South Korea to open its markets to Sri Lanka

The current bilateral trade levels between Sri Lanka and Korea are set to grow strongly as doors to the huge South Korean markets are likely to be opened for Sri Lanka soon. Sri Lanka will also be taking part at the South Korea's international ‘EXPO 2012 Yoesu’ commencing from May 12.

“An early conclusion of the fourth round of Asia-Pacific Trade Agreement (APTA) is important as that will open up new opportunities for Sri Lankan products in the Korean market as well as in other member states,” revealed Sihyung Lee, Deputy Minister for Trade of Republic of Korea on April 22 .

Rishad Bathiudeen, Minister of Industry and Commerce during a Sri Lanka-South Korea bilateral session held on the sidelines of the 13th Ministerial Meeting of UNCTAD General Assembly Session at the Qatari National Convention Center, Doha said, “Sri Lanka is keen in studying the different avenues available for promotion of Sri Lankan products in the Korean market with special emphasis on apparel and tea, either in the context of the Asia-Pacific Trade Agreement (APTA) or some other mechanism.

As a preliminary step in this process, I would like to explore the possibility of leading a business delegation to the EXPO 2012 Yoesu, Korea, commencing from May 12 to August12,” Minister Bithiudeen said.

“My ministry would extend necessary assistance to facilitate business to business meetings during the proposed business rendezvous.

An early conclusion of the fourth round of Asia-Pacific Trade Agreement (APTA) is important as that will open up new opportunities for Sri Lankan products in the Korean market as well as in other member states,” the South Koren Minister said.

Sri Lankan apparel products have been making inroads to the South Korean market under the APTA. However, the value of apparel exports has remained rather modest, averaging around US $ 6.5 million.

According to the Department of Commerce of Sri Lanka, the overall value of Sri Lanka - South Korea trade currently stands at US $ 432 million While Sri Lanka's exports to South Korea were registered at US $ 45 million in 2011. Sri Lanka's imports from South Korea amounted to US $ 387 million in the same period.

Main export items from Sri Lanka to South Korea include coconut fibre, rubber products, articles of apparel clothing and accessories, used pneumatic tyres of rubber and furniture. Sri Lanka primarily imports were iron and steel, boilers and machinery parts, knitted or crocheted fabrics, light-vessels, fire-floats, dredgers, man -made filaments, cotton woven fabrics, special purpose motor vehicles, electrical machinery and equipment and parts, plastics and articles.

To promote bilateral trade further,Sri Lanka Export Development Board and the Korean Importers Association (KOIMA) signed an MoU on the side-lines of the Sri Lanka Expo 2012 in March this year. President Mahinda Rajapaksa is presently on a state visit to Korea.