UK simplifies trade rules for Sri Lanka

The UK government has announced a new set of trade reforms aimed at simplifying imports from developing countries, including Sri Lanka.

The changes are part of the UK’s Developing Countries Trading Scheme (DCTS), and were shared in a statement by the British High Commission.

The reforms are designed to make it easier for businesses in countries like Sri Lanka, Nigeria, and the Philippines to export goods to the UK. They will also help reduce prices for UK consumers by allowing tariff-free access to a wider range of high-quality and affordable products.

“These changes are part of the UK’s broader Trade for Development offer,” the statement said. “They support economic growth in partner countries while benefiting UK businesses and shoppers.”

A key change is the simplification of “rules of origin”, the requirements that products must meet to qualify for tariff-free access. This means more goods from countries like Sri Lanka can now enter the UK without tariffs, even if they are made using materials from other countries across Asia and Africa.

The most significant benefit for Sri Lanka is the liberalisation of rules in the garment sector. Starting in early 2026, Sri Lankan garment manufacturers will be able to source materials from a wider range of countries and still qualify for 0% tariffs when exporting to the UK.

“This is a win for the Sri Lankan garment sector and for UK consumers,” said British High Commissioner to Sri Lanka Andrew Patrick. “The UK is Sri Lanka’s second-largest export market, and garments make up over 60% of those exports. We expect manufacturers to welcome this move.”

The announcement follows discussions with international partners, including the Sri Lankan government and the Joint Apparel Association Forum (JAAF), as well as UK importers and trade associations.

High Commissioner Patrick encouraged Sri Lanka to take advantage of the expanded benefits under the DCTS not just for garments, but across other sectors as well.

“With the Sri Lankan government’s ambition to grow exports, and the simplification of rules of origin for other products too, we urge more exporters to explore these opportunities,” he said.

“The UK is committed to building shared prosperity with Sri Lanka.”