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India News > National
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Pakistan and Sri Lanka are likely to formally sign a free-trade agreement when President Kumaratunga visits Pakistan next month. India already has a free-trade agreement with Colombo. Ahead of her visit, Pakistan and Sri Lanka officials had a three-day meeting in Colombo beginning Dec. 22 to finalise the list of items to be traded under the proposed free trade agreement. The two sides discussed items that would not be subject to tariffs, said a Pakistani official. Sources say Pakistani negotiators are worried that Sri Lankan traders could take advantage of the agreement to export Indian-made goods to Pakistan. They want to plug any loopholes before signing the agreement.
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