Sri Lanka - EU Relations
 
  Political Relations
  Agreements
  Relations with the 27 Permanent Representations to the EEAS and EU Member States
  Cooperation in Counter-Terrorism
  Interaction with the European Commission
  Relationship with the European Parliament
  Trade and Economic Cooperation
  Tourism
  Interaction with Academic Institutes
 
  Political Relations
Sri Lanka’s relations with the European Community commenced in 1962. The Embassy of Sri Lanka in Brussels was set up in 1973, and was accredited to the EU. Having previously been accredited from New Delhi, the European Commission established its Delegation Office in Colombo in September 1995.

In March 2001, President Chandrika Bandaranaike Kumaratunga visited Brussels and met with Mr. R. Prodi, President of the European Commission.

In November 2003, Mr. Chris Pattern, European Commissioner for External Relations visited Sri Lanka.

The 16th Session of the Sri Lanka - EU Joint Commission was held in Brussels in October 2004.

Hon. Anura Bandaranaike, Minisiter of Industry, Tourism and Investment Promotion visited Brussels and addressed the Development Committee of the European Parliament, in October 2004.

The ‘Sri Lanka Liaison Group’ of the European Parliament visited Sri Lanka in November 2004.

In January 2005, Mr. Louis Michel, EC Commissioner for Humanitarian Aid visited Sri Lanka.

Seven members of the South Asia Delegation of the European Parliament, led by MEP Neena Gill (S&D/UK) visited Sri Lanka in March 2005.

In March 2005 Ms. Benita Ferraro-Waldner, European Commissioner for External Relations visited Sri Lanka.

In March 2006, Hon. Magala Samaraweera, Minister of Foreign Affairs visited Brussels and met with Ms. Benita Ferraro-Waldner, European Commissioner for External Relations. He also addressed the Foreign Affairs committee of the European Parliament.

Dr. Palitha Kohona, Secretary/Ministry of Foreign Affairs visited Brussels in May 2007. He met with Ms. Benita Ferrero Waldner European Commissioner for External Relations.

Hon. Rohitha Bogollagama, Minister of Foreign Affairs visited Brussels in September 2007. He met with Ms. Benita Ferrero Waldner, European Commissioner for External Relations & Mr. Antonio Cavaco, DG/ Directorate General for Humanitarian Aid (ECHO)

Hon. Mahinda Samarasinghe, Minister of Disaster Management and Human Rights visited Brussels in October 2007 & met with officials of the Directorate General for Humanitarian Aid (ECHO).

Hon. Prof.G.L.Peiris, Minister of Export Development and International Trade visited Brussels in March 2008, accompanied by Attorney General Hon. C.R de Silva . He met with Ms. Benita

 
  Agreements
An Agreement on Trade and Economic Cooperation was signed on 22nd July 1975. Relations between Sri Lanka and the European Union is governed by a subsequent third generation agreement, ‘Co-operation Agreement on Partnership and Development between the European Community and Sri Lanka’, which came into force on 1 April 1995.

  The Sri Lanka-EU Joint Commission has held 17 sessions so far and has been supplemented by periodically held Sub-Commission Meetings. The purpose of the Joint Commission is to ensure the proper functioning and implementation of the Agreement on Trade and Economic Cooperation, to make suitable recommendations to promote the objectives of the Agreement and to examine ways and means to enhance the cooperation in the areas covered by the agreement. The last meeting of the Joint Commission was held in Colombo in June 2008.

  Sri Lanka also signed a Readmission Agreement with the European Union on 4 June 2004. This is the first formal agreement Sri Lanka entered into concerning the combating of illegal immigration. The facilitation of Law Enforcement Cooperation, constitutes an integral part of the agreement and It recognizes the need for the two parties to take measures to combat organized criminal activities, including human trafficking, migrant smuggling and financing for terrorist purposes.

  Negotiations on the Sri Lanka-EU Horizontal Air Services Agreement was concluded and the draft text of this agreement has received approval of the Cabinet of Sri Lanka. This agreement was initialled on 27 October 2011. Signing of this agreement will be done in due course.

 
  Relations with the 27 Permanent Representations to the EEAS and EU Member States
The Mission has continued to liaise with the 27 Representations of EU Member States in Brussels at Ambassador level (with Permanent Representatives and Representatives to the Political and Security Committee) and also at senior officials level (with those serving on the Committees dealing with Asia (COASI), the Working Party on Trade and the ‘Working Party on the application of Specific Measures to Combat Terrorism’) in order to update them on matters of concern to Sri Lanka. These interactions have ensured that EU member states received parallel briefings from the GOSL side on developing events.

 
  Cooperation in Counter-Terrorism
The EU on 29 May 2006 listed the LTTE as a terrorist entity, and has continued to re-list the LTTE since in its updates of the terrorist list compiled every 6 months, the last having been on 22 December 2011. On 5 June 2008 the GoSL submitted a formal application to the European Union to also list the Tamil Rehabilitation Organisation (TRO) and other LTTE front organizations in the EU list of terrorist entities. This would enable EU Member States to freeze assets of these organisations and also to prevent the collection of funds. The Mission, working through the ‘EU Working Party on the application of Specific Measures to Combat Terrorism’ and the EU Counter Terrorism Coordinator, have continued to lobby for this. 7 addenda to the application have been submitted, and the support of member states has also been sought towards this end in Brussels and in capitals.

  A Sri Lanka - EU dialogue on “The Fight Against Terrorism”, was held in Colombo on 11 June 2008, in parallel with the Sri Lanka - EC Joint Commission meeting.

  With a view to getting greater attention among the law enforcement and criminal justice administrations of EU member states, GOSL initiated a dialogue in August 2008 with EUROPOL (the European Union’s law enforcement agency) and EUROJUST (the European Union’s Judicial Cooperation Agency) responsible for co-ordination of investigations and prosecutions between competent authorities in the Member States. Pursuant to this, co-sponsored by the US Government and the EU’s French Presidency, a two day ‘International seminar on the LTTE’ was held by EUROPOL on 10-11 December 2008 in the Hague, to discuss with EU member states and affected third countries, the ramifications of the activities of the LTTE and its numerous front organizations. Ambassador Ravinatha Aryasinha addressed this seminar on the theme ‘Time to Act : the LTTE, its front organizations and the challenge to Europe’. This was followed by ‘a Tactical Meeting on LTTE Front Organisations’, hosted by Eurojust, on 30-31 March 2009 in the Hague. Ambassador Ravinatha Aryasinha delivered the keynote address on the theme ’Confronting False Dichotomies: the ‘public good’ and the challenge of meeting the terrorist front organization phenomenon in Europe’. Since then, an Europol-Eurojust “Contact Group” has been established to focus on LTTE/front organization activity.

  In March 2011, Mr. D.M. Rupasinghe Director/Finance Investigation Unit (FIU) of the Central Bank of Sri Lanka met with Ms. Michele Conninx- Vice President of Eurojust and the “contact group”.

  On 23 March 2011 Ambassador Ravinatha Aryasinha addressed the European Corporate Security Association (ECSA) comprising senior members of the European judicial, police, intelligence, military and corporate security community on the theme ‘Thwarting the LTTE ’s designs in Europe ’. Detailing the increasing recent attests and convictions on Euroopean soil of LTTE and LTTE front organization activists, at a time the organization was no longer operative in Sri Lanka, he emphasized that “it is important that European States and institutions do not provide any political or symbolic support, nor should they be fooled by the false pretences of those continuing to advocate mono-ethnic separatism in Sri Lanka through peaceful means, while espousing the ideology of the LTTE, using its money and being manipulated by its surviving military leaders”. Ambassador Aryasinha noted “given that there can no longer be a dichotomy in the manner terrorist and criminality related issues are treated across the globe between the law enforcement /criminal justice community on the one hand, and the political community on the other, there should not be a disconnect between these respective institutions of Governance on how to deal with this growing problem”.

  European level cooperation against terrorist/criminal networks originating in Sri Lanka was also underlined when on 06 February 2012, an active organised crime group that was facilitating illegal immigrants from Sri Lanka into the EU was uncovered, following more than a year of joint international efforts at police and judicial level supported by Eurojust and Europol. In this operation carried out by the judicial authorities and officers from the Finnish Border Guard, French Police (O.C.R.I.E.S.T) and Belgian Federal Police, 27 suspects were arrested.

 
  Interaction with the European Commission
The Mission interacts with different Directorate Generals of the European Commission on a regular basis. In recent years, the Mission mainly interacted with the Directorate Generals of Trade (TRADE), Humanitarian Aid & Civil Protection (ECHO), Development Cooperation (DEVCO), Maritime Affairs and Fisheries (MARE), Mobility & Transport (MOVE) & Home Affairs (HOME).

  In the recent years the Mission has liaised with the Directorate General of Trade (TRADE) on trade related issues. Sri Lanka is a beneficiary country under the EU’s Generalised System of Preferences (GSP) scheme since 1971. Under this scheme administered by DG/TRADE some of the exports from Sri Lanka to EU are eligible for special tariff preferences. The existing GSP system will end in 2013, and a revised scheme of GSP, will come into force on 1st January 2014. The Mission has lobbied for flexibility in addressing the difficulties faced by certain industry groups in conferring of origin criteria set out in certain HS Chapters of EC’s Revised Draft GSP Regulation. Two submissions covering areas of interest on Rules of Origin (ROO) were made by GOSL DG/TAXUD of the European Commission. Sri Lanka’s proposal to establish an EU standard for maximum level of sulphur dioxide in cinnamon was also accepted by the EU in July 2011. The Mission is also working with the DG/TRADE on RASFF notifications (Rapid Alert System for the Food and Feed) drawing attention to rejection of consignments at European ports.

  Since July 2005, in the aftermath of the Tsunami, Sri Lanka was also included among a group of countries to receive the EU GSP+ benefit. However, with the onset of the humanitarian operation to defeat LTTE terrorism, in 2007/2008 the EU brought considerable pressure on Sri Lanka to end military action against the LTTE, including threatening to terminate GSP+ benefits to Sri Lanka. In October 2008, an “investigation” was launched into GOSL’s implementation of the 27 international conventions. Notwithstanding the GOSL’s refusal to submit itself to “investigation” and the adverse Western reaction to the intensification of the military operations against the LTTE in late 2008/early 2009, Sri Lanka continued to retain the GSP+ facility for an extended period, through continued engagement with the European Commission, the Permanent Representations to the EU and the European Parliament. While seeking to narrow down the differences on the related issues with the EU, this also allowed for GOSL and Sri Lankan exporters to EU markets to adjust to possible termination of the GSP+ facility. Following the adverse recommendation of the “investigation” in October 2009 and the EU decision in February 2010 to temporarily suspend GSP+ from August 2012, engagement continued between the parties, including through 2 visits by a delegation of Senior Officials led by the Hon. Attorney General in March and May 2010. Member States as well as the European Parliament’s International Trade Committee was also lobbied in this regard. However, GOSL was compelled to reject a EU proposal made in June 2010, that GOSL commit to fulfil 15 conditions in order to enjoy further extension of the GSP+ facility, as the conditions imposed by the EU sought to erode GOSL’s authority to deal with sensitive domestic issues. The GSP+ facility was temporarily suspended on 31 August 2010.

  Between 2005 and 2011, humanitarian assistance amounting to Euro 124 million was received by Sri Lanka through the Directorate General/Humanitarian Aid & Civil Protection (ECHO), while for 2012, an indicative envelope of EUR 4.5 million has been approved. The EU made significant contributions in connection with the Tsunami recovery. In January 2005, in the aftermath of the tsunami, European Commissioner for Development and Humanitarian Aid Mr. Louis Michel, visited Sri Lanka and met with President Chandrika Bandaranaike Kumaratunga. ECHO has been mainly involved in assisting the old/new IDPs in the Eastern and Northern Province, with shelter, food and non-food assistance, the provision of clean drinking water and sanitation facilities. ECHO has also supported demining activities. The aid targets the most vulnerable among the population namely female-headed households, the elderly, the disabled and children. They also fund projects concerning ‘disaster preparedness’ to minimize their impact on communities.

  Under the Multi Annual Indicative program from 2011-13 the EU has made available to Sri Lanka a sum of Euro 1.1 million Euros, through the Directorate General of Development Cooperation (DEVCO). Under the broader mechanism of Social Economic Measures (SEM), DEVCO is supporting the FAO and UNDP in implementing projects which includes construction of storage and irrigation facilities, providing equipment, providing dairy and livestock development facilities and marketing facilities to the communities. It also covers restoration of health centres, water treatment plants, primary and secondary schools etc. DEVCO also funds UNOPS and UNICEF for constructing and implementing solid waste management systems, drainage systems and sanitation facilities. Under the Local Economic Development (LED) programme, DEVCO provides funds for private sector development projects in the North and East of Sri Lanka.

  In October 2009 the Commission announced the adoption of EC regulation (No 1010/2009) that laid down the rules for the implementation of Council Regulation (No 1005/2008) that established a community system to prevent, deter and eliminate illegal, unreported and unregulated fishing (IUU). The Mission has worked with the Directorate General of Maritime Affairs and Fisheries (MARE), and the relevant authorities in Colombo in making submissions on the difficulties encountered in complying with the requirements arising from the new regulation including those concerns relating to issuance of the “Catch Certificate”.

 
  Relationship with the European Parliament
Sri Lanka has maintained a continuing relationship with the European Parliament(EP) since 1986. Following the adoption of the Lisbon Treaty in December 2009, The European Parliament has become even more involved in the decision making process of the EU. The ‘co-decision’ procedure under the treaty has given the Parliament power to influence the EU’s position in many sectors, including trade. The Mission has been engaging with the European Parliament to leverage their support for Sri Lanka and to influence the other EU bodies.

  A ‘Sri Lanka Liaison Group’ of the European Parliament was established in 2003. This group visited Sri Lanka in November 2004.

  Seven members of the South Asia Delegation of the European Parliament visited Sri Lanka in March 2005 led by MEP Neena Gill (S&D/UK).

  The delegation which visited Sri Lanka in July 2008 comprised MEP Robert Evans (S&D/UK), Chairman of the Delegation for relations with South Asia, MEP Nirj Deva (EPP/UK), MEP Jaromir Kohlicek (NGL/Czech Republic), MEP James Nicholson (EPP/UK), MEP Jo Linen (S&D/Germany), MEP Edith Bauer (EPP/Slovakia) and MEP Jean Lambert (Greens/UK).

  The Delegation which visited Sri Lanka in February 2011 comprised MEP Jean Lambert (Greens/UK), Chair of the Delegation for Relations with South Asia, MEP John Attrad-Montalto (S&D/Malta), MEP Thomas Mann (EPP/Germany), MEP Joanna Geringer de Oedenberg (S&D/Poland), MEP Niccolo Rinaldi (ALDE/Italy), MEP Nirj Deva (ECR/UK) and MEP Slavi Binev (Non-Attached/Bulgaria).

  In November 2011, MEP Geoffrey Van Orden - Chair of the Friends of Sri Lanka group in the European Parliament and met with H.E the President, senior Ministers and the government officials. During his visit he also visited the Northern and the Eastern provinces of the country.

  In December 2011, MEPs Mr. Richard Hovitt (UK), Ms. Ana Gomes (Portugal), and Mr. David Martin (UK) representing the Socialists and Democrats (S&D) group visited Sri Lanka.

  Members of the Bureau of the South Asia Delegation of the European Parliament comprising MEP Jean Lambert (Greens/UK), MEP Juan Fernando Lopez Aguilar (S&D/Spain) and MEP Inese Vaidere (EPP/Latvia), also visited Sri Lanka in April/May 2011.

  Additionally, several members of the European Parliament have visited Sri Lanka to participate in conferences as well as in their private capacities, in the past years.

  The ‘Sri Lanka Liaison Group’ was re-launched as the ‘Friends of Sri Lanka’ group of the European Parliament on 4 June 2008, under the Chairmanship of MEP Geoffrey Van Orden, to assist in bringing issues of importance to Sri Lanka to the attention of European policy makers and to give Sri Lanka a voice in the European Parliament. Over time the group has grown from 16 MEPs (2008) to 34 MEPs (2012) who represent 13 countries and all major political groups (the EPP, S&D, ALDE, ECR, & EFD). This group has been able to muster support for Sri Lanka in parliamentary debates, discussions and urgencies/resolutions, and also have made numerous pro-Sri Lanka declarations in the Parliament.

  The Mission has continued to lobby MEPs as individuals as well as members of the key Committees/Delegations of the European Parliament on issues related to Sri Lanka. Over the period, the Mission has maintained close contact particularly with the European Parliament’s Foreign Affairs Committee (AFET), International Trade Committee (INTRA), Human Rights Sub-Committee (DROI) and the South Asia Delegation (DSAS). The Mission has actively participated in recent exchange of views/debates organised by these committees of the European Parliament, such as the ‘exchange of views’ on Sri Lanka within the context of GSP+ extensions organized by the International Trade Committee on 14 January 2010, the Human Rights Sub-Committee ‘exchange of views’ on Sri Lanka on 30 March 2009, 01 October 2009, 06 December 2010 and the South Asia Delegation discussions on Sri Lanka on 7 October 2008, 31 March 2009, 09 November 2009, 27 January 2010, 15 July 2010, 25 January 2011 & 24 April 2012. Participating in the discussion on Sri Lanka held by the South Asia Delegation of the European Parliament on 24 April 2012, Ambassador Aryasinha contrasted the pessimistic projections on Sri Lanka three years ago by some, including sections of the European Parliament, with what has been currently achieved on the ground in Sri Lanka to restore normalcy to the lives of those previously affected by the terrorist conflict, in facilitating economic development in areas previously denied such by the LTTE and in furthering the process of reconciliation amongst all Sri Lankans. He urged that the EU not pre-judge Sri Lanka’s will or capacity, avoid the application of double standards with respect to Sri Lanka, and join in supporting the process of development and reconciliation which is on-going in Sri Lanka.

  With the support of Sri Lanka friendly MEPs and political groups, the Mission has also succeeded in ensuring that Sri Lanka’s interests were reflected in a number of Sri Lanka centered ‘urgency’ resolutions which have been taken up for debate during the plenary sessions of the European Parliament, starting from 1986 to most recent times in February, March, May and October 2009, and in May 2011.

  The Mission has also successfully organized several Sri Lanka focussed events at the European Parliament. A photographic exhibition titled ‘The Facets of Post-Conflict Development’ was held in the European Parliament from 28 September - 2 October 2009. The exhibition conceptualized and organized by the Mission, was hosted by MEP Elisabetta Gardini (EPP/Italy) and members of the ‘Friends of Sri Lanka’ group. It was inaugurated by Hon. Basil Rajapaksa, Senior Advisor to H.E. the President and attended by members of the European Parliament, members of the diplomatic corps from EU and SAARC countries, officials of the European Institutions and Sri Lankans living in Belgium.

  Sitar Virtuoso Pradeep Ratnayake and his troupe performed on 29 September 2010 at the European Parliament at an event hosted by MEP Nirj Deva (ECR/UK) and members of the ‘Friends of Sri Lanka’. The event was inaugurated by Dr. Libor Roucek, (S&D/Czech Rep) Vice President of the European Parliament and attended by MEPs, diplomats and the officials of European Institutions.

  On 25 January 2012, a ‘Sri Lanka briefing’ focusing on the LLRC report was hosted by the ‘Friends of Sri Lanka’ group chaired by MEP Geoffrey Van Orden (ECR/UK). MEPs, officials of the European Parliament, Officials of the Belgium government, the European External Action Service (EEAS),Humanitarian Aid & Civil Protection (ECHO), Development Cooperation (DEVCO) and representatives of Brussels based think tanks participated in this discussion.

 
  Trade and Economic Cooperation
The 27 member EU has emerged as one of the key markets for Sri Lanka’s exports. In 2007, the total value of Sri Lanka’s exports to the EU reached US $ 2,875 million. In 2011, Sri Lanka’s exports to the EU grew by 24.4% (US $ 3,576 Million), compared to the corresponding period of 2010 (US $ 2,875 Million), and amounted to 33.8% of the total exports of Sri Lanka.

  In 2007, the total value of imports from EU to Sri Lanka stood at US $ 1,3956 million. In 2011 imports from the EU grew by 26.1% (US $ 1,856 Million), compared to the corresponding period of 2010 (US $ 1,471 Million). The trade balance between Sri Lanka and EU continues to remain in favour of Sri Lanka.

  Sri Lanka food festivals have been organized in Sri Lanka’s major exports to the EU are, garments (56.5%), rubber products (10%), diamonds, gems and jewellery (9.1%), tea (4.1%), sea food (2.7%), food beverages & tobacco (2.3%), machinery and mechanical appliances (1.9%), transport equipment (1.6%), coconut kernel products (1.1%), unmanufactured tobacco (1.0%), leather, travel goods and footwear (1.0%), coconut non-Kernel products (1.0%).

  Major export destinations for Sri Lankan products in the EU Market are the UK (31.1%), Germany (14.3%), Belgium (15.8%), Italy (17.1%), France (5.1%), Netherlands (5.5%) and Spain (1.9%).

  Sri Lanka’s major imports from the EU include diamonds (19%), fabrics (11.8%), machinery and equipment parts (5.2%), motor cars (4.1%) engineering equipment (3.5%) paper and paperboard (3.4%), medicament (2.6%), rubber in primary forms (2.3%), road vehicles (2.1%), electronic equipment (1.7%), medical and laboratory equipment (1.7%), uncoated paper (1.4%).

  The Mission continues to liaise with DG/TRADE as well as the 27 member states of the EU, in the operationalization of the GSP scheme, including lobbying for Rules of Origin criteria favourable to enable greater access for Sri Lankan products into the EU market

  With respect to Foreign Direct Investment (FDI), European Investment in Sri Lanka in 2011 amounted to 196.5 Million, which was 18.4% of the total FDI attracted by the country. Among European countries UK, Netherlands, Luxemburg, Switzerland, Belgium and Germany are the main sources of investment in Sri Lanka.

  On 25 November 2011, Ambassador Ravinatha Aryasinha delivered the keynote address ‘Doing Business in Sri Lanka’ at a seminar in Brussels organized by Flanders Investment and Trade (FIT) to coincide with the visit of a business delegation from the European Chamber of Commerce of Sri Lanka (ECCSL). Detailing the export growth recorded and the diversification of the basket of Sri Lanka products exported to the EU region and particularly to Belgium in 2011, he said “these growth rates are particularly impressive given the fact that the after effects of the financial crisis, high unemployment in developed economies and austerity measures in Europe continue to shrink the possibility of bouncing back world trade to its pre-crisis levels. It also reflects trade conducted without the benefit of the special preferential tariff concession GSP+”.

 
  Tourism
EU countries are also a main source of tourism for Sri Lanka. In 2007, around 195,000 tourists arrived in Sri Lanka from EU countries. Since the ending of the terrorist conflict in May 2009, tourist arrivals to Sri Lanka from Western European countries have grown to 325,000 in 2011. This is 37 % of Sri Lanka’s total tourist arrivals in 2011. UK, Germany, France, Italy, the Netherlands, Sweden and Belgium generate the largest tourist traffic from the region.

 
  Interaction with Academic Institutes
The Embassy works closely with the Brussels based academic institutes.

  The European Institute of Asian Studies (EIAS) has organized thematic discussions on Sri Lanka in June 2009, March 2011 and in July 2011 which were attended by diplomats, policymakers, academics and staff of the EU agencies.

  The Embassy also regularly participates in discussions held by other Academic Institutes/Think Tanks such as European Policy Centre, The Friends of Europe and the Egmont Institute.

 
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