13th round of ETCA talks between Sri Lanka and India to take place in India in January
Daily FT: The 13th round of Economic and Technology Cooperation Agreement (ETCA) negotiations between Sri Lanka and India are scheduled to be held from 8-10 January in India, Cabinet Co-Spokesman and Minister Bandula Gunawardena had said.
“The aim is to conclude the technical level discussions by March 2024, as revealed by information presented to the Cabinet of Ministers following the 12th round of discussions,” he had said at the post-Cabinet-meeting media briefing last week.
The 12th round of talks took place in Colombo from 30 October to 1 November showcased active engagement between the two nations. During these discussions, the participating groups from both parties reached agreements on various pertinent sectors.
“There are different pacts both countries must agree on, but there were areas that both parties could not agree upon. Hence, the 12th round has paved the way for the forthcoming talks,” he had explained.
Gunawardena had said getting the trade agreement finalized soon is important for Sri Lanka to reap the full potential of an export-led economy.
The proposal to this effect submitted by President Ranil Wickremesinghe was approved by the Cabinet of Ministers at a recent meeting.
OSL take:
Sri Lanka and India enjoy strong bilateral and trade ties that have been further strengthened by an operational free trade agreement (FTA). However, this FTA will now be further strengthened by the proposed Economy and Technology Cooperation Agreement (ETCA). While India is one of Sri Lanka’s key development partners, there are many Indian businesses doing business in Sri Lanka. Sri Lanka’s close proximity to India has also attracted many Indian businesses to Sri Lanka. These ventures, which have also formed partnerships or joint ventures with local businesses, have posted growth and profits despite the challenging economic conditions faced by Sri Lanka during the past few years. With Sri Lanka’s economy now back on track and the country working towards becoming an emerging business destination in the South Asian region, there’s an expansion in business/investment opportunities in all key economic sectors in Sri Lanka. Given the further expansion in Sri Lanka’s bilateral and trade ties between Sri Lanka and India, Indian businesses/investors could confidently explore the expanding opportunities in Sri Lanka. Also, other countries interested in doing business with India could look at setting up base in Sri Lanka to engage with India.
| Article Code : | VBS/AT/20231212/Z_8 |