SRI LANKAN AND BRAZILIAN HEADS OF STATE PLEDGE GREATER MUTUAL COOPERATION

President Rajapaksa met President Lula da Silva of Brazil on the margins of the FAO conference on world food security, to discuss issues of relevance and importance to both the countries.

President Rajapaksa explained that one the most compelling problems for Sri Lanka has been the unforeseen rise of the prices of oil and that this, in turn, has created a sense of unpredictability in the country's economy and the global economy in general.

In this regard, President Rajapaksa stated that Sri Lanka generates 55% of her energy needs from hydro sources and rest from thermal power. He also spoke about issues related to food production and livestock. He elaborated that 80% of the Sri Lankan economy is based on small and medium enterprises (SMA) and he further explained the manner in which these SMEs conduct their modest farming and cultivations.

President Rajapaksa also broached the idea to President da Silva to have greater cooperation and assistance from Brazil in order to develop the cultivation and farming sector with new kinds of seeds, state of the art technology and other new methods to enhance the productivity.

President da Silva was receptive of this proposition and requested the relevant authorities to organize visits in this regard. President Rajapaksa also informed President da Silva of the irrigation projects the country has undertaken and the projects which are currently in operation.

The President of Brazil invited President Rajapaksa to send a delegation to his country to enable familiarization with mining, irrigation and agriculture.

Both the Heads of State discussed the vitality of food security and the ways in which the food security crisis could be addressed with efficacy and predictability.

Further, both the leaders discussed the existing trade agreements as well as potential for future agreements.

President da Silva spoke of the tangible utility of the Mercusor multilateral trade arrangement of Latin America. President Rajapaksa also explained the recent advancements of the SAARC and the intrinsic benefits of the two Free Trade Agreements Sri Lanka has with India and Pakistan. President Rajapaksa also raised the unique endowments Sri Lanka has as well as the existing GSP Plus scheme which enables approximately 7200 products to be exported to Europe at zero or at concessionary tariff rates and requested Brazil to take advantage of it.

President Rajapaksa expressed appreciation to President Lula da Silva for opening up a Diplomatic Mission in Colombo. He further requested President da Silva to visit Sri Lanka on a mutually convenient date.

President Lula da Silva was accompanied by his Minister of Foreign Affairs and Senior officials. Minister of Foreign Affairs Rohitha Bogollagama, Minister of Agriculture, Maithripala Sirisena, Minister of Livestock Development, C.B Ratnayake; Secretary to the President, Mr. Lalith Weeratunga; Ambassador of Sri Lanka to Italy, Mr. Hemantha Warnakulasuriya and other senior officials of the Ministry of Foreign Affairs were present at the discussions.