Norwegian GSP+ opens $100 b market for Lanka

Norway, the gateway to the Scandinavian market, invited Sri Lanka to grab opportunities to increase trade with Norway as bilateral trade soared 26 percent.

“There are many niche markets for Sri Lankan products and new opportunities are available in Norway. The new Norwegian GSP plus involves lower middle income countries with a population of less than 75 million people.

Sri Lanka, therefore, qualifies as a GSP plus country. As result, Sri Lanka now receives better access to Norway,” Ambassador to Norway in Sri Lanka, Grete Lochem told the EDB facilitated seminar on the Norway GSP+ scheme at the EDB auditorium, Colombo recently.

Industry and Commerce Minister Rishard Bathiudeen, Chairman and CEO, EDB, Bandula Egodage, top EDB officials, Senior Adviser, Directorate of Norwegian Customs and Excise Department of Customs, Ms Susann Nilsenn and Assistant Director, Directorate of Norwegian Customs and Excise Department of Customs, Ms Cecilie G Alnaes were also present.

This is the first time ever that top officials from the Directorate of Norwegian Customs and Excise Department of Customs were in Colombo to clarify issues to Lankan exporters.

The Norwegian import market is estimated at US $ 100 billion.

It is considered to be a market with high purchasing power due to it having a per capital income of over US $ 55,000, the third highest in the world.

Norway is not part of the European Union, but a founding member of the European Free Trade Association (EFTA) consisting of Norway, Switzerland, Iceland and Liechtenstein.

Norway has concluded 25 preferential free trade agreements through EFTA, while negotiations are under way with a number of free trade partners.

The new Norwegian GSP+ is not a part of EU's GSP assistance scheme.

“Bilateral trade with Norway has increased by 26% to $ 31.83 million since 2008. The balance of trade is in our favour. Apparel is the main export item to Norway from Sri Lanka - 38 percent of exports in 2012,” said Minister Bathiudeen.

“We now target an export goal of US $ 20 billion by 2020. Market access for countries such as Sri Lanka through supportive schemes including the new Norway GSP plus schemes play an important role in our export competitiveness,” he said. “In this context it will be important to widen our access to such markets, through such schemes.

Sri Lanka has benefited from the Norwegian GSP general facility from 1972 and has now met the criteria to enjoy the Norwegian GSP plus status from this year,” the Minister said.