Pakistan - Sri Lanka Free Trade Agreement (PSFTA)

Details: Category: Pakistan-Sri Lanka Free Trade Agreement (PSFTA)

(Value in US$ Mn)

HS No	Product Description	2020	2021	Change (%)	Share in 2021 (%)
140490	Betel leaves	15.96	18.27	14.4	29.3
400121	Natural rubber in the other forms: smoked sheets: R.S.S.1	6.16	5.23	-15.1	8.4
080112	Coconut: In the inner shell	4.17	4.76	14.3	7.6
681140	Containing asbestos: corrugated sheets	1.06	4.36	310.5	7.0
441114	Medium density fiberboard (MDF) : Of a thickness exceeding 9 mm : Other	3.02	2.18	-28.0	3.5
401511	Gloves, mittens, and mitts: Surgical	1.58	2.17	37.2	3.5
850720	Electric accumulators, including separators	1.00	1.75	74.0	2.8
080111	Coconuts: Desiccated: Other	1.24	1.72	38.5	2.8
740811	refined copper: Of which the maximum cross-sectional dimension exceeds 6 mm	1.55	1.64	5.9	2.6
854411	Winding wire: --Of copper: --- Other	0.62	1.59	157.0	2.6
400129	Other: Crepe: Block rubber	1.66	1.47	-11.0	2.4
120300	Copra	1.56	1.35	-12.9	2.2
681182	Not containing asbestos: Other sheets panels tiles and similar articles	0.03	1.33	4093.9	2.1
530500	Of coconut (coir) : molded products for use in horticulture	0.89	1.10	24.0	1.8
401120	Of a kind used on buses or lorries : Having a rim size 20 inches and above : Other	1.00	1.07	7.0	1.7
	Other	11.46	12.26	6.9	19.7
	Total	52.96	62.25	17.5	100

Source: Sri Lanka Customs

Details: Category: Pakistan-Sri Lanka Free Trade Agreement (PSFTA)

Year	Exports (USD Mn)			Imports (USD Mn)
Year	Total Exports to Pakistan	Exports under PSFTA	% under PSFTA	Total Imports from Pakistan	Imports under PSFTA	% under PSFTA
2015	73.10	58.84	80.5	297.41	42.76	14.4
2016	63.80	51.52	80.8	304.33	20.72	6.8
2017	74.01	60.33	81.5	350.11	15.81	4.5
2018	75.94	50.72	66.8	428.55	41.24	9.6
2019	81.53	60.76	74.5	369.78	23.91	6.5
2020	74.27	52.96	71.3	324.26	10.81	3.3
2021	91.86	62.25	67.7	394.34	12.32	3.1

Source: Sri Lanka Customs

Details: Category: Pakistan-Sri Lanka Free Trade Agreement (PSFTA)

In order to receive PSFTA benefits, the merchandise exported between Pakistan and Sri Lanka should comply with the following Rules of Origin criteria.

Wholly Obtained Products

All wholly obtained products such as tea, fish, spices etc. will be able to enjoy duty free benefits at each other's markets without difficulty, provided they are eligible for duty concessions.

Products not Wholly Produced or Obtained

These include the products manufactured using imported raw materials. In order to enjoy PSFTA benefits, the products should comply with the following criteria.

The Domestic Value Addition (DVA) in the exporting country should not be less than 35% of the FOB value of the finished product and
HS Codes of the imported raw materials and the finished products should be different at 6-digit level. (Change of Tariff Heading criteria)

Cumulative Rules of Origin

The Cumulative Rules of Origin encourage the contracting states (Pakistan and Sri Lanka ) to source raw materials needed for their exports form each other. Accordingly, an exporter has to show only a minimum DVA of 25% of the FOB value of the finished product, provided the raw materials imported from the other contracting state accounts for not less that 10% of the FOB value of the particular product. (In other words, the aggregate value addition should not be less than 35% of the FOB value of the finished product, while the DVA in the exporting country should be minimum 25% of the FOB value)

Details: Category: Pakistan-Sri Lanka Free Trade Agreement (PSFTA)

Year	Sri Lanka’s Export to Pakistan	Share of total Sri Lanka’s export to the world	Sri Lanka’s Import from Pakistan	Total Bilateral Trade	Trade Balance
Year	Sri Lanka’s Export to Pakistan	Share of total Sri Lanka’s export to the world	Sri Lanka’s Import from Pakistan	Total Bilateral Trade	Trade Balance
1995	43.20	1.14	52.40	95.60	-9.20
2000	29.59	0.56	68.61	98.20	-39.03
2005	43.02	0.70	115.56	158.58	-72.54
2010	60.45	0.73	282.11	342.57	-221.66
2015	73.10	0.72	297.41	370.51	-224.31
2016	63.80	0.62	304.33	368.13	-240.53
2017	74.01	0.65	350.11	424.12	-276.10
2018	75.94	0.64	428.55	504.49	-352.61
2019	81.53	0.68	369.78	451.31	-288.25
2020	74.27	0.75	324.26	398.53	-249.99
2021	91.86	0.75	394.36	486.22	-302.50

Source: Sri Lanka Customs/ Trade Map

Details: Category: Pakistan-Sri Lanka Free Trade Agreement (PSFTA)

Identify Your Product and it’s Eligibility

Wholly Obtained Product

Affidavit

Note: Affidavits for spices should be for each shipment and contain additional details as per Note 1 of the general affidavit format

Sufficiently Worked or Processed Products

Cost Statements

Cost Statement format under PSFTA
[PDF - 32 KB]

Documents Needed to be Submitted to Verify the Imported Raw Materials with Cost Statement

Import CUSDECS
Import Invoice

Click here to view Pakistan Tariff Guide

Fees

Certificate of Origin	-	Rs.1500.00
Extra Copy of Certificate of Origin	-	Rs.750.00
Duplicate Certificate of Origin	-	Rs.1500.00
True Copy of Certificate of Origin	-	Rs.500.00