INDIA – GERMANY – SRI LANKA
India is Sri Lanka's closest neighbor. The relationship between the two countries is more than 2,500 years old and both sides have built upon a legacy of intellectual, cultural, religious and linguistic association. In recent years, the relationship has been marked by close contacts at the highest political level, growing trade and investment, cooperation in the fields of development, education, culture and defence, as well as a broad understanding on major issues of international interest.
Germany is Sri Lanka’s 2nd largest investor from the EU region and has several bilateral agreements in practice. The share of Germany in total trade is 1.81% against the highest partner, USA whose share stands at 14.3%. Sri Lanka has signed a double tax agreement with Germany in 1979 and it provides reduce tax rates on dividends interest and royalties.
Taking interest and advantage of robust trade and investment relationship the Indo German Chamber of Commerce has now revived its association with Sri Lanka, with the objective to intensify information exchange via trade fairs, trade missions, support delegations, facilitate business transitions and promote vocational training.
A first visit to revive the association was undertaken by Mr. Peter Deubet, Deputy Director General of IGCC, to Colombo, in May 2014, on the occasion of the "EU Trade Dialogue" where he met important representatives of German and Sri Lankan companies, as well as the Sri Lanka-Germany Business Council (SLGBC), the CEO of the Ceylon Chamber of Commerce (CCC), the Chairman of the Ports Authority representatives of the Asian Development Bank (ADB).
IGCC already supports its members with a host of services and would extend the same to companies interested in Sri Lanka and Germany.
Organizing Business Delegations to Germany
- Support from designing the schedule, appointments with relevant companies & individuals [B2B meetings], arranging hotels & transportation, visa support etc
Business Partner Search
- Support to find right partners in Germany - Importers, exporters, manufacturers, suppliers, service providers etc
- Promote your company via vast network of local Chambers of Commerce present in each city
Market Intelligence Services
- - Location analysis, Market study, Market potential analysis, Competition analysis, Industry reports
- Product range and Product analysis
Corporate Events Management
- Support to organize events/ workshops/ seminar/ product launches etc
- Support to organize special Sri Lanka day / week events in Germany
There are about 100 German companies that are currently represented in Sri Lanka. This land holds good potential for German companies, particularly in the fields of textile, logistics, infrastructure and tourism.
In comparison to other South Asian countries, Sri Lanka holds a significantly higher rank in the "Doing Business Index" as well as the Human Development Index (HDI). Other positives include the working conditions and legislation. The intensive roundups work in Germany and Sri Lanka in the field of vocational training is 50 years old and can be expanded significantly with involvement of the private sector in Sri Lanka. The possibility of establishing a representative office in Colombo might be examined closer in the coming years.
The following important points were raised during the visit:
- Enhanced cooperation between Indo German Chamber of Commerce with Sri Lanka
- Stronger cooperation of India with the Sri Lankan AHK-German Business Council (SLGBC), the Ceylon Chamber of Commerce (CCC) and the Economic Department of the Embassy.
- Intensify information exchange: trade shows, trade missions, inform other information. SLGBC expressed interest in becoming a member of the IGCC.
- Establishment of a "Sri Lanka-Desk" at the AHK Mumbai (two AHK-employees)
- Delegations visiting India could opt for a Sri Lanka tour as well.
- Delegations to Germany could be organized for Sri Lankan companies.
- For the concept of decentralized private hotel management schools in Sri Lanka suitable consulting firms in Germany the CCC Solutions must be taught.
In addition to supporting German-Sri Lankan requests, the chamber sees great potential particularly in the area of dual vocational training.
In keeping with the association, we were pleased to welcome Ms. Dharini Daluwatte, Senior Advisor for Trade and Development, Economic Cooperation & Development, from the German Embassy Colombo in the month of September. Ms. Daluwatte was our special guest for the Annual General Meeting held on the 24th of September in Mumbai. Several discussions were also held with the management and senior executives of the Chamber, the German Consulate and a few companies to understand how the association could be strengthened. Ms. Daluwatte and the Chamber are quite confident that business cooperation’s would immensely reap benefits from the tri-lateral association.
Second collaboration in the field of vocational training, in particular with the Hamburg Chamber of Commerce: Investigation of the Status Quos of Vocational Training and planning in Sri Lanka
- Birgit Schweeberg (Hamburg Chamber of Commerce) has since 2011 regular contact with the Ceylon Chamber of Commerce (CCC) and other’s takeholders, such as the Association for International Cooperation (GIZ) and the Asian Development Bank (ADB).
- Project proposal for the dual system of vocational training must be directly submitted to the Ministry MYASD (Coordinator Department Head Desapriya).
- The Youth Ministry is currently working on the establishment of "Skill Councils" and a German proposal to introduce a dual system of vocational training would be particularly good at this time.
- According to Asian Development Bank (ADB) is a good and small project proposal would be optimal, since this could be implemented quickly.
- GIZ and AHK India are a complementing cooperation very positive about.