Friday, 12th September 2014
By Shirajiv Sirimane in USA
New York: The market share of the Sri Lankan tea in USA is very low and efforts are being made to increase this to a sizeable figure, Sri Lanka's Ambassador to the USA, Prasad Kariyawasam said.
Speaking to Daily News Business he said currently the market share of Sri Lankan tea is at around 3% while the competitor from the region has a claim in excess of over 10%.
“USA is a market mainly into iced tea which is around 80% and Sri Lanka tea does not cater to this segment in a big way. “After research we have identified niche market areas that will help to double our market share in three years and also increase earnings from tea.”
He said that this was the success story of Sri Lankan apparels which has a high value and this approach will help Sri Lanka tea.
Kariyawasam also said that blue chip and high profile companies based in USA are now expanding their horizons and are branching out to Asia. “We are now talking to several of these companies to set up regional headquarters in Sri Lanka so that our country could benefit. There is great potential in investment for US companies in Sri Lanka.”
“We think US businesses should look at Sri Lanka as a launching pad to reach the Indian subcontinent and leap into East Africa and to Southeast Asia by using the excellent sea connections we have from Colombo Port and Hambantota Port.
“Around Hambantota Port there are large tracts of land that can be used for manufacturing for export. We think U.S. investment could look at Sri Lanka as a manufacturing hub for production and for sale into the whole of Indian Ocean littorals.”
“Sri Lanka would welcome more American tourists, but we need to create packages that will attract American tourists, like a package that provides a total experience in tea and ancient culture.” Last year over 35,000 US tourists visited Sri Lanka and this year a 20% growth is expected. Colombo Port is the largest transshipment port in South Asia and is one of the most efficient in Asia. “The island has another new deep water port in the Hambantota Port.”
“Sri Lanka welcomes all interested businesses to use our ports for shipping related activities, which no doubt can be profitable.” Bandula Somasiri, Minister Commercial said.
He said the Investor Forum that was held in New York was a major success with over 200 turning up and it will definitely help to boost Sri Lankan investments.
Last year Sri Lanka's exporters to the US were US$ 2.451 million and there is already a 10% YoY growth. “We expect this figure to pass the US$ 2,700 million mark by the end of this year.” He also said that plans are underway to send a team from US Trade (TIFA) to Sri Lanka during the later part of this year.
From: Daily News. http://www.dailynews.lk/?q=business/lanka-double-tea-market-share-us
