A Presentation by Titus Jayawardena( Additional Secretary), Ministry of Industrial Development, At The International Conference on South-South Co-operation for Technology Transfer, 18-22, August, 2008

Highlights of the Presentation Industrial Sector Contribution Cluster of portfolios Industrial policy initiatives Strengthening national innovation system Promotion of competitiveness of SMEs

Industrial Sector Contribution Sector consists of a range of large corporate firms, SMEs and micro or household businesses. Accounts for 27% of the GDP. Manufacturing sector alone only 16% Employs 24% of the labour force( 1.8 mil ) Grew at a rate of 6.2% over the last decade Comprises 78% of the value of exports.

NEW INDUSTRIAL FRAMWEWORK Chapter 3, Industrial Development: Towards Diversified High Value Added Industrial Base: Mahinda Chintana: Vision for a New Sri Lanka Pages 50-62

Industrial Development Cluster Ministry of Industrial Development (MID)-Focal Point Ministry of Enterprise Development & Investment Promotion (MED&IP) Ministry of Rural Industries & Self-Employment Promotion (RI&SEP) Ministry of Export Development & International Trade (MED&IT)

Industrial policy initiatives Development of National Capacity to Manage Manufacturing Industrial Technology (MIT) Solutions [MED&IP] Strengthen National Innovation System (NIS) to Enhance the Competitiveness of Industries [MED&IP, MID] Develop Viable Micro Enterprises [MRI&SP]

Industrial Policy Initiatives Contd., Promote Competitiveness of SMIs [MID,MED&IP] Establish Infrastructure Facilities to Create Competitive Advantages for Industries [MID] Develop Industrial Sub-sectors through Cluster Initiatives [MID,MED&IP]

Industrial Policy Initiatives Contd., Promote Competitiveness of SMIs [MID,MED&IP] Establish Infrastructure Facilities to Create Competitive Advantages for Industries [MID] Develop Industrial Sub-sectors through Cluster Initiatives [MID,MED&IP]

Industrial Policy Initiatives Contd., Promote Geographical Industrial Clusters [MED&IP, MRI&SEP] Develop Industrial Exports [MED&IP] Promote Foreign Direct Investment [MED&IP] Promote Harnessing Industrial Complementarities [MID,MED&IP]

Development of National Capacity to Manage Manufacturing Industrial Technology (MIT) Solutions Create Conducive Macro Economic Environment Establish an Institutional Framework for formulation of Industrial Policy Promote Public Institutional Collaboration at National & Provincial Levels Develop Entrepreneurship Develop Multi-Skilled Workforce Promote Social Dialogue and Workplace Cooperation Create a Flexible Labour Market Promote Multiple Financial Tools Promote ESS/BDS Companies

Strengthen National Innovation System (NIS) Encourage a Culture of Quality and Productivity Improve Total Factor Productivity Adopt and Develop Environmentally Sound Technologies Strengthen Technology Bridging Institutes

Strengthening national innovation system (contd) Promote Public-Private Partnerships for R&D Initiatives Develop Linkages with Local R&D Institutions and their Overseas Counterparts Establish Technology Development Fund Establish Science Parks and Techno Parks

Promote Competitiveness of SMIs Extend Concessionary Financing Facilities Promote Innovative Financial Instruments Promote Cooperation among SMIs Promote Business Linkages Establish an apex authority for SMIs (SMEs)

Summary Industrial sector contribution Industrial development cluster Industrial policy initiatives Strengthening national innovation system Promotion of competitiveness of SMEs