Sri Lanka exporters to get incentives next month

July 21, 2009 (LBO) - Over 200 Sri Lankan firms have qualified for a government export incentive scheme the first payments of which are expected next month, but many claims have been rejected owing to errors in applications, officials said. "It is a reward to direct exporters in manufacturing processing industries who have survived the crisis with own marketing skills, entering new markets - people are being rewarded for being innovative and proactive.
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To be eligible, exporters should have maintained a minimum of 80 percent of exports in the first quarter of 2008, in the first quarter of 2009.

They will be given a reward of five percent of the export proceeds.
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Exporters who earn less than 90 percent but at least 80 percent of the earnings in the same period last year are entitled to a reward of three percent of export earnings.

For the next three quarters of 2009, exporter should be able to maintain a minimum of 90 percent of exports done in the corresponding quarters of 2008 to qualify for the scheme.
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Exporters are also expected to have maintained the same levels of employment they had in September 2008, to fulfill one of the government's key objectives of preventing lay-offs owing to the economic crisis.