  
Sri Lanka faces the renewed risk of losing its crucial GSP+ trade privileges over controversial anti-terror legislation, political leader Premadasa has warned. The warning highlights escalating concerns regarding domestic security laws and their compliance with international standards required to maintain preferential trade terms.
The GSP+ scheme offers substantial tariff reductions on exports to major global markets, conditioned on the effective implementation of international conventions governing human rights, labor standards, and governance. Anti-terror statutes have drawn consistent international scrutiny, placing Sri Lanka’s trade concessions under continuous evaluation.
Key Developments
- Premadasa warned that proposed or existing anti-terror laws jeopardize Sri Lanka’s continued access to the GSP+ trade program.
- The GSP+ framework mandates alignment with international human rights and governance conventions to sustain duty-free export benefits.
- Any suspension or loss of the status threatens key domestic industries and broader economic stability.
For an economy dependent on manufactured exports, the loss of preferential trade terms would significantly elevate export costs and diminish competitiveness in primary markets, underscoring the high economic stakes tied to national legislative reforms.