Sri Lankan garment manufacturers will gain unprecedented access to UK markets under liberalised trade rules taking effect in early 2026, a statement released by the British High Commission on the newly released Developing Countries Trading Scheme (DCTS) rules said.

“The reforms enable manufacturers to source up to 100% of garment inputs from any country worldwide while maintaining tariff-free access to the UK,” it stated. Under the UK’s Developing Countries Trading Scheme (DCTS), Sri Lanka receives benefits as an ‘Enhanced Preference’ country.

Current rules allow tariff free access to Sri Lankan garments if inputs are sourced from the South Asian region along with restrictions around processing. The liberalised rules will now offer Enhanced Preference countries (including Sri Lanka) the same product-specific rules for apparel (chapters 61 and 62) as lower income countries covered by the scheme (such as Bangladesh) which have ‘Comprehensive Preferences’.

Quoting British High Commissioner to Sri Lanka Andrew Patrick, the statement said: “We are pleased to confirm further details of the reforms to the DCTS. I know from my discussions with the JAAF, Sri Lankan manufacturers and UK brands that the changes are likely to have a significant positive impact on the garment sector in Sri Lanka, while helping lower prices on the UK high street.”

Quoting the President of The Council for Business with Britain Mark Surgenor, the statement added: “The upcoming changes to the DCTS will further strengthen Sri Lanka’s exports to the UK. This is a particular success story for Sri Lanka’s garment industry where the proposed changes will mean that more of Sri Lanka’s garment exports to the UK could qualify for zero tariffs. The Council for Business with Britain is very supportive of these changes and looks forward to continuing our work with businesses to promote trade between the UK and Sri Lanka.”