Sri Lanka is aiming to increase its apparel exports to three large economies –  EU, India and China, by negotiating on ‘GSP (Generalised System of Preferences) Plus Facilities’ with the EU and is in talks with China to increase its apparel exports says Apparel Resource. Sri Lanka is also hopeful that India will remove the current quota of 8 million duty-free pieces given under the ISFTA (Indo-Sri Lanka Free Trade Agreement).

It may be mentioned here that Sri Lanka’s apparel exports registered 4 per cent growth in 2015 and a GSP Plus Facility with EU would surely aid exports growth, according to Joint Apparel Association Forum (JAAF), the apex body which guides Sri Lanka apparel industry.

The South Asian nation is also hoping for a favourable outcome from the ongoing preferential trade negotiations with India and China. The Economic and Technology Co-operation Agreement (ETCA) between India and Sri Lanka is currently at final stage of negotiations. This agreement is likely of opening India’s apparel import market for Sri Lanka, and remove the current quota of 8 million under the current ISFTA between the countries. The Chinese Government is also probable of offering a more flexible situation for Sri Lankan apparel exports.

Sri Lanka’s textile and garment exports stood at US $ 4.7 billion in 2015 with future projections of increasing this figure to US $ 6 billion by 2019.