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Sri Lanka to Face EU Market Challenges Under New Rules After 2027

September 17, 2025

Sri Lanka is expected to encounter new challenges in accessing the European Union market under rules that will come into effect after 2027, a German expert has warned.

Speaking to a group of Sri Lankan stakeholders in Berlin, Markus Loning, an expert on human rights and responsible business, noted that the country’s export sectors—including wood, cocoa, coffee, palm oil, leather, beef, soy, and rubber—could be affected. While many regulations may not apply to Sri Lanka, some will, making it essential for exporters to prepare in advance.

Loning highlighted the EU’s anti-deforestation regulation, which requires that imported products must not originate from deforested land. He explained that the EU uses a historical baseline to verify the origin of materials and will block products that violate these rules. “We want to avoid buying products grown on land that has been cleared of trees,” he said.

The expert also emphasized that the EU will regulate the use of forced labor. Once the law comes into force, authorities will investigate supply chains if there is any suspicion of forced labor, and imported goods must be demonstrably free of such practices. Countries exporting to the EU will be responsible for ensuring compliance.

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