The Inaugural Session of In his address, the Governor emphasized the importance of strengthening business ties and highlighted the significant potential for investment and connectivity in Sri Lanka. He noted that the government has undertaken several initiatives to create an investor-friendly environment to facilitate ease of doing business in the country.the International Business Networking Meeting, organized by the Lanka Business Alliance (LBA), was held on Tuesday, 7th October, at the Galadari Hotel, Colombo.

The session was inaugurated by Hanif Yusuf, Governor of the Western Province, who graced the occasion as the Guest of Honour. The event was attended by delegates from India, Pakistan, Malaysia, and Bangladesh, along with distinguished representatives from government regulatory institutions and the Sri Lankan business community.

In his address, the Governor emphasized the importance of strengthening business ties and highlighted the significant potential for investment and connectivity in Sri Lanka. He noted that the government has undertaken several initiatives to create an investor-friendly environment to facilitate ease of doing business in the country.

Sri Lanka’s number one baby care brand, Baby Cheramy, has launched ‘Baby Cheramy Diaper Helpdesk’, the first ever generative AI powered WhatsApp chatbot service in Sri Lanka. The new service further strengthens Baby Cheramy Diapers’ role as a trusted partner for parents by providing instant expert advice on diaper hygiene whenever needed. This will enable anyone across the island to access quality information as the advice is provided in all three languages ​​– Sinhala, Tamil and English. Offering more than just products, Baby Cheramy continues to be committed to making everyday parenting easier, as well as supporting, guiding and caring for them through the latest digital solutions.

Baby Cheramy is revolutionizing the baby care industry in Sri Lanka through this service based on expert medical knowledge and AI technology. The ‘Baby Cheramy Diaper Helpdesk’ service uses cutting-edge technologies such as Natural Language Processing and Machine Learning Algorithms to provide quick and accurate answers to parents’ questions. All accurate information is stored in a database, which provides easy access to a file of information approved by experts. Furthermore, as a panel of experts from Ayubo Health checks the accuracy of each answer, it ensures that parents receive reliable advice that is tailored to their local needs. Strict safeguards have also been implemented to prevent misinformation.

Through the Baby Cheramy Diaper Helpdesk, parents can get instant support for diaper hygiene issues 24 hours a day. Whether it’s at night or during busy times, expert-approved advice is provided instantly via Chatbot. Baby Cheramy, Sri Lanka’s most popular baby brand, launched this service with the aim of becoming a trusted partner that makes life easier for parents. The new program aims to support parents by building strong relationships that adapt to their changing needs over time.

Sabrina Esufali, Managing Director, Hemas Consumer Cluster, said, “Baby Cheramy has always stood for trust, care and innovation. With the introduction of the Baby Cheramy Diaper Helpdesk, we are going beyond products to provide real support to parents. Our aim is to strengthen Sri Lankan families by providing trusted and expert advice and reaffirm our commitment to the safety and quality care of every child. This program not only confirms our commitment to parents, but also builds a good relationship based on understanding and trust. Then, every parent feels confident and informed in their journey of raising their children.”

Marketing Director Shiyan Jayaweera further said, “The Baby Cheramy Diaper Helpdesk service further simplifies the work of parents. This is Sri Lanka’s first diaper care platform with Generative AI technology. This is a 24-hour, medically tested and locally tailored service. Parents can quickly get reliable answers to their questions, and valuable advice is available to everyone in any language.”

The introduction of the Baby Cheramy Diaper Helpdesk service marks an important milestone in Baby Cheramy’s journey to becoming more than just a brand, but a true parenting partner. Parents can instantly connect with the service by scanning the QR code on the Baby Cheramy diaper packaging or by sending a WhatsApp message to 077 144 3636.

Baby Cheramy diapers are clinically proven by dermatologists to be non-irritating to the skin. Soft like a regular cloth diaper but with greater absorbency, these diapers keep your baby dry, comfortable and happy all day long. Baby Cheramy has now introduced a complete range of diapers to suit every stage of a baby’s development, including Newborn Diapers that provide maximum protection and Baby Pants designed for ease of use and comfort.

Baby Cheramy has been committed to creating a safe environment for Sri Lankan children for over 15 years. Its ‘Safe World for Children’ program clearly demonstrates the brand’s unwavering commitment to social responsibility. With the introduction of the Baby Cheramy Diaper Helpdesk service, Baby Cheramy further strengthens its commitment to ensuring the safety and well-being of children.

Appoints DPA as an authorised distributor for GWM in Sri Lanka

Launches hybrid and new energy vehicle range in Sri Lanka

David Pieris Automobiles (Private) Limited (DPA), the four-wheeler sales arm of the David Pieris Group of Companies, has been appointed as an authorised seller and distributor for GWM Limited, a global automotive giant, in Sri Lanka. The partnership brings to local customers a new generation of hybrid, Plug-in hybrid and new energy vehicles (NEVs), combining advanced technology with greater choice, reliability and value.

The launch portfolio includes the Haval H6 Hybrid (HEV) and the Haval GT Plug-in Hybrid (PHEV), offering Sri Lankan customers the freedom to drive electric in the city with the assurance of petrol power for longer distances. These models address the twin needs of efficiency and readiness, delivering everyday fuel savings while ensuring range confidence beyond urban limits. Alongside these, DPA will also introduce the Tank 300 Hybrid, the Tank 500 Hybrid and the fully-electric ORA range, expanding the choice available to local drivers.

The launch introduces GWM’s signature philosophy “Hello, to More”, a welcoming promise that emphasises the human benefits of freedom, trust, and value, while paving the way for the global brand positioning “Go With More” as familiarity grows in the Sri Lankan market.

GWM has established a strong global footprint with operations in more than 60 countries. Its HAVAL H6 is the number one SUV in Australia, recognised for reliability, performance and value, cementing GWM’s leadership in the competitive global automotive market. Through DPA’s nationwide presence and over four decades of legacy, Sri Lankan customers will now have access to GWM’s global expertise backed by the after-sales trust, service and reach of the country’s most extensive mobility network.

The portfolio now available through DPA redefines mobility for Sri Lanka by delivering choice with purpose. Customers are no longer forced to compromise between efficiency, performance, or readiness. GWM’s hybrid and electric line-up offers a complete spectrum of advantages: the range flexibility of electric in the city and petrol beyond, the economy to make every day journeys cost-effective, and the performance of instant e-torque combined with petrol power when needed most.

Importantly, this is underpinned by nationwide service accessibility and the credibility of DPA’s 40+ year legacy. Together, these attributes form a strategic mobility solution that equips Sri Lankans with the freedom, resilience, and confidence to embrace the future of transport today.

Each model introduced to Sri Lanka reflects this promise in a distinct way. The Haval H6 brings lifestyle sophistication, appealing to families and urban professionals seeking comfort and technology. The Haval GT embodies grit, designed for those who demand style and power in equal measure. The Tank 300 delivers adventure, built for drivers who want freedom beyond city limits, while the Tank 500 commands presence, offering space, luxury and authority on the road. Through these personas, GWM and DPA are curating experiences that meet diverse aspirations while shaping the future of mobility in Sri Lanka.

Colombo, September 2025 – SLFFA Cargo Services Limited (SLFFACSL), a unique consortium business model comprising 61 leading freight forwarders established 31 years ago, reported strong financial and operational performance at its 31st Annual General Meeting, despite industry and economic challenges.

Delivering his review, Chairman D. R. Hallock expressed pride in the company’s resilience and achievements over three decades, noting that the past year marked another significant milestone. He continued…

“PERFORMANCE

The year under review has been encouraging for SLFFA Cargo Services Ltd (SLFFACSL) due to various factors which have been explained in this report. The substantial increase in volumes during the year have been due to the continuing upward trend from  the preceding year. 

Our shareholders have accounted for 69% of the cargo while other members of Sri Lanka Logistics & Freight Forwarders Association (SLFFA) brought in 27% and 4% from non-SLFFA members. Going forward, SLFFACSL will require continued support from members of SLFFA, particularly as our feedback from customers is that SLFFACSL provides an efficient, speedy and personalized service. Towards this goal, SLFFACSL tariff is designed to compete effectively with Sri Lankan Cargo.

The total turnover of the Company had increased substantially by 49% from Rs. 356.12 M in the previous year to Rs.531.51M this year. The Gross Profit of the Company has increased substantially by 39% from Rs.183.92M in the previous year to Rs.254.94 M this year. During the period under review, a substantial part of cargo handled once again, has been general cargo followed by fabrics and accessories for the garment industry. 

The Administration and Establishment costs were Rs.172.08 M and the Rent expenses have increased by 24% this year, representing 26%. However, the Company was able to minimize the cost escalation with a determined effort by all staff, coupled with a cost-cutting drive.

The Company has succeeded in maintaining maximum efficiency levels in spite of lean management measures undertaken. The staff turnaround for the year has increased to 45%, compared with 40% in the previous year. The turnaround was particularly from junior out-sourced staff categories of Cargo Assistant and Loader. The main factor for the high staff turnover this year has been due to the difficulties in coping with the instability in the country, nature of work involved and related issues. We have continued to take measures to improve HR practices with regular on-the-job training and staff promotions based on merit, loyalty and efficiency.

HUMAN RESOURCES

The Company has succeeded in maintaining maximum efficiency levels in spite of lean management measures undertaken. The staff turnaround for the year has increased to 45%, compared with 40% in the previous year. The turnaround was particularly from out-sourced staff of Cargo Assistants and Loader categories. The main reason for the staff turnover this year has been due to the difficulties in coping with the instability in the country and related issues. We have continued to take measures to improve HR practices with regular on-the-job training and staff promotions based on merit, loyalty and efficiency.

The introduction of new staff with no experience was managed with continuous in-house training of the staff in basic cargo handling skills to ensure compliance with the SLFFACS Operations Manual. The training sessions conducted in Fire-Fighting skills and First-Aid were provided by AASL. Participation in other training courses and the annual year-end staff get-together were curtailed due to the prevailing unstable economic conditions.

DIVIDENDS

An interim dividend of 0.25 cents Gross amounting to Rs.7.1 million was declared and paid. The Board of Directors have decided on a final dividend payment of Rs. 1.75 per share.

FUTURE PROSPECTS

The Board of Directors continue to engage with the authorities concerned for handling of import groupage consolidated sea cargo, including transshipment as well as multi-country consolidation cargo within and outside the Port. Towards this end, the Board of Directors are continuing to work on plans to operate a fully-fledged Cargo Handling Terminal (CHT), although there have been a few drawbacks faced in this regard. This facility is expected to enhance the throughput of inbound and outbound logistics of ocean cargo in Sri Lanka. While accruing many benefits to the importers and exporters in the country, it is expected to enhance significantly the international competitiveness of local exports and enhance our country’s position as a regional distribution and logistics hub.

The quality of services provided to inbound de-consolidators in respect LCL/FCL groupage and MCC/transshipment services continued to be a huge challenge. Further the cost impact on de-consolidators appears to have increased with cost recovery mechanism being strongly resisted by the trade. Consequently, the need for SLFFACSL to commence the project referred to above has been heightened. The Board of Directors of SLFFACSL are mindful of this and are doing everything possible to positively respond to this industry’s need. 

Satisfactory progress has been made in its partnership with CCN Singapore with regard to offering Cargo Community Systems (CCS) services to the air cargo community in Sri Lanka. Currently, this industry initiative has progressed well, with over 40 leading Freight Forwarders, 12 leading Airlines and 6 GSAs successfully executing E-AWBs via CCNhub. SLFFACSL would like to encourage a determined effort by all stakeholders of the industry to move towards automation in a paper-less environment, whilst CCN is the only service provider currently in the market, offering its reliable services through SLFFACSL in Sri Lanka.

SLFFACSL in conjunction with its strategic partner CCN Singapore are pleased to record that the new Government took steps to immediately cancel a hastily granted approval to some shadowy entity to implement the Air cargo Community System for Air cargo. SLFFACSL are however keen to see the fruition of the Air cargo Community System soon as a private sector initiative and look forward to working closely with all concerned stakeholders to ensure implementation at the earliest. In this context he observed that the correct structured approach being finally taken by GOSL for implementation of Trade National Single Window System(TNSWS) and was of the view that the aircargo  community system could fit into this initiative.

SLFFACSL welcomes the steps taken by the new Government to stave off hasty & shortsighted privatisation of Sri Lankan Airlines which could have resulted in disastrous outcomes for the Air cargo industry in SRI Lanka. At the, same time SLFFACSL firmly believes that the monopoly status granted to Sri Lankan Airlines for ground handling of cargo should be revisited fast in the best interests of ensuring cost effectiveness & enhanced efficiencies for Air cargo handling. SLFFACSL remains committed to work closely with related Government agencies such as Airport & Aviation Services Limited to facilitate such a regime.

Whilst SLFFACSL sincerely appreciates the support extended over the years, on the part of shareholders and all members of SLFFA as a whole, the Company looks forward to their continued patronage in the future too.

OVERVIEW OF THE ECONOMY

The Sri Lankan economy continued to recover steadily in 2024, achieving a robust 5.0% real economic growth, after two years of annual contraction. This recovery was steady throughout the year, with all four quarters posting positive Gross Domestic Product (GDP) growth rates for the first time since 2017. The road to recovery was difficult, but notably faster compared to most debt-distressed countries.

Inflation eased and the country entered a period of deflation since September 2024 driven largely by energy price reductions. The external sector performance remained strong during the year 2024. The Sri Lanka rupee appreciated under the flexible exchange rate policy. The overall growth is mainly attributable to Industry activities, driven by the revival of manufacturing and construction activities, while services activities also contributed significantly, mainly supported by the sustained growth in accommodation and transport services.

Furthermore, notable improvements in credit were observed in the wholesale and retail trade; financial and business services; communication and information technology; and shipping, aviation, and freight forwarding subsectors, indicating a revival in services-related economic activity.

(Source – Central Bank of Sri Lanka Economic Report 2024)

OVERVIEW OF THE INDUSTRY

In the Services sector, Shipping, Aviation and Freight Forwarding sub sectors showed a healthy recovery in 2024, with a 2.4% growth compared to the 0.2% contraction in 2023. The surge in tourism had a positive ripple effect on sectors, including accommodation, food and beverage services, transport, and trade, contributing to this growth. Credit to the Services sector (which accounts for 27.4% of outstanding credit) also showed an expansion, with a y-o-y growth of 12.3% by end 2024.

The surplus in the services account rose to USD 3.4 bn in 2024, compared to USD 3.1 bn in 2023. This growth was driven by strong inflows to key services sectors, including sea and air transport, computer and information technology.

Sri Lanka’s services trade, a crucial component in the current account of the country’s balance of payments (BOP), has grown significantly, outpacing the expansion of merchandise exports in recent years. As a key contributor to foreign exchange earnings, the growth in services exports is driven by sectors such as port and airport services, tourism, computer and information technology/ business process outsourcing (BPO).

(Source – Central Bank of Sri Lanka Economic Report 2024)  

CIVIL AVIATION

In 2024, Sri Lanka’s civil aviation sector experienced significant growth across passenger, aircraft, and cargo movements, underscoring the country’s strengthening position in regional air transport.

The nation’s airports collectively handled approximately 8.88 million passenger movements, marking a 17.69% increase compared to 2023. This surge is largely attributed to the expansion of airline services and strategic initiatives aimed at boosting tourism. Notably, Bandaranaike International Airport (BIA) served over 30 airlines, including major international carriers.

The total number of aircraft operations reached 56,289 in 2024, reflecting a 20.69% growth from the previous year. Cargo movements also saw a substantial rise, with 192,498 metric tons handled in 2024, representing a 21.13% increase compared to the previous year. This growth underscores the critical role of Sri Lanka’s aviation infrastructure in facilitating trade and commerce within the region.

PORT SERVICES

In the Port sector, significant progress was made during the year on the development of the East Container Terminal (ECT) and West Container Terminal-I (WCT-I) at the Port of Colombo. These two strategic infrastructure projects are slated for completion in 2026 and 2027, respectively.

Once operational, ECT and WCT-I are expected to significantly enhance the handling capacity and operational efficiency of the Port of Colombo. This will not only bolster its position as a leading maritime hub in the region but also enable it to better compete with other regional ports by tapping into emerging opportunities in global shipping and trade.

Moreover, the expansion aligns with the growing demand for container throughput and underscores Sri Lanka’s commitment to strengthening its role in the international logistics and supply chain network.

(Source – Central Bank of Sri Lanka Economic Report 2024)

ACKNOWLEDGEMENT

In conclusion, the Board of Directors is very grateful to our shareholders for their support, confidence and trust in the Directors of the Company. We also wish to thank all Freight Forwarders and consignees who have continued to support the Company by moving their cargo through our terminal. I also wish to thank my colleagues, the Board of Directors, for the advice and the guidance given, BDO Corporate Services (Pvt) Ltd, and most of all our staff, for their tireless effort and commitment to continue to maintain high standards during the period under review.”