This study argues that Sri Lanka is an attractive location for foreign investors based on the preferential market access it has achieved to a market of 1.26 billion people through the India–Sri Lanka Free Trade Agreement and the Pakistan–Sri Lanka Free Trade Agreement. Focusing on the exporter perspective, the study analyses which products ( at HS code 6 digit level of disaggregation) would be profitable to export to India and Pakistan from Sri Lanka . The analysis takes into account Sri Lankan comparative advantage, the extent of preferences received by Sri Lanka, the import patterns of India and Pakistan, as well as the competitive advantage of American firms.
Trade and Investment in Sri Lanka: New Opportunities for US Manufacturers to Benefit from Bilateral Free Trade Agreements with India and Pakistan
Ravindra A Yatawara