Human Society is a product of consumerism which brings men closer to each other and offer a facilitated life style by benefiting from services and products produced by others.
Consumerism brings the nations closer to a global society. Brotherhood and partnership amongst masses beyond geographical boundaries. Closest possible neighbours come first to extend hands to fulfil each others needs.
Sri Lanka a close neighbouring country of Pakistan is a land of very wise and noble people who have proved best economic managers even in an atmosphere of long devastating internal crises.
Sri Lanka a very important member of Saarc enjoys cordially good relation with all neighbouring countries, has a sizeable economy of about dollar 16.3 billion a year with per capita GDP of dollar 830 in 2001.
All three principal growth sectors contributed to economic growth in 2001. The manufacturing sector recorded the highest growth of 9.2 percent, boosted by a recovery in exports.
The manufacturing sector's share of GDP grew by 6.9 percent. Agriculture Sector was a bit sluggish, growing at 1.8 percent and accounted for 19 percent of GDP. The construction sector grew by 4.8 percent. Industrial manufacturing accounts for about 26 percent of GDP, about 41 percent of which is textile and apparel.
Garments account for about 27 percent of industrial output, 35 percent of manufacturing employment and 50 percent of total exports.
Presently there are around 800 garment factories in operation providing direct employment to an estimated 350,000 persons, making this sector the largest single provider of employment in the industrial sector.
Export earning from the garment industry increased by 35 percent in the year 2000. Government of Sri-Lanka is seriously pursuing a master plan to obtain modern technology for industrialisation and industrial promotion by joining hands with counter parts like Japan and UNIDO.
The master plan has identified seven industrial sectors for development which include electrical/electronic; information technology; rubber and plastics; machinery; foot wear; textile and apparel and agro based industries.
Both Pakistan and Sri Lanka have been pursuing efforts of mutually gain-full endeavours on a vast scale.
In order to further increase the two way trade among the two countries, full trade potential of Pakistan and Sri Lanka is needed to be explored.
The trade balance between the two brotherly counties is in favour of Pakistan.
Pakistan's exports decreased from US$91.8 million in 1998-99 to 76.1 million in 2002-03, whereas imports increased from US$ 32.24 million in 1998-99 to US$ 38.24 million in 2002-03.
In the year 2002-03, Pakistan exported textile yarn and fabrics, fish, dried salted, Vegetable and Fruits, articles of apparel and Cloth accessories, pharmaceutical products, rice, iron and steel and articles thereof, polyvinyl chloride, leather and leather manufactured articles etc. Sri Lanka's main exports to Pakistan were Copra desicated, tea, vegetable and fruits, Betle leaves, smoked sheets of rubber, natural rubber and rubber products, broom sticks, textile and fabrics etc.
To promote mutual business relation between Pakistan and Sri Lanka a Joint Economic Committee (JEC) was established in 1974 for the purpose of institutional arrangements for development and expansion of economic, commercial and technical co-operation.
This Committee has made useful contribution in promoting economic co-operation and taken important decisions toward the achievement of this goal.
During the meeting of JEC in May-2001, held in Islamabad, both sides discussed number of bilateral economic issues.
Pakistan raised the issue of reduction of duties on is onions and potatoes, lifting on ban on the import of its apples, fruits and rice, besides establishment of warehouses and display centers. Sri Lanka desired to seek the textile expertise of Pakistan to develop their textile industry. Both the countries also agreed to form two groups to carry on deliberations of trade, commerce, industrial co-operation, joint ventures, investment, communications, railway, agriculture, Science & Technology, Education, Culture & sports, petroleum & natural resources and defence.
The Pakistan side proposed to have joint ventures in Agriculture, Business e.g. Seafood processing and Sugar production, Value-added textile and garments; Tea and its plantation; Construction of Hotels and Resorts for Tourists; Ship breaking and repairing; Dehydration, Preservation and canning of fruits and vegetables; Electronics, metal, fabrication and light engineering etc.
The Sri-Lankan side identified the following potential areas for investment in Sri Lanka by Pakistani entrepreneurs, ie, Steel; Agro based products; Textile products; Pharmaceutical Products and Sports goods etc.
President of Pakistan General Pervez Musharraf visited Sri Lanka in August 2002. During his visit, he along-with his delegation held wide-ranging talks with Sri-Lankan Prime Minister to boost trade and co-operate in Science, Technology and other fields.
During his visit three MoUs were also signed including much awaited Free Trade Agreement (FTA) and co-operation in the fields of science & technology and culture, tourism and archaeology.
At present 17 Pakistani Companies are operation with Rs 380 million investment in Sri Lanka. The areas in which further co-operation can take place amongst the two countries are, Readymade Garments; Leather and Leather Products; Textile and Agro-based Industry.
During the years 1999 to 2003 a number of agreements and MoUs were signed by both sides for trade in nine house hold products including Electric Appliances, Fans, Garments, Accessories, Surgical Dressing, Auto parts, Rice, Tea, Sugar and Machinery.
An agreement worth dollar 10 million for supply of railway coaches to Sri Lanka also took place, various visits of dignitaries at government level as well as business community took place resulting mutual agreements to further promote business and culture ties amongst the peoples of Sri Lanka and Pakistan.
During the year 2002-03 major imports from Sri Lanka was Copra desicated worth US$ 11.21 million and Tea worth US$ 5.87 million totalling US$ 38.24 million while Pakistan's exports remained 76.10 million which includes Textile Yarn worth 32.78 million alone and dried & salted fish worth 7.38 million dollars favouring balance of trade to Pakistan to the tune US$ 37.86 millions.
Peoples of both Sri Lanka and Pakistan share the taste of Lands of each other and brotherly ties need to be further enhanced by promoting confidence of consumers of both the countries, which will furtherance the need to institutionalise a Joint Consumers Association (JCA) which may take the task to promote Consumer to Consumer relations amongst the peoples of both the countries. Consumers Association of Pakistan, already established for the very purpose is working on these lines to provide a comprehensive plate form to business communities as well as consumers of both the countries and wish a prosperous future to the brethren people of Sri Lanka on the most special event of National Day of Sri Lanka.
(The writer is Chairman Consumers Association of Pakistan.)