Sri Lanka and Bangladesh to further boost bilateral and trade ties through an FTA
Sri Lanka and Bangladesh are set to further boost bilateral and trade ties with both countries gearing to meet for Ministerial trade talks later this year. These talks are taking place after almost three years.
“The fifth session of the Joint Economic Commission between Bangladesh and Sri Lanka was held in Colombo in 2016. Therefore time has come for the sixth trade session between both countries,” Sri Lanka’s Minister of Industry, Commerce, Resettlement of Protracted Displaced Persons, Cooperative Development, Skills Development and Vocational Training Rishad Bathiudeen has been quoted as saying.
The Minister has made this observation on Tuesday (6) during a meeting with the High Commissioner of Bangladesh in Colombo Riaz Hamidullah at the Ministry office in Colombo 3.
“During the 2016 SL-BJCETC session, ideas were exchanged between the two countries on the proposed Bangladesh-Sri Lanka Bilateral Free Trade Agreement (FTA). Also the draft bilateral investment Promotion and Protection Agreement (BIPPA), cooperation between the Investment Authorities in Bangladesh (BIDA) and Sri Lanka (BOI), and the draft MoU on standards between BSTI and SLSI were discussed – they later became a reality when MoUs were signed in 2017”.
“In the next session to be held in Dhaka, we can explore implementation and also plan the next steps. The dates for next session need to be agreed and finalised with Bangladeshi side,” Bathiudeen has said, adding, “Also as Sri Lanka’s Minister of Development Strategies and International Trade Malik Samarawickrama has already announced, the FTA could be signed once the joint feasibility study is finalised.”
The proposed FTA aims to boost total trade to higher levels beyond current US$ 150 million levels.
OSL take:
Sri Lanka already has many trade agreements as well as enjoy trade concessions with many foreign countries. The proposed FTA between Sri Lanka and Bangladesh would help further strengthen ties between the two South Asian countries. Sri Lanka already has FTAs with India and Pakistan and once Bangladesh is also added to the list Sri Lanka will become a strong trade partner in the South Asian region. Foreign businesses/investors looking at doing business in South Asia could explore the possibility of setting up base in Sri Lanka to engage in business activities with South Asian countries. Also, Sri Lanka’s geographical positioning in the Indian Ocean will help in getting products to reach potential markets with ease.
| Article Code : | VBS/AT/08082019/Z_4 |