New Delhi: Sri Lanka will be able to export 8 million pieces of ready-made garments to India at zero duty under India- Sri Lanka Free Trade Agreement, ISFTA. As per the existing arrangement under ISFTA, India has granted two sets of apparel quotas at zero duty to Sri Lanka. An Indian High Commission release said in Colombo that this issue was raised by the Sri Lankan government during the visit of Commerce, Industry and Textiles Anand Sharma to Sri Lanka in August.
In August Minister Sharma had said that India and Sri Lanka will cooperate for modernization and revival of closed mills in Sri Lanka and Indian textile players will establish some manufacturing units too. “Cooperation in Textiles sector is important from the perspective of both the countries as it is a major component of our economic partnership. A delegation of leading textiles industrialists will visit Sri Lanka in the first half of September” Sharma had said
India had stated that it is committed to give a big boost to Sri Lanka exports as they will have the preferential access given the principle of asymmetry that has been offered without any expectation of reciprocity. “It will be special and differential treatment that will be given. This is happening elsewhere also. This is how global production lines are created,” the minister stated.
He also had announced the Indian side of the composition of the Joint Task force, which included the official representative, Automobile Component Manufacturing Association (ACMA), EEPC, Pharmaxil, CII and Texprocil.