Sri Lanka’s Export Development Board and CHEC Port City sign MoU
The Morning: In a move towards attracting export-oriented businesses to Port City Colombo, CHEC Port City Colombo (Pvt.) Ltd. recently entered into a partnership with the Sri Lanka Export Development Board (EDB), a recent statement noted.
Accordingly, a memorandum of understanding (MoU) was signed between the two parties to this effect at a ceremony held on 26 April at the Port City Colombo Sales Gallery. Signing on behalf of the EDB was its Chairperson Dr. Kingsley Bernard while CHEC Port City Colombo (Pvt.) Limited Managing Director Xiong Hongfeng signed for Port City Colombo.
Discussing the importance of the partnership, Hongfeng said, “We are pleased to establish this special partnership with the Sri Lanka Export Development Board, as it is an important step forward in positioning Port City Colombo as a regional logistics/business hub and financial centre in the heart of South Asia. We feel that this collaboration will enable us to promote Port City Colombo as a strategic location for export-oriented businesses to set up operations, whilst ensuring that we provide these entities the opportunity to further drive the economic development of Sri Lanka.”
This partnership will allow Port City Colombo and the SLEDB to seamlessly work in collaboration to promote the Colombo Port City Special Economic Zone as an attractive commercial destination for export-oriented businesses.
Accordingly, Port City Colombo will leverage its direct access to global markets, including that of Middle East, Asia-Pacific, and South Asia, whilst the SLEDB will provide the essential expertise and support to prospective businesses. Together, the two parties will work towards positioning Port City Colombo as an attractive strategic logistics hub in the South Asia region.
Dr. Bernard also said, “I believe that the SLEDB partnership with CHEC Port City Colombo (Pvt.) Ltd. will be a turning point for the Sri Lankan export community. This will help create awareness about the attractive fiscal and non-fiscal benefits and opportunities available for local exporters, and the establishment of their respective trade/buying office operations within the Colombo Port City Special Economic Zone.”
Port City Colombo (PCC) is a visionary multi-billion-dollar FDI-funded project located at the very heart of the South Asian region — the vibrant, thriving metropolis of Colombo in Sri Lanka. Positioned as the gateway to South Asia, it offers a combination of global investment opportunities, international business environments, world-class infrastructure, and sustainable yet cosmopolitan living.
As a Special Economic Zone (SEZ), PCC will feature a business-friendly environment including tax incentives and exemptions for a 25+ year period for Businesses of Strategic Importance (BSI’s), and transactions in foreign currencies, with no capital or exchange controls, and up to 100 percent foreign ownership. With upcoming developments such as Colombo International Financial Centre (CIFC), the luxury yacht marina retail and lifestyle offerings projected to break ground in 2024, PCC aims to emulate the successful economic models of Dubai or Singapore, whilst reinforcing the broader commitment to sustainability and liveability.
OSL take:
Sri Lanka’s exports sector is on a steady growth path supported by the many trade agreements as well as trade concessions enjoyed with other countries while the Colombo Port City Project is aimed at taking the country to the next level of development. The strength and growth of the exports sector is evident by the resilience shown by the sector even amidst challenging economic conditions. Local authorities are focused on further boosting the exports sector through the expansion of product portfolios and foreign markets. All these have expanded the business/investment opportunities in Sri Lanka’s exports sector. It is in such a backdrop that the EDB is looking at further expanding the country’s export sectors by venturing into the Colombo Port City Project. With Sri Lanka figuring prominently in China’s Belt and Road Initiative (BRI), there is a growth in Sri Lanka’s overall economic activities including the exports sector. Foreign businesses/investors could explore the expanding opportunities in the exports sector given the growing business potential in the sector.