Opportunity Sri Lanka | » Sri Lanka plans to double cinnamon export revenue
Sri Lanka plans to double cinnamon export revenue

Sri Lanka plans to double cinnamon export revenue

The Morning: The Cinnamon Development Department unveiled plans to increase Sri Lanka’s annual income from cinnamon exports to $ 500 million, doubling the current revenue of $ 250 million.
Director General Janaka Lindara highlighted that Sri Lanka produces approximately 25,000 MT of cinnamon annually, exporting around 19,000 MT. Cinnamon is a key export crop for the nation, traditionally cultivated in areas like Galle, Matara, and Hambantota.
To meet the new targets, the department plans to expand cinnamon cultivation to regions such as Kurunegala, Puttalam, and Mahaweli zones. These efforts aim to boost production and diversify the geographical base of cultivation, according to Lindara.
Furthermore, he added that a significant milestone in this initiative is the signing of a memorandum of understanding (MoU) with China, paving the way for cinnamon exports to begin in January 2025.
Additionally, the department plans to strengthen its presence in the European Union and other international markets.
While the majority of Sri Lanka’s cinnamon is currently exported as raw material, the department is emphasising the production of value-added products to maximize foreign exchange earnings.
Efforts are underway to support small and medium-scale cinnamon entrepreneurs with resources and incentives to encourage this shift, the department mentioned.

OSL take:
Sri Lanka’s exports sector is on a steady growth path with much focus on further expanding the export of key crops as well as related products to the foreign markets. Cinnamon is fast becoming a key export crop of the country with Ceylon Cinnamon witnessing an expansion in the foreign markets. The many trade agreements as well as trade concessions enjoyed by Sri Lanka with other countries and the promotional campaigns carried out in old and new foreign markets by local exports authorities have all increased the business potential in the country’s exports sector, especially in the export of cinnamon. Hence, Sri Lanka’s exports sector that has become a key revenue generator to the country is focused on a steady growth in the export revenue including an increase in revenue from the local cinnamon industry. All these developments indicate an expansion in the business/investment opportunities in the export of local cinnamon and related products. Apart from direct opportunities in Sri Lanka’s cinnamon industry, there are also emerging business/investment opportunities in the manufacture of cinnamon-based products that are witnessing an expansion in the foreign markets. All these are indicative of the increasing business/investment opportunities in Sri Lanka’s cinnamon industry, especially in the exports sector. Foreign businesses/investors could also look at local collaborations in the cinnamon industry to explore further expansion.

Share this:

Article Code : VBS/AT/20250106/Z_6

    For More Info and Help






    Leave a Comment