CSF’s latest Policy Brief – authored by Anushka Wijesinha and Shaheen Abdul Gani under our ‘International Trade & Competitiveness Thematic’ – looks at the implications of selected aspects of the European Green Deal for Sri Lanka’s exports. Click here to download a PDF copy.

The EU is a prominent export market for Sri Lanka. Recognizing the shifts being brought on by the European Green Deal – EU’s most ambitious and comprehensive set of environmental laws and regulations ever passed – is vital. This Policy Brief finds that while some aspects of the EGD will have immediate implications, others are unlikely to affect Sri Lanka in the near-term. It also observes that Sri Lanka is notably absent from global, strategic trade policy discussions on the EGD, whereas peer countries are active on this front. It recommends that industry and government stakeholders collaborate to offer more support to SME exporters to better navigate the changes, enhance their readiness to meet market requirements, and ensure they remain competitive in the European market. We flag four areas for action -Government support, Public-private partnerships, International cooperation and bilateral engagement, and Industry support to SMEs.

Sections of the Policy Brief:

• Snapshot of the EGD
• Carbon Border Adjustment Mechanism (CBAM)
• Implications of CBAM for Sri Lankan exports
• Corporate Sustainability Due Diligence Directive
• Learning from Germany’s GSCDDA
• European Union Deforestation Regulation
• Responses to the EUDR
• Summary View of Implications for Sri Lanka
• Risks and Opportunities for SME Exporters
• Implications for Policy and Industry Advocacy
• Recommendations
• References

Download the publication here.