Abstract

This paper attempts to answer one crucial research question, why the utilization of India Sri Lanka Free Trade Agreement (ISFTA) route for trade is very poor by the India exporters (13%) as compared to their Sri Lankan Counterpart (65%) even after one decade of its implementation? The available studies have blamed the non-tariff barriers (NTBs) which are hamstringing growth of trade between these partners development of international trade. However, these have considered NTBs as sub set of non-tariff measures (NTMs) which are quite narrow sense of finding the hidden barriers within the International trade process. Therefore, this paper has analyzed in detail the logistic process involved in international trade between India and Sri Lanka to understand various NTBs sheltered within this logistic process. Further, the paper has identified issues which are not directly beyond the logistic process which are affecting the international trade between these two countries.

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