Sri Lankan government proposes to remove minimum square feet rule for private bonded warehouses
Finance Minister of Sri Lanka Mangala Samaraweera has reportedly proposed the removal of the requirement for a minimum 50,000 square feet (about 230 x 220 feet) to set up a private bonded warehouse following requests from industry.
While the government Sri Lanka had proposed the setting up of bonded warehouses in its 2016 budget proposals, businesses had said the size of the warehouse should be decided according to the requirements of the firm.
Minister Samaraweera had reportedly proposed that the discretion of setting the size should be given to the Director General of Sri Lanka Customs.
The local media has reported that the country’s Cabinet of Ministers had cleared the proposal.
According to media reports, if thresholds requiring high costs are set for any business process or liberalization of existing controls which holds a country back, small businesses or start-ups will not be able to benefit from them.
OSL take:
The removal of the minimum square foot for bonded warehouses proposed by the government of Sri Lanka would result in a boost in business/investment opportunities in the country. Foreign as well as local businesses could expand their business ventures in Sri Lanka once the latest proposal comes into effect.
| Article Code : | VBS/AT/23102019/Z_3 |