Talk on German Supply Chain Act reforms and EU GSP+

Thursday, 11 September 2025 00:08 - - {{hitsCtrl.values.hits}}

Markus Löning

Insights to what Sri Lanka’s exporters need to know

Colombo will host a timely and high-level discussion this week on the latest reforms to the German Supply Chain Act (Lieferkettensorgfaltspflichtengesetz – LkSG) and their intersection with the EU GSP+ program and the upcoming EU Supply Chain Law.

The session, led by Löning – Human Rights and Responsible Business Founder and Managing Director and former German Human Rights Commissioner Markus Löning, will take place on 12 September at the Atrium, Cinnamon Grand.

The German Government recently published a draft amendment to the LkSG, introducing two key changes: The abolition of the reporting obligation, previously suspended by BAFA but now legally confirmed and a narrowing of sanction mechanisms, applying only to companies that neglect preventive or remedial measures or fail to set up complaint mechanisms

While these amendments reduce administrative burdens, all core obligations on human rights due diligence, risk management, and documentation remain firmly in place. Moreover, the forthcoming EU Corporate Sustainability Due Diligence Directive (CSDDD) will soon replace national laws like the LkSG, creating a harmonised compliance framework across Europe.

Sri Lanka’s export industries—particularly apparel, tea, rubber, fisheries, and ICT services—are heavily dependent on EU markets, with Germany being one of Sri Lanka’s largest trade partners in Europe. The continuation of GSP+ tariff concessions is closely linked to compliance with EU sustainability and human rights standards.

This session will unpack: EU GSP+ Program: How reforms in European trade policy shape Sri Lanka’s export competitiveness; German Law on Corporate Due Diligence in Supply Chains (LkSG): Practical implications for Sri Lankan exporters supplying to German and European buyers; and EU Supply Chain Law (CSDDD): The future European-wide due diligence regime and what it means for Sri Lanka beyond 2026.