“The Case of EU GSP Concessions to Sri Lanka ” is a Working Paper published by the Institute of Policy Studies analyzing implications of deeper tariff concessions extended to Sri Lanka under the Labour Arrangement of the European Union’s (EU) Generalized System of Preferences (GSP). The publication traces the labour-trade linkage, and underscores the implications and issues of the GSP scheme in the context of the textile and apparel industry in Sri Lanka . The analysis of Sri Lanka ‘s textile and apparel trade performance in EU sets the local industry in the context of its competitors and evaluates implications of the tariff concessions for this industry under two broad themes, namely- market access and image/branding. Some prominent issues addressed are EU GSP scheme’s rules of origin requirements, Sri Lanka ‘s low utilization of concession and underlying reasons.

by Bilesha Weeraratne

Working Paper Series No.8