year.

The government has hiked the shipment quantity of river sand (also known as construction sand) to 5.85 lakh tons for 2008-09 from 4.50 lakh tons in the current financial year, the Directorate General of Foreign Trade said in a notification.

The export quantity of stone aggregate has been increased to 5.26 lakh tons from 2.70 lakh tons.

However, export of river sand needs to be cleared by the Chemical and Allied Product Export Promotion Council (CAPEXIL).

The notification specified that the mining of sand meant for export should not be undertaken in the prohibited coastal regulation zone area.

Maldives relies heavily on imports, of which 10 to 11 per cent go from India.

Minister of State for Commerce Jairam Ramesh had said at Male on January 31 that non-tariff barriers between India and SAARC countries, including Maldives should be removed.

As a part of this exercise, India has already allowed release of 20,000 tons of rice, 17,000 tons of sugar and other items to Maldives.

Source: economictimes.indiatimes.com

India to work for proactive economic cooperation with Maldives

A fervent desire on the part of India to lift the traditional assistance and trade-driven cooperation with Maldives to a comprehensive relationship structure comprising economic and academic cooperation and a healthy two-way trade regime is in evidence as Minister of State for Cooperation Jairam Ramesh began discussions with Ministers and officials here on Tuesday.

Mr. Ramesh, on a three-day visit to Maldives as part of his drive to expand trade and investment ties within the SAARC countries, told The Hindu that the time has come for India to take a hard look at its economic cooperation with Maldives and make it more proactive and even unilateral when it came to responding to the aspirations of a rich and young society that was trying to achieve its political and economic aspirations in a changing world.

Maldives is the third stopover for Mr. Ramesh. He had visited Bangladesh and Pakistan and is scheduled to visit Sri Lanka within the next two weeks.

The Minister’s tour of the SAARC nations and interactions with delegations is in preparation for the SAFTA Ministerial meeting in New Delhi on March 1 and 2.

“We have to send a signal that India’s perspective vis-À-vis SAARC countries is changing; that we are no longer prisoners of reciprocity and that we are sensitive to the concerns of our partners,” Mr. Ramesh said.

Pointing out that Maldives was one of the outstanding economic success stories of the past three decades with 7 per cent GDP growth and a per capita income in the region of $3000, Mr. Ramesh said India had to see how it could go beyond trade to investment and cooperation in diverse areas.

The present level of trade and investment interactions between the two countries was not commensurate with the potential. With a 11 per cent share, India was behind Singapore and Sri Lanka in exports to Maldives and there was scope for improvement here.

“In private investment, we figure nowhere, compared to Singapore and Malaysia.”

Mr. Ramesh identified the expansion of the list of items traded between the countries, making of the annual assessment of Maldives’ import requirements automatic, cooperation in the fisheries sector (particularly in tuna fishing), and greater Indian engagement in Maldives’ higher education needs as some of the areas where the two countries could have fruitful joint initiatives.

While India’s exports to Maldives during 2006 were worth Rs. 384 crore, imports were worth less than Rs. 6 crore.

“We must import more items and quantities from Maldives,” he said.

The Minister, who is being accompanied by Marine Products Export Development Authority chairman G. Mohan Kumar, said he would focus on bilateral cooperation in tuna fishing and processing during his talks with Maldivian officials.

India has already announced major plans to develop its tuna resources, particularly in the Andaman and Nicobar Islands. Fisheries in Maldives faces a challenge as from 2011, the country will lose its duty-free benefits in Europe.

Source: hindu.com

JAIRAM RAMESH TO VISIT MALDIVES FOR INTENSIFYING ECONOMIC COOPERATION

The Minister of State of Commerce, Shri Jairam Ramesh will be visiting Maldives from January 29th to 31st as part of his drive to expand trade and investment ties within SAARC. He has already visited Bangladesh and is scheduled to be in Sri Lanka in two weeks time. Interactions with delegations from Pakistani and Bhutan have also taken place. In addition, Shri Ramesh has visited all the important border trade centres in the region including Petrapole, Moreh and Attari/Wagah. The visit assumes significance in light of the forthcoming SAFTA Ministerial meeting in New Delhi on March 1st-2nd, 2008.

Shri Ramesh will also review the working of the Indo-Maldives Trade Agreement of 1981 in light of the changes that have taken place in the economies of both countries. India supplies essential commodities like rice, wheat flour, eggs, potatoes, stones and sand as part of this Agreement. Even though wheat exports from India are banned, as a measure of the importance it attaches to SAARC in general and Maldives in particular, India supplies wheat flour to Maldives.

India accounts for around 10-11% of Maldives imports, next to Singapore and Sri Lanka and is on par with UAE. Exports from India to Maldives are presently in the region of about $ 100 million. Singapore accounts for almost 90% of the FDI into Maldives, followed by Malaysia. Shri Jairam Ramesh’s visit is to explore how India can expand its trade and investment presence in Maldives, a country of great strategic significance to it.

Fisheries is one important area for bilateral cooperation that is proposed to be discussed during Shri Ramesh’s visit. Cooperation in tuna is one specific area that will be discussed now that India has also announced major plans to develop its tuna resources, particularly in the Andaman and Nicobar Islands. n addition, Maldives has sought India’s assistance to develop it as a trans-shipment and logistics hub because of its strategic location. Maldives has also expressed in expanding the scope of training in IT.

Source: pib.nic.in

India allows 17,000T wheat flour exports to Maldives

India has allowed export of 17,000 tonnes of wheat flour to Maldives, an exception from the current prohibition on exports of wheat and wheat products.

The exports will be through state-run MMTC Ltd and State Trading Corporation of India Ltd, Director General of Foreign Trade said in a notification dated Jan. 7, on its Web site.

India is a net wheat importer and doesn't allow export of wheat and wheat products.

Source: in.reuters.com

Kerala firm inks deal with Maldives Ports Authority

Technopark-headquartered IBS Software has signed a deal with the Maldives Port Authority to implement and maintain iPort, a port operations management solution.

iPort, developed by IBS, will optimise the management of core port and marine operations at Male port, reducing throughput time of vessels and cargo.

In a press release Friday, IBS said that its iPort was selected for port operations after an international bid and detailed evaluation.

V.K. Mathews, chairperson and CEO of the group, said their experience and expertise in the transportation and logistics was their key strength behind building functionally and technologically superior software products.

"We are certain that iPort will ensure improved service levels and revenue. We look forward to a long-lasting relationship with the Maldives Ports Authority," said Mathews.

iPort is a comprehensive and fully-integrated port operations management solution that supports the entire gamut of port operations, ranging from marine operations, cargo and container operations, yard operations, cargo delivery to billing of all services rendered by the port.

iPort currently manages three ports under the Sharjah Ports Authority.

Mahdi Imad, managing director, Maldives Port Authority, said iPort would help them manage their resources optimally while helping them adapt to changing business needs.

IBS group is a leading provider of new-generation IT solutions to the global travel, transportation and logistics industry.

A specialist in the domain, IBS offers a range of products that manage mission-critical operations of major airlines, airports, oil and gas companies, seaports, cruise lines and tour operators worldwide.

Source: Kalinga Times

For Chinese, South Korean exhibitors, trade fair means business

India International Trade Fair (IITF), pitted as one of Asia's largest trade shows, is becoming a coveted platform for Chinese and South Korean traders for doing business as well as understanding the consumer's mind.

Compared to 36 last year, this time the IITF has attracted foreign exhibitors from as many as 44 countries, representing over 100 companies.

'We have been participating since 2001 and every year we are experiencing good business. I think it has lot to do with such a booming economy. People now have more money in hand to spend - which is good for us!' laughs Xie Dabin, a Chinese exhibitor.

Unlike other years, the 14-day event this year had only the first two days exclusively for business and the other 12 days for the general public.

Even though the fair is open till Nov 27, all the South Korean exhibitors and almost half of the Chinese participants have already wrapped up their business and left.

China and South Korea have put up stalls showcasing mainly consumer durables, electronic goods and engineering products.

Luke Jing, another Chinese participant who had been coming since 2004, told IANS: 'Yes, it's true that some of the Chinese exhibitors have gone back but it is not because they did not do good business.

'They bring limited goods and when that gets all sold it makes no sense to stay for all the days.'

Luke also lauded the new rule of having the first two days exclusively for business devoid of any general crowd. He said that IITF helps them understand the changing preferences of Indian consumers.

Sheela Bhide, chairman and managing director, India Trade Promotion Organisation (ITPO), reiterated what Luke said.

'This is the normal practice of the South Korean and Chinese participants. They set a specific target for themselves in terms of sales and revenues. Once they meet that they leave, but they have paid for the stalls for the 14 days,' Bhide told IANS.

'This way we are able to manage the crowds properly and business people too don't face any problems. They had two exclusive days to them, and moreover this year we have made special arrangements for one-on-one interactions, special business lounges for important meetings to take place,' Bhide said.

Countries that have participated in this year's IITF are Britain, US, Australia, Singapore, Germany, China, Afghanistan, Belarus, Belgium, Bhutan, Brazil, South Korea, Hong Kong, Italy, Japan, Egypt, Taiwan, Switzerland, Syria, Tanzania, UAE, Holland, Iran, Indonesia, Kuwait, Vietnam, Maldives, Myanmar, Nepal, Nigeria, Oman, Pakistan, Poland, Philippines, Saudi Arabia, Bangladesh, South Africa, Sri Lanka, Surinam, Spain, Turkey and Thailand.

The fair is attracting over 120,000 visitors daily, of which more than 1,200 are business visitors discussing deals and large scale transactions.

Apart from the Chinese and South Korean stalls, stealing the show this year is Afghanistan, coordinated by the United States Agency for International Development (USAID), with lip-smacking dry fruits, watermelons, besides carpets and fabrics.

'Every year, I come to this place with my whole family. The best part is, one gets everything under one roof. Sometimes the crowd is too much but then it's worth coming here,' said Parkash Singh Sodhi, a visitor from Punjab.

Source: India PR Wire

Elephant House Ice Cream clinches market leadership in the Maldives

Creating yet another milestone in Sri Lanka’s ice cream industry, Ceylon Cold Stores, the makers of the popular ‘Elephant House Ice Cream,’ introduced its latest variant ‘Vanilla Lite’, to consumers in the Maldives thus further consolidating its market leadership position in the island nation.

Vice President JKH and Head of Frozen Confectionary of JHK Consumer Foods Sector Neil Samarasinghe said that Elephant House ice creams expanded its regional presence by entering the Maldives market in 2002. This was in keeping with the company’s vision of being a regional player in its sphere of business activity. “Today five years later, it enjoys the enviable top slot as market leader in the Maldives with over 50% share, amid competition from various international brands”, he added.

With its say-it-all tag line, “Guiltless Pleasure”, Vanilla Lite becomes the first such sugar-free, low-calorie ice cream of its kind to cater to a health conscious and rapidly expanding consumer base in the Maldives. It is geared to revolutionize the local market there by being a ‘must have’ dessert for all Maldivians who seek products of this nature. This also follows international trends with a growing consumer demand for low fat diet ice creams.

Samarasinghe went on to say that the Maldives with its fast developing economy and the sophistication of consumer tastes acquired through exposure from the growing tourism industry has been a fascinating yet, a tough competitive market to play. “There are loads of internationally renowned brands of ice cream and a variety of flavours available in Male. Our consistent quality and product innovations being on par with international standards have enabled Elephant House to position its products well above its global counterparts”.

Export Manager JKH Consumer Foods Sector Ranjith Galagoda said, “Our aim is also to drive our business to continuously retain the category leadership as well as strengthen the Maldivian consumer loyalty together with those of the thousands of tourists in the country who form a substantial portion of our consumer base”.

The distribution of Elephant House Ice Creams in Male is handled by Lily International, a well known establishment engaged in the trading, shipping and tourism businesses. It also represents a host of international brands in Male and possesses state-of-the-art storage and refrigerated transport systems. The success of Elephant House Ice Creams in Male has also been due to the fine blend of committed support and sound distributorship of Lily International and the marketing expertise of Ceylon Cold Stores.

Source: Asian Tribune

Vital Time For Free Trade

We may be at the “make-or-break” moment for global free trade. Although bilateral trade deals are becoming more common, consensus on the multilateral Doha Development Round of the World Trade Organization negotiations is still elusive. Many leaders have called for progress on Doha, but rallying political support at home for dramatic trade liberalization is always challenging.

So at this critical juncture, it is most important that we continue to give special attention to those economies that can actually benefit most from the Doha round — the least developed countries and smaller states. Opening markets and expanding trading opportunities stimulate economic growth and higher living standards. But for countries still isolated from the global trading system, there are large adjustment costs to opening their markets.

And that is why the new Aid for Trade initiative — launched at the World Trade Organization ministerial meeting in Hong Kong in 2005 — is so important. The United States, European Union and Japan pledged initial contributions of about $15 billion to kickstart the initiative through 2010.

Aid for Trade will help these least-developed and smallest countries benefit from new trading opportunities by building the necessary capacity to trade effectively and efficiently — with donor support coordinated through multilateral partnerships with institutions like the WTO, the World Bank and regional development banks.

Each small and weak economy has its own specific needs. Some are isolated or landlocked, others are in a post-conflict environment, and still others enjoy limited raw materials or resource endowments. Aid for Trade will help these economies build the infrastructure to transport goods and to create new, viable and cost-effective tradable products. It will provide assistance for export promotion and trade finance. It will also fund training for customs officials and for trade negotiators to take advantage of free trade agreements. In addition, it will offer help in implementing market-oriented reforms and, yes, building the social safety nets needed for people to adjust to the changing economic environment.

Although Aid for Trade is designed to help weak economies and small states into the global trading network, it is the private sector that will ultimately drive the supply and demand for trade, as new products fit into existing or new production networks — as raw materials for processing, intermediate goods for assembly elsewhere, or as final products.

Increased trade and investment — particularly intraregional trade and foreign direct investment — has been key in driving Asia’s expansion. China’s expansion continues at over 11 percent. India’s economic growth is about 9 percent, and those countries most affected 10 years ago by the Asian financial crisis are now growing at about 6 percent. But for all the hype about the region’s growing global economic power, there remain two distinct faces of Asia and the Pacific.

One perspective emphasizes the advances made by newly industrialized economies and the rapid expansion in China and India. This has led to a tripling in their share of world exports — to nearly 21 percent from less than 7 percent in 1980 — helping bring about rapid growth and higher living standards.

The other perspective focuses on smaller developing nations in this region and their challenges. From Afghanistan to Vanuatu, there are some 37 developing economies in Asia and the Pacific — least-developed ones like Bangladesh and Cambodia, small states such as the Maldives or Marshall Islands, or the landlocked transition economies of Kyrgyzstan and Turkmenistan. These smaller countries today account for just 2.8 percent of world exports, nearly the same as in 1980.

The dichotomy between the region’s success stories and those left behind boosts the argument for Aid for Trade. One of the goals of this initiative in Asia and the Pacific is to galvanize support from the region’s successful economies to help the small and weak economies within the region. Together with regional development banks in Africa, Asia and Latin America, we will see what is needed in each of these regions at this early stage of the initiative. The results will then be presented at a global Aid for Trade review meeting, to be held at WTO head-quarters in Geneva in late November.

Aid for Trade is about giving developing countries the tools to take advantage of market-opening opportunities, especially those that would result from the successful conclusion of the WTO Doha round — to better harness trade as an engine of economic growth and development. It is a necessary complement, but not a substitute. A successful conclusion to the Doha Development Round is the most important contribution that we can make to accelerating economic growth, promoting development and reducing poverty.

Pascal Lamy is director-general of the World Trade Organization. Haruhiko Kuroda is president of the Asian Development Bank.

This comment first appeared in The Wall Street Journal Europe.

Source: Sp. Times

Customs burden to be lifted for 18 Islamic countries

Turkey is preparing to gradual remove customs barriers with 18 Islamic countries by establishing a preferential trade system. It is set to remove high customs and non-tariff barriers with agreements to be signed next month with the following countries: the United Arab Emirates, Bangladesh, Morocco, Guinea, Iran, Cameroon, Qatar, Libya, Lebanon, the Maldives, Malaysia, Egypt, Pakistan, Senegal, Syria, Tunisia, Uganda and Jordan.

The “Preferential Trade System between Members of the Organization of the Islamic Conference” project will be implemented after the framework agreement is signed.

Source: Dunya Online

Ceylon Chamber of Commerce to establish Sri Lanka – Maldives bilateral business council

Ceylon Chamber of Commerce (CCC)considering the importance of Business Councils to promote its goals and objectives in bilateral trade and investment, at the request of the Department of Commerce launch the Sri Lanka – Maldives Bilateral Business Council on May 25, 2007. During the last 28 years CCC, has been successfully operating 18 Bilateral Business Councils under its purview and Sri Lanka – Maldives Bilateral Business Council would be 19th Bilateral Business Council. The main objective of this Council would be promotion of trade, investment, joint ventures, tourism and services between Sri Lanka and the Maldives.

‘Maldives being the third largest trading partner of Sri Lanka amongst the SAARC Countries accounting for US$ 45.85 Million, had a longstanding need to establish a strong link between Sri Lanka and the Republic of Maldives, to further strengthen its Bilateral trade ties. The request of Ms. Manel De Silva, Director General of the Department of Commerce to the CCC to form the Sri Lanka – Maldives Bilateral Business Council was timely since CCC too had identified Maldives as a potential market and our members too felt that they need a formal linkage to emerge into this market.

Prema Cooray, Secretary General/CEO, CCC saud that they are happy that this originated as a recommendation of the Sri Lanka – Maldives Joint Commission held last year and felt privileged to have honour in forming the Council.

Tourism is the largest industry in the Maldives followed by the fisheries sector. Manufacturing of garments, boat building and handicrafts too play a vital role in the Maldivian economy..

With regard to trade between Sri Lanka and the Maldives, the balance of trade has been in favour of Sri Lanka during the period 1996 – 2004. This could be attributed to the diversity of Sri Lanka’s exports to Maldives. This trend changed drastically in 2005, plunging down by 58 percent. However, it picked up again in 2006 with Rs. 3,053 Million exports and Rs. 2,444 Million imports.

The main exports to Maldives are textiles & clothing, fruits and vegetables, jewellery, ceramic products and tea. Imports mainly comprised Maldive Fish, Cement Clinkers, Yellow Fin Tuna, Flour, Meals & Pellets of Fish and Frozen Fish. Although Tourism is not considered in arriving at the export figures, Sri Lanka’s presence in this export service is very significant with two large conglomerates in Sri Lanka ( John Keells & Aitken Spence) accounting for almost 10 percent of the hotel room in the Maldives.

Fresh fruits, vegetables, coconut and rubber products, vegetable fats, miscellaneous edible preparations, plastic products have been identified as potential export items with rice being the latest addition to the list. Skilled workers to Maldives is another area which Sri Lanka could explore.

‘The CCC considers this launch as a landmark event since it is coinciding with the visit of . Mohammed Jaleel, Minister of Economic Development and Trade of the Republic of Maldives who will grace this occasion and address the gathering. This launch will be under the chairmanship of Mahen Dayananda, Chairman CCC.

Source: Asian Tribune

Sri Lanka, Maldives to set up business council

Sri Lanka and the Maldives plan to set up a bilateral business council this week to promote trade and investment between the two countries, the Ceylon Chamber of Commerce said Tuesday.

The Maldives is Sri Lanka's the third largest trading partner in south Asia with the trade balance being in favour of the latter.

There was potential to export skilled labour and products like rice, fresh fruits, vegetables, miscellaneous edible preparations, coconut, rubber and plastic products, the chamber said in a statement.

The Business Council, the 19th such bilateral council to be formed under the chamber's aegis, is to be launched on May 25 during the visit of Maldivian Minister of Economic Development and Trade Mohammed Jaleel.

"We had identified Maldives as a potential market and our members too felt that they need a formal linkage to emerge into this market," said Prema Cooray, Secretary General of the CCC.

Sri Lanka's main exports to the Maldives are textiles and clothing, fruits and vegetables, jewellery, ceramic products and tea.

It imports mainly Maldive fish, cement clinker, Yellow Fin Tuna, flour, fish meal and frozen fish.

Among the objectives of the business council are the promotion of joint ventures, tourism and services between Sri Lanka and the Maldives.

Sri Lanka’s presence in the Maldives tourism industry is very significant with two large conglomerates, John Keells Holdings and Aitken Spence, accounting for almost 10% of the hotel rooms in the archipelago.

Source: LBO

Bank Of Maldives Profit Up 150%

The Bank of Maldives has recorded a 150% rise in profits for 2006 compared with the year before.

The Bank, which is 75% owned by the government through a variety of shareholders, recorded profit after tax of Rf.235 726 million, compared with Rf.94 440 000 in 2005.

The bank has recorded a big rise in both the retail and corporate customers.

“Robust growth in the tourism, fisheries and construction sectors during the second half of the year has driven distributional activities in the country tremendously,” said Chairman Abdul Hameed Mohamed.

Source: Minivan News