Sri Lanka’s DCD targets $ 300 million Ceylon Cinnamon exports in 2026
The Morning: The Department of Cinnamon Development (DCD) is targeting $ 300 million in Ceylon Cinnamon export earnings in 2026, building on a strong 2025 performance as Sri Lanka works to expand the spice into new markets such as the lucrative Chinese market.
Speaking to The Sunday Morning Business, DCD Director General L.M.J.K. Lindara revealed that Sri Lanka had exported $ 250 million worth of Ceylon Cinnamon in 2025 and that the target for 2026 stood at $ 300 million.
He further stated that Sri Lanka had exported $ 90 million worth of Ceylon Cinnamon during the first four months of 2026 to around 70 countries across Latin America, Europe, Africa, and Oceania.
In contrast, he noted that Sri Lanka had managed to export only $ 64.25 million worth of Ceylon Cinnamon during the first four months of 2024.
Lindara said that the industry remained in its off-season but was on track to achieve the $ 300 million export target based on the performance thus far.
Commenting on the export performance in 2026, Lindara stated that Mexico remained Sri Lanka’s primary export market, followed by Colombia, Peru, Guatemala, and China.
The DCD Directory General added that China was a fairly new market for Ceylon Cinnamon, considering that the product was not permitted to be imported into China until 2025, with Sri Lanka commencing exports to China only from 2025 onwards.
He noted that Sri Lanka had exported only around Rs. 2 million worth of Ceylon Cinnamon to China in 2025.
Lindara stated that while Sri Lanka was seeking to capitalise on China’s $ 2 billion spice market, entering the market had proved to be challenging for Ceylon Cinnamon due to low consumer awareness and the dominance of the alternative, cassia cinnamon, in China.
“Even though Chinese Customs authorities permit imports of Ceylon Cinnamon, consumers are still not used to it because they are accustomed to a different type of cinnamon known as cassia,” he stated.
The Director General revealed that the DCD had entered into an agreement with China to facilitate exports of Ceylon Cinnamon to the country. Under the agreement, only registered vendors who meet the necessary standards are permitted to export Ceylon Cinnamon to China.
“The cinnamon plantations should have a Good Agricultural Practices (GAP) certificate and the processing centres should have a Good Manufacturing Practices certificate,” he stated.
The DCD was established in terms of Budget Proposal No. 16 of 2023 as a dedicated department for the development of cinnamon, for the purpose of elevating it from a minor export crop to a major commercial plantation crop. Subsequently, the National Cinnamon Research and Training Centre, previously under the Department of Export Agriculture, was transferred to the DCD.
OSL take:
Sri Lanka’s export sector is gaining renewed momentum, driven by strong performance in agricultural commodities and a focused strategy to expand into high-value international markets. DCD’s target of $ 300 million in Ceylon cinnamon exports in 2026 highlights the country’s ambition to scale its globally recognised spice industry and deepen its reach into markets such as China and beyond. For foreign businesses/investors, this growth trajectory presents a wide range of business/investment opportunities across the export value chain. These include agricultural production support, processing and value addition, quality certification, packaging innovation, logistics and cold-chain infrastructure, as well as international trading and distribution networks. With Sri Lanka strengthening its trade partnerships and enhancing export competitiveness, the country offers a compelling platform for foreign businesses/investors seeking exposure to high-demand agricultural commodities and globally branded origin products such as Ceylon cinnamon.
| Article Code : | VBS/AT/20260615Z_4 |