President Mahinda Rajapaksa told representatives of small and medium scale industrialists, at Temple Trees on Thursday, that unlike the previous Government, it was not his intention under the Mahinda Chintanaya to project profit making ventures as losses and sell such industries to friends and favourites in exchange for bribes.

"It is my intention to encourage and boost our local ventures," He told them.

The President said 80 per cent of the country’s industries belong to the small and medium category and there were 25,000 ventures under this category. A sum of Rs 6.9 billion has been allocated for the improvement of these industries for the current year, he said.

He recalled the loan facilities and tax relief afforded to both large scale and small scale industries last year and massive Budget allocation reserved for these industries this year through the 2008 Budget. He also mentioned several relief packages to industries through subsidized electricity charges and rebate on export taxes.

On being informed that several foreign buyers had introduced artificial substances in place of cinnamon, the President instructed Export Development Board officials to look into the complaint

and take remedial measures. Producers also complained to the President that annually 3,500 tons of spices were being imported into country and this could be stopped if necessary incentives are provided to local growers.

Cinnamon growers complained to the President that Rs 10 billion worth of cinnamon was being exported annually and requested that the price of cinnamon fertliser be reduced to Rs 1,000 per bag. The President agreed to supply fertiliser at this price only for next season’s cultivation.

Ministers Kumara Welgama, Ranjith Syambalapitiya, Central Bank Governor Ajith Nivard Cabraal, Secretary to the Treasury Sumith Abeysinghe and Chairman of the EDB Champika Perera were associated with the President at the discussions.