Sri Lanka loses key US trade concession

By APD writer Easwaran

COLOMBO, Dec. 29 (APD) – Sri Lanka has lost a key trade concession from the United States as the United States Congress did not re-authorize it, the US Embassy in Colombo said on Friday.

The United States’ Generalized System of Preferences (GSP) program for Sri Lanka and other countries expires on December 31, 2017. The United States Congress did not re-authorize GSP before adjourning for the year, the US Embassy said.

The immediate effect of GSP expiration is GSP eligible imports to the United States from Sri Lanka and other GSP beneficiary countries and territories will be subject to non-preferential duties beginning January 1, 2018.

The United States says it is proud to serve as the top export market for Sri Lanka. According to the Global Trade Atlas, in 2016, the United States imported $2.8 billion of Sri Lankan goods.

The US President had restored the US Generalized System of Preferences with effect from 29 June 2015 for a number of countries including Sri Lanka.

The US President signed the document into law on 29 June 2015, reauthorising the US GSP program until 31 December 2017, providing preferential duty-free entry into US market for nearly 5,000 products from 122 designated beneficiary countries and territories, including Sri Lanka.

(ASIA PACIFIC DAILY)