Sri Lanka, March 26 -- Sri Lanka's apparel exporters are expressing serious concerns that the impending abolition of the Simplified Value Added Tax (SVAT) system could lead to a significant downturn in their export earnings, potentially exceeding US$1 billion.

This apprehension stems from the anticipated increase in finance costs associated with exports under the proposed new system.

The Inland Revenue Department (IRD) is currently in the final stages of developing a risk-based refund system, which is slated to replace the existing SVAT system starting in October this year. According to the IRD, the new system is 77 percent complete and on track for its October 1st launch.

However, the Joint Apparel Association Forum (JAAF) voiced str...