Sri Lanka to benefit from German Supply Chain Act
- CNL Reporter
- March 18, 2025
- News
- Sri Lanka to benefit from German Supply Chain Act
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Germany’s supply chain due diligence act is an opportunity for Sri Lankan companies to benefit over competitors in India and Bangladesh, an official of the Delegation of German Industry and Commerce in Sri Lanka (AHK Sri Lanka) has said.
“The Supply Chain and Due Diligence Act is going to have a huge impact in the future, not only for logistics but also on the export side. Looking at our neighbouring countries, our competitors, I think we are far ahead in our standards,” Malintha Gajanayake, Head of Corporate Affairs/Export Promotions, AHK Sri Lanka told EconomyNext.
“The quality of our services that we provide is far, far above.”The German supply chain act or Act on corporate due diligence has been effective from January 2023 to facilitate best practices in the industry.Sri Lanka is ahead of its competing neighbour countries such as India and Bangladesh in industry standards, best practices and human rights protection, Gajanayake said.
However, there is a tendency for small and medium enterprises getting marginalized through the act as the costs to be borne for certification are significant on the economies of SMEs.This could potentially drive SMEs away from the market and bigger companies could benefit over the smaller ones.
