Singapore, Sri Lanka sign FTA; annual savings of S$10m expected

Colombo

SINGAPORE and Sri Lanka signed a free trade agreement on Tuesday.

The deal guarantees tariff-free access for Singapore exports to Sri Lanka on 80 per cent of all tariff lines for 15 years, a statement from the Ministry of Trade and Industry (MTI) said.

Singapore already applies a zero tariff rate for 99 per cent of the items listed in the tariff schedule for Sri Lankan exports to Singapore.

With the FTA, tariff savings for Singapore exports are estimated to hit S$10 million annually.

The deal also covered services, with the two countries committing to allow greater access in each other's markets for professional, environmental, construction, tourism and travel-related services.

Singapore firms will also be allowed to bid for government procurement projects by selected large government entities and state-owned e…