Abstract:
International trade has been developed with the growth of the civilization as part of the
human life. It is concerned with business transactions among the citizens of different nations.
Although the international trade and globalization offer the world community more benefits,
there also appear to have negative consequences ,particularly for low income countries. And
developing countries differ widely among themselves. Due to the uneven distribution of the
costs and benefits and as the result of the development of the trade and globalization ,developing
countries are needed to find out new business partners.
This study is focused on investigating performance of trade between Sri Lanka and other
developing countries within the period 1977-2007(after introducing trade liberalization policies in
Sri Lanka).Both deductive and inductive methods were used to analyze the data.
Mainly five trading partners were demonstrated concurrently to the study and among them
the highest place in the Sri Lanka’s trade was recorded by the group of Middle East countries
within the considering time period. Western Hemisphere countries and African countries have
recorded second and third place respectively. According to the study the most least contribution
has been given in the overall trade was the U.S.S.R and Eastern European countries. Furthermore,
study elicited the potential trade avenues and reflected rely on the several trading partners of
the economy , after the liberalization . There can be seen a soaring transaction of trade among the
developing countries after the period 1977 and it is obviously focal in the Middle East countries.
