According to the Thailand Commerce Ministry, Prime Minister Srettha Thavisin is set to travel to Sri Lanka in February to finalize a free trade agreement (FTA), following the latest round of talks between the two nations. Chotima Iemsawasdikul, director-general of the ministry’s Department of Trade Negotiations, announced that Sri Lanka hosted the ninth round of FTA negotiations on December 18–20. The talks, attended by Auramon Supthaweethum, director-general of the Department of Business Development and adviser to the FTA negotiation team, resumed in November after a four-year hiatus due to the Covid-19 pandemic and ongoing restructuring of Sri Lanka’s government agencies.
Ms. Chotima reported that the latest round of negotiations successfully addressed rules on trade, services, investments, and economic cooperation. The Commerce Ministry will submit the results to the cabinet for approval before the Prime Minister’s visit to Sri Lanka in February for the official signing of the agreement, following an invitation by Sri Lankan President Ranil Wickremesinghe.
Despite its relatively small population of 22 million, Sri Lanka holds a significant role in maritime freight in the Indian Ocean and boasts abundant natural resources, including gemstones, graphite, and aquatic animals. Ms. Chotima highlighted that various industries in Thailand, such as automotive, fashion, gems, metal, electronic goods, machinery, rubber gloves, pet food, and corn, will benefit from the FTA. Service firms in finance, insurance, tourism, and research and development are also expected to reap benefits.
From January to October of the current year, the bilateral trade between Thailand and Sri Lanka amounted to US$320.37 million (approximately 10.9 billion baht), with Thailand exporting goods worth $213.49 million and importing goods worth $106.88 million from Sri Lanka.
