Mr. Channa Gunawardena Chairman, SLFFA

“Today we hold our 44th annual general meeting on the backdrop of an important political change subsequent to a peaceful presidential election. On behalf of our association, I would like to congratulate his Excellency Anura Kumara Dissanayake being elected as the 9th Executive President of the Democratic Socialist Republic of Sri Lanka. We earnestly look forward to working with his excellency, and the subject experts closely towards the betterment of our industry in coming months.

The Global politics in the mean while posed new challenges to our industry especially the on-going Wars both in Middle East and in Ukraine. The volatility in the macro environment has become part and parcel of our industry over the last couple of years to an extent that we now are quite immune to such developments.

Looking back at our engagements for the last 12 months, my team, along with the subcommittees, continued to work towards achieving our goals in the respective areas. I will not go into details now since those are elaborated adequately in our annual report but would rather focus on what we intend to do in the future.

Digitization remains a very high priority for us and will continue our efforts in persuading authorities to expedite the timely implementation of all such initiatives from ASYHUB, National Single Window to Port and Airport Community Systems. We play a very active role in each of these committees entrusted with the task of implementation. Hopefully we will receive the necessary backing from the political hierarchy, which is essential.

We will continue to lobby for the prevalence of free market forces, as opposed to a regulated industry since we believe that’s crucial if industry players are to effectively compete and offer the best services to local and international clients. However, we will not endorse any unethical practices and will support the regulator in taking necessary steps to curb such behaviours.

Today there is a lot of discussion about transhipment activities at the Colombo Port for FCL cargo and how it’s position within the Indian sub-Continent being threatened by the emergence of other Ports. However, we feel there is no adequate dialogue taking place focusing on harnessing our opportunities for handling Multi Country Consolidation inside the Colombo Port which has huge potential. The Port currently lacks required level of infrastructure to attract new players and unfortunately, we don’t see any traction in the proposed private facility inside the Port, which should have helped the cause immensely. We intend to actively engage with Sri Lanka Port Authority in this area since it has a very significant revenue generation potential for the country with benefits to our membership as well. This will be one of the main tasks of our ocean subcommittee during the year.

We believe there is tremendous potential for Colombo Airport to become an alternate Sea- Air & air – air hub for Dubai, especially during the peak season in Bangladesh. As you may know, some of our members are already actively involved in this area despite many operational challenges at the Airport. SLFFA has submitted our proposals to AASL highlighting the importance of ensuring these requirements are met when the airport expansion project go ahead, and we are closely following up on the developments.

Now I’m shifting my attention to a different area, Corruption may have been the most commonly used word both on the political stages as well as at logistics related forums as far as I can remember. Whilst we leave the Politicians to “walk the talk”, I humbly request each of our members to play an active role in upholding ethical practices. As you are already aware, The Anti-Corruption Act No. 9 0f 2023, which was certified on 8th of August, paves the way for reporting of corrupt practices with necessary protection for Whistle blowers. Also, recently the Sri Lanka Customs have launched an internal affairs unit with aim of curbing such activities. I believe it’s our duty to support such initiatives as a progressive association and my team will arrange necessary awareness sessions in coming months to educate the membership more on this.

In the area of capacity development, AITT continues to play a very vital role in ensuring our future logisticians are equipped with up-to-date learnings. We just concluded our certificate awarding ceremony for 91 participants, and we are evaluating the possibility of taking AITT to overseas markets in the region along with IATA. There is great potential in neighboring countries such as India and Maldives.

In the research and development front, we are engaging the World Bank Officials to better understand mechanisms as to how Sri Lanka’s LPI ranking is judged. We feel the current ranking does not correctly reflect the actual situation and these engagements will help to take corrective measures if any.

Besides those, we are in the process of revamping our Articles of Association to suite the current requirements of the industry and this will be presented to the membership for adaptation in due course.

The standard trading conditions are another area of focus, and we are in the process of revamping this with the assistance of an eminent legal professional.

Today we face many challenges in our debt recovery process from customers and often our members are at the receiving end. Having realised this, we are currently discussing possibilities of incorporating an arbitration clause to our standard trading conditions which will provide a viable alternate to legal proceedings in the event of a bad or prolonged debt. We will educate you further on this in the near future.

Making necessary adjustments to freight forwarder liability insurance policy is another area of focus and the committee has already put forward the draft for necessary input from the membership and I kindly request all of you to help us in this regard by giving your valuable input.

National Logistics Awards, which is one of our flagship events, will be held in October this year as you are already aware, and we have seen a significant growth in the number of participants this year. Our intention is now to hold this event every other year.

Let me conclude my speech by announcing a very interesting arrangement which we have finalised with Qatar airways which will immensely benefit our members when they travel overseas. This partnership allows all SLFFA member companies to get a discount of 12- 15% on Economy class and 20% on business class for their travel to UK, Europe, Americas and Africa.

The great thing about this program is that these year around discounts are applicable for both you and your family. Of course, this is subject to terms and conditions which will be circulated by our secretariat in coming weeks. I must thank Sujan Malawana for spear heading the negotiations and appreciate the support of Niral Kadawathaarchchi in finalizing the arrangement.

In signing off, I would like to extend my sincere appreciation to the committee, sub-committees, SLFFA members and stakeholders. Without your support, we would not have been able to achieve all that. As we enter a new year, SLFFA remains committed towards performing our role as the apex body that leads and guides the industry into the future.

Thank you”