Manufacturers oppose lifting of temporary ban on footwear imports  

Sri Lanka's footwear manufacturers have been seriously affected following the government’s recent decision to lift the temporary ban on all footwear and components imports under HS Code 64 at the behest of a few local industrialists, industry sources alleged.
The government has issued new regulation 4 of 2020 dated July 16, 2020 in a special gazette notification canceling the previous regulation published on May 21, 2020 of suspending imports of all kinds of footwear.
The temporary ban on imports was welcomed by local footwear manufacturers who were by that time demoralised due to the adverse economic impact on their business due to the COVID 19 epidemic.
The Government’s initiative to temporary suspend the items which can be manufactured locally has resulted in the rise of the market demand and local manufacturers were on the verge of expanding their productions, a spokesman of the Sri Lanka Footwear and Leather Products Association told the Times Online.  
Some of these manufacturers have purchased new machinery also to cater to this vacuum created by the imported shoes in the local market, he said.  
The Additional Director Ministry of Industries and Supply Chain Management convened a meeting of the Footwear Sector Advisory Council and the Sri Lanka Footwear and Leather Products Association to discuss this issue, he disclosed.  

At   this meeting, 99 per cent of the members vehemently objected to lifting the ban. “Only VKC Company and Bettans Footwear Company Ltd have insisted authorities to lift the temporary suspension at the meeting while DSI requested to permit the goods ordered before the suspension for which none of the members objected,” he added.

In the latest gazette notification not only shoe uppers and uppers attached to inner soles have been lifted but also all footwear and components under HS code 64 were completely removed.

Hence now anyone can import even finished footwear, he said adding that lifting the ban on import of footwear (under HS 64) will create an adverse impact on the industry and it is against the President’s drive to strengthen the local industries.
The association said it will bring this matter to the notice of President Gotabaya Rajapaksa and the Minister of Industries and Supply Chain Wimal Weerawansa and look forward for their immediate intervention.

Lifting of the ban will provide benefits to a few selected industrialists at the expense of entire local footwear sector, he added. (BS)