ISSN: 1391 - 0531
Sunday, January 28, 2007
Vol. 41 - No 35
Financial Times  

HSZ business victims call for top level committee

By Duruthu Edirimuni

Business communities affected by the tight security measures enforced in and around Colombo’s high security zone (HSZ), called for a high powered committee to address this threat to their businesses. The Sunday Times FT spoke to many of them, who contribute a large share to the country’s economy, but are losing a lot of revenue and customers mainly due to the HSZ. They went on to suggest that this committee should come up with ways to attract business in the face of a security problem.

All of whom spoke with The Sunday FT unanimously welcomed the suggestion that an interest group inclusive of the private companies, the military , security forces and the government should have a discussion on this issue. “Many businesses are inconvenienced, they do grumble, but they have not done anything about it so far,” a CEO of a company said, adding that an interest group would be a good way to represent the community, and it has to come up with an approach to have a security system with a human face. “This committee will brainstorm on ways to attract business in the midst of a security problem,” he added.

The World Trade Centre (WTC), which gets the brunt of the tight security measures, has a mixed tenancy of businesses such as airlines, shipping offices, communication offices etc, and houses approximately 120 offices. All of the city’s five-star hotels are also located in and around the Presidential square.

An example of WTC housed businesses being affected is the popular restaurant, the Deli Market which has reduced its business hours.
Michel Saelen, Managing Director M2 Holdings, the owners of Deli market and Food Factory, said that the company’s business had dropped tremendously. He said that the management decided to reduce Deli Market hours in the evening because of the security measures at the WTC.

“Our business is mainly local families, but now with the security situation in the Fort area, they do not visit the WTC and the business is tremendously depleting,” he said, adding that the company is laying off staff. “All business in this area is dead,” he further said.
“The military decides when they want to close up the entrance to the WTC in the night at different times. This is the main reason why people do not want to come to the Deli Market,” he explained.

He said that the VIPs and ministries should not be in the centre of the city. “This is not so in other countries,” he said. “I do not enjoy going there with the current security arrangements in place. Customers would rather prefer not to visit a high security zone and the businesses are definitely going to suffer.

I have seen that the vehicles are also subject to a close security check. Unless there is something you cannot avoid- I will not personally want to visit the WTC,” a public sector official said. Anton Nelson, Country Manger, Emerson Network Power (India) Private Limited, which is housed at the WTC, welcomed the proposed high level committee and said it will help to strike a balance between the country's security concerns and the business interests of the country's capital.

He noted there was a lot of security in the WTC, because it is a potential terrorist target and this is a necessary evil, but if the business community launches such an initiative, the businesses will not suffer as much. He said together with the high security measures, the VIP movement on the roads affect people daily. “The President’s movement on the roads, affect day to day life. The President could always be a potential target not only by LTTE, but any other vested interest. Therefore the best solution for this problem would be for him to move out of an area which is a top commercial hub and strengthen his security further in wherever he would relocate,” he explained.

He said that vehicle movement in the city is a nightmare and suggested that a good shuttle service be implemented. “Very little people want to drive any more, because of the traffic and parking issues. Therefore a proper shuttle service around the city will be good,” he added.

“At times the roads close for more than one hour and the loss of fuel is huge,” he said, adding that for commuters travelling by public transport it was a very bad experience. “From a business point of view, their productivity is lost,” he said. Nawaz Rajabdeen, President Federation of Chambers of Commerce and Industry of Sri Lanka (FCCISL) said that he fully supports a committee comprising the government, the forces and the business community. “This is a very good idea. It is about time that all the stakeholders get together and ‘do something’ about this situation,” he said. He noted that the Presidential Secretariat is not aware of what the Presidential Security is doing. “The adhoc decisions of the security have to be streamlined,” he added.

Rajabdeen said that business at restaurants and eateries which operate in this area have dropped by 60 percent. “The economic activities get hit because of this situation,” he explained further. He said that such a committee should come up with an approach to have a security system with a human face.

Mahen Dayananda, the Chairman of the Ceylon Chamber of Commerce, responding to suggestions made by the Sunday Times FT said, "We would be very supportive of such a committee to examine the pros and cons of this arrangement and find a suitable balance between both interests is initiated."

Ravi Abeysuriya, Country Director, Amba Research, reiterated the above sentiments when he said said that such a committee would help to get the business community’s point of view across. “Before the government makes high handed decisions I feel they should consult the business community such a committee will be the first step,” he said.

He said business process outsourcing firms (BPOs) such as Amba Research leverage largely on time as their competency because they take advantage of time differences in Sri Lanka when working with customers in their markets overseas. “In a BPO, the staff needs to come and go at any time. At most times the security do not allow them to take the vehicle inside WTC and request them to park somewhere in Fort. This is especially difficult for a female when she has to report to work in the night,” Abeysuriya explained.

An official at the Office Tiger, another BPO at the WTC said that presently the company staff face this same problem as vehicles are not permitted in post 10.00pm. “Our company works 24/7 and this in turn has made an impact on transport arrangements too. There are a few more BPO organisations and a few multi national corporations housed at WTC where many expatriates work. I’m sure all of them face this difficulty,” he said, adding that it is extremely difficult to get deliveries done to WTC offices.

“Chinese Dragon and Pizza Hut are few of the caterers who complain and have actually done away with delivery,” he said, noting that this development has given room for the restaurants within the HSZ to hike their prices. Abeysuriya complained about the adhoc road closures. “Security is of paramount importance, but there is a total disregard for the average person’s day to day life with ‘ridiculous’ road closures,” he said, adding that if someone wants to get to the hospital on time, there will be a big problem.

Premila Canisious, Regional Development Manager, Sri Lanka and Maldives said that some security personnel in the WTC are not very forthcoming. “There has to be a brainstorming on this situation together with the governments and the military,” she said, adding that the security personnel should be trained to handle sensitive situations.

Denesh Silva, Director Marketing and Sales, Amaya Resorts and Spas also said that it is a very good idea to bring all three stakeholders together on this issue. “Whilst the businesses in these areas are obviously affected, the paramount consideration must be that of the security of the public, not just VIPs. Hence it is important that businesses take a pragmatic view and look to make alternative arrangements. Great many companies have anyway moved out of these HSZ,” a corporate lawyer said.
He said that such a committee would be an ideal forum to discuss and find solutions to this issue. Nevertheless, priority must be given to public security.

 
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Copyright 2007 Wijeya Newspapers Ltd.Colombo. Sri Lanka.