On the export side, fragile products such as sanitary items are usually wrapped in straw to insulate them from shocks and shocks. But Sri Lanka does not accept products packaged in straw. Instead, these products are required to be packaged in five corrugated cardboard boxes. Since India does not produce enough boxes of this type to meet existing demand, they must be imported. This increases packaging costs and undermines competitiveness in the international market. These types of issues must be taken into account if the reasons why a free trade agreement leads to an unfavourable trade balance are discussed. Before the signing of the agreement, Kerala`s Chief Minister, V.S. Achuthanandan, led a delegation to the Indian Prime Minister to protest against the free trade agreement. The state of Kerala is a major exporter of domestic exports of plantation products. It is concerned that cheap imports of rubber, coffee and fish will reduce local production and ultimately harm farmers and their economies.  Kerala has already experienced a flood of its market with cheap imports under the 2006 South Asia Free Trade Agreement. Cheap coconuts from Sri Lanka and palm oil from Malaysia have since hampered the cultivation of Kerala coconut.  Currently, each food exported from either India or Sri Lanka is tested twice – once in the port of origin and again in the destination port – which unnecessarily increases the trading time.
This is because the harmonization of food standards has not received special attention. Due to the lack of adequate storage options at ports, particularly for items requiring refrigerated storage, it is possible that merchants may suffer losses due to damage to goods. Few issues divide economists and the scope of public opinion as much as free trade. Studies show that economists at U.S. university faculties are seven times more likely to support a free trade policy than the general public. In fact, the American economist Milton Friedman said: “The economic profession was almost unanimous on the question of the desire for free trade.” India has already signed framework agreements with the ASEAN (Association of Southeast Asian Nations) and MERCOSUR (Southern Common Market in Spanish) trade blocs, as well as with countries such as Japan and Korea.