TRADE AGREEMENT BETWEEN THE
GOVERNMENT OF INDIA AND
THE GOVERNMENT OF CEYLON
The Government of India and the Government of Ceylon, being desirous of
maintaining on an enduring basis and of further developing the trade between the
two countries, have resolved to conclude a Trade Agreement and have agreed as
The two contracting parties, recognizing the needs and requirements of their
respective countries in the context of their developing economies, undertake, on
the basis of mutual advantage, to maintain as far as is practicable the
traditional pattern of trade hitherto existing, and to explore all possibilities
of expanding trade.
Each Contracting Part shall, within the framework of its laws and regulations,
afford all facilities for the importation of goods produced in the country of
the other Contacting Party.
Each Contracting Party shall give full consideration to the suggestions made by
the other Party facilitating the export and import of specific commodities.
In recognition of the changing patterns of prodution and consumption resulting
from the fruition of the economic development plans of India and Ceylon, the two
Contracting Parties undertake to explore, through consultation from time to
time, the possibility of trading in new goods.
The two Contracting Parties shall endeavour their utmost to maintain the volume
of the trade between their respective countries at the highest possible level
having due regard to the changing patterns or production and consumption.
The two Contracting Parties will use their best endeavours to promote the
development of shipping of both countries and, in particular, shall accord to
the ships sailing under the flag of each country while entering, staying in or
leaving the ports of the other country, all facilities consistant with their
respective Laws and Regulations.
The above arrangements shall not apply to any concessions made to ships engaged
in the coastal trade of either country.
This Agreement shall come into force provisionally on the date of its signature
by the accredited Representative of the two Contracting Parties and finally on
its ratification according to the constitutional procedures prevailing in their
respective countries. It shall remain in force until it is modified or
terminated by either Contracting Party on giving three months’ notice to the
Done at New Delhi on Saturday, the 28th day of October, 1961, in two original
copies in English, both of which are authentic.