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The India–Sri Lanka Free Trade Agreement and the Proposed Comprehensive Economic Partnership Agreement : A Closer Look

  • Saman Kelegama

    (Asian Development Bank Institute (ADBI))

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    The India–Sri Lanka Free Trade Agreement has been in operation for more than a decade. The paper provides the Sri Lankan perspective of the Free Trade Agreement (FTA) highlighting both the positive outcomes and the negative aspects. The paper shows that the FTA has worked in favor of Sri Lanka but its full potential has not yet been realized due to market access problems in India, and the lack of supply capacity for some products in Sri Lanka. The India–Sri Lanka Comprehensive Economic Partnership Agreement addressed many of the negative aspects of the FTA in a broader economic integration framework but was unable come into operation due to public misconceptions and lack of entrepreneurial and political leadership in Sri Lanka.

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    Paper provided by East Asian Bureau of Economic Research in its series Trade Working Papers with number 23969.

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    Date of creation: Feb 2014
    Date of revision:
    Handle: RePEc:eab:tradew:23969
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