Targeting of Tamils’ Businesses

1#

The same newspaper [The Guardian, 9 Aug. 1983] went on to report the second terrifying aspect of these riots: aside from Tamil homes, there was systematic destruction of shops and commercial and industrial establishments, many of which employed Sinhalese labor, and which were an essential arm of the UNP government’s policy of economic development. Beresford reported that government officials aid in the same briefing session for donor countries: “About 100 industrial plants were severely damaged or destroyed, including 20 garment factories. The cost of industrial reconstruction was estimated at 2,000 million rupees (£55 million). This did not include damaged shops.”

2#

Around the same time in early August, the New York Times supplemented the information on the scale of the economic destruction: “The shells of [Tamil-owned] businesses line Galle Road, the main waterfront thoroughfare, their scorched signs forlornly advertising the names that marked them for destruction. Lakshmi Mahal, pawnbroker, or Ram Gram stores and florist. … Damage estimates are uncertain and incomplete, but the total economic loss has been placed at $300 million or more, and 150,000 are said to have been rendered jobless. … About 10,000 foreign tourists were here when the trouble started. All but about 1,500 have left.” A significant portion of the jobless included Sinhalese workers, some of whom had participated in the very destruction of their own places of work.

3#

The violence was vicious and bloody. But what distinguished it from many other communal Asian riots was the way that the mob singled out specific business premises. In street after street in Colombo groups of rioters hit only at factories (as well as homes) owned by Tamils. Their careful selectivity is apparent now. In each street individual business premises were burned down, while others alongside stood unscathed. Troops and police (almost exclusively Sinhalese) either joined the rioters or stood idly by. President Jayewardene failed either intentionally or because he lost control to assert his authority quickly enough to stem the damage.

4#

Whereas, in the past, communal violence had been sporadic and spontaneous and directed against people, the violence now was not of this nature but clearly directed against property, means of livelihood and production. The aim of the first attacks was destruction only, though looting did follow. However, it seems that the looting was carried out by gangs different to those involved in the destruction. It was reported by many people, including some Sinhalese, that in some instances students from Buddhist schools followed on behind the first rioters ant that some Buddhist monks were seen amongst the gangs.

5#

Very many of those rendered jobless are Sinhalese. The disaster has not had adverse consequence for the Tamils alone. Thousands of Sinhalese have, as a result of the destruction of Tamil property, suffered severe dislocation in their own lives. For instance very early in the week of violence, 40 Tamil-owned factories around Colombo were reported to have been destroyed with the loss of 25,000 jobs and, after the violence, Mr. Premadasa, the Prime Minister, was reported to have stated that 150,000 jobs had been lost, and that 90% of these jobs belonged to Sinhalese people.

6#

The losses are still being added up in the statistical department of the central bank, which has sent out teams of accountants and surveyors to do an on-site census of destruction. The preliminary estimate of $150m worth of damage to commercial and residential property — equivalent to about 4% of Sri Lanka’s GNP — is almost certainly too low, because it is based on book value; replacement costs might be five to 10 times higher. It also excludes the value of lost stocks, lost output and lost export orders.

7#

Last fortnight’s violence threw another estimated 50,000 people out of work, the majority of them Sinhala, and resulted in a loss of 3 billion Sri Lankan rupees (Rs. 120 crore).