John Baird: Canada's freedom agenda - Diplomat Magazine

DIPLOMATICA|TRADE WINDSSri Lanka: gems, designer labels and famous teaBy Chitranganee WagiswaraSri Lanka Tourist BoardDiplomatic relations betweenCanada and Sri Lanka date backto the 1950s. From its inception,the Canadian International DevelopmentAgency (CIDA) has been a developmentpartner to Sri Lanka. Against thisbackground, our bilateral relations haveevolved and the projects such as ColomboInternational Airport, the Canada-SriLanka Friendship Road, the Hardy TechnicalTraining Institute, the Maduru OyaReservoir and the extension of Gal Oyatransmission lines are testimony to thisclose relationship.Sri Lanka’s strategic location betweenthe East and the West, and its liberalizedeconomic policies, including free-tradeagreements with India and Pakistan, givesinvestors access to a sub-regional marketwith a population of more than 1.3 billion.In addition, Sri Lanka enjoys preferentialmarket access to China and South Korea(under the Asia Pacific Trade Agreement)and to the EU, U.S. and Canada underrespective tariff agreements.To facilitate trade, Sri Lanka hasreached agreements on the promotion andprotection of investment and on avoidanceof double taxation with most countries,including Canada.In the aftermath of the defeat of terrorismin May 2009, Sri Lanka recorded animpressive GDP growth of eight percentin 2010 while maintaining 17 percentgrowth in its exports. Sri Lanka’s exportsto Canada in 2010 recorded growth of22.3 percent — from US$ 101.3 million in2009 to US$123.9 million in 2010. Canada’sexports were up by 15.5 percent in 2010from US$292.9 million in 2009 to US$338.5 million in 2010. Canada has becomethe single largest supplier of wheat toSri Lanka while apparel and clothing30Workers harvest Sri Lanka’s world-famous tea.accounted to 53 percent of Sri Lanka’sexports to Canada. Solid and pneumatictires, rubber-based products, auto industrialcomponents, coconut fibre products,tea and spices are among Sri Lanka’s exportsto Canada.Sri Lanka supplies world-renowneddesigner labels: among them, Marks &Spencer, NEXT, Victoria’s Secret's PINK,Gap, Levis, Triumph, Reebok and TommyHilfiger. Sri Lanka is a producer of “Garmentswithout Guilt” and is home to thefirst among seven manufacturing facilitiesin the world to be awarded the LEED platinumrating, setting a global benchmarkfor green apparel factories.Affectionately known as the Islandof Gems, Sri Lanka boasts more than 70varieties of gems. Among them, the worldrenownedblue sapphire, known as theCeylon Sapphire, takes pride of place dueto its colour, clarity and lustre. Although theorigin of the sapphire in Princess Diana’sengagement ring — later worn by DuchessKate Middleton — is a well-guarded secret,the Sri Lanka Gem and Jewellery Associationclaims it did come from Sri Lanka 35years ago. Other famous stones from SriLanka include the British Royal Jewel (a105-carat chrysoberyl cat’s eye), the BlueGiant of the Orient, the Queen Mary ofRomania Sapphire and the Rosser ReevesStar Ruby. The Star of Lanka, a 193-caratsapphire, is displayed at the Royal OntarioMuseum in Toronto. Today, Sri Lanka isfast emerging as a design centre, offeringhigh-quality hallmarked silver, gold andplatinum jewellery collections.Sri Lanka is the third-largest exporter oforthodox black tea. Ceylon Tea, one of thefinest black teas, is also the world’s firstto achieve the status of “ozone-friendlytea.” Recognized under the MontrealProtocol, Ceylon Tea adheres to ISO 3720,the international quality standards set forproducers and packagers of black tea. Thetea market in Canada continues to grow;Sri Lanka’s tea exports to Canada haveincreased by 14 percent in 2010 comparedto 2009 (January-September).Sri Lanka has abundant tourist attractions,which have made tourism a boomingindustry with more than 45 percentgrowth last year over the previous year.The agreement signed this year betweenAir Canada and SriLankan Airlines providesconnections from Europe and Asiato major cities in Canada.As for Canadian investment opportunities,key among them are infrastructureprojects, including housing, hospitals,roads, public transport, property developmentand power-sector projects includingsolar power.I invite visitors to the Sri Lanka Expo2012 International Trade Fair, March 28-30, 2012, in Colombo. The trade fair willprovide a forum to explore opportunitiesin the areas of trade, investment andtourism. Participants will be offered threenights free in reputable hotels.With a 92 percent literacy rate andmany skilled workers, Sri Lanka is anemerging economy in a land of many untappedopportunities. Sri Lanka welcomesCanadian entrepreneurs.Chitranganee Wagiswara is Sri Lanka’shigh commissioner to Canada. Reach herat slhcit@rogers.com or contact the SriLankan commercial section in Toronto at416-323-2159.WINTER 2012 | JAN-FEB-MAR