US GSP program, a good tool to enhance trade says Harsha | Sunday Observer

US GSP program, a good tool to enhance trade says Harsha

The broad approach the government has taken to inter-space the USA and the world in trade has enabled the country to expand trade. However, if the country does not make a structural break and move in the growth path, it will lag behind, Deputy Minister of National Policies and Economic Affairs Dr. Harsha de Silva said delivering the keynote address on ‘Government policy and the framework of USA GSP program’ in Colombo last week.

The US GSP program is a good tool to provide the country trade enhancement and the best strategies need to be implemented to gain benefits, he said. “Integrating Sri Lanka with the rest of the world is necessary and lack of growth in exports had hampered growth prospects. Not only the traditional markets such as the single largest market of the USA and the EU, we have seen a gradual decline in GDP to exports,” he said.

Sri Lanka has recorded 13 percent of GDP to exports. This direction was wrong. For example, Singapore recorded 160 percent while Hong Kong recorded 200 percent ratios, he said.

“Trade is exports and imports. We have been into apparels for some time now. We need to go beyond apparel and also to go to the next level of apparel sector. There are 10s and 1,000s of jobs that can not be filled in the apparel sector. All what we want is to create jobs that pay higher salaries. Until we figure out what is sustainable, we can not move away from the low equilibrium,” he said.