On Wednesday 11 January, the European Commission proposed granting trade preferences to Sri Lanka again under the EU's Generalised System of Preferences Plus (GSP+) that is linked to efforts on human rights, sustainable development and good governance.
These unilateral trade preferences would result in the total removal of customs duties on 66% of tariff lines for Sri Lanka's exports, covering a wide range of textile and fisheries products.
In return, Colombo would commit to ratifying and implementing 27 international conventions on human rights, working conditions, environmental protection and good governance.
Sri Lanka enjoyed the SPG+ until August 2010, when the EU decided to suspend this preferential treatment due to a lack of measures from the Sri Lankan government to remedy human rights violations that were reported in the country (see EUROPE 10078).
In 2015, the Sri Lankan government paved the way for major reforms for national reconciliation, the respect of human rights, the rule of law, principles of good governance and the economy's sustainable development.
Sri Lanka requested SPG+ in July 2016 and the European Commission's assessment enabled it to conclude that the participation criteria for this system (provided for in the EU regulation) had been met.
Sri Lanka has taken key measures to improve its respect of human rights and to extend good governance. The 19th amendment to the Sri Lankan constitution, which re-establishes the independence of key institutions, such as the national human rights commission, is top of the list.
Colombo has also adopted concrete measures to ensure that cases of people who have disappeared are examined, to offer better protection for witnesses and victims, to release people detained under controversial anti-terrorism regulations, and to fight child labour.
In addition, Sri Lanka has re-engaged with the United Nations system, especially with its Human Rights Council, committing to foster reconciliation, accountability and human rights. Furthermore, Sri Lanka met most of the millennium goals for development, especially on health, education and gender equality.
However, the European Commission requires further efforts to ensure full conformity of Sri Lankan counter-terrorism legislation with international human rights conventions, and an end to the practice of torture by security forces and of impunity is linked to this.
Colombo should also ensure, on the political and legislative level, that it improves women's and children's rights – for example, as regards domestic violence, the minimum age for marriage, and sexual abuse – and eradicates the harassment of trade unions.
Al these issues will be monitored as part of the SPG+.
The European Parliament and Council now have four months to raise any objections before the new measures become effective.
The EU is the biggest market for Sri Lanka's exports, absorbing a third of them. In 2015, bilateral trade stood at €4.7 billion, including €2.6 billion in exports for Sri Lanka (mainly consisting of textile products, rubber articles and machines).
Eight third countries currently enjoy the SPG+: Armenia, Bolivia, Cape Verde, Kyrgyzstan, Mongolia, Pakistan, Paraguay and the Philippines. (Original version in French by Emmanuel Hagry)