Whether it is necessary to enter into FTAs?
The world around us is increasingly moving forward with regional and bilateral free trade agreements (FTAs) as the multilateral trade liberalization process led by the WTO has come to a standstill. There are now 419 regional trade agreements in the World.
If we look at South Asian countries in SAARC, Sri Lanka is far behind others in working out duty free or preferential market access with other countries. In SAARC, five countries, viz. Bangladesh, Nepal, Bhutan, Maldives, and Afghanistan, by virtue of them being LDCs qualify for duty free access to the EU and Indian markets. In fact, nearly 84% of SAARC LDC exports have duty free access to the world at large. India has preferential market access to ASEAN, Japan, South Korea, by various FTAs and CEPAs it has signed during the last decade. Pakistan has FTAs with China, Malaysia and Sri Lanka and benefit from GSP‐plus in the EU market. In contrast, Sri Lanka has preferential market access only to India and Pakistan (and some preferential access to APTA members China and Korea to which Bangladesh and India also qualify). Clearly, Sri Lanka lags behind even with its South Asian neighbors in having preferential market access to its trading partners.
What Sri Lanka need to do is to ensure growth and sustaining the traditional two major markets, namely the U.S. and the E.U. and negotiate Free Trade Agreements with emerging South Asia and Far East Asian countries, with the most dynamic potential trading partners in the South East Asian region, thus linking to the global production and value chains. Accordingly, Sri Lanka has embarked upon negotiations on FTAs with India, China, Singapore and Thailand.
Whether the government has national policy on trade?
Yes.
Whether the New Trade Policy is a fake document?
The Ministry observed that the trade related policy decisions are taken at different institutions under jurisdictions and following different directions. They were mostly ad-hoc and fragmented. Those decisions did not follow a clear direction. Absence of a national trade policy led to chaotic decision making and non-effective directions resulting poor performance in terms of trade. Recognizing this, the government decided to adopt a national trade policy which can bring together various policy directions demonstrated by different agencies into one platform where there is a clear vision.
The trade policy was formulated through an inclusive process and it took almost one year from May 2016 to May 2017 for the preparation. As it gives a fresh outlook and a broader governing framework for the country’s trade regime and brings the unclear trade policies prevailed so far into one platform for the first time in Sri Lanka’s history, the document was named as New Trade Policy. The New Trade policy took into account development objectives of the government, Sri Lanka’s comparative advantage in trade, past trade performance, recent global trade developments and trade policy formulation experiences of other countries.
The policy was prepared by two committees, a representative committee with the participation of several representatives of government agencies and later brought it to a focused paper by a group of experts headed by Dr. Sarath Rajapathirana, Economic Advisor to the H.E. the president and made it publicly available for comments.
Cabinet approval was granted to the New Trade Policy (NTP) at the meeting held on 1st August 2017. The cabinet has directed the Ministry of Development Strategies & International Trade and all relevant line Ministries to take action to implement the policy measures contained in the NTP pertaining to the matters under their purview.
Whether the Sri Lanka- Singapore agreement has been done secretly?
SLSFTA negotiations was started on 7 July 2016 and since then 8 rounds of negotiations were held between the respective negotiation teams in about 18 months, the final negotiation held during 13-14 Nov. 2017. Negotiations were conducted by Cabinet approved National Trade Negotiation Committee and 12 of its sub committees, chaired by including all relevant public sector institutions. Over a period of 18-months, more than 20 consultations were held with a wide range of stakeholders including chambers, industry associations, professional associations etc. There were common consultations regarding all ongoing FTAs but different Sub Committees had sectoral consultations on specific to areas under each FTA with relevant Associations and Chambers.
The Cabinet has kept informed on the status and the stances taken during the negotiation process. Finally, the first draft of the SLSFTA submitted to the Cabinet of Ministers on 22nd of December, 2017 and was tabled at cabinet meetings held on 02.01.2018 and 09.01.2018 along with observations submitted by H.E. the President and 14-other Cabinet of Ministers. Clearance of the Attorney General by his letter dated 15.01.2018 was obtained. Approval of the Cabinet for entering into this was given at the meeting held on 16.01.2018 and accordingly the Agreement was entered in to on 23.01.2018. However, the agreement came into force on 1st May 2018, after enactment of the bill on Anti – dumping , countervailing and safeguards.
Whether tariff becomes zero for all goods immediately after this agreement?
There are 7438 total tariff lines in the Goods schedule of SLSFTA.
It is important to note that Sri Lanka’s 50% tariff lines (3719 items) are already duty free, except for a few not only to Singapore but for any other country. The Tariff Liberalization Program (TLP) of SLSFTA was done in consultation and with the agreement of the Ministry of Finance and Mass Media because it has to be carefully designed to have the least impact on domestic industry and revenue collection.
Under SLSFTA, Sri Lanka undertook (“TLP”) to liberalize upto 80% of its tariff lines over a period of 12 years to 15 years. As said in the beginning, Sri Lanka’s 50% of Tariff Lines will be immediately liberalized when Agreement comes into force as those 3719 tariff lines except for a few are already duty free. Consequently, it will not have any impact either on revenue or domestic industries. The rest of the tariff reduction and elimination will be a gradual process i.e 15% of Tariff Lines (1116 items) from the 1st to 6th year in equal instalments, next 14.3% of Tariff Lines (1064 items) from the 7th to the 12th year in equal instalments and 0.7% (51 items) from the 11th to the 15th year. Therefore, all tariff lines of all goods will not become “zero” immediately on enter into force of the agreement.
Whether domestic industries are at a threat because of this agreement?
Almost all FTAs signed by Singapore with its other trading partners, the level of liberalization is kept close to 90% or more of the tariff lines. Sri Lanka, in comparison, has been able to negotiate to limit it to 80%, thereby keeping 20% of tariff lines i.e. 1487 items in the Negative List to protect domestic Industries and revenue concerns. Items like footwear, confectionery and many other sensitive items which has a high MFN tariff have been kept in the negative list due to domestic sensitivities though one can argue that keeping them in the negative list does not benefit larger segment of consumers.
Furthermore, bilateral safeguard section under the trade remedies chapter of the agreement has provision to increase tariff to the MFN level, if import surges take place on a particular product due to implementation of the trade liberalization programme and if such imports cause injury or threaten to cause injury to domestic industry. Therefore, there are provisions in the agreement to protect the domestic industries. In addition, mere reduction of tariff will not enable products to be imported, since the products to be imported from Singapore, should meet the rules of origin criteria. Furthermore, products imported will also be subject to import license requirement, if applicable, and also to regulations for protection of human, animal and plant life.
Can the products of other country (like India, Malasiya, Indonesia etc.) origin come to SL under SLAFTA?
The SLSFTA stipulates that there should be a minimum of 35% value addition or change of Tariff Headings at 4-digit level to ensure that a substantial value addition or processing is taken place within Singapore. Sri Lanka has not accepted ASEAN cumulation proposed by Singapore. Therefore, inputs originating in member countries of ASEAN will not qualify for tariff concessions unless 35% value addition or change of tariff heading at 4 digit level has taken place in Singapore. Furthermore, under the Rules of Origin criteria, products imported from Singapore will not qualify for tariff concessions unless 35% Value addition or change of Tariff Heading take place at four-digit level in Singapore. The Rules of Origin in the Agreement will therefore not allow goods simply to be exported through Singapore or entroport trade, since minimum value addition or processing has to necessarily take place in Singapore.
Is there any major impact on government revenue?
There will be little or no impact from the immediate list since 50% tariff lines (3719 items) are already duty free.
Import data on products imported from Singapore will show that out of total imports of US $ 1293 million in 2017, US $ 750 million were petroleum and related products (in fact amounting to 60% of imports from Singapore) and US $ 228 million were gold. Although gold is under duty free list imposition of excise duty will protect revenue. Since tariffs on petroleum products, tobacco, spirits and alcohol are an important revenue source to the government, these items have been retained in the Negative List (products that will not be subject to liberalization), thereby protecting revenue. It should be noted that as liberalization of tariff will take place over 12 to 15-year period, revenue loss, if any, should be calculated yearly basis and not as if tariff on all items are reduced immediately. According to the Ministry of Finance, total customs revenue collection from imports from Singapore in 2017 was Rs.35 Billion and revenue loss consequent to tariff liberalization under the Singapore agreement over the entire period of 15 years Sri Lanka is Rs.733 Million. Therefore average annual revenue loss is Rs.49 Million. Furthermore, Finance Ministry analysis shows that 97.79% revenue is protected.
Whether the domestic producers will badly affect through flooding of cheap products?
Such a situation is prevented through the new legislation on Trade Remedies that the parliament approved recently. In addition, the Agreement also contains a Chapter on Trade Remedies which cover anti-dumping, countervailing and subsidies, , global safeguards and bi-lateral safe guard measures. Since Sri Lanka has enacted legislation on trade remedies in March 2018, Sri Lanka is now in a position to take legal action if dumping take place, or subsidies are granted by Singapore, to counter them. In addition, bi-lateral safeguards can be applied during the implementation period of the TLP if increased imports from Singapore due to tariff reduction causing injury to domestic industry. These provisions will enable Sri Lanka to apply such measures, if need arises, when the SSLFTA is implemented.
Is it allowed to import harmful products such as garbage, clinical waste, nuclear waste, chemical waste etc. through SLSFTA?
Some argue that since waste products are included in the TLP, such items can be dumped into the country under the agreement. It needs to be emphasized that reduction or elimination of tariff automatically does not grant automatic entry of a product into the country . For all products imported into the country, , domestic regulations and mechanisms and applicable import licensing requirement, applicable standards, regulations applicable to protect plant, human and animal life will apply. This agreement does not take away Sri Lanka’s rights under International Environmental Protection Treaties to which Sri Lanka is a signatory. Therefore, the current environmental laws and regulations will apply to such products and therefore this agreement has no exemption for those to enter to the country. Under the Article 20 on “General Exceptions” of GATT 1994, Sri Lanka has right to take measures to protect human, animal and plant life or health. This provision has been incorporated into article 17.7 of the agreement which ensure this right. Therefore, if there is a need, such measures can be introduced in the future.
Will the agreement affect Biodiversity of Sri Lanka?
It is alleged that this agreement will affect the Fauna and flora of the country as endangered species such as elephant, reptiles etc. could be exported to Singapore and such animals could also be imported from Singapore. It should be mentioned that Sri Lanka is a signatory to Convention on International Trade in Endangered Species of Wild Fauna and Flora (CITES) and Convention on Biological Diversity and the agreement does not take away our rights under these two conventions or under any other relevant conventions. Such imports and exports will be subject to domestic regulations and mechanisms implemented under such conventions which include licensing requirement and recommendation and approval of the relevant designated government agency.
Why such harmful products are included in the duty free list?
In any international Free Trade Agreement, it is necessary to include all tariff lines that is 7438 in the goods schedule that is either in the negative list, immediate liberalization list or phasing out list and a tariff line cannot be excluded. Therefore, such products should be in any one of the lists.
Sri Lanka choose, inclusion of these items in the TLP of 80% as it gave flexibility for Sri Lanka to include domestically sensitive more items in the negative list, because such harmful items cannot be imported anyway without obliging the local laws.
This is not the first time that these items are brought under the duty-free list. Most of these items have been included in the duty free list in the Indo-Sri Lanka Agreement and Pakistan-Sri Lanka Agreements and there is no evidence to suggest that these products are coming in to the country in any harmful manner. However, such items cannot enter the country because environmental laws and regulations, import licensing requirements will apply to them. Therefore, it is not something that has been granted to Singapore only.
Why importation of paddy kept duty free after 12 years in the agreement resulting our food security at a threat?
In the case of items like paddy, grains, wheat the applicable rules of origin is criteria of “wholly obtained”. The wholly obtained product should be obtained from the soil of the country that is in Singapore. If such agricultural items like wheat, paddy and other grain if not “wholly obtained” within Singapore such products would not qualify for duty free entry even such products are in the free list. And there are no paddy fields in Singapore to obtain such product from Singapore soil. It is alleged that rice from Pakistan, Thailand and Vietnam could be channel through Singapore. In the first place rice is in the negative list and therefore, the question does not arise rice being imported through Singapore.
Whether the agreement makes any commitment to liberalize services?
Both Sri Lanka and Singapore decided that the SLSFTA should be limited only to business visitors and intra-corporate transferees. Therefore, the agreement completely excludes any independent movement of natural persons (ie. Excludes Contractual Service Suppliers and Independent Professionals). Accordingly, Sri Lanka’s commitments in trade in services are limited to within the existing level of openness in Sri Lanka’s current legal and regulatory framework. As per prevailing exchange control laws, mode 1 (cross boarder supply) and mode 2 (consumption abroad) are by and large open for market access. Accordingly, as per Sri Lanka’s commitments in scheduled sectors Sri Lanka places no restrictions in market access for mode 1 and mode 2. Thus staying in line with prevailing level of liberalization and the SLSFTA offers no new market access in this regard.
In mode 3 (Commercial presence or Investment) as well, Sri Lanka’s commitments under the SLSFTA do not in any cases go beyond the prevailing level of openness offered through the Foreign Exchange Management Act of 2017. In fact, in some cases such as construction services, the existing regulations allow 100% foreign equity ownership, but the SLSFTA makes a commitment only up to 40% foreign equity ownership. Therefore, with regard to services provided through investment as well, the SLSFTA provides no new liberalization but stays within the existing level of openness allowed through prevailing legislation and regulations.
In Mode 4 (movement of natural persons), Sri Lanka has made limited commitments only in business visitors and intra-corporate transferees in a few sectors and movement of independent professionals is not liberalized or allowed Here again the key priority is in supporting measures to attract investment to Sri Lanka. Any company that makes a significant investment overseas would like to have its senior management to accompany that investment to ensure that the investment provides the desired results. Accordingly, in selected sectors Sri Lanka has made commitments for intra-corporate transferees of senior management.
These senior management categories are defined as Managers, Executives, and Specialists. Each category has a clear definition in the Agreement. For example, an executive is an employee who is either a director of the company or receives only limited supervision from the general body of shareholders.
Therefore, intra-corporate transferees of defined senior management linked to investment are allowed in the following sectors (IT, financial services, subsectors of maritime services (repair and rental services), construction industry (where a Sri Lankan company would have a majority ownership), hotels and restaurants, travel agency (where a Sri Lankan company would have a majority ownership), advertising, technical testing services, and sports events organization.
Such senior management intra-corporate transferees are subject to all immigrations laws and regulations. They must also have at least 5 year experience in relevant industry or professional field. The initial period of work will be up to 2 years which can be extended up to a maximum period of 5 years subject to approval by the controller of immigration. Furthermore, corporate transferees appointed to senior management positions should work in the same company to which they are transferred and cannot move to work in another company. As per current laws and regulations, BoI approved companies can bring in project personnel allowing 2 year visas for directors, and private companies can bring in foreign employees where skill shortages exist with line ministry approval.
Given the stringent definitions of senior management categories within intra-corporate transferees, it is likely that Singaporean companies will only transfer the most required and important categories of employees to a Sri Lankan branch/subsidiary. Considering the significant wage gaps between Sri Lanka and Singapore – it is highly unlikely that these employees will come to Sri Lanka and undercut Sri Lankan wages and take Sri Lankan jobs.
Does the Singapore FTA open up professional services?
The short answer is no. Sri Lanka’s commitments in professional services are limited to mode 1 and mode 2. That too in sub-sectors of selected professional services which were requested to support Singaporean investments into Sri Lanka. Mode 4 and Mode 3 are not liberalized to any extent in these professional services – thus there is no provision for Singaporean professionals to come and work in Sri Lanka under the SLSFTA.
Accordingly, Sri Lanka made commitments in Mode 1 and Mode 2 in legal advisory services excluding Sri Lankan law, provided cross-border – therefore this excludes the practice of Sri Lankan law. Mode 3 and Mode 4 are “Unbound” meaning no liberalization or commitments by Sri Lanka.
In engineering services Sri Lankan made commitments in Mode 1 and Mode 2 in the advisory and consultative services sub-sector – this again does not include the practice of engineering, but is only advisory and consultative services provided cross-border. Mode 3 and Mode 4 are “Unbound” meaning no liberalization or commitments by Sri Lanka.
In architectural services Sri Lanka made commitments in Mode 1 and Mode 2 in the pre-design advisory and consultative services sub-sector – this again does not include practice of architecture, but is only for advisory services provided cross-border. Mode 3 and Mode 4 are “Unbound” meaning no liberalization or commitments by Sri Lanka.
Does the Singapore FTA allow non-nationals of Singapore to take advantage of the FTA and enter Sri Lanka?
In the SLSFTA Singapore defines a “National” as a citizen of Singapore or a Permanent Resident of Singapore. Singapore has a population of 5.6 million people and the number of Permanent Residents is 0.53 million as of 2017. Obtaining PR in Singapore is a long and stringent process, subject to more challenging requirements in recent years. It is only this cohort of Singapore Nationals that can benefit from the FTA, and all other nationalities are excluded from the FTA. It is highly unlikely that someone who has with difficulty obtained Singapore PR and earning Singaporean wages would try to sneak in to Sri Lanka and take Sri Lankan jobs using the FTA as a conduit. Even if a Singapore National is allowed to arrive as a corporate transferee, will be subject to limitations of 5 years of relevant industry or professional experience, period of visa initially for 2 years which can be extended to maximum period of 5 years and cannot move to work in another company and could work only in the company to which he/she was transferred.
Does the Singapore FTA enable manpower and recruitment services companies to bring down all manner of workers from anywhere in the world?
Sri Lanka’s offer in “Placement and Supply of Personnel” is limited to Modes 1, 2, and 3. This means a Singaporean recruitment services company could set up a company in Sri Lanka. This is already possible under prevailing laws and regulations.
Sri Lanka’s commitment in this sector does not include Mode 4 in any capacity – it is completely unbound. Unlike in other Mode 4 commitments, there is no reference even for senior management personnel for such recruitment companies.
Therefore, a Singaporean recruitment company can set up an office in Sri Lanka, as is already allowed in the current legal structure, but it cannot recruit personnel from abroad since mode 4 is unbound. Any such recruitment company that wishes to hire work from overseas has to go through the regular processes of immigration, line ministry approvals – the current laws and regulations prevail and the FTA creates no new liberalisation in this regard.
In fact Singapore has also made a commitment in “Placement and Supply of Personnel” covering mode 1, 2, 3, and in mode 4 for business visitors and intra-corporate transferees. Singapore’s commitment has gone beyond Sri Lanka’s commitment in that it makes some commitment in Mode 4 whereas Sri Lanka leaves Mode 4 completely unbound. Singapore’s commitment in this sector does not mean that a Sri Lankan company can recruit workers from anywhere in the world to freely work in Singapore.
*Press released issued by Ministry of Development Strategies and International Trade
Herbert Thambiyah / August 23, 2018
Who is the author of this article?
Killi Maharaja, Rusiripala, Malinda, Shamindra or Rajeewa Jayaweera. or Keerthi Tennekoon.
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Robert Wanasundera / August 23, 2018
Herbert.
All those names are under the payroll of Sirasa Channel.
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Babalathappu / August 23, 2018
There are two groups of parrots being trained by Sirasa for the job- to compete with DERANA – SIRASA should also have more quota in frequencies
1) Killi Maharaja, Rusiripala, Malinda, Shamindra or Rajeewa Jayaweera. or Keerthi Tennekoon, Mahanama, Wijewardhana, Dayana Jayathilaka ( just now moved out) ( SENIOR PARROTS)
2) Chandana AND Other moderators that repeatedly only talk on BOND scam ( these men bury the ground reality of BOND scam – and what bond scam they had prior to 2015). – Junior PARROTs
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nimal fernando / August 23, 2018
It’s great for CT to publish this in its entirety ………. and not a cherry-picked abridged version ……….. to score political points
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Can the usual patriots who want nothing but the best for the country…….. Killi Maharaja, Rusiripala, Malinda, Shamindra, Rajeewa Jayaweera, Keerthi Tennekoon …………….. brimming with love for the beloved-motherland and critics of this unpatriotic Yahapalanaya government breakdown every section of this press-release and let us know it’s shortcomings?
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Or, better still, …….. give their own version of a FTA or a remedy?
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Inaction and remaining still in backwardness is not an option
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Champa / August 25, 2018
With ETCA to be signed in December with India and the SL-Singapore FTA, Sri Lanka will have to replace the popular phrase “the Paradise of the Indian Ocean” to “the Cesspit and the Junkyard of the Indian Ocean.”
“The Pearl of the Indian Ocean” will be called as “The Trash Gyre of the Indian Ocean.”
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Champa / August 23, 2018
Before making a comment on this article – Singapore-SL FTA, I have something to say.
This government has opened a disastrous path to us.
Look at what is happening in SOUTH AFRICA today.
When the South African government-ANC tried to acquire their lands, their own lands from Whites, Trump has posted a racially motivated tweet against the move.
Same thing will happen to us in the future.
This government has allowed foreigners to buy our lands, houses, industries, businesses, ports and airports, even our agricultural sector – paddy fields (on the way) WITHOUT ANY LIMIT
When we try to reacquire them in the future from foreigners, we may have to face same obstacles and threats.
Therefore, every citizen in this country should come to the streets to make the slave government stop signing Singapore FTA, sale of Mattala airport and many other airports, ports, lands and industries to foreigners.
If not Sri Lanka will have to pay a heavy price.
There is an opportunity to show our protest next month.
Please JOIN Mahinda Rajapaksa’s mammoth “Jana Bala Protest” on September 5th in Colombo.
Come to the street irrespective of party colour or ethnicity to demand the slave government to STOP selling our country to foreigners!!!!
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Steve / August 24, 2018
Champa
Wonder which foreign country is financing the “Jana Bala Protest”. Hope those speaking will ask pardon from the masses for the massive corruption, terror, mismanagement, and bringing the country to almost bankruptcy by their regime. Glad you will be joining the protest Champa – where will you be, what color will you be wearing, or whose hand will you be holding so that we could identify you. Good luck.
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PUK Jayantha / August 24, 2018
“or whose hand will you be holding so that we could identify you.”
Or rather, whose bum will you be sucking, Champa?
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Champa / August 24, 2018
PUK Jayanatha
For your information, I enjoy my Constitutional right to support any political party or any politician OF MY CHOICE. I should not be subjected to denigration, smear or humiliation on account of my choice.
Freedom of association and freedom of assembly are also Constitutional rights. Every citizen has a right to protest against pillaging of his country.
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LEELAGEMALLI / August 24, 2018
When would your bed Partner Wimalasiri Gmalath shed his last breath ? That woudl be the day of lankens that can celebrate together. Bugger has done all the harm to lanken society to live up with blatant lies and fabricatons based on so called western theories.
Tell us the story as to why the bugger was forced to change his name from Wimalasiri to Wimal Weerwanse ?
Do we have such provisions in prevailing law inthe coutnry?
I have not lived inthe coutnry for the last 3 decades, so I cant know the facts about the legal ity of that..
Please enlighten us with the facts about the ground realities of WIMAL gonthadiwanse. Why the bugger misleads this nation .. who has been battled by a war for such a long time. Now just being caught by extremists groups led by former LANKEN mugabe, people are about to be served with falling from frying pan to the hearth.
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Champa / August 25, 2018
LLEGAGEMALLA
I am not under obligation to make sense to you!
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LEELAGEMALLI / August 25, 2018
Champawathie@
why not you come with the facts ?
How can a schooldrop out know all the bits better than even University
educated experts ?
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PUK Jayantha / August 24, 2018
Champa,
” I enjoy my Constitutional right to support any political party or any politician OF MY CHOICE”
Yes, and also the right to make contradictory statements . It seems you change your preferences not on principles but based on astrology.
“Every citizen has a right to protest against pillaging of his country.”
Where were you when your great Mahinda and his B-I-L were pillaging SL Airlines? Where were you when Mahinda sold the Port City to China? Where were you when Wimal’s wife toured Disneyland? Were you born yesterday? I wasn’t.
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Champa / August 25, 2018
PUK Jayantha
You have a right to grow. I have no objection.
Where did I contradict myself? Quote and show me. I already ‘killed’ Hindian Vedda’s curiosity elsewhere.
I was with Wimal and Mahinda since February 18, 2015. There is no change. I supported them and I criticized them. We promised to bring Mahinda back. I never go back on my word. My mind will be revolved around them until such time. I give my personal opinion to every (not really) article and every news item by right. I am not under obligation to share your opinion.
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PUK Jayantha / August 25, 2018
Champa,
You haven’t said why you don’t object to Mahinda’s pillaging, which was much worse. Isn’t that contradictory?
When did you ever object to Mahinda’s selling Port City?
Even your great God Wimal didn’t oppose what he now calls “Hanuman Bridge” when he was in the government.
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Champa / August 24, 2018
Steve
Which country is financing? What a stupeeeeee question. People come to the street voluntarily, if Mahinda is there. He is the best politician Sri Lankan people ever invested.
Corruption, mismanagement and bankruptcy applied to Yahaplanaya goverment.
When Mahinda left there were 10 billion in the Central Bank Reserves. Ask what Ranil did to that money. Whatever is now in the CB Reserves are not earned money. There are the money this government received from China by selling Magamapura port.
If Mahinda was the SLFP/UPFA Chairman, people won’t leave Colombo until this government quit.
Making Ranil step down is “easy peasy lemon squeezy.” But nobody trust Maithree to appoint Mahinda as the PM. That is the only hiccup. We didn’t fight this long to see somebody else OTHER THAN MAHINDA taking over the premiership after Ranil. Otherwise traitorous government wouldn’t have survived this far.
However, this protest is a dire warning to stop FTA with Singapore and anymore SALE OR LEASE of our airports and ports to foreigners including Mattala and Palaly.
Moreover, this government should be forced to reduce tax burden on the general public. A Government Minister receives salary/perks worth over 500K – A MONTH, a month!!!!. How fair is for them to impose a tax burden on Artists who earn more than 500K – A YEAR? This is only one example of the absurdity of their tax policy.
People should not leave the streets on September 5th, until they get a direct assurance from the slave government for abandoning sale of any more of our national assets to foreigners and signing any more FTAs.
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Champa / August 24, 2018
Hey CT. I sent a reply to Steve. What happened to that?
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Champa / August 24, 2018
Steve
Which country is financing? What a stupeeeeee question. People come to the street voluntarily, if Mahinda is there. He is the best politician Sri Lankan people ever invested.
Corruption, mismanagement and bankruptcy applied to Yahaplanaya government.
When Mahinda left, there were 10 billion in the Central Bank Reserves. Ask what Ranil did to that money. Whatever is now in the CB Reserves are not earned money. They are the money this government received from China by selling Magamapura port.
Making Ranil step down is “easy peasy lemon squeezy.” But there is one hiccup. Otherwise people wouldn’t have let this traitorous government survive this far.
The protest scheduled to be held on September 5th is a dire warning to stop FTA with Singapore and anymore SALE OR LEASE of our airports and ports to foreigners including Mattala and Palaly.
Moreover, this government should be forced to reduce tax burden on the general public. A Government Minister receives salary/perks worth over 500K – A MONTH, a month!!!!. How fair is for them to impose a tax burden on Artists who earn more than 500K – A YEAR? This is only one example of the absurdity of their tax policy.
People should not leave the streets on September 5th, until they get a direct assurance from the slave government for abandoning sale of any more of our national assets to foreigners and signing any more FTAs, most importantly the FTA with Singapore which is detrimental to our local entrepreneurs, farmers and workers.
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Steve / August 25, 2018
Champa
Someone else commented there will be a lot of Modayas on the Streets on the 5th. How naïve can you be Champa. People who come on to the streets will be paid by funds having a Chinese signature on the cheque. Don’t forget to take a sleeping bag with you. Everything else will be provided. Still waiting to hear what color you will be wearing and whose hand you will be holding (could be Wimal’s ?)
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Champa / August 25, 2018
Steve
Oh, why, the colour should be BLACK, what else?
Black is the most powerful colour for protesters.
I suggest all wear BLACK on September 5th to show how much people detest this slave government.
Anyways, I can’t remember ever seeing the former President in black.
I have no idea what colour they and people will wear. May be blood red or maroon. I don’t know.
Whatever it is, I suggest them wear ONE COLOUR to give a profound message to the world.
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Steve / August 26, 2018
Champa
The world will not give two hoots to this protest. Red is the more appropriate color as the previous regime put the country financially into the Red.
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Burt / August 24, 2018
Singapore, Malaysia and even India are only picking the table dropping. Raja Inc has already pawned the country for a good commission.
“https://www.nytimes.com/2018/06/25/world/asia/china-sri-lanka-port.html”
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Kugan / August 24, 2018
Get your facts right it was your MR was dealt with foreigners even have build the air port and ports for their benefits not for the masses
Now calling for protest what a modoyos
They have been given to LEASE not their own right even though no choice
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Champa / August 25, 2018
Kugan
Get YOUR facts right!!!
Of course, the slave government had a choice NOT TO enter into a new agreement for 99X2 years.
Mahinda didn’t sell the port. He only signed a BOT (Build Operate Transfer) CONTRACT with a Chinese company for ONLY 35 years.
There was no reason for Ranil and the gang to change it. They could have easily kept it as it was. The Chinese government never told them to sell the port. The slave government has sold it to the same company which apparently had changed its name. The only reason for the sale was to obtain a handsome commission for government crooks.
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old codger / August 26, 2018
Champa,
“Mahinda didn’t sell the port. “
Lying again, are we? Or hair-splitting? Can’t you remember that Mahinda gave a freehold on 20 hectares to the Chinese?
“According to the agreement signed in September 2014 signed by the Rajapaksa government, a land of 20 hectares will be granted to the C.H.E.C. Port City (Pvt) Ltd on free hold base and the rest land is granted on 99-year lease basis. According to the consultations of the new government, no land will be granted on free hold basis, and all the lands will be on 99-year lease basis.”
Repeating lies does not make them true.
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Champa / August 26, 2018
old codger
There is no lying here. I was talking about the Magamapura Port and you are talking about the Port City.
Port City is a totally different project. This government has converted previous government’s outright sale into a lease agreement.
I am against the Port City, not now, even before. I have made so many comments here and elsewhere against it.
In your opinion, giving 20 hectares on free hold is wrong but selling the same for peanuts is ok, right? I see.
I am still saying, the Port City project should be stopped.
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Julampitye Amaraya / August 24, 2018
South Africans Started to cut Horns from Rhinos , You also better get a short Horn Cut
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Burt / August 24, 2018
Champa:
I have something to say too:
Sinhala Bauda Rata has already become Chihala Bauda Rata. You guys fought for 30+ years killing your own to give China what you grabbed on a platter.
Karma is a bitch.
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Analyst / August 25, 2018
“Jana Bala Protest ” on September 5 th will be another big Flop for JARAPASSAS awaiting court cases and prison sentences.
The whole family including the 2 sons are awaiting for final judgement according to a French news paper.
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Champa / August 25, 2018
Analyst
Really? A French newspaper?
There is nothing against the former President. We sand by him no matter what. I am not bothered about others.
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Analyst / August 26, 2018
When the AliBaba and the 40 thieves including Champa the” Bum Sucker” of Jarapassa clan are suffering with the serious incurable disease called Pschizophrenia nothing matters and except the delusions of grandeur.
It’s incurable man Champa! Sorry about it .
Another event to bite the dust the 5th of September the ” D” Day for All the Pschizos.
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Champa / August 26, 2018
Machan Analyst
Why should I take “your word” against “AliBaba” :D :D :D ?
I am not bothered about “40 thieves.”
But, prove me he is an “AliBaba!” :D :D :D
Then I will stop supporting “AliBaba.”
Happy?
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soma / August 24, 2018
Who funded the production of this article, Sri Lanka or Singapore is the more appropriate question.
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old codger / August 23, 2018
“Why importation of paddy kept duty free after 12 years in the agreement resulting our food security at a threat?”
The first priority for the Ministry of Development Strategies and International Trade under the SLSFTA should be to get down a good Singaporean legal drafstman. The English in this statement is beyond awful.
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k.soysa / August 23, 2018
The only reality appears to be the lady in the red long dress and our dear old Prime Minister utterly oblivious of that!
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justice / August 23, 2018
“Over a period of eighteen months, more than 20 consultations were held ………………………………………including professional associations………………………..”
Was the GMOA/Sri Lanka Medical Association one of them?
If not, why?
A list of such associations is not provided. Why ?
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upali / August 24, 2018
Why not ask whether the Wnnialaattho of Dambana was consulted. Under the agreement original settlers of Singapore might come and invade Dambana and displace Veddhas.This frog in the well attitude works against development. Sorry I forgot the mahanayaka’s of three niakaya’s.
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Ratne / August 24, 2018
I agree. We shouldn’t do anything without consulting the Mahanayka’s of the tri nikayas. They know everything but Dhamma.
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Douglas / August 23, 2018
According to the “Press Release” stated, all required steps according to the “New Trade Policy” (NTP) have been followed at various consultative levels, starting from May 2016 and reached its final approval by the Cabinet at its meeting held on 23 Jan. 2018. The draft Agreement, SLFTA with observations of the President was also considered along with the approval of the AG (letter dated 15-01-2018). What now I fail to understand is: Why this President, who chairs the Cabinet meetings and and also having appended an “Observation Report” of his own to the draft Agreement, has taken a “360 Degree” “Turn Around” to appoint a “Committee of Experts” to REPORT on the SLFTA already signed (with the approval of the Cabinet) on 23 Jan. 2108? What is going on? Whom to believe? If we “Believe” and “Rely” on President’s action on the appointment of this “Committee of Experts”, ALL what is said in the above “Press Release” of Ministry of Development Strategies and International Trade are “FAULTY” and “MISLEADING”. On the other hand, if the “Press Release” is relied on, this President is a “TRUANT”. I appeal to both the parties (the Ministry and the President) to let us know “WHOM TO BE BELIEVED and TRUSTED”. Also, is this “NEW TRADE POLICY (NTP) is a “MISPRINT” of “NATIONAL TRADE POLICY”?
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JD / August 23, 2018
This article is full of lies. bond Scam profits working for Advertising Ranil. these days lot of articles appear about Economics. All CRAP. Sri lanka is in depression and is bankrupt. Thanks to women in the middle east and men in south Korea. Sri lankan govt is visionary and has lot of money to spend on earlier 165 ministers and now Rs 2000,000 to each MP to look after any projects in his area. NEw super luxury cars were for ministers to go to democracy and in up country. If the upcountry is far away theh use the helicopter and the luxurry follows well in advance it in order to accept the minister.
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Julampitye Amaraya / August 24, 2018
What about the profits / interest from the Helping Hambaya thota and Mig Jet Deal ?????. Is that money gone to Farmers and Fishermen
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JD / August 23, 2018
For the lasrt 70 years, Sri lanka is importing twice the amount of what it exports. Now, america, we do not have Rice and Onion. Instead think about IMPORT SUSTITUTION, So, what will happen is Land commission beczme redundant and instead lands from peasants will be acquired and new houses, just like in former coconut lands will be built. all the politicians bring back their foreign exchange that are not budding as investments. So, a foreign Multinational REAL ESTATE company with sri lanakn amoney run the selling, acquiring and transferring houses from owner to owner business. Politicians will have good tiems with the newly developed Sri lanka because their investment is working via foreign companies through import sustitution. they keep on saying I di dnot steal. I took what ever they gave me and it si all with my extedned family. I just enjoy the life inside parliament. This article is full of CRAP. I can write comments to exceed the length of this crap and prove that Srri lanka is in depression, bankrupt. politically unstable and ruined, culturally, exonomically it is driven by foreigners.
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paul / August 23, 2018
What the hell is RW wearing, a Western suit with a Nehru shirt? The only politician who still dreams he can have it both ways. Or is the suit made in China?
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K.Pillai / August 23, 2018
Come on! It is not that bad. It is only an ‘Agreement’ and is not a ‘Pact’. An ‘Agreement’ can be abrogated with a talaq.
.
We abrogated the BC pact unilaterally.
Did this have any effect? Hmm……..Hmm………”Cannot Remember”!
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Bodin / August 25, 2018
The BC pact was abrogated not only because of pressure from the Sinhalese, but also from the Hard Line Tamils lime Navartnam who organized hartals in Jaffna. These hardliners morphed into the LTTE and drove out the Muslims from Jaffna, where as they were the true majority at the time when the British captured Sri Lanka. Read Captain Percival’s account of the people in the Northern Peninsula during the period 1800-1820
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JD / August 23, 2018
I am saying that Ranill’s Claim that he talked to the singaporean PM regarding a FTA was a lie by Ranil in order to hide the talks of singaporean PM with regard to Arjun Mahendran. IT is Arjun Mahendran who wanted Singapore -FM to talk with Ranil saying RANIL YOU CAN NOT do whatever you think to my citizens. Now Arjun Mahendran has asked Judicial documents via INTERPOL which is supposed to arrest Arjun Mahendran on behalf of the Sri lankan govt.
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K A Sumanasekera / August 24, 2018
If we are to believe all this , Srilanka is not gaining or losing anything.
How Cool…
Why would Singapore waste 18 Months talking to our 18 smart Committees?
Haven’t Singaporeans got anything else to do ?….To keep them occupied of course…..
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K A Sumanasekera / August 24, 2018
FTAs decimated manufacturing in countries like Australia sending the poor factory workers on to the Dole.
Because of the revenue from Mineral and Agri Exports ,the Government had the money for the Dole.
Does Lankawe have the Dole ?.
Is Dr Ranil planning one for the Dalits?..
Or,
Are the Singaporeans going to import more Elephants and Coconuts.?..
Hope My3 Sira’s Panel study the latest round of Trumps Import Duties on Chinese Goods…
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Burt / August 24, 2018
KAS:
“Does Lankawe have the Dole ?.”
Weren’t you living on it under the Rajapaksa regime?
:))
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charles / August 24, 2018
IT IS GOOD TO HAVE A FREE TRADE AGREEMENT. BUT IT SHOULD BENEFICIAL FOR BOTH COUNTRIES AND NOT HARMFUL. SO TAKE THE AGREEMENT TO THE PARLIAMENT. WHY WAS IT SIGNED SECRETLY. SRI LANKA GOT PLITICIANS ONLY THINK ABOUT THEMSELVES NOT ABOUT THE COUNTRY.
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soma / August 24, 2018
My simple mind is confused as to how does a FTA benefit BOTH parties ?
–
Soma
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WMFernando / August 24, 2018
As per the explanation there is no new development in trade/ services between SL and Singapore. Then why an agreement was entered into, we could just continue without an agreement.
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S.R. H. Hoole / August 24, 2018
It sounds like a good agreement. Objections to the agreement seem to be mainly to object for the sake of objecting.
It is good to note the both the government and the opposition want more trade and investment. Therefore this should not be a partisan matter.
Our lives have greatly improved since we liberalised trade.I see inequality up but even those at the bottom have had their lives improved.
It is always good to know who the author is. That adds value to the article and someone may be held accountable if any of the claims are at odds with facts.
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SJ / August 24, 2018
Many objections, I suspect, arise from the past experience of this country in related matters.
Things are rushed through without sufficient public exposure, like the Indo-Sri Lanka free trade agreement, which was not to Sri Lanka’s benefit.
*
Approval can also be out of some kind of loyalty.
*
Liberalised trade introduced by JRJ has been the the cause of economic ruin of the country. There will always be a beneficiary somewhere amid ruin.
*
The identity of the author is not very important when the issues raised are most pertinent. It will be useful if the defenders of the deal can refute the concerns raised.
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Mallaiyuran / August 24, 2018
” Liberalised trade introduced by JRJ has been the the cause of economic ruin of the country. There will always be a beneficiary somewhere amid ruin”.
Where is the $400 Billion that the Indian diplomats said as spent on the war was is accounted in your statement?
When Don Stephen concentrated on turning Lankawe as an Agrarian society by starting colonizing Tamil lands, did your economy shoot better then industrialized Singapore? All what he did was successfully colonized Tamils lands but the country’s got a wrong direction given to economic development.
Could you tell me how Sirimavo’s nationalization of Tea Estates took Lankawe beyond the World Leader Status Tea Industry?
Could you tell how 1958, 1971, 1977, 1983, 1989……. property damages and lives wasted got accounted in JR’s economic liberalization.
Could you give an economics explanation to your statement rather than hiding behind quipping? If have any idea of what economics is, write an essay in CT explain how the JR’s open economic policies were the only reason or the main reason for the “Current” condition. Please explain what you meant by “Current” in that. They we can reply for that.
Will there be time ever of showing some academic flair instead of gossiping and quipping? Can CT go by the path of reasoning, instead of sole purpose of ruining?
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Eagle Eye / August 25, 2018
Mallaiyuran,
“All what he did was successfully colonized Tamils lands”
There were no Tamil land in Sinhale. Demalu who invaded Sinhale colonized Sinhala land. In 1930’s British renovated some irrigation systems built by Sinhalayo but ruined by Demala invaders wanted to settle Demalu but Demalu who were scared of malaria refused to come. It was Sinhalayo who took the challenge and developed those areas. D.S. Senanayake carried forward the work started by British. They are not colonization schemes as claimed by B.H.Farmer who was brainwashed by Demalu; they are settlements schemes.
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LAC3(rtd) Buddhadasa / August 27, 2018
Mr. SJ,
“the Indo-Sri Lanka free trade agreement, which was not to Sri Lanka’s benefit.”
Would you please explain how this was detrimental to SL?
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Mallaiyuran / August 24, 2018
This is only a one sided, propaganda statement. So, for the other side, one need see Kili Maharajah’s television. Further one need to see the Sinhala and Tamil Translation to spelling mistakes too (translation mistakes are unavoidable in Lankawe) .
This defensive statement says there is something wrong in the original 6000 pages. This written in the assumption of answering for some question raised in media. The Ranil’s game is he put SLSFTA in 6000 pages so even the Free Trade Lawyers are unlikely read it and argue the feature cases.
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Dionysus / August 24, 2018
Reading the comments one realizes that Sri Lanka educators still have a lot of work to do. Hopefully the younger generation has better comprehension.
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Peter / August 24, 2018
// Why such harmful products are included in the duty free list?
Sri Lanka choose, inclusion of these items in the TLP of 80% as it gave flexibility for Sri Lanka to include domestically sensitive more items in the negative list, because such harmful items cannot be imported anyway without obliging the local laws. //
WOW. quite clever!!! and Singaporean experts got duped by this simple maneuver? They didn’t say “hey wait, those items you put there can’t be imported to your country anyway so they don’t count” ???
Take this article off the web before they read this and discover the secret!
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Amal / August 24, 2018
Why is Sri Lanka lagging in development when all other SAARC countries are going forward – dont wreck your brains trying to find the answer. Its simple
simply ’cause the decision makers appointed to run the country are a bunch of thugs and hooligans who are good at nothing but talk in front of a camera. I am surprised they are able to do that.
God Bless My Country !
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Amal / August 24, 2018
The joke is when the hooligans try to equate themselves to the judges
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Sunil Dahanayake / August 24, 2018
Professor or Mr. Hoole,
If this agreement is good, We can request the Singapore government to send their garbage under this agreement to bury in your back yard in Jaffna. So that you can drink purified mineral water coming out from that garbage junk yard.
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Mallaiyuran / August 24, 2018
The entire statement is only just some bluffing for Modayas. 100% of defense. Not one line of “good and bad” are discussed.
It blindly trying to create an opinion that this free trade only under the existing laws. In that case why new SLSFTA needed?
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Douglas / August 24, 2018
Champa: Welcome back. You said: “This Government has allowed foreigners to buy our land, houses and industries”. Agreed. But do you know who STARTED it and left a legacy of this traitorous act? To refresh your “Memory” (if you have one such), he was none other than your “HERO”, the ex President Mahinda Rajapakse. Don’t you remember that famous “Outright Sale” of the land at Galle Face, where our Army was living? That was an “Outright Sale” and NOT a ” 99 Year Lease” or any such (that too I am against) to now functioning Shangri La Hotel complex. For how much? For Rs. 50 billion, I believe. With that money, he and his brother “Hitler” to come promised to build another Army Complex in the outskirts of Colombo. At this moment, that project is not yet completed, but Rs. 90 billion has been spent. So calculate the LOSS – 90 minus 50 = 40. Another info. to you. A few days back China made a “Public Announcement” and said: “We never forced any loan to Sri Lanka; but agreed for asking”. So, WHO asked and FOR WHAT and WHAT has happened? The figures of our “DEBT TRAP” (up to date inclusive of this Govt.) laid out are out in public domain. Take a look at it. In seeing, I fell off my chair; but I know you too will see the FACTS and the TRUTH.
Re. This “Press Release”. Yesterday in Parliament, the Minister Arjuna Ranatunga said ” I never read this Agreement and had not been approved by the Cabinet”. That is why I asked for a clarification from the “writers” of this “Press Release” in my earlier comment. Hope CT will follow it.
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K.Pillai / August 24, 2018
Regarding your last sentence Douglas
Did Arjuna Ranatunge know anything about this Singapore Agreement? We knew a lot and we are constantly updating!
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Champa / August 25, 2018
Douglas
Yes, now I know the facts.
Gotabhaya took the responsibility for bringing down Shangri-la and the Port City investment. I am against both (sale of land and the sea to foreigners) and I have mentioned it elsewhere many times. He thinks Shangri-la is the best! May be he is not aware, today Shangri-la is in the 20th place! For an outright sale of a land in the heart of Colombo, getting down the No. 20th hotel chain in the world is not an accomplishment. I don’t think Sri Lanka has harnessed the full potential of tourism and travel industry as yet.
Anyways, the danger is looming with the Port City where many of world’s best hotel chains, casinos, red light streets, shopping malls, night clubs, restaurants, banks and Forex centres will be invested, collapsing our local hotel sector and may be even tourism sector. Who could resist Las Vegas, Singapore and Bangkok in the same man-made island which has its own financial and administrative laws?????? Port City financial city project should be stopped at least now. As China says, they never forced us to take loans!
Mahinda invested in infrastructure as no other leader has done. He should receive accolades for that. He amazed the world by rebuilding a war-torn country within a short-span of time with Chinese funds when no other country offered him loans. There were a numerous development projects but they were on ad-hoc basis. The reason was lack of proper vision. I don’t blame him for that after everything he had done for the best interest of our country. I’m sure he will correct it when he is back in power. If someone asked what his vision is, he should have a direct answer. If he needs help, I am sure there will be plenty.
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old codger / August 27, 2018
Champa,
” The reason was lack of proper vision. I don’t blame him for that after everything he had done for the best interest of our country. I’m sure he will correct it when he is back in power.”
An optimist as well as opportunist, are you?
MR never built anything in our best interest. From Helping Hambantota to Mattala or Nelum Pokuna, the name of the game was COMMISSIONS and GLORY withan eye to baiya votes. Otherwise, why are all these named after himself? Was it his money?
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sinhalese buddhist / August 24, 2018
TO Whoever wrote this article:
You seem to trust our cabinet, policymakers and the government to do the right thing – such as protecting the environment and the impact of poor quality or harmful products to our country.
REALITY: our government does NOT CARE about protecting the public and the environment. No do they act as they are responsible chaperons of our resources.
So, claiming that you have got all the clearances needed from the government and that various officials were in on formation of this agreement is POINTLESS to convince US that the FTA is for OUR benefit.
BS! IT only benefits the rich, politicians and the business oligarchs – not the small-scale mudalalis or middle and lower-class business people.
SL government has not learnt how to design policy with people’s input – from the ground up.
It is high time they do.
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JD / August 24, 2018
IT is well known Mailk Samarawickrama all known as Mallika by KA SUmanasekara wants to make this agreement approved. There are stories there was wastage and corruption even at the negotiation stage of the Agreement. There is some other thing here that CT won’t let us write. What is the story, Sri lanka is going to export garbage to Singapore site.
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Upali Wickramasinghe / August 24, 2018
There is only one solution. Throw both groups of politicians into the dust bin.They are not interested in the economy of this country not about the people. they are interested only about themselves. Let us get a new lot. Since they are not seasoned in the art of robbing the citizen, we can have a progressive country.
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Nimal / August 26, 2018
Whom are you going to replace with as they seem to be all corrupt,to the street level?
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K.Pillai / August 24, 2018
The Singapore Agreement is a MythicalReality. You see it then you do not! You wake up when it hits you and realise we cannot hit back.
MythicalReality is of the same genre as FakeFacts, AltFacts and the like.
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Good Sense / August 24, 2018
Entering into an agreement is one thing and its implementation is another. A lot of painstaking negotiations may have taken place. We all must give credit to the team of officials involved for that because had the process being “outsourced” the cost of such outsourcing is many times greater than the salaries of all the officials added together. As to whether the officials have the wisdom and foresight in all aspects involved is yet another subject. It must be noted that the print media carried out an article, attributing to the opinion expressed by one of the former bosses of the Trade outfit of the Government that the agreement entered into was one of the worst type of agreements he has ever seen. So, there is a matter to look into. We are not experts in entering into agreements but we would be the affected parties, directly or indirectly as a result of such agreements. Ultimately what matters is what is done in the name of such agreements and how it would affect the country and its population.
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ramona therese fernando / August 25, 2018
[Therefore, the agreement completely excludes any independent movement of natural persons (ie. Excludes Contractual Service Suppliers and Independent Professionals). ]
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Hmm! I wonder if there any prosecution for them if they deal in the black-market, or if they are of a totally different white-market group aside from the SLSFTA.
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JD / August 25, 2018
The importance of three levels of govts, political authorities in every govt institution and 225 politicians in the parliament is for considering political importance of every thing Sri lanka does. Yet, Malik Samarawickrama says that as per ATTORNEY GENERAL, Singapore FTA need not be presented to the parliament. that is not demcoracy and that is heavty handedness or some foreign hands in this deal.
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