SRI LANKA - TRADE
Lanka FOREIGN TRADE POLICY
Following the trade
liberalization initiatives introduced as far back as late 1970s and continued
by all successive governments to-date, Sri Lanka is currently known to be the
most liberalized economy in the entire region of South Asia. Series of
unilateral measures implemented over the years have resulted in rationalization
and simplification of the country’s tariff structure to a large extent.
The foreign trade policy,
which continues with the process of further liberalization of the country’s
current trade regime, aims at integrating Sri Lanka with the global economy
within the positive attributes of free market economy, while holding in balance
the interests of the domestic industry through specific measures.
Today, tariffs and other
border levies act as the key tools for regulating the foreign trade regime of
Sri Lanka, while there are hardly any barriers or impediments such as licensing
and quotas on either imports or exports. The tariff policy of the government
aims at providing a transparent and predictable framework for all stakeholders
in the foreign trade sector.
Sri Lanka’s present tariff
structure range from zero to 30% under a three
-band tariff structure with rates being 0%, 15% and 30%.
Essential goods & Basic
raw materials 0.0%
Intermediate products 15.0%
Other finished products
Sri Lanka has granted
preferential tariff benefits to a wide range of products imported under the
following trade agreements / arrangements.
Indo-Sri Lanka Free Trade
Pakistan-Sri Lanka Free
Trade Agreement (PSFTA)
South Asian Free Trade Area
Agreement (APTA) – formerly known as Bangkok Agreement
Being a pioneer member of
the GATT and the WTO, Sri Lanka remains fully committed towards pursuing a rule
based multilateral trading system that will ensure a transparent and
predictable trading environment to the international business community.