India, Sri Lanka should conclude Comprehensive Economic Partnership Agreement: PM Modi

Prime Minister Narendra Modi on Friday said that India and Sri Lanka should conclude a Comprehensive Economic Partnership Agreement, terming it a 'natural outcome' of the proximity of the two nations.

"We should ensure that Sri Lanka does not fall behind in the changing and competitive world. That is why India and Sri Lanka should move boldly to conclude a Comprehensive Economic Partnership Agreement. You should also attract investments from India for exports to India. That should be the natural outcome of our proximity and your strengths," Prime Minister Modi said while speaking at the Business Meeting hosted by the Ceylon Chambers of Commerce.

"We are pleased to be Sri Lanka's largest trading partner and one its largest sources of investment. Our Free Trade Agreement in 2000 was a pioneering initiative in the region. It has given a big boost to our trade. Sri Lanka's exports to India have grown sixteen times - yes, sixteen times - since then. This is impressive by any standards," he added.

The Prime Minister also discussed about his philosophy of 'ease' of doing business.

"I know there are concerns here about the huge trade imbalance. I am prepared to work with you to address them. I want balanced growth in trade. We will try to make it easier and smoother for you to access the Indian market. That is part of my philosophy of ease of doing business in India. Our agreement on Customs cooperation is a step in that direction," he said.

"India is opening up to the world. We offer duty free access to Least Developed Countries, including in South Asia. And, India has Free Trade Agreements with ASEAN and others. Indian investments can also upgrade and expand your infrastructure. It is also natural that Indian investors are more likely to invest here because of familiarity and proximity. They are already here. And, I know that there are many large commitments in the pipeline. They are looking for your support," he added.

"During this visit, I am pleased with progress on Sampur Thermal Power Project and the Trincomalee Oil Farm. That is good for Sri Lanka's energy security and for our partnership," he further said. (ANI)

Earlier in the day, Prime Minister Modi expressed his delight to be in Colombo and said that India is privileged to be Sri Lanka's development partner.

He also called for a long term solution to the fishermen issue, stating that it involves livelihood and humanitarian concerns on both sides.

Prime Minister Modi also thanked Sri Lanka President Maithripala Sirisena for choosing India as the destination for his first trip abroad since taking office.