In order to enable Sri Lanka to take advantage of the opportunities brought about by the geopolitical changes in the global textile trade, the Joint textile Association Forum (JAAF) has reaffirmed the necessity of specific legislative efforts.
The JAAF underlined the need for more strategic planning to increase the nation’s competitiveness in the global market, pointing to the stagnating values of garment export incomes during the past ten years.
Sri Lanka’s antiquated policy approaches have made it more difficult for the nation to seize and hold onto profitable market shares in the face of shifting trade patterns, according to JAAF Secretary General Yohan Lawrence.
Compared to its rivals, many of whom gain from the preferential trade deals, Sri Lanka is at a serious disadvantage.
He said that in order to secure the Generalised System of Preferences (GSP) benefits for Sri Lankan clothing products in the US markets, the JAAF is presently negotiating with the American Apparel and Footwear Association.
Lawrence made the argument that Sri Lanka shouldn’t depend too much on free trade agreements (FTAs) because they don’t always produce the desired outcomes. He emphasised the importance of examining the markets and determining what the nations’ true desires are in relation to free trade agreements.
According to the most recent data available, Sri Lanka’s garment exports increased 5.27 per cent year over year (YoY) to US $ 4.3 billion from January through November 2024 as compared to the same period in 2023. Exports to the US and the UK increased 6.25 per cent year over year and 9.37 per cent year over year, respectively, while exports to the EU increased by just 0.04 per cent year over year.
