Friday Dec 13, 2024
Friday Dec 13, 2024
Monday, 16 January 2017 00:22 - - {{hitsCtrl.values.hits}}
The National Chamber of Exporters of Sri Lanka (NCE) issuing a statement has commended the Government on its success in regaining the GSP+ facility boosting exports.
The NCE notes with great satisfaction the success of the Government in regaining the GSP+ facility, which will undoubtedly boost the stagnating trend of Sri Lankan exports to facilitate accelerated economic development through the achievement of ambitious national export targets.
The European Commission which is the executive body of the European Union (EU) has proposed to restore the special concessions for imports from Sri Lanka under the GSP+ Facility, in exchange for the improved human rights and labour record of the country, subject to ratification by the European Parliament, which will be accompanied by a rigorous monitoring of human rights, good governance, labour conditions, protection of the environment, and rule of law, in conformity with the concerned 27 international conventions.
The Chamber is pleased to note that the GSP+ Preference would entail the full removal of duties on 66% of tariff lines, covering a wide range of products including textiles and garments, fisheries products, rubber products, and machinery.
Since the EU consisting of 27 countries is the biggest export market for Sri Lanka accounting for 1/3 of total global exports of the country, the concessions can make a significant contribution to Sri Lanka’s economic development by increasing exports to the EU market especially by the apparel sector which accounts for 46% of Sri Lanka’s Exports. In 2015 EU imports from Sri Lanka amounted to 2.6 billion euros which highlights the significance of the concessions that will be available.
Currently there are eight GSP+ beneficiaries among developing countries. In this context the chamber notes that Sri Lanka will have a particular advantage over competitor countries such as Pakistan, Bangladesh, and the Philippines for exports especially in the textiles and garments sector.
Since Sri Lanka will have a period of three to four months before the EU parliament ratifies the concessions to commence implementation, the Chamber urges its members and other Sri Lankan exporters to prepare themselves during this period to make effective use of the concessions that will be available. The Chamber on its part will conduct awareness creating training programs for Sri Lankan exporters, and especially for its member companies, to have a clear understanding of the regulations and procedures, as well as product quality requirements of the EU countries to effectively compete in the EU market, using the advantage of the concessions that will become available.
