Sri Lanka’s exports posted a double-digit growth in September, with a sharp rise in the merchandise shipments lifting the total earnings to US $ 1.69 billion, although the nine-month performance remained weighed down by the declines in apparel and tea.

The latest Export Development Board (EDB) figures showed the total exports rose 17.23 percent from September last year, led by a 21.66 percent increase in the merchandise earnings to US $ 1.39 billion. The services exports grew just 0.67 percent to an estimated US $ 306.17 million.

The September performance helped push the cumulative exports to US $ 13.61 billion, up 5.04 percent year-on-year. The merchandise earnings increased 5.35 percent to US $ 10.76 billion, while services contributed US $ 2.85 billion, a gain of 3.88 percent.

EDB Chairman and Chief Executive Officer Mangala Wijesinghe said the focus must now be on sustaining the growth and widening the export base.

“Enhancing value addition, promoting innovation and technology adoption, diversifying export markets and integrating more deeply into global value chains will be essential to expanding the export earnings and generating greater economic value for the country,” he said.

The strong gains in the electrical and electronic components, spices, rubber products and food and beverages helped offset the lower nine-month earnings from apparel and tea.

Apparel and textiles recorded a September recovery, with the earnings rising 3.46 percent to US $ 439.78 million. The apparel exports alone grew 3.43 percent to US $ 408.69 million, supported by a 6.33 percent increase in the shipments to the United States. The apparel and textile exports fell 5.68 percent to US $ 3.78 billion in the first nine months, with the apparel earnings down 5.36 percent to US $ 3.51 billion.

Over the nine months, the sector’s exports to the United States, European Union (EU) and United Kingdom declined by 3.83 percent, 5.54 percent and 10.41 percent, respectively. Tea also remained under pressure. The September earnings slipped 1.38 percent to US $ 135.11 million, taking the nine-month total to US $ 1.08 billion, down 6.83 percent.

The EDB linked the cumulative fall partly to the weaker Middle Eastern markets, where the tea export earnings contracted 34.22 percent. The shipments to the United Arab Emirates, Iran and Iraq recorded steep declines, although Turkey delivered a substantial growth.

The electrical and electronic components were among the strongest performers, with the September earnings surging 88.35 percent to US $ 68.54 million, driven mainly by the insulated wires and cables. The nine-month exports rose 61.05 percent to US $ 508.86 million.

The spices, essential oils and oleoresins generated US $ 74.73 million in September, up 73.19 percent, with the pepper earnings jumping 165.38 percent and cinnamon rising 68.27 percent. The cumulative sector earnings increased 30.53 percent to US $ 430.53 million.

The rubber and rubber-based products earned US $ 99.31 million during September, up 33.68 percent, supported by stronger tyre and glove exports. The nine-month earnings grew 8.44 percent to US $ 773.88 million.

The food and beverage exports rose 27.92 percent in September to US $ 63.77 million, taking the cumulative earnings to US $ 526.31 million, up 20.9 percent.

The coconut-based products presented a mixed picture. The September earnings fell 8.88 percent to US $ 111.60 million as the kernel products weakened, despite a 43.52 percent increase in the activated carbon exports. The nine-month coconut product earnings remained 3.68 percent higher at US $ 942.5 million.

Among the markets, the United States retained its position as Sri Lanka’s largest single export destination. The September shipments increased 18.06 percent to US $ 281.84 million, although the cumulative earnings were virtually flat at US $ 2.25 billion.

India ranked second, ahead of the United Kingdom, with the nine-month exports growing 12.3 percent to US $ 889.84 million. The exports to the United Kingdom declined 9.33 percent to US $ 654.36 million, while the shipments to the EU edged down 0.15 percent.

Wijesinghe said the focus must now be on sustaining the growth and widening the export base. “Enhancing value addition, promoting innovation and technology adoption, diversifying the export markets and integrating more deeply into the global value chains will be essential to expanding the export earnings and generating greater economic value for the country,” he said.

Sri Lanka’s National Export Development Plan 2026-2030 targets annual export earnings of US $ 36 billion by 2030.

 

 

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