In a significant development for Sri Lanka’s Fair trade sector, a stakeholders' meeting was recently held in Colombo in December 2024, organized by the Export Development Board (EDB) and the Fairtrade Network of Asia Pacific Producers (NAPP), Sri Lanka.  The meeting aimed to discuss the main projects currently executing, future of Fairtrade in Sri Lanka, issues pertaining to the sector and its expanding international presence.

The event brought together high-level representatives from various Sri Lankan and international Fair trade organizations, including Mr. Mangala Wijesinghe, Chairman and Chief Executive Officer of the EDB; Mrs. C.D. Dharmasena, Director General of the EDB; Ms. Bindu Sukumarapillai, Chief Operating Officer of Fairtrade NAPP;  Mr. Subhra Tudu, Regional General Manager for South Asia at Fairtrade NAPP; and Mr Martin Boon, Development Manager Fairtrade Original Netherlands, Key stakeholders from government institutions such as the Department of Commerce, Sri Lanka Tea Board, Coconut Development Authority, National Craft Council, Department of Agriculture and Industrial Technology Institution also participated, demonstrating broad support from both the public and private sectors.

The main focus of the meeting was the Framework of Cooperation (FoC)—an agreement designed to strengthen Fair trade networks, expand market access for Sri Lankan Fair trade products, and enhance collaboration between Sri Lanka and international Fair trade bodies. The FoC aims to promote Sri Lanka’s Fair trade-certified products, including tea, coconut-based goods, spices, and handicrafts in global markets.

The Framework of Cooperation (FOC) is a platform where participants could raise their concerns that require government attention to help recovery, promote sustainability, and boost the export of fair trade products.

The EDB, as the primary signatory for Sri Lanka, is responsible for overseeing the implementation of the FoC. The agreement, which received Cabinet approval in December 2023, was formally signed in January 2024. The initiative is expected to boost Sri Lanka’s exports, align with global sustainability goals, and improve trade terms for local producers.

Sri Lanka’s Fair trade-certified products have seen increasing demand, particularly in the European Union (EU), due to their sustainable production practices and the ethical treatment of workers. Products such as tea, spices, and handicrafts are now highly sought after, as consumers in developed markets look for goods that reflect sustainability and corporate responsibility. In 2022, Sri Lanka’s Fairtrade-certified exports generated approximately Euro 1 million. With 72 export companies and nearly 28,000 farmers involved in Fairtrade production, the country is well-positioned for further growth in the global market.

The meeting underscored the importance of Fair trade in promoting sustainable development. By ensuring fair wages, better working conditions, and improved market access, Fair trade helps reduce poverty while supporting both social and environmental sustainability. The initiative also aligns with the Sustainable Development Goals (SDGs), offering a win-win scenario for producers and consumers alike.

In his keynote address, the Chairman of the Sri Lanka Export Development Board (EDB) emphasized the country’s growing recognition as a reliable source of ethically produced goods. “Sri Lanka is gaining a reputation for ethical trade, and we expect more producers to adopt Fairtrade standards as global demand continues to grow,” he stated.

Looking ahead, the Framework of Cooperation (FoC) is expected to increase Sri Lanka’s Fair trade exports, particularly to the EU, by diversifying product offerings and expanding market access. The initiative is also anticipated to provide significant socio-economic benefits, especially for small-scale producers across the country.

As the meeting concluded, participants reaffirmed their commitment to advancing the Fairtrade movement in Sri Lanka and strengthening international trade links. The EDB is optimistic about the potential for increased exports, foreign exchange earnings, and improved living standards for local farmers and workers.

With growing international demand for ethically sourced products, Sri Lanka is poised to seize the opportunities offered by Fair trade certification, further benefiting its economy and the livelihoods of small-scale producers across the country.