Coverage
What this agreement covers.
Goods (services and investment separate)
Key benefits
Why this agreement matters.
- ✓ 0% duty on 4,000+ Sri Lanka export lines into India
- ✓ Indian pharma, engineering, FMCG 0% into Sri Lanka
- ✓ Sri Lanka acts as India's manufacturing hub for some re-export
- ✓ Short sea transit — 24–48hrs Colombo to Chennai/Kochi
India position
How this FTA relates to India.
India is FTA originator — primary exporter
Aggregate trade volume among parties: USD 5.8B
Risk framework
FTA compliance risks.
| Risk | Assessment | Mitigation |
|---|---|---|
| Negative list — some sensitive items excluded from preferences | Medium — verify HS code coverage before assuming 0% duty | Check India-Sri Lanka FTA negative list for each HS code on DGFT website |
| Rules of origin — 35% domestic value addition required | Medium — must substantiate local value addition | Maintain factory cost records; issue GSP/FTA certificate of origin at export |
Beneficiary verticals
Which sectors benefit.
Cited from
Referenced by these country pages.
Sri Lanka
Frequently asked
FAQ · ISLFTA.
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