Sri Lanka and Indonesia launch talks on preferential trade agreement
The Morning: Sri Lanka and Indonesia officially kicked off the negotiations for the Preferential Trade Agreement (PTA) on 14 March.
The negotiations were formally launched by Sri Lanka’s State Minister of Foreign Affairs, Tharaka Balasuriya and Indonesia’s Vice Minister of Trade, Jerry Sambuaga in a virtual meeting.
The ministers have conveyed that the commencement of the Sri Lanka-Indonesia PTA negotiations would serve as a step towards a Free Trade Agreement (FTA).
They agreed that both countries are keen to strengthen bilateral trade relations and achieve meaningful market access under the proposed PTA.
Balasuriya and Sambuaga said they are hopeful that the PTA negotiations would be conducted expeditiously and agreed that the first round of negotiations will commence at the earliest mutually agreed date.
OSL take:
Sri Lanka is currently engaged in reviewing and further strengthening trade agreements the country already enjoys with other countries while also looking at entering into new trade agreements with more countries. This is part of Sri Lanka’s journey in becoming a trade hub in the South Asian region. The country’s geographical positioning in the Indian Ocean also supports Sri Lanka’s bid to becoming a registered trade hub. The ongoing economic activities and the expansion in Sri Lanka’s manufacturing and export sectors in line with the growing local and international demand have opened up a host of business/investment opportunities for foreign businesses/investors. Sri Lanka also presents the ideal venue for foreign businesses/investors to set up base in, in order to do business with other countries in the region using the preferential treatment enjoyed by Sri Lanka through the many trade agreements. Foreign businesses could also look at forming collaborations with local businesses in order to expand operations regionally as well.
| Article Code : | VBS/AT/20240326/Z_1 |