Features
The best that never was: Sri Lanka-Japan Free Trade Agreement
A need for a Free Trade Agreement (FTA) with Japan was proposed by the Sri Lankan exporters around 2010. At that time, Sri Lanka’s Department of Commerce, the main government agency responsible for the trade negotiations, also strongly favoured negotiating an FTA with Japan for a number of reasons.
The lack of a level playing field in Main Markets
By then, much of our export growth had come from two advanced economies; the European Union and the United States, which together accounted for more than half of our exports. In those markets, after the end of the quota arrangement for apparel exports, Sri Lanka’s competitiveness was getting eroded due to the absence of a level playing field. In the U.S. and EU, most of our competitors from Asia, Africa and the Americas were enjoying much better levels of market access through FTAs and other trade arrangements.
Our requests to Brussels and Washington for FTAs, since 2001, did not get any favourable response. In Washington, even after the U.S Administration turned down the request, the Sri Lankan embassy spent a large amount of money on consultants who promised FTA. But that too turned out to be simply a waste of money. After turning down the request for an FTA, Brussels offered an alternate arrangement to provide a better level of market access through GSP (labour), which was later upgraded to GSP Plus. But that too had run into problems by 2010.
The need for Market Diversification
Because of these developments, we at the Department of Commerce knew it was critically important to diversify our markets. In this regard, one of the most appropriate markets to focus on was Japan, the third largest developed country market and a sincere friend with close political and cultural ties with Sri Lanka, since independence. Japan was also closely involved in the post-conflict economic reconstruction activities to which she contributed generously. By 2010, Japan had concluded a number of FTAs with South East Asian countries.
These included, among others, Economic Partnership Agreements with Malaysia in 2006, Thailand in 2007 and Vietnam in 2009. Japan was also in negotiations for FTAs with a number of other countries, including India. In December 2005, Japan announced duty-free, quota-free (DFQF) market access to products from the least developed countries (LDCs). As a result, Asian LDCs were slowly increasing their exports to Japan. In addition to that, Japanese investors were also moving into those countries with enhanced market access. Consequently, Sri Lanka was becoming further marginalised in that important market.
Lanka proposes FTA with Japan
Then, in July 2010, a newspaper reported that Sri Lanka had proposed an FTA with Japan (“Lanka proposes FTA with Japan –Ready to consider, says Japanese Trade Minister”; Daily News 31 July 2010). According to this news report, a high-level ministerial delegation consisting of External Affairs Minister Prof G L Peiris and Economic Development Minister Basil Rajapaksa had visited Tokyo and had formally requested Japan to consider entering into a Free Trade Agreement with Sri Lanka and the Japanese Economy, Trade and industry Minister Masayuki Naoshima had responded to the request in cautiously positive manner and had reportedly stated that “The Government of Japan in keeping with the policy of Prime Minister Naoto Kan’s administration is prepared to engage in consultations with regard to a Free Trade Agreement (FTA) between Sri Lanka and Japan.
” After the delegation returned to Sri Lanka, the Department of Commerce was expecting a formal report on the ministerial discussions, to initiate the preparatory work for negotiations. After a few weeks, as we did not receive any reports on the meeting, we asked the Embassy in Tokyo for a report and also made inquiries from other government agencies. All that did not result in any meaningful response.
However, keeping to their words, Japan began to engage in an FTA. A short time later, the Japanese Embassy in Colombo arranged a presentation by a prominent Japanese academic on Japanese Free Trade Agreements. It was held at the Central Bank auditorium in Rajagiriya.
The night before that, the Japanese Ambassador organized a dinner at his residence for a selected group of senior Sri Lankan officials and academics to meet the visiting scholar. Among those present were the key official responsible for economic and financial matters of the country at that time and a professor who was also an economic advisor to the government. Through pre-dinner drinks, we discussed the impact of the FTAs on other Asian countries and the possibility of initiating FTA negotiations between the two countries. During the discussion, the professor strongly challenged the need for negotiating FTAs in general and one with Japan in particular.
Then the key official brusquely stated that “no one in Sri Lanka is interested in an FTA with Japan!” On the next day, during the presentation on the Japanese FTAs, senior officials of the Central Bank and the Finance ministry and many other relevant agencies were conspicuously absent. After that, it was difficult to move forward with that initiative any further.
A year later, in June 2011, Japanese Ambassador Kunio Takahashi met Minister of Industry and Commerce Rishad Bathiudeen and when the prospect of a Free Trade Agreement (FTA) between Sri Lanka and Japan came under discussion, the ambassador very diplomatically responded by saying “The idea that an FTA with Japan will help Sri Lanka contribute to Lanka-Japan bilateral trade dialogue.” More important message on the FTA was conveyed to Mr Bathiudeen by the visiting Japanese Senior Vice Minister of Economy, Kazuyoshi Akaba in July 2014. That message was that “conclusion of FTAs alone is not sufficient for better trade. What is important is to develop a very robust foundation among the two countries”.
RW opts for FTAs with Singapore and Thailand
After the political changes in 2015, the Sri Lanka-Japan Business Co-operation Committee once again started to lobby for an FTA between Sri Lanka and Japan. Unfortunately, the government opted to negotiate an FTA with Singapore as a priority. After the change of government in 2019, prospects for an FTA totally diminished and almost totally evaporated after the unilateral cancellation of the $ 1.5 billion Japan-funded light rail transit project.
However, even after that, according to news reports, Katsuki Kotaro, Deputy Head of the Japanese Embassy in Colombo, has indicated that Japan may be interested in an FTA with Sri Lanka to increase bilateral trade between the two countries. But unfortunately, Ranil Wickremesinghe, who became the president in July 2022 and visited Japan in May 2023, didn’t take any initiative in this regard. Instead, he preferred to focus on an FTA with Thailand.
Lost Opportunity
It is difficult to understand why the government was reluctant to enter into consultations with Japan on an FTA during the last fifteen years, particularly because Japan was the only developed economy that responded favourably for an FTA, albeit with some reservations. But then it is more difficult to understand why the government unilaterally cancelled the $1.5 billion Japan-funded light rail transit project. It is also difficult to estimate the real cost for Sri Lanka from these decisions which were made by a small group of people. However, it is very clear that Sri Lanka certainly did not benefit from some of the initiatives the Japanese governments have taken in recent years, to help Asian countries.
For example, the package of incentives extended to Japanese companies to shift production out of China. As a result, those investments went to other countries in the region and exports to Japan from those countries expanded significantly. The table below illustrates how some of our competitors in the region with export baskets similar to that of Sri Lanka; Vietnam, Cambodia, Bangladesh and Myanmar, managed to expand their exports during the last fifteen years. (See Table)
In 2003, exports to Japan from Sri Lanka (US$194 million) were much more than those from Cambodia (US$ 89 million), Myanmar ($138 million) or Bangladesh (US$131 million). But exports from those countries have expanded significantly since 2010 due to the trade and economic policies those countries adopted.
Cambodia’s exports to Japan increased from 89 million in 2003 to US$ 2.1 billion by 2024. Sri Lanka’s exports increased only from US$194 million to US$ 258 million during the same period. Bangladesh’s exports crossed the US $1.5 billion mark in 2024. That was from US$131 million in 2003. This explains how much Sri Lanka suffered due to bad decisions made by few individuals.
To add insult to injury, since 2022, Bangladesh’s capital Dhaka has a shiny new Metro Rail System, a project largely funded by Japan. Colombo’s Japanese-funded Light Rail Transit (LRT) Project was to be completed mid-2024. Unfortunately, both the FTA and LRT were sabotaged by a few of our key decision makers.
(The writer, a retired public servant and a diplomat, was the Director General of Commerce from July 2009 to November 2011. He can be reached at senadhiragomi@gmail.com)
by Gomi Senadhira ✍️
Features
Cricket and the National Interest
The appointment of former minister Eran Wickremaratne to chair the Sri Lanka Cricket Transformation Committee is significant for more than the future of cricket. It signals a possible shift in the culture of governance even as it offers Sri Lankan cricket a fighting possibility to get out of the doldrums of failure. There have been glorious patches for the national cricket team since the epochal 1996 World Cup triumph. But these patches of brightness have been few and far between and virtually non-existent over the past decade. At the centre of this disaster has been the failures of governance within Sri Lanka Cricket which are not unlike the larger failures of governance within the country itself. The appointment of a new reform oriented committee therefore carries significance beyond cricket. It reflects the wider challenge facing the country which is to restore trust in public institutions for better management.
The appointment of Eran Wickremaratne brings a professional administrator with a proven track record into the cricket arena. He has several strengths that many of his immediate predecessors lacked. Before the ascent of the present government leadership to positions of power, Eran Wickremaratne was among the handful of government ministers who did not have allegations of corruption attached to their names. His reputation for financial professionalism and integrity has remained intact over many years in public life. With him in the Cricket Transformation Committee are also respected former cricketers Kumar Sangakkara, Roshan Mahanama and Sidath Wettimuny together with professionals from legal and business backgrounds. They have been tasked with introducing structural reforms and improving transparency and accountability within cricket administration.
A second reason for this appointment to be significant is that this is possibly the first occasion on which the NPP government has reached out to someone associated with the opposition to obtain assistance in an area of national importance. The commitment to bipartisanship has been a constant demand from politically non-partisan civic groups and political analysts. They have voiced the opinion that the government needs to be more inclusive in its choice of appointments to decision making authorities. The NPP government’s practice so far has largely been to limit appointments to those within the ruling party or those considered loyalists even at the cost of proven expertise. The government’s decision in this case therefore marks a potentially important departure.
National Interest
There are areas of public life where national interest should transcend party divisions and cricket, beloved of the people, is one of them. Sri Lanka cannot afford to continue treating every institution as an arena for political competition when institutions themselves are in crisis and public confidence has become fragile. It is therefore unfortunate that when the government has moved positively in the direction of drawing on expertise from outside its own ranks there should be a negative response from sections of the opposition. This is indicative of the absence of a culture of bipartisanship even on issues that concern the national interest. The SJB, of which the newly appointed cricket committee chairman was a member objected on the grounds that politicians should not hold positions in sports administration and asked him to resign from the party. There is a need to recognise the distinction between partisan political control and the temporary use of experienced administrators to carry out reform and institutional restructuring. In other countries those in politics often join academia and civil society on a temporary basis and vice versa.
More disturbing has been the insidious campaign carried out against the new cricket committee and its chairman on the grounds of religious affiliation. This is an unacceptable denial of the reality that Sri Lanka is a plural, multi ethnic and multi religious society. The interim committee reflects this diversity to a reasonable extent. The country’s long history of ethnic conflict should have taught all political actors the dangers of mobilising communal prejudice for short term political gain. Sri Lanka paid a very heavy price for decades of mistrust and division. It would be tragic if even cricket administration became another arena for communal suspicion and hostility. The present government represents an important departure from the sectarian rhetoric that was employed by previous governments. They have repeatedly pledged to protect the equal rights of all citizens and not permit discrimination or extremism in any form.
The recent international peace march in Sri Lanka led by the Venerable Bhikkhu Thich Paññākāra from Vietnam with its message of loving kindness and mindfulness to all resonated strongly with the masses of people as seen by the crowds who thronged the roadsides to obtain blessings and show respect. This message stands in contrast to the sectarian resentment manifested by those who seek to use the cricket appointments as a weapon to attack the government at the present time. The challenges before the Sri Lanka Cricket Transformation Committee parallel the larger challenges before the government in developing the national economy and respecting ethnic and religious diversity. Plugging the leaks and restoring systems will take time and effort. It cannot be done overnight and it cannot succeed without public patience and support.
New Recognition
There is also a need for realism. The appointment of Eran Wickremaratne and the new committee does not guarantee success. Reforming deeply flawed institutions is always difficult. Besides, Sri Lanka is a small country with a relatively small population compared to many other cricket playing nations. It is also a country still recovering from the economic breakdown of 2022 which pushed the majority of people into hardship and severely weakened public institutions. The country continues to face unprecedented challenges including the damage caused by Cyclone Ditwah and the wider global economic uncertainties linked to conflict in the Middle East. Under these difficult circumstances Sri Lanka has fewer resources than many larger countries to devote to both cricket and economic development.
When resources are scarce they cannot be wasted through corruption or incompetence. Drawing upon the strengths of all those who are competent for the tasks at hand regardless of party affiliation or ethnic or religious identity is necessary if improvement is to come sooner rather than later. The burden of rebuilding the country cannot rest only on the government. The crisis facing the country is too deep for any single party or government to solve alone. National recovery requires capable individuals from across society and from different sectors such as business and civil society to work together in areas where the national interest transcends party politics. There is also a responsibility on opposition political parties to support initiatives that are politically neutral and genuinely in the national interest. Not every issue needs to become a partisan battle.
Sri Lanka cricket occupies a special place in the national consciousness. At its best it once united the country and gave Sri Lankans a sense of pride and international recognition. Restoring integrity and professionalism to cricket administration can therefore become part of the larger task of national renewal. The appointment of Eran Wickremaratne and the new committee, while it does not guarantee success, is a sign that the political leadership and people of the country may be beginning to mature in their approach to governance. In recognising the need for competence, integrity and bipartisan cooperation and extending it beyond cricket into other areas of national life, Sri Lanka may find the way towards more stable and successful governance..
by Jehan Perera
Features
From Dhaka to Sri Lanka, three wheels that drive our economies
Court vacation this year came with an unexpected lesson, not from a courtroom but from the streets of Dhaka — a city that moves, quite literally, on three wheels.
Above the traffic, a modern metro line glides past concrete pillars and crowded rooftops. It is efficient, clean and frequently cited as a symbol of progress in Bangladesh. For a visitor from Sri Lanka, it inevitably brings to mind our own abandoned light rail plans — a project debated, politicised and ultimately set aside.
But Dhaka’s real story is not in the air. It is on the ground.
Beneath the elevated tracks, the streets belong to three-wheelers. Known locally as CNGs, they cluster at junctions, line the edges of markets and pour into narrow roads that larger vehicles avoid. Even with a functioning rail system, these three-wheelers remain the city’s most dependable form of everyday transport.
Within hours of arriving, their importance becomes obvious. The train may take you across the city, but the journey does not end there. The last mile — often the most complicated part — belongs entirely to the three-wheeler. It is the vehicle that gets you home, to a meeting or simply through streets that no bus route properly serves.
There is a rhythm to using them. A destination is mentioned, a price is suggested and a brief negotiation follows. Then the ride begins, edging into traffic that feels permanently compressed. Drivers move with instinct, adjusting routes and squeezing through gaps with a confidence built over years.
It is not polished. But it works.
And that is where the comparison with Sri Lanka becomes less about what we lack and more about what we already have.
Back home, the three-wheeler has long been part of daily life — so familiar that it is often discussed only in terms of its problems. There are frequent complaints about fares, refusals or the absence of meters. More recently, the industry itself has become entangled in politics — from fuel subsidies to regulatory debates, from election-time promises to periodic crackdowns.
In that process, the conversation has shifted. The three-wheeler is often treated as a problem to be managed, rather than a service to be strengthened.
Yet, seen through the experience of Dhaka, Sri Lanka’s system begins to look far more settled — and, in many ways, ahead.
There is a growing structure in place. Meters, while not perfect, are widely recognised. Ride-hailing apps have added transparency and reduced uncertainty for passengers. There are clearer expectations on both sides — driver and commuter alike. Even small details, such as designated parking areas in parts of Colombo or the increasing standard of vehicles, point to an industry slowly moving towards professionalism.
Just as importantly, there is a human element that remains intact.
In Sri Lanka, a three-wheeler ride is rarely just a transaction. Drivers talk. They offer directions, comment on the day’s news, or share local knowledge. The ride becomes part of the social fabric, not just a means of getting from one point to another.
In Dhaka, the scale of the city leaves less room for that. The interaction is quicker, more direct, shaped by urgency. The service is essential, but it is under constant pressure.
What stands out, across both countries, is that the three-wheeler is not a temporary or outdated mode of transport. It is a necessity in dense, fast-growing Asian cities — one that fills gaps no rail or bus system can fully address.
Large infrastructure projects, like light rail, are important. They bring efficiency and long-term capacity. But they cannot replace the flexibility of a three-wheeler. They cannot reach into narrow streets, respond instantly to demand or provide that crucial last-mile connection.
That is why, even in a city that has invested heavily in modern rail, Dhaka still runs on three wheels.
For Sri Lanka, the lesson is not simply about what could have been built, but about what should be better managed and valued.
The three-wheeler industry does not need to be politicised at every turn. It needs steady regulation — clear fare systems, proper licensing, safety standards — alongside encouragement and recognition. It needs to be seen as part of the solution to urban transport, not as a side issue.
Because for thousands of drivers, it is a livelihood. And for millions of passengers, it is the most immediate and reliable form of mobility.
The tuk-tuk may not feature in grand policy speeches or infrastructure blueprints. It does not run on elevated tracks or attract international attention. But on the ground, where daily life unfolds, it continues to do what larger systems often struggle to do — show up, adapt and keep moving.
And after watching Dhaka’s streets — crowded, relentless, yet functioning — that small, three-wheeled vehicle feels less like something to argue over and more like something to get right.
(The writer is an Attorney-at-Law with over a decade of experience specialising in civil law, a former Board Member of the Office of Missing Persons and a former Legal Director of the Central Cultural Fund. He holds an LLM in International Business Law)
by Sampath Perera recently in Dhaka, Bangladesh
Features
Dubai scene … opening up
According to reports coming my way, the entertainment scene, in Dubai, is very much opening up, and buzzing again!
After a quieter few months, May is packed with entertainment and the whole scene, they say, is shifting back into full swing.
The Seven Notes band, made up of Sri Lankans, based in Dubai, are back in the spotlight, after a short hiatus, due to the ongoing Middle East problems.
On 18th April they did Legends Night at Mercure Hotel Dubai Barsha Heights; on Thursday, 9th May, they will be at the Sports Bar of the Mercure Hotel for 70s/80s Retro Night; on 6th June, they will be at Al Jadaf Dubai to provide the music for Sandun Perera live in concert … and with more dates to follow.
These events are expected to showcase the band’s evolving sound, tighter stage coordination, and stronger audience engagement.
With each performance, the band aims to refine its identity and build a loyal following within Dubai’s vibrant nightlife and event scene.

Pasindu Umayanga: The group’s new vocalist
What makes Seven Notes standout is their versatility which has made the band a dynamic and promising act.
With a growing performance calendar, new talent integration, and international ambitions, the band is definitely entering a defining phase of its journey.
Dubai’s music industry, I’m told, thrives on diversity, energy, and audience connection, with live bands playing a crucial role in elevating events—from corporate shows to private concerts. Against this backdrop, Seven Notes is positioning itself not just as another band, but as a performance-driven musical unit focused on consistency and growth.
Adding fresh momentum to the group is Pasindu Umayanga who joins Seven Notes as their new vocalist. This move signals a strategic upgrade—not just filling a role, but strengthening the band’s front-line presence.
Looking beyond local stages, Seven Notes is preparing for an international tour, to Korea, in July.

Bassist Niluk Uswaththa: Spokesperson for Seven Notes
According to bassist Niluk Uswaththa, taking a band abroad means: Your sound must hold up against unfamiliar audiences, your performance must translate beyond language, and your discipline must be at a professional level.
“If executed well, this tour could redefine Seven Notes from a local band into an emerging international act,” added Niluk.
He went on to say that Dubai is not an easy market. It’s saturated with highly experienced, multi-genre bands that can adapt instantly to any crowd.
“To stand out consistently you need to have tight rehearsal discipline, unique sound identity (not just covers), strong stage chemistry, audience retention – not just applause.”
No doubt, Seven Notes is entering a critical growth phase—new member, multiple shows, and an international tour on the horizon. The opportunity is real, but so is the pressure.
However, there is talk that Seven Notes will soon be a recognised name in the regional music scene.
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