Sri Lanka’s HIPG Reconnects with Thailand’s Ranong Port

COLOMBO (News 1st); Seeking to capitalize on Sri Lanka's growing trade ties with Thailand, officials from the Hambantota International Port Group (HIPG) recently visited the Ports Authority of Thailand (PAT) and Ranong Port.

The visit aimed to revive a five-year-old agreement and explore new opportunities for collaboration.

Johnson Liu, CEO of HIPG said 'With growing international interest in the Sri Lankan economy, reconnecting with Thailand, especially Ranong Port, is crucial.'

Hambantota International Port Group has already begun reviving its MoU with Ports Authority of Thailand and plans to invite reciprocal visits from Thai authorities to explore business opportunities. 

Beyond government partnerships, the HIPG team met potential business partners and investors in Thailand and Singapore, and engaged with the Thai-Sri Lanka Chamber of Commerce, inviting members to explore investment opportunities at the port and industrial park. 

HIPG said that discussions with fleet management companies and ship owners focused on promoting HIP's ship supply and marine services.

Marking a significant step towards increased trade and economic cooperation, Sri Lanka and Thailand signed the Sri Lanka Thailand Free Trade Agreement (SLTFTA) in early February 2024.

The SLTFTA, which covers areas such as trade in goods, investment, customs procedures, and intellectual property rights, is expected to benefit both countries. 

Thailand, already Sri Lanka's 37th largest export destination with a GDP of USD 495 billion in 2022, is also one of the largest outward investors in ASEAN, having brought over USD 92 million to Sri Lanka since 2005. 

The agreement aims to triple the current bilateral trade value of USD 550 million to USD 1.5 billion within the next few years.

In addition to the SLTFTA, the two countries also signed a new Bilateral Air Services Agreement, facilitating more liberalized air travel between them. This agreement, which replaces the outdated 1950 agreement, reflects a commitment to modernizing aviation relations and regulatory frameworks.

Further solidifying the partnership, the Gem and Jewellery Research and Training Institute (GJRTI) of Sri Lanka and the Gem and Jewellery Institute of Thailand (GIT) signed a Memorandum of Understanding (MOU) to enhance collaboration in the Gem and Jewellery sector. This MOU, which stems from a 2018 strategic economic cooperation agreement, focuses on information exchange, research, training, and joint exploration efforts.