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Promoting Business Links with Sri Lanka

Remarks by Hon. David Kilgour

MP for Edmonton Southeast and Secretary of State (Asia-Pacific) to Members of the Canada-Sri Lanka Business Council in Toronto

Lester Pearson Building , Ottawa, November 19, 2003

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In a minute you'll hear from the experts about how you can 'get down to business', but allow me to just say a few brief words before you get started. 

First, welcome to DFAIT.  This building is sometimes referred to as 'Fort Pearson', but hopefully today will prove it's not as daunting as it seems!  I'm really pleased to meet each of you and to see your interest in pursuing business opportunities in Sri Lanka.  Although the Council is only its beginning stages, we have high hopes for you.   

You don't need to be reminded that Sri Lanka and Canada have a strong and deep relationship.  It's a friendship we expect only to grow in the coming years. 

Canada and others in the international community knew from the outset that the peace process would be a bumpy road.  While things are not progressing exactly as any of us would have liked, we believe that there's a strong enough groundswell of support for peace in all regions of the island that the process will get back on track. 

As a government, we're doing everything we can to help it get there.  Our political ties are arguably the strongest they've been in more than 25 years: in just the last two months, Foreign Minister Fernando visited Canada, Bill Graham travelled to Sri Lanka, a parliamentary delegation led by the Speaker of the House of Commons returned from Sri Lanka and I understand that he extended an invitation to the Speaker of Sri Lanka's Parliament.  

Through the Forum of Federations, Canada has been giving advice on federal options to both sides to the conflict, and CIDA funding has been increased to support reconstruction, particularly in the North and East.

However, anyone who knows Sri Lanka, knows that its future in no way needs to involve dependence on development assistance.  Fifty years ago, Sri Lanka's per capita income was equal to that of Taiwan and South Korea.  Even after sixteen years of civil war, its many advantages from a business perspective are clear.  As a cross roads of major shipping routes to South Asia and the Far East and a transshipment centre and hub port, its location is second to none.  With competitive wages and literacy rates of over 92%, its workforce is certainly attractive.   And (as we're reminded on a day like today), Sri Lanka's climate makes it ideal for tourism. 

When you couple that with Canada's unique competitive advantages (including a shared history in the Commonwealth, a deep friendship since independence and most importantly our immense people-to-people links), the fit between our two countries is an obvious one. 

That said, we're still facing challenges on both sides.  There's an obvious but (as proven by our strong business ties with other parts of South Asia, China and elsewhere) by no means insurmountable issue of distance.  Familiarity is also key: Sri Lanka is too often perceived by Canadians as a small, war-torn island with little trade potential.  Conversely, some in Sri Lanka (as in many other parts of Asia-Pacific) view Canada as a tourist destination or source of commodities, not as home to thriving high tech, engineering services and other industries. 

Business Councils have proven to be one of the most effective tools for overcoming these misconceptions.  In Canada's experience, size has no correlation to a Council's effectiveness.  Far more important are an emphasis on results and a focus on attracting a wide-range of members who are directly involved in investments, joint ventures, and trade with the partner country. 

I know that this organization will not only be of value to you from a individual business perspective, but also to us as a government.  You can be a useful sounding board for new ideas, a persuasive lobby group and a key source for helping our trade commissioners introduce new businesses to the market. 

Of course, in the case of Sri Lanka, your role is doubly important: we know that for the peace process to stay on track, a genuine economic 'peace dividend' has to be felt throughout the island. Politically, and through CIDA, we'll continue to support the peace process and to deepen our links with all regions of Sri Lanka, but please know that your objectives are equally important.

So we're here to help! 

  • Our Trade Commissioner Service is the pride of our department and you're about to hear from some of its most experienced officers; 

  • Glen Hodgins is one of the best officers at DFAIT.  He's in constant contact with High Commissioner Raymond and others at our mission in Colombo who work very hard at promoting trade, and ; 

  • I assure you that no High Commissioner will work harder to support you than Geetha de Silva!

I wish you all the best today and hope to hear soon of your many successes!  Thank you. 

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