Ex-Tourism Chief recommends preserving historic Nuwara Eliya Post Office

Former Sri Lanka Tourism Chairperson Kimarli Fernando suggested yesterday to consider switching the President’s Nuwara Eliya residence into a hotel as an option if demand arises for additional accommodation.

She voiced her concerns over the Government’s decision to convert the historic Nuwara Eliya Post Office into a hotel, acknowledging the ‘excess’ room capacity in upcountry city.

“Nuwara Eliya currently has excess room capacity. Should there be a need for more rooms, converting the President’s Nuwara Eliya house, to a hotel, could be considered in the future, if needed,” she said via her Facebook account.

On Monday the Cabinet of Ministers approved a proposal presented by President Ranil Wickremesinghe in his capacity as the Investment Promotion Minister to convert Nuwara Eliya Post Office into a hotel.

“Taj Group has proposed converting the Nuwara Eliya Colonial-era Post Office into a hotel. The proposal came to the Presidential Secretariat and the specifics will be made available by the Secretariat once the project gets off the ground,” Cabinet Co-Spokesman and Minister Bandula Gunawardana confirmed at the post-Cabinet meeting media briefing on Tuesday.

Fernando said the Post Office in Nuwara Eliya, the Tudor-style two-storey red-brick building with a clock spire, was constructed in 1894 by the British. Sri Lanka Post has been in existence for more than 209 years, with a proud history and heritage.

“It should remain as a working Post Office. If management needs to be shared to uplift, where income is shared, a unique memorabilia museum, store or tea boutique could be considered, to generate income,” she noted.

 

China renews support for Sri Lanka

  • President Wickremesinghe finally meets Chinese counterpart Xi Jinping in Beijing
  • Xi assures China will continue to provide assistance to Sri Lanka without any political strings attached
  • Says China and Sri Lanka should strengthen collaboration on international and regional affairs, oppose politicisation of the human rights issue and bloc confrontation, and safeguard the common interests of developing countries
  • Expresses China’s willingness to import more quality and specialty products from Sri Lanka and encourage Chinese enterprises to invest and do business in Sri Lanka
  • Says China glad to see Sri Lanka becoming a commercial centre in the Indian Ocean
  • China stands ready to work with Sri Lanka to jointly promote high-quality Belt and Road cooperation and push for new progress
  • Commends Wickremesinghe’s speech at UN General Assembly for reflecting strategic independence, neutral stance; Sri Lanka’s support for “Belt and Road” initiative
  • Assures friendly, practical and timely support for Sri Lanka’s debt optimisation program
  • SL expresses appreciation for China’s longstanding support 
  • Wickremesinghe shares vision to set up maritime economic corridor linking China, Myanmar, Sri Lanka and South Africa; Xi points to challenges; encourages Sri Lanka to take the lead 

In a significant diplomatic encounter, President Xi Jinping yesterday extended China’s unwavering commitment to aiding Sri Lanka in achieving economic stability and progress, devoid of any political agenda. 

This gesture was made during a meeting at the Great Hall of the People Beijing with President Ranil Wickremesinghe who was on a four-day official visit to China attending the third Belt and Road Forum for International Cooperation. It was also the first Presidential-level meeting since Wickremesinghe assumed office 14 months ago. China is the largest lender for Sri Lanka apart from being the biggest investor and the second biggest source for imports.

“China will continue to provide assistance to Sri Lanka without any political strings attached and help the country cope with difficulties concerning its society and people’s livelihood,” Xi was quoted as saying by Xinhua.

Xi also said China and Sri Lanka should “strengthen collaboration on international and regional affairs, oppose politicisation of the human rights issue and block confrontation, and safeguard the common interests of the two countries and developing countries,” Xi said.

Xinhua also said Xi had expressed China’s willingness “to import more quality and specialty products from Sri Lanka’, and encourage “Chinese enterprises to invest and do business in the country”, so as to help Sri Lanka transform and upgrade its economy and achieve sustainable development. Xi added that “China is glad to see Sri Lanka becoming a commercial centre in the Indian Ocean.”

Xi acknowledged that Sri Lanka was one of the first countries to join the Belt and Road Initiative and China stands ready to work with Sri Lanka “to jointly promote high-quality Belt and Road cooperation and push for new progress” in developing China-Sri Lanka strategic cooperative partnership featuring sincere mutual assistance and lasting friendship. Senior Chinese officials Cai Qi and Wang Yi attended the meeting. 

The President Media Division (PMD) in its communique said the Chinese President acknowledged that Sri Lanka’s speech at the United Nations General Assembly, delivered by President Wickremesinghe, reflected the country’s strategic independence and its neutral stance. 

During the discussions, President Xi reaffirmed China’s adherence to the “One China” policy and conveyed gratitude for Sri Lanka’s support for the “Belt and Road” initiative. He underscored the port city and Hambantota port as pivotal projects within this framework, pledging to boost imports of Sri Lankan goods to China and amplify investments in Sri Lanka. 

Furthermore, he affirmed China’s intent to provide supportive, practical, and timely assistance for Sri Lanka’s debt optimisation program. 

Touching on the historical ties between China and Sri Lanka, President Jinping referenced travel accounts by the Faxian monk and Zheng He, the PMD communique said. 

It said in response, President Wickremesinghe expressed his appreciation for China’s longstanding support to Sri Lanka and commended President Xi Jinping for his consistently friendly attitude towards Sri Lanka.

Wickremesinghe also unveiled Sri Lanka’s vision to establish a maritime economic corridor linking China, Myanmar, Sri Lanka, and South Africa. Acknowledging the challenges inherent in such a venture, President Jinping encouraged Sri Lanka to take the lead. 

The conversation underscored the pivotal role of Sri Lanka as an economic hub in the Indian Ocean region, with President Wickremesinghe reaffirming the country’s commitment to preserving peace and the identity of the region. 

He advocated for collaborative efforts between India and China to propel development in Asia. 

PMD said President Wickremesinghe further revealed Sri Lanka’s aspiration to attain developed status by 2048, citing the robust foundation laid by the eight-step program unveiled at the third “Belt and Road” forum for International Cooperation. 

He informed the Chinese President about plans to construct a Sri Lankan Buddhist temple and stupa in commemoration of the visit of Faxian monk to Sri Lanka and President Xi Jinping expressed China’s support for these activities. 

Additionally, the leaders delved into discussions concerning the ongoing conflict in the Gaza Strip. 

Notable figures present at the event included Foreign Affairs Minister Ali Sabry PC, President’s Senior Adviser on National Security and Chief of Staff Sagala Ratnayaka, Central Bank Governor Dr. Nandalal Weerasinghe and President’s Private Secretary Sandra Perera.

https://www.ft.lk/top-story/China-renews-support-for-Sri-Lanka/26-754334

Abolition of time-tested Exchange Control Act Only 18 opposed it and 113 skipped vote

By Shamindra Ferdinando

Amidst allegations that the abolition of the time-tested Exchange Control Act of 1953 contributed to the country’s bankruptcy and foreign exchange crisis, The Island, in terms of the Right to Information Act No 12 of 2016 requested from the Office of Secretary General of Parliament, the names of the MPs who had voted for the new law (Foreign Exchange Act No 12 of 2017) and those who opposed it.

According to parliamentary records, 94 voted for the Bill and 18 voted against it while 113 skipped the vote. The TNA voted with the UNP and the SLFP-led UPFA for the new law. The then Prime Minister Ranil Wickremesinghe, who moved the second reading motion in his capacity as the Minister of National Policies and Economic Affairs was among those who skipped the vote on July 25, 2017.

Justice Minister Wijeyedasa Rajapakse voted for the new law, which, he says, has helped unscrupulous exporters park export proceedings overseas to the tune of USD 100 bn. Two of the strongest critics of current economic policies namely Dr. Harsha de Silva and Eran Wickremaratne voted for the new law enacted in 2017.

Former Governor of the Central Bank Dr. Indrajith Coomaraswamy has publicly alleged that the new exchange law was not formulated in consultation with the Central Bank. The Governor led Central Bank team which appeared before the Parliamentary Select Committee (PSC) probing the 2019 Easter Sunday carnage declared that the new law hindered its regulatory powers.

The following MPs voted for the new law: S.B. Dissanayake, Nimal Siripala de Silva, Gamini Jayawickrama, John Amaratunga, Lakshman Kiriella, Gayantha Karunatilleka, Rajitha Senaratne, Ravi Karunanayake, Kabeer Hashim, Sajith Premadasa, Mano Ganesan, Thilanga Sumathipala, Anura Priyadarshana. Yapa, Tilak Marapana, Vajira Abeywardena, S.B. Nawinna, Sarath Fonseka, Navin Dissanayake, Wijeyadasa Rajapakse,(Mrs.) Chandrani Bandara, (Mrs.) Thalatha Atukorale, D. M. Swaminadan, Abdul Haleem, Sagala Ratnayake, Daya Gamage, Faizer Musthapha, A. H. M. Fowzie, Dilan Perera, Lakshman Seneviratne, Ravindra Samaraweera, Niroshan Perera, Ruwan Wijewardene, Mohan Lal Grero, A.D. Premadasa Champika, Sujeewa Senasinghe, Wasantha Senanayake, Wasantha Aluvihare, Dr. Mrs. Sudarshini Fernandopulle, Eran Wickramaratne, Mrs. Sumedha G. Jayasena, Ameer Ali Shihabdeen, Lasantha Alagiyawanna, Faizal Cassim, Dr. Harsha De Silva, Ashok Abeysinghe, Karunarathna Paranawithana, Manusha Nanayakkara, Lucky Jayawardana, Vadivel Suresh, Edward Gunasekara M.S. Thowfeek, J.M. Ananda Kumarasiri, J.C. Alawathuwala, Seyed Ali Zahir Moulana, Ranjith Aluvihare, Abdullah Mahrooff, Srinal de Mel, Anura Sidney Jayarathne, K.K. Piyadasa, A.A. Wijetunge, Ajith Mannapperuma, Nalin Bandara Jayamaha, Hector Appuhamy, Sisira Kumara Abeysekara, Thushara Indunil Amarasena, A.Aravindh Kumar, Ananda Aluthgamage, K. Thurairetnasingam, Mavai S.Senathirajah, A. Adaikkalanathan, Sivagnanam Shritharan, E. Sarawanapawan, M.A. Sumanthiran, Charles Nirmalanathan, Gnanamuthu Srineshan, Ashoka Priyantha, Chandima Gamage, Mylvaganam Thilakarajah, Mohamed Navavi, Sujith Sanjaya Perera, Bandulal Bandarigoda, Imaran Maharoof, Ashu Marasinghe, Ishak Rahuman, Malith Jayathilake, Mujibur Rahuman, Harshana Rajakaruna, Jayampathy Wickramaratne, Thusita Wijemanne, Mrs. Rohini Kumari Wijeratne, Hesha Withanage, Sandith Samarasinghe, Chathura Senaratne and Wijepala Hettiarachchi.

The following MPs voted against D. V. Chanaka, Piyal Nishanta de Silva, Prasanna Ranaweera, Kanchana Wijesekara, Indika Anurudda Herath, Mrs. Sriyani Wijewickrama, Thenuka Vidanagamage, Shehan Semasinghe, Vijitha Herath, Bandula Gunawardane, C. B. Ratnayake, Nihal Galappathi, Gamini Lokuge, Rohitha Abeygunawardana, Wimalaweera Dissanayake, Udaya Shantha Gunasekara, Ranjith de Soysa and Roshan Ranasinghe. The then Speaker Karu Jayasuriya was in chair at the time the vote was taken.

Before the vote was taken the then UPFA MP Vasudeva Nanayakkara said the new law would lead to disaster. Quoting Washington-based Global Financial Integrity, MP Nanayakkara said that USD 1.99 bn had been moved out of the country through illegal means annually.

https://island.lk/abolition-of-time-tested-exchange-control-act-in-terms-of-rti-act-house-releases-names-of-mps-who-voted-for-new-law/

 

July exports decline by 12% YoY to $ 1 b

  • Cumulative earnings in first seven months down by 10.26% to $ 6.89 b
  • Apparel and textiles, rubber and rubber-based products, coconut and coconut-based products drop due to sluggish demand
  • Services exports in January-July up by 17.32% to $ 1.22 b
  • Exports to major markets US and EU plunge

Sri Lanka’s export sector in July managed to sustain over $ 1 billion performance compared to June 2023, though on a year-on-year (YoY) basis, it fell by 12% due to sluggish demand in major markets.  

As per the provisional data released by the Export Development Board (EDB) yesterday, earnings from merchandise exports increased by 2.18% month-on-month to $ 1.02 billion in July 2023, but down by 11.79% YoY.

The EDB said the drop in merchandise exports is due to the lower demand shown in export products, especially in apparel and textiles, rubber and rubber-based products and coconut and coconut-based products.

From January to July 2023, cumulative merchandise exports saw a substantial decline of 10.26% to $ 6.89 billion compared to the corresponding period of 2022.

The estimated value of services exports for the period of January to July 2023 was $ 1.22 billion, registering an increase of 17.32% over the corresponding period of 2022. The services export estimated by EDB consists of ICT/BPM, construction, financial services and transport and logistics.

The EDB has set a forecast performance of $ 18.51 billion in merchandise and service exports in 2023. This comprises $ 15.93 billion from merchandise exports up from $ 13.01 billion achieved in 2022 and $ 2.58 billion from services exports.

Major Exports in July 2023

Export earnings of coconut kernel products and coconut fibre products increased by 3.95% and 0.92%respectively in July 2023 compared to July 2022. 

export earnings from coconut milk powder, coconut cream and liquid coconut milk which are categorised under the coconut kernel products increased by 41.64 %, 23.05% and 10.16% respectively in July 2023 compared to July 2022.

Being the largest contributor to the coconut-based sector, coco peat, fibre pith and moulded products which are categorised under the coconut fibre products, increased by 1.99% to $ 15.35 million in July 2023 in comparison to July 2022. 

In addition, export earnings from spices and essential oils increased by 10.68% to $ 37.53 million in the month of July 2023 compared to the month of July 2022 with a strong performance in the export of pepper (222.27%).

Export earnings from ornamental fish increased by 32.35% to $ 1.80 million in July 2023 compared to July 2022.

The value of ICT exports is estimated to increase by 45.5% to $ 132.25 million in July 2023 compared to July 2022. In addition, the value of transport and logistics services exports is estimated to increase by 26.45% in July 2023 compared with July 2022.

Export earnings from apparel and textiles have decreased by 22.28% YoY to $ 427.48 million in July 2023 compared to July 2022. 

In addition, export earnings from tea which made up 12% of merchandise exports, decreased by 1.97% YoY to $ 115.2 million in July 2023 compared to July 2022. The earnings from the export of tea packets decreased by 1.93% YoY to $ 55.49 million. 

Export earnings from rubber and rubber finished products have decreased by 11.13% YoY to $ 79.31 million in July 2023, with negative performance in exports of pneumatic and retreated rubber tyres and tubes (-5.76 %) and industrial and surgical gloves of rubber (-25.08%).

In addition, export earnings from the EEC decreased by 1.04%YoYto $ 40.82 million in July 2023 with poor performance in exports of electrical transformers (-32.13 %).

Export earnings from seafood decreased by 16.46% to $ 17.25 million in July 2023 compared to July 2022. This decrease was mainly due to the poor performance in the export of shrimps (-70.51%) and frozen fish (-4.27%).

On monthly analysis, export earnings of coconut-based products decreased by 5.67% in July 2023 compared to July 2022. Export earnings of coconut shell products decreased by 31.14% to $ 11.52 million in July 2023 compared to July 2022. Earnings from activated carbon, which is categorised under the coconut shell products decreased by 30.37% to $ 10.64 million in July 2023 compared to July 2022.

Major exports during January – July

Earnings from the export of tea, spices and concentrates, gems and jewellery and EEC increased by 8.03%, 11.57%, 19.06 %and 10.0% respectively during the period of January – July 2023 compared with the corresponding period of 2022.

Earnings from the export of tea increased by 8.03% to $ 750.72 million due to the increase of all the subcategories of the tea sector except bulk tea and tea bags. earnings from tea packets, instant tea, green tea and other tea increased by 13.5%,44.71 %, 57.65% and 48.41% in the period of January-July 2023.

In addition, export earnings from spices and essential oils increased YoY by 11.57% to $ 216.73 million in the period of January to July 2023. Export earnings from cloves increased YoY by 247.25% to $ 35.94 million in the period of January to July 2023.

Meanwhile, earnings from the export of EEC increased by 10.0% to $ 296.58 million in the period of January to July 2023 compared to the corresponding period of 2022. 

earnings from export of printed circuits, switches/boards and panels, boilers/ piston engines/ pumps and vacuum pumps and other EEC increased by 49.86%, 13.28% and 827.71%respectively in the period of January to July 2023 compared to the corresponding period of 2022. 

The value of ICT exports is estimated to increase by 17.78% to $ 793.8 million in the first seven months of 2023 compared to the corresponding period of 2022. In addition, construction and financial services exports are estimated to increase by 130.21%and 37.77% respectively in the period of January to July 2023 compared with the corresponding period of 2022.

Earnings from export of apparel and textiles decreased by 18.10% to $ 2.88 billion during the period of January -July 2023 compared to the same period of 2022. The export of apparel declined by 18.98% and the export of textiles declined by 7.64% from January to July 2023.

in addition, export earnings from rubber and rubber finished products decreased by 12.67%to $ 529.08 million in January-July 2023 compared with the same period of 2022 attributed to lower exports of industrial and surgical gloves of rubber (-26.49%) and pneumatic and retreated rubber tyres and tubes (-6.02%). 

For the period of January to July 2023, export earnings from coconut and coconut-based products decreased by 19.68% to $ 402.80 million from the same period last year. earnings from all the major categories of coconut-based products decreased in the period of January – July 2023 compared with the corresponding period of 2022 due to the poor performance in the export of coconut oil (-24.96 %), desiccated coconut (-35.75%), coconut milk powder (-12.37 %), coconut cream (-21.13 %), liquid coconut milk (-12.28%), cocopeat (-16.61%) and activated carbon (-16.81%).

further, export earnings from seafood decreased by 8.10%to $ 149.63 million during the period of January to July 2023 compared to the year 2022 due to the poor performance in frozen fish (-6.74 %), fresh fish (-5.93 %) and shrimps (-38.02%).

Export performance in major markets

Out of the top 10 export markets, only UAE has shown strong performance during the month of July 2023 and the period of January to July 2023 compared to the corresponding period in the previous year.

Further, India, UAE and France have shown strong performance during the month of July 2023 compared to July 2022.

Exports to the US – Sri Lanka’s single largest export destination, decreased 15.60% to $ 253.79 million in July 2023 compared to July 2022. Further, exports to the US decreased by 18.5% to $ 1.62 billion in the period of January to July 2023 compared to the same period in 2022.

Exports to FTA partners

Exports to Free Trade Agreement (FTA) partners accounted for 6.5% of total merchandise exports and have increased by 27.99% to $ 87.98 million in July 2023 compared to July 2022. 

Exports to India increased by 29% while exports to Pakistan increased by 16.93% in July 2023 compared to July 2022.

Strong performance recorded in India led by increased exports of pepper (240.44 %) and areca nut (75.13%). Better performance recorded in Pakistan led by increased exports of sheet rubber and desiccated coconut.

During the period of January to July 2023 exports to FTA partners accounted for 7.2% of total merchandise exports decreased by 2.37% to $ 534.45 million compared with the corresponding period of the previous year.

Exports to India and Pakistan decreased by 1.37% and 13.01% respectively during the period of January to July 2023 when compared with the corresponding period of 2022.  

Decreased exports to India led by poor export performance of animal feed (-2.24%), pepper (-12.53%), areca nut (-7.92%) and wood pulp (-47.79%) and decreased exports to Pakistan led by export of sheet rubber (-18.49%) and desiccated coconut (22.98%).

Sri Lanka’s export performance in regions

Exports to the European Union (EU) which comprised 21% of Sri Lanka’s exports during the month of July 2023 fell by 16.18% YoY to $ 230.47 million. Further, during the first seven months, exports to the European Union (EU) decreased by 12.79% YoY to $ 1.54 billion compared to the corresponding period of the previous year.

During the period of January to July 2023, the breakdown of exports to the top five EU markets which accounted for 78% of Sri Lanka’s total exports to the EU were; Germany $ 349.9 million (down by 22.33%), Italy $ 381.23 million (up by 6.13 %), Netherlands $ 197.11 million (down by 15.72%), Belgium $ 132.51 million (down by 28.89%) and France $ 152.25 million. (down by 1%).

https://www.ft.lk/top-story/July-exports-decline-by-12-YoY-to-1-b/26-752366

Ranil, Modi unveil new Indo-Lanka economic partnership vision

  • Following historic meeting in New Delhi, announce series of measures to catalyse prosperity via promotion of greater cooperation and connectivity in areas of maritime, air, energy and power; trade, economic and financial services and people-to-people
  • Agree to undertake discussions on Economic and Technology Cooperation Agreement with an aim to comprehensively enhance bilateral trade and investments in new and priority areas
  • To undertake mutually agreed joint exploration and production of hydrocarbons in Sri Lanka’s offshore basins with an aim to develop Sri Lanka’s upstream petroleum sector
  • Commit to a dynamic India-Sri Lanka relationship, founded on enhanced mutual confidence and trust

President Ranil Wickremesinghe and Prime Minister Narendra Modi yesterday unveiled a new Indo-Lanka economic partnership vision following their meeting in New Delhi.

During the visit by Wickremesinghe to India, first as the President of Sri Lanka, had productive and outcome-oriented discussions.

“The leaders acknowledged that the India-Sri Lanka partnership has been a source of strength in overcoming economic difficulties faced by Sri Lanka and the President of Sri Lanka especially appreciated India’s timely, unprecedented, and crucial support to the Government and the people of Sri Lanka,” a statement issued by the Indian High Commission said.

Both leaders reiterated their firm commitment to, and confidence in, democracy, stability and economic recovery in Sri Lanka, and stressed the significance of India’s continued support and investment for sustainable, equitable and stable growth which will benefit all segments of Sri Lankan society in all parts of the country, and also promote reconciliation.

The two leaders agreed that India’s sustained and rapid economic growth, and technological advancement coupled with the current phase of stabilisation and economic recovery, reconstruction and growth in Sri Lanka, provides a unique opportunity to forge a closer and deeper bilateral economic partnership between the two countries and enhance growth in the Indian Ocean Region.

Further, the leaders underscored the unparalleled advantages afforded by civilizational ties, geographical proximity, cultural connect and age-old goodwill between the peoples of the two countries and reaffirmed their endeavour to harness existing synergies and complementarities in a manner that brings shared and sustainable economic prosperity.

To this end, the leaders underlined the cardinal importance of promoting and strengthening connectivity in all its dimensions as the key enabler. Accordingly, both leaders have decided:

Maritime connectivity:

a. To cooperate in development of ports and logistics infrastructure at Colombo, Trincomalee and Kankesanthurai with an aim to consolidate regional logistics and shipping, as per mutual understanding;

b. To resume passenger ferry services between Nagapattinam in India and Kankesanthurai in Sri Lanka and work towards early resumption of ferry services between Rameshwaram and Talaimannar, and other mutually agreed places.

Air connectivity:

a. That resumption of flights between Jaffna and Chennai have enhanced people-to-people ties and agreed to further expand it to Colombo as well as explore connectivity between Chennai and Trincomalee, Batticaloa and other destinations in Sri Lanka;

b. To encourage and strengthen investment and cooperation in civil aviation, including augmentation of airport infrastructure at Palaly for greater economic benefits to the people.

Energy and Power connectivity:

a. That conclusion of MoU on cooperation in developing renewable energy would develop Sri Lanka’s significant renewable energy potential, including offshore wind and solar, thus enabling Sri Lanka achieve its target of generating 70% of power requirements from renewable energy sources by 2030;

b. To establish a high capacity power grid interconnection between India and Sri Lanka to enable bidirectional electricity trade between Sri Lanka and other regional countries, including the BBIN countries, which has the potential to not only bring down the costs of electricity in Sri Lanka but also help create a valuable and dependable source of foreign exchange for Sri Lanka;

c. To expedite implementation of understanding reached on Sampur Solar power project and LNG infrastructure, and explore cooperation in green hydrogen and green ammonia through use of innovative technologies with an aim to increase renewable energy mix in power generation of Sri Lanka.

d. That ongoing cooperation in development of Trincomalee Tank Farms is a reflection of our endeavour to develop mutually beneficial cooperation projects in Trincomalee area, and agreed to further develop Trincomalee as a national and regional hub of industry, energy and economic activity on the basis of mutual understanding;

e. To cooperate for construction of a multi-product petroleum pipeline from Southern part of India to Sri Lanka with an aim to ensure affordable and reliable supply of energy resources to Sri Lanka;

f. To undertake mutually agreed joint exploration and production of hydrocarbons in Sri Lanka’s offshore basins with an aim to develop Sri Lanka’s upstream petroleum sector.

Trade, Economic and Financial Connectivity:

a. That salience of bilateral trade and economic engagements was significantly demonstrated during COVID pandemic and economic crisis of Sri Lanka, and agreed to facilitate mutual investments through, inter alia, policy consistency, promoting ease of doing business and fair treatment of each other’s investors;

b. To facilitate investments from India in the divestment of Sri Lankan State-owned Enterprises and in manufacturing/economic zones in various sectors in Sri Lanka;

c. To undertake discussions on Economic and Technology Cooperation Agreement with an aim to comprehensively enhance bilateral trade and investments in new and priority areas;

d. That decision to designate INR as currency for trade settlements between the two countries has forged stronger and mutually-beneficial commercial linkages, and agreed to operationalise UPI based digital payments for further enhancing trade and transactions between businesses and common people;

e. That India’s rapid digitalisation is an important force-multiplier for ongoing transformational changes in India, both in economic development and governance, and agreed to leverage India’s Digital Public Infrastructure in accordance with Sri Lanka’s requirements and priorities towards effective and efficient delivery of citizen-centric services to the people of Sri Lanka.

People-to-people Connectivity:

a. To promote awareness and popularise India’s Buddhist circuit, and Ramayana trail as well as ancient places of Buddhist, Hindu and other religious worship in Sri Lanka for enhancing tourism;

b. To explore cooperation between educational institutions on both sides including through establishment of new higher education and skilling campuses in Sri Lanka in accordance with Sri Lanka’s requirements and priorities;

c. To expand cooperation between research and academic institutes in areas of mutual interests such as agriculture, aquaculture, IT, business, finance and management, health and medicine, earth and marine sciences, oceanography, space applications, as well as history, culture, languages, literature, religious studies and other humanities; and

d. To establish land connectivity between Sri Lanka and India for developing land access to the ports of Trincomalee and Colombo, propelling economic growth and prosperity in both Sri Lanka and India, and further consolidating millennia old relationship between the two countries. A feasibility study for such connectivity will be conducted at an early date.

Both the leaders directed respective officials concerned to expedite realisation of this shared vision, which will not only impart long-term direction and significant momentum to bilateral cooperation for growth and prosperity in both countries and in the wider region, but also set the future direction of a dynamic India-Sri Lanka relationship, founded on enhanced mutual confidence and trust.

India and SL must forge together long term: President

  • In keynote at Indian CEO Forum’s annual fellowship banquet Wickremesinghe says together, India and Sri Lanka possess immense potential
  • Ahead of visit to India and meeting with Modi next week President moots long-term relationship between the two nations must transcend individual leaders or political parties 
  • Stresses relationship between India and SL not solely driven by governments but by people who are moving forward at a rapid pace

President Ranil Wickremesinghe on Thursday said both India and Sri Lanka should forge together with a long term common plan to effectively harness the great potential for a shared future rather than on a piecemeal or issues-basis.

He made this observation during his keynote at the Indian CEO Forum’s annual fellowship banquet at the Taj Samudra, Colombo. Scheduled to make his first visit to India and hold bilateral talks with Premier Narendra Modi since assuming Presidency, Wickremesinghe, said his primary objective is to enhance “connectivity” at all levels between the two countries. 

“We need to determine our long-term objectives and aspirations for the next 10 to 15 years. This marks the beginning of a new era, and we must forge ahead together. I hope to discuss this with Prime Minister Modi,” Wickremesinghe said. 

“It’s crucial to recognise that the relationship between our countries is not solely driven by governments but by our people, who are moving forward at a rapid pace. We must adapt to the changing world, avoiding the pitfalls that come with government intransigence. Hence, we must foster a long-term relationship between our two nations, transcending individual leaders or political parties. Together, India and Sri Lanka possess immense potential, and it is our path forward,” the President stressed. 

To put in context the need for a long-term plan, the President traced the history of relations between India and Sri Lanka. “Trade between Sri Lanka and India began 700 years ago. We have a remarkable history of Kerala merchants venturing to Sri Lanka and establishing businesses, ultimately integrating into our local system. This cultural amalgamation is evident in landmarks like the Pattini Devalaya in Navagamuwa, which reflects the influence of Kerala on Sri Lankan culture.”

“By the late 19th century, India accounted for only 1% of the world’s GDP. However, with the shift of economic power towards Asia, India has once again risen to prominence. Just as East Asia, including countries like Japan, Korea, and China, witnessed significant growth 75 years ago, it is now India’s turn, along with the Indian Ocean region. It’s important to note that India is not the sole nation rising in this context; the oil countries in West Asia are also on the ascent. Positioned strategically in the middle, Sri Lanka benefits from its proximity to India, coupled with a rich history, cultural heritage, and longstanding trading relationships spanning 2,500 years,” he said. 

The world is evolving, and India is undergoing rapid development, particularly under Prime Minister Modi’s leadership. We, too, have experienced our own economic challenges, but we are a resilient nation, not destined for a Greek tragedy. As our economy recovers, we must prioritise economic restructuring. We initially made progress, but our pace has slowed. Once we complete the debt restructuring process, our focus will shift towards a comprehensive growth agenda. This entails a massive overhaul of our economy, legal framework, and systems, aligning our path with that of India.

“Our goal is to establish a highly competitive economy that can stand on par with the rest of the world, encompassing green and digital sectors. India and Sri Lanka should embark on this transformative journey together, as we have for the past 2,500 years. Regardless of political dynamics, our cultural and economic ties have remained steadfast,” the President added.

India CEO Forum President T. S. Prakash in his remarks called for greater use of Indian Rupee in the Lankan economy. In response the President said the Sri Lankan Government would want to see the Indian rupee used as much as the dollar. 

“It makes no difference to us if India becomes a common currency. We’ll have to figure out how to go about it. So that is what we must do. We must become more open to the outside world. We must be competitive not just for Sri Lanka, but also for the rest of Southeast Asia, East Asia, and Australia. We must negotiate a more comprehensive trade agreement with the EU. If you want to, you can dominate the entire world. You will fail if you do not want to accomplish it,” Wickremesinghe said. 

The President said he is interested in exposing Sri Lanka to the world for economic development promptly as possible and to implement related legal reforms.

Madam Maithree Wickramasinghe, Ports and Maritime Affairs Minister Nimal Siripala de Silva, Housing and Urban Development Minister Prasanna Ranatunga, Health Minister Keheliya Rambukwella, State Ministers Shehan Semasinghe, Dilum Amunugama, Senior Advisor to the President on National Security and Chief of Presidential Staff Sagala Ratnayake, Governor of the Eastern Province Senthil Thondaman, Chief of Staff of the Tri-Forces General Shavendra Silva, Members of the Indian Business community and other dignitaries were present on this occasion.

https://www.ft.lk/front-page/India-and-SL-must-forge-together-long-term-President/44-750664

 

‘Presidential control over DDO undermines power of Parliament’

By Shamindra Ferdinando

Dissident SLPP MP Gevindu Cumaratunga has strongly opposed the government move to place the debt-restructuring programme under President Ranil Wickremesinghe’s control as the latter does not represent Parliament.

Addressing Parliament on Saturday (01), the leader of civil society group ‘Yuthukama’ pointed out that the Resolution on the Domestic Debt Optimisation (DDO) was meant to bring the whole process under Finance Minister Wickremesinghe’s power. How could Parliament grant such authority to a person not among elected or appointed members of the current Parliament? MP Cumaratunga asked, while stressing public finance was their (Parliament) responsibility

The dissident SLPP MP was among 62 members who voted against the resolution.

MP Cumaratunga reminded Parliament that a massive Rs. 3.5 bn VAT scam took place in 2003 when Wickremesinghe served as the Premier. Recalling the 2015 and 2016 Treasury bond scams, MP Cumaratunga questioned how those who campaigned against Wickremesinghe throughout that period now voted for DDO that was meant to give him unprecedented powers. One hundred and twenty-two MPs voted for the resolution.

Comparing the government debt with the Gross Domestic Product in the recent past during the Yahapalana and Rajapaksha administrations, MP Cumaratunga stressed that President Wickremesinghe couldn’t be entrusted with the DDO process. Finally, the government shamelessly burdened the Employees Provident Fund (EPF) with massive debt, the MP said while attacking the government over its failure to collect taxes amounting to Rs 6 bn from liquor manufacturers.

MP Cumaratunga told The Island that he couldn’t address some issues as he got only five minutes to address parliament. The outspoken MO said that Sri Lanka secured as much as USD 12.5 bn at higher rates from the international money market during the Yahapalana administration. Now, they advised the country how to proceed in DDO operation, MP Cumaratunga said, questioning how Central Bank and Treasury employees were given a staggering 29 percent interest whereas other EPF recipients received just 9 percent interest.

The government owed an explanation as to how a selected group of people received a higher interest rate at a time the economy was under tremendous pressure.

Addressing the media at the Opposition Leader’s Office, former SJB MP and mayoral candidate at the elections for CMC, Mujibur Rahuman said that, in short, the resolution on DDO has effectively transferred the powers relating to public finance from parliament to Finance Minister Wickremesinghe.

Rahuman said that President Wickremesinghe disclosed the move to take up resolution on DDO on Saturday during his recently concluded visit to Paris.The former lawmaker said that the President and the SLPP had been in an indecent hurry to empower President Wickrejemsinghe at the expense of parliament, the parliament was summoned on Saturday regardless of scheduled sittings tomorrow (04).

Rahuman said that the issue should be discussed also taking into consideration a day’s sitting cost the taxpayer as much as Rs 10 mn. Pointing out that parliament staff consisted of nearly 2,000, Rahuman said that workers had to be paid extra payment on that day. Why on earth you squandered money at a time of bankruptcy.

Rahuman said that the executive had now secured powers of the legislation thereby negating parliament. “We are rapidly moving towards a dictatorship,” Rahuman said, warning of further deterioration. The situation has been aggravated by Speaker Mahinda Yapa Abeywardena openly siding with the ruling party, the ex-MP said. One-time UNP MP lambasted the Speaker for blatantly working for the government since the day he received that appointment. Having agreed to continue the debate till 9.30 pm, the Speaker terminated the proceedings at 7.30 pm and called the vote, Rahuman said.

Both MP Cumaratunga and ex-MP Rahuman alleged that the government didn’t really explain how it was going to address the issues at hand. Instead the executive has been granted unprecedented powers that threatened the very basics of democracy here, they alleged.Rahuman said that the absence of the Rajapaksas at the time of voting should be carefully examined.

https://island.lk/presidential-control-over-ddo-undermines-power-of-parliament/

PAFFREL calls for Private Member Bill on LG bodies to be defeated

  • .Says the bill is a death blow to the sovereignty of the people and democracy 
  • Claims bill does not specify for how long a Minister will be able to reactivate LG bodies 
  • Stresses governments could misuse the law to not hold elections when unfavourable

Independent election monitors, People’s Action for Free and Fair Elections (PAFFREL) yesterday called for the recently gazetted Private Member’s Bill presented by Sri Lanka Podujana Peramuna (SLPP) MP Jayantha Ketagoda to be defeated.

According to PAFFREL, the failure to hold elections as scheduled while attempting to reactivate Local Government bodies whose tenure has elapsed by amending existing legislation as proposed is a significant blow to both the sovereignty of the people and the principles of democracy. “This is yet another milestone in the attempts to obstruct elections and embark on a dictatorial journey,” the organisation said. 

“The private member’s proposal states that if the poll cannot be held due to a crisis at a time when the local government bodies have been dissolved and the poll called, the existing law should be amended so that the minister can recall the dissolved local government bodies for a certain period of time. According to this section, the discretionary period is not specified and accordingly, the members of the dissolved local government bodies can be recalled even for a lengthy period at the discretion of the minister.” PAFFREL noted. 

PAFFREL also noted that the bill has failed to elaborate on the term ‘crisis’ allowing the Government or the relevant Minister to misuse it. The organisation said they refuse to accept this as a mere Private Member Bill given the Government’s reluctance to hold polls. 

PAFFREL said with this amendment in place, it raises uncertainty about whether any government will prioritise recalling elected representatives instead of conducting elections whenever they perceive it to be unfavourable

“If any representative of the people supports this proposal to become a law, it will be a great blow to the people’s sovereignty,” PAFFREL said while urging all MPs and the people to come together to defeat the effort. PAFFREL also said it will take all legal steps possible to prevent the bill from being enacted as law. 

https://www.ft.lk/news/PAFFREL-calls-for-Private-Member-Bill-on-LG-bodies-to-be-defeated/56-750092

 

  • Resolution for ouster of Public Utilities Commission Chairman receives 123 votes in favour and 77 votes against in Parliament 
  •  Janaka Ratnayake says ouster not defeat but loss for people and MPs who voted for it
  •  Opines vote exposed MPs acting on baseless allegations to oust Chairman of independent commission who put people’s interest first and challenged unfair actions by Govt. 
  •  President Wickremesinghe’s Government has increased electricity tariffs by 1200% in August last year and by 275% in February 2023
  •  Power and Energy Minister Kanchana Wijesekera charged politically motivated Ratnayake’s actions tantamount to sabotage as his refusal to approve upward revision in electricity tariff delayed early conclusion of IMF deal and caused Rs. 32 b loss to CEB
  •  Claims removal is to facilitate appointment of truly independent members to PUCSL
  •  SJB Leader Sajith Premadasa in Parliament exposes mockery of SLPP MPs for applauding Ratnayake’s appointment by Rajapaksa-regime
  •  Eran says removing PUCSL Chief via Parliament is a threat to democracy, good governance

The Parliament yesterday unplugged the powerful Public Utilities Commission (PUCSL) Chairman Janaka Ratnayake who however declared it wasn’t a defeat but anticipated warning it was a loss for the people and MPs who voted for it. 

“The outcome wasn’t a surprise but anticipated except the split of the vote. I had cleared my office on Tuesday ahead of the vote,” Ratnayake told the Daily FT after 123 Government-aligned MPs voted for the motion for his ouster. 

Several MPs in the opposition joined the Government to vote in favour of the resolution including A.H.M. Fowzie, Duminda Dissanayake, Anura Proyadarshana Yapa, Kumara Welgama, A.L.M. Athaullah, Vaidvel Suresh, John Seneviratne and Nimal Lansa.

The move was opposed by 77 MPs.

“The vote is a loss for the ordinary people and those MPs who wanted me out. The vote helped to expose the MPs who used baseless allegations to oust the Chairman of an independent commission. It is also unfortunate that the Parliament, considered as the body representing the people, took action against someone who put people’s interest first and challenged unfair actions by the Government when it came to electricity tariff,” Ratnayake added.

PUCSL Chief also claimed that the President Ranil Wickremesinghe-led Government was vindictive as Ratnayake got more air time in electronic media than President-himself, Ministers and celebrities given his crusade to ensure justice to the people with regard to electricity tariff. This was evident yesterday when several Government MPs described Ratnayake as “Mic Tyson” drawing the name of world famous boxer Mike Tyson.

However Power and Energy Minister Kanchana Wijesekera who opened the debate in support of the ouster of PUCSL Chairman charged that politically motivated Ratnayake’s actions tantamount to sabotage as his refusal to approve upward revision in electricity tariff delayed early conclusion of the critical agreement with the International Monetary Fund and caused a loss of Rs. 32 billion to CEB. Wijesekera vowed to pursue legal action to recover this loss from Ratnayake.

Wjesekara also said the first two allegations against Ratnayake were based on two judgements by the Court of Appeal. “The decision itself says the commission member has acted in a manner that violates the independence of the commission,” he said. 

The Minister refuted allegations that the Government is attempting to dismantle independent commissions through the removal of Ratnayake. “Instead we are merely attempting to appoint truly independent commission members as required,” he claimed

Opposition Leader Sajith Premadasa during the debate in Parliament exposed the mockery that SLPP MPs had no issues when the then President Gotabaya Rajapaksa and Prime Minister Mahinda Rajapaksa-led Government in March 2021 appointed Ratnayake as the PUCSL Chairman. Premadasa said that whether Ratnayake has political ambitions or presidential aspirations are irrelevant at a time when he stood up against the Government’s injustice to the people by the exorbitantly increasing electricity tariff.

President Wickremesinghe Government has increased electricity tariffs by 1200% since August last year from Rs. 5 per unit to Rs. 66 and in February this year by a further 275%.

Last week PUCSL urged the Government that electricity tariff must be reduced by 27% given favourable developments in lower oil prices, appreciation of the Rupee and drop in demand as opposed to CEB’s proposal of 3% reduction. In an about-turn Minister Wijesekera yesterday informed Parliament that from 1 July tariff will be reduced by 23%.

SJB MP Eran Wickramaratne told Parliament yesterday that removing PUCSL Chief via Parliament is a threat to democracy, good governance. “Constitution assures him independence, so that he may fearlessly insist on basically pursuing his thoughts. So what the court said here was that an independent commission or commissioner can go to court to make sure that their orders and directives are carried out. So the PUSL Chairman has done the right thing. Intimidation and interference of independent commissions will cause fear in all commissions and commissioners and it’s a threat to democracy in this country,” Wickramaratne added.

“Countries world over are moving from democratisation and globalisation into good governance. This is evident in institutional changes. The principal – agent relationship created between policy makers and independent commissions. This is a new trend all over the world. It’s a rules based method where rules are clearly indicated and defined,” the SJB MP emphasised.

SJB MP S.M. Marikkar also in Parliament urged the Government to abolish all independent commissions due to their obvious allergy towards them. 

“It is pointless to appoint sham commissions in the guise of establishing good governance in a bid to trick the public. Now we are wasting public funds to remove those appointed by the Government itself,” Marikkar said during the debate.

https://www.ft.lk/top-story/Parliament-unplugs-powerful-regular/26-748739

Restoring Ferry Service Will Rewrite History of India-Lanka Ties

The ferry service between India and Sri Lanka, as well as railway connections, have all but vanished since the turn of the 19th and the 20th centuries, and the use of a comfortable Singaporean passenger vessel ‘IndSri‘ to sail between Karikkal (KKL)Port in South India and Kankesanthurai (KKS) Port in Sri Lanka’s Northern Province next month (Mid-May), will rewrite the history of sea connections between Indo-Sri Lanka.

There was formerly a regular ferry service between India and Sri Lanka that served as an important mode of transportation for both people and cargo. However, with the collapse of the British Raj, severe cyclonic weather, and the civil war in Sri Lanka that began in 1983, the train and boat service was eventually rendered obsolete.

With the intervention of the Governments of India and Sri Lanka, IndSri Ferry Services will begin operations between KKS and Karaikkal (KKL) on 15 May, and the Indian Government has approved says operator Niranjan Nandagopan, MD, Indsri Ferry Services Pvt Ltd. He is a Singaporean who moved there from Jaffna in the early 1980s.

There are four other operators who have approached both governments. They are; Infinity Harbour Services, Mumbai, Drishti Cruise and Ferries Pvt Ltd, Goa, MOH Marine Transport Pvt Ltd, Chennai and KKL Terminal Operators Pvt Ltd, Bangalore. They are also waiting for approvals now.

The IndSri passenger ship will however, transport approximately 150 people between Kankesanthurai (KKS) and Karaikkal (KKL), with daily ferry services from Monday to Saturday departing at 8 a.m. from KKL and arriving at KKS at noon.

On the return journey, the ship will leave KKS at 2 p.m. and arrive at KKL at 6 p.m. with each passenger carrying 100 kg of free baggage allowance.

Ceylon is still the moniker given to Southern Indians, and in the 1970s it was the land of opportunity since the British assisted in the establishment of several tea plantations on the island, which just lacked the labour to run them. So, in the late nineteenth century, British authorities began examining the notion of joining the railway systems of the two colonies in order to facilitate the transportation of people and products between peninsular India and Ceylon.

History of the sea connection

Ajay Kamalakaran writes in 2021 the history of the railway and steamer connections between Indo-Sri Lanka in his article titled: “Boat Mail: Remembering the Train and steamer service from India to Ceylon”. He writes thus:

The first stage was to operate a train between Madras and Tuticorin.   Passengers would then board the steamship bound for Colombo. This arduous journey, begun in the late 1800s, would take nearly two days, since the 709-km train ride lasted 21 hours and 50 minutes, while the ship linking the two ports would take somewhere between 21 and 24 hours.

To connect India and Ceylon, the British decided to construct a bridge over the Palk Strait in the 1870s. The plan was to connect peninsular India, Pamban (Rameshwaram) Island, Mannar Island, and the remainder of Ceylon with a series of bridges over the Adam’s Bridge or Rama Setu, establishing a continuous railway link between Colombo and India.

The longest bridge in this chain, according to a research report by Delphine Prema Dhanaseeli, would have been roughly 24 km long and would have connected Thalaimannar at the edge of Ceylon’s Mannar Island to Dhanushkodi at the tip of Pamban Island. The British Raj largely rejected the project but gave Rs 70 lakhs to build the Pamban Bridge, which would link Rameshwaram on the mainland with Mandapam.

The bridge’s construction began in 1902 and was planned by renowned American engineer William Scherzer, who is best known for developing the rolling lift bridge. For the bridge, which needed 2,000 tonnes of steel, manufactured materials were brought from England. The 65.23-metre-long rolling-type lift span, which can open up when vessels pass, was designed and built by Scherzer because engineers wanted to have a rail link without interrupting the ferry service, according to Dhanaseeli.

Natural disasters like cyclones and cholera epidemics played down construction. In 1913, the 2,065-metre-long bridge was completed. The bridge was opened on 24 February 1914. It was the first sea bridge in India and the longest until Mumbai’s Bandra-Worli Sea Link was erected in the 21st century.

The inauguration is believed to have been grand for the British Empire, with the foreign press invited to a ceremony presided over by John Sinclair, Governor of Madras, and Robert Chalmers, Governor of Ceylon, as well as Neville Priestley, MD, South Indian Railways. The railway and steamer service between the two countries, known as the Indo-Ceylon Express, was widely publicised on a global scale. It was known as the ‘Boat Mail’ service.

From Egmore, the Boat Mail would travel to the Dhanushkodi Port. As soon as the passengers exited the train, immigration procedures were followed. Passengers from India and Ceylon would receive passports for the steamer after undergoing a basic health examination. For those going from Talaimannar to India, the formalities were the same.

In the beginning, the British held a monopoly on the steamer service, transporting passengers on ships named after viceroys like Irwin. However, Indian rivals later entered the market, and Sri Lankans who travelled on the ships in the 1940s and 1950s remember fondly of the ‘Madras Maru’ steamship.

The train held 300 passengers and had 12 cabins in 1914. The train ride from Talaimannar to Colombo used a wide gauge, whereas the portion in India used a metre gauge. Along with the three-class system of train travel in the subcontinent, the Boat Mail also included a separate wagon for Buddhist monks. Tickets were printed in English, Tamil, and Sinhalese. With time, Sinhalese Buddhist travellers started taking the train to Madras before continuing on the wide railway network of India to Bodh Gaya, Sarnath, and other locations significant to the life of the Buddha. Additionally, Tamil pilgrims from both nations would board the train to travel to Rameshwaram, to connect to other cities where Hindu temples were.

The train service persisted after British authority in South Asia ended. In the 1950s, it took just over 19 hours to travel the 675 km from Egmore to Dhanushkodi. The train would leave Madras at eight o’clock at night and get there at three the next day. Within an hour, the immigration procedures would be through, and after that, the three-and-a-half-hour trip to Talaimannar would start. Those travelling to Colombo would then board the Talaimannar Fort Night Mail, which departed from the pier, traversed the causeway, and wound its way through the Northern regions of Sri Lanka with a preponderance of Tamil people into the Centre and Southern regions of the island, crossing across picturesque waterways like Deduru Oya and Maha Oya.

The Indo-Ceylon Express kept running routinely well into the 1960s, but on the evening of 22 December 1964, Dhanushkodi was devastated by a cyclone that was believed to have winds of 280 kph and tidal waves as high as 23 ft.

The No. 653 passenger train left Rameshwaram towards Dhanushkodi that very same evening. A typhoon was wreaking havoc on the town, but its loco pilot was unaware of it. The train, which had 110 passengers and five railroad employees on board, was hit by a powerful tidal surge and sank into the ocean as it approached the Dhanushkodi railway station. On the train, not a single person made it out alive.

The cyclone wreaked havoc in both Mannar and Dhanushkodi, with an official death toll of 1,800 in the latter. The railway line, as well as all of the structures in Dhanushkodi, were completely destroyed. Dhanushkodi, once an important transit town between India and Sri Lanka, has become a ghost town. The cyclone altered the route taken by travellers between Madras and Colombo. Passengers travelling between Tamil Nadu and Northern Sri Lanka shifted to the Rameshwaram-Talaimannar ferry route, which remained popular until 1983 when the Sri Lankan civil war broke out and it ended the ferry service of all time.

The Kariakkal Port  

Karaikal Port is located on India’s Eastern coast, roughly 300 km south of Chennai, in the Karaikal District of Puducherry State. It is now taken over by India’s business tycoon Adani Group.

The port is located in Vanjore Village, Karaikal Taluk, Puducherry. Karaikal Port Private Ltd. (KPPL) is an all-weather deep water port constructed as part of a concession granted by the Government of Puducherry. Karaikal Port, which launched in April 2009 and covers an area of 600 acres, is located near the town of Karaikal in the Union Territory of Pondicherry, India. 

Nandagopan, a ferry operator, also discusses ferry services between South India and Sri Lanka. He is descended from a family that operated ferries between Kytes and Vedaraniyam in Tamil Nadu. He stated that his forefathers ran ferries between the two countries about 120 years ago and had three boats.

He went on to state that one ferry sank and that two ferries were sold, with settlements made for those who lost property on the sunken ferry. In Kytes there is a place called Madaththadi and a century ago when my ancestors were operating a ferry service people gather at that place. They carried goods to Tamil Nadu and brought goods for trading, he said.

Because his ancestors were involved in boat operations, he has chosen to finance the ferry service today.

There are numerous hotels available for travellers to stay in before taking the ferry, and KKK is just 20 minutes from Jaffna Town, according to Nandagopan. The Karaikal District, on the other hand, is one of the four divisions of the Union Territory of Puducherry. It is around 135 km east of Pondicherry (two hours) and 300 km south of Chennai (about eight hours). The Union Territory of Puducherry consists of the former French colonies of Puducherry, Karaikal, Mahe, and Yanam.

By R.R.M. Lilani

Restoring Ferry Service Will Rewrite History of India-Lanka Ties