The United Kingdom has unveiled a package of trade reforms aimed at streamlining imports from developing countries, which will provide Sri Lanka’s apparel industry a considerable boost. Under the revised Developing Countries Trading Scheme (DCTS), more Sri Lankan goods can now enter the UK tariff-free, even if they contain components supplied from Asia and Africa.
The amendments will specifically liberalize rules of origin for garments, allowing Sri Lankan producers to benefit from zero-percent taxes on apparel exports. The reforms are slated to take effect by early 2026.
The United Kingdom, Sri Lanka’s second-largest garment export market, accounts for more than 60% of the country’s trade in this industry, with yearly exports worth over $675 million. Andrew Patrick, the British High Commissioner to Sri Lanka, described the action as a success for both Sri Lankan exporters and UK consumers, urging additional exporters to explore the new benefits under the DCTS.
According to Yohan Lawrence of the Joint Apparel Association Forum, the modifications will enable regional raw material sourcing while maintaining duty-free access, hence supporting over a million jobs in Sri Lanka’s apparel industry.
