At the invitation of the Research Institute for Indian Ocean Economies (RIIO) of Yunnan University of Finance and Economic (YUFE) the Executive Director, Mr. Luxman Siriwardena of Pathfinder Foundation recently participated in the Sixth RIIO International Conference on Common Development between China and Indian Ocean Economies. The presentation of Mr. Siriwardena, at the Second Session was tilted as, “South Asia focused on Dilemmas of Small States in the Indian Ocean: Economic Development, Strategic and Security Dynamics”. The participants at the conference included academia from Australia, China, India, Indonesia, Nepal, Pakistan and U.S.A.

At the end of the conference Memorandum of Understanding (MoU) between the Pathfinder Foundation and RIIO was signed at the same venue. Under the MoU both parties have agreed to cooperate in three key areas: (I) Policy analysis and review of Maritime Silk Road , India Ocean strategic issues, China- South Asia and China- Sri Lanka relations through research and other knowledge-based processes, such as socio-economic trend analysis. (II) Strengthening the areas of cooperation, including studies on, investment environment in Indian Ocean economies in general and Sri Lanka in particular, Chinese business ethics and practices and its impact on local enterprises and other such economic issues of bilateral or multilateral implications for China and Sri Lanka. (III) To conduct joint studies on Indian Ocean economies, their foreign policy and economic relations so as to better reflect and incorporate Sri Lankan and Chinese perspectives and priorities in an international policy setting.

As a follow up to the signing of the the MoU, Mr. Siriwardena held discussions with the YUFE and RIIO on possible collaborative arrangement with a prospective Sri Lankan university and other academic institutes. In the discussions it was decided to explore the feasibility of introducing a study programme on Chinese economy, business and business ethics with Chinese language. Both sides agreed to continue the dialogue and identify potential third party partners where needed.

The Pathfinder Foundation signed a Memorandum of Understanding (MoU) with the Department of Commerce, Fujian Province of the People’s Republic of China on 22nd November. The MoU seeks to strengthen cooperation in the fields of trade, investment and economic relations between the Province and Sri Lanka. The MoU was signed by Dr. Sun Jun, Division of Asian Affairs of the Department of Commence of Fujian Province and Pathfinder Foundation Chairman Bernard Goonetilleke.

Fujian Province has been in the forefront in Chinese economy attracting $7.6 billion foreign investment in 2015, which has contributed to a high GDP growth of $26,000 per annum for its 38.3 million population. Fujian Province, which has a considerable economic interest in Southeast Asia, is now focusing on developing economic relations with countries in South Asia. The Fujian Province is focusing on the Belt and Road Initiative of President Xi Jinping to which Sri Lanka has given its fullest support from the very inception.

Fujian a highly industrialized Province in China with many foreign firms such as Boeing, Dell, GE, etc having their operations in the Province. Many ethnic Chinese around the world, especially Southeast Asia, trace their ancestry to Fujian. Descendants of Fujian emigrants make up the predominant majority ethnic Chinese populations of the Philippines, Taiwan, Singapore, Malaysia, and Indonesia. Fujian, especially Fuzhou, is also the major source of Chinese immigrants in the United States.

During the discussion, with the four-member delegation, the Pathfinder Foundation expressed its willingness to promote trade and investment from Fujian to Sri Lanka and establish a Fujian Province Trade and Investment Promotion Centre in collaboration with the the Pathfinder Foundation. In this regard both parties agreed to conduct further studies and continue discussions to achieve the objectives outlined in the MoU, the first such an understanding to be reached by the Pathfinder Foundation with a State institution in China.                       

By Bernard Goonetilleke, Chairman & Admiral Dr. Jayanath Colombage, Director Centre for India -Sri Lanka Initiatives of the Pathfinder Foundation

Introduction: Fish do not respect boundaries but humans should!

India and Sri Lanka are two neighbouring Indian Ocean states. A shallow and narrow strip of sea called the ‘Palk Bay’ and the ‘Gulf of Mannar’ separates the two countries. There is a clearly demarcated, mutually agreed upon and legally binding International Maritime Boundary Line (IMBL), separating the territorial waters of the two countries. There are binding commonalities in the form of linguistic, cultural, religious and vocational, between Tamil Nadu and the Northern Province of Sri Lanka. Until the signing of IMBL agreements in 1974 and 1976, fishermen from coastal districts of both countries used this sea, mainly for traditional fishing. There was a harmonious coexistence between these communities for a long time. However, Tamil Nadu fishermen changed their fishing methods in late 1970s and upgraded to steel hulled fishing vessels and engaged in bottom-trawling in order to boost production. Continuous bottom trawling in the Indian side of the IMBL resulted in depleting fish stocks therein. Gradually, these trawlers began to cross over to the Sri Lankan side of the IMBL. The newly introduced Indian trawlers were much bigger and more powerful than the traditional craft, as they had to trawl and recover nets heavy with the catch. The fishermen of northern Sri Lanka found it extremely difficult to venture in to the sea during the days when Indian trawlers were poaching, as they feared damage to their boats and fishing gear, as well as safety for their lives.