EU-Sri Lanka trade nets euros 2.6 b annually

Ruwanthi ABEYAKOON

TRADE: European Union (EU) is Sri Lanka's largest trading partner accounting for Euro 2.6 billion in trade, Head of the European Commission, Ambassador Julian Wilson said.

Addressing the gathering at the 14th annual awards ceremony of the National Chamber of Exporters (NCE) recently, he added that it was 20.8 per cent of the total trade in Sri Lanka in 2005.

"Sri Lanka is the only Asian country out of the 15 countries to enjoy GSP+," Wilson said highlighting the duty concession, which came into operation in July last year.

Sri Lanka has been chosen for this category because it has complied with 27 international conventions including labour and human rights conventions.

"The importance of GSP+ is that it has enhanced trade relations between Sri Lanka and EU. The European Union is the 2nd largest source of imports and 15.5 per cent of Sri Lanka's imports are from EU," Wilson said.

He added that the garment industry has showed a commendable growth in Sri Lankan trade.

"Exports in Sri Lanka have increased steadily during the last 20 years and now accounts for 28.6 per cent which is almost on par with Unites States. Garments is another growing trade in Sri Lanka," he said.

He also said that Sri Lanka has had a remarkable relationship with the EU and it will enhance trade relations to increase Sri Lankan exports.