Expert panel recommendations on trade pacts due by June
The Morning: The expert committee appointed by the Cabinet of Ministers to review Sri Lanka’s current and future trade agreements is expected to provide its recommendations by June.
Speaking to The Sunday Morning Business, Ministry of Trade, Commerce, Food Security, and Co-operative Development Secretary K.A. Vimalenthirarajah stated that any decision with regard to the resumption of presently suspended trade negotiations and/or the initiation of new negotiations would be undertaken only upon the issuance of the recommendations of the expert committee appointed by the Cabinet to review the said trade agreements.
“The Government wants a logical basis for entering into these Free Trade Agreements (FTAs),” he stated.
Vimalenthirarajah noted that the membership of the expert committee comprised representatives from certain research institutions and Government departments.
He added that the committee was expected to furnish its recommendations by June.
Commenting on the scope of the responsibility bestowed upon the committee, he said: “They will be looking at everything – the existing trade agreements, the ones being negotiated, and future ones.”
The previous administration engaged in a full-fledged drive to expand Sri Lanka’s portfolio of trade agreements, signing an FTA with Thailand and also commencing talks with China, Malaysia, Indonesia, and Bangladesh for the purpose of entering into possible trade agreements.
Sri Lanka currently has several FTAs and trade agreements. These include the Indo-Sri Lanka FTA (ISFTA), Pakistan-Sri Lanka FTA (PSFTA), Singapore-Sri Lanka FTA (SSLFTA), and the most recent Sri Lanka-Thailand FTA (SLTFTA).
Other trade agreements include the SAARC Preferential Trading Arrangement (SAPTA), South Asian Free Trade Area (SAFTA), Asia-Pacific Trade Agreement (APTA), Global System of Trade Preference (GSTP), and the UK’s new Developing Countries Trading Scheme (DCTS).
OSL take:
Sri Lanka already enjoys many trade agreements as well as trade concessions with many foreign countries and is in the process of further expanding these strong ties. The Sri Lankan government is also working on reaching trade ties with more foreign countries to expand Sri Lanka’s access to more foreign markets. With Sri Lanka’s manufacturing and export industries on a steady growth path with overall expansion in the country’s economy, expanding and strengthening trade ties with foreign countries would give a further boost to the manufacturing and export industries. Given these growing trade ties and expanded access to foreign markets, foreign businesses/investors could explore the expanding business/investment opportunities in Sri Lanka’s manufacturing and export industries as well as related sectors. Sri Lanka’s expanding trade ties supported by the country’s geographical positioning in the Indian Ocean and the improving business conducive environment in the country also present an ideal venue for foreign businesses to set up bases in the country to engage with countries in the region using the preferential treatment enjoyed by Sri Lanka with those countries.
| Article Code : | VBS/AT/20260218/Z_3 |