Lankan exporters cry foul over India’s quality standard criteria under FTA
View(s):Despite Indian Prime Minister Narendra Modi’s assurance during his recent visit to the island that all necessary measures will be taken towards allowing Sri Lankan goods to enter Indian markets smoothly, local exporters complain that they still find it difficult to clear their goods under the Free Trade agreement from Indian Customs.
Some of the obstacles mentioned by them include India’s state taxes that vary from state to state, non-tariff barriers, bureaucratic delays in getting customs clearances in India for their exports, protracted testing and certification requirements in India, quality standard requirements and administrative procedures.
Delays at Customs and bureaucratic red tape have also been cited by Sri Lankan exporters as constraints in trading with India.
One of the major problems was the delays owing to testing and certification requirements for certain products in India, local exporters pointed out. Testing and certifications done in Sri Lanka should be recognized in India, they stressed.
The products that will benefit include: ayurvedic products, fish and fishery products, coffee, tea and spices, edible fruits and nuts, vegetable fats and oils, all kinds of animal and animal products, plant and products of plant origin, and other agricultural and related items.
Indian customs have rejected processed food items including tea, industrial chocolates, a local exporter told the Business Times adding that some of the factories that began to produce value added food products and agricultural produce for the Indian market under the FTA will now have to close down due to these issues.
Export Development Board Chairman/CEO Bandula Egodage noted that several local exporters have made complaints on these issues to them and the Director General of Commerce and trade officials are holding talks with their Indian counterparts to iron out these problems.
He said that there were issues on food safety and quality standards stipulated by India and this matter is being sorted out as it was a compatible issue.