Sri Lanka records increase in industrial production in August 2018 from a year earlier
The Census and Statistics Department of Sri Lanka has reportedly stated that industrial production in the country has increased 0.4 percent in August 2018 from a year earlier.
The growth according to the Department has been driven by apparel manufacturing.
The Department has stated that the Index of Industrial Production increased to 109.4 points in August from 109 points a year earlier.
A value over 100 shows growth in production compared to the index base year of 2015.
According to a local media report, food production, which accounts for 35.2 percent of industrial activity, fell 0.5 percent in August from a year earlier to 109.1 points.
Apparel production, has grown 5.1 percent to 115.4 points from a year earlier. Apparel makes up 19.8 percent of manufacturing in Sri Lanka.
Apparel exports were up 7.8 percent in August from a year earlier according to the Joint Apparel Association Forum.
The biggest gains were seen in beverage manufacturing, up 17.5 percent to 102.6 from a year earlier, and textiles which grew 10.5 percent to 116.1 points.
A month by month comparison of the index has shown a sharp increase of 3.3 percent from 105.9 points in July, similar to the trend from the previous year.
OSL take:
The increase recorded in Sri Lanka’s industrial production in August this year is indicative of the continuous growth in the country’s industries sector. The apparel sector is on a growth path in Sri Lanka, especially due to the EU’s trade concessions, GSP Plus facility. Foreign businesses setting up operations in Sri Lanka to manufacture apparels in Sri Lanka could reap the benefits of the EU’s GSP Plus facility as well as the US GSP facility enjoyed by the island nation. Therefore, foreign businesses could explore business opportunities in Sri Lanka’s industries sector, which is on a growth path.
| Article Code : | VBS/AT/20181019/Z_2 |