Sri Lanka’s merchandise exports top $ 1,042.5 million in December
The Morning: As per the provisional data released by the Sri Lanka Customs, the merchandise export performance in December 2024 amounted to $ 1,042.5 million, reflecting a 4.06% increase compared to December 2023.
This was mainly due to the increase in earnings from export of apparel and textiles, tea, rubber-based products, coconut-based products, spices and concentrates and food and beverages.
However, services exports for the month of December 2024 were estimated at $ 322.92 million, reflecting a 29.96% increase over the corresponding period of 2023.
Consequently, total exports for December 2024, including merchandise and services, were recorded at $ 1,365.42 million, reflecting a moderate increase of 9.21% compared to the same period in 2023.
Export earnings from apparel and textile increased by 1.83% y-o-y (year-on-year) to $ 446.84 million in December 2024 compared to December 2023.
Export earnings from tea, which made up 12% of merchandise exports, increased by 18.43% y-o-y to $ 131.6 million in December 2024 compared to December 2023. This increase is mainly due to the positive performance in the export of tea packets (30.02%) and bulk tea (8.85%).
Export earnings from rubber and rubber finished products have increased by 1.41% y-o-y to $ 80.74 million in December 2024, with a strong performance in exports of industrial and surgical gloves of rubber (36.88%).
On monthly analysis, export earnings of Coconut-based products increased by 33.05% in December 2024 compared to December 2023.
Moreover, export earnings of coconut kernel products, coconut fibre products and coconut shell products increased by 28.54%, 52.98% and 26% respectively in December 2024 compared to December 2023.
Export earnings from coconut oil, desiccated coconut, coconut milk powder and liquid coconut milk which are categorised under the coconut kernel products increased by 58.97%, 44.13%, 67.52%, and 7.77% respectively in December 2024 compared to December 2023.
Being the largest contributor to the coconut-based sector, coco peat, fibre pith and moulded products which are categorised under the coconut fibre products, increased by 70.4% to $ 14.45 million in December 2024 in comparison to December 2023.
In addition, export of activated carbon, which is categorised under coconut shell products, increased by 30.13% to $ 14.51 million in December 2024 compared to the month of December 2023.
Export earnings from electrical and electronics components increased by 13.24% y-o-y to $ 39.6 million in December 2024, primarily due to an increase in export of insulated wires and cables (12.48%) and switches, boards and panels (53.14%).
Export earnings from food and beverages increased by 42.07% y-o-y to $ 41.5 million in December 2024, with a positive performance in exports of animal feed (31.42%) and processed food (100.14%).
Meanwhile, export earnings from spices and concentrates increased by 50.1% to $ 47.16 million in the month of December 2024 compared to the month of December 2023 mainly due to the strong performance in the export of Pepper (195.11%) and Cinnamon (17.89%).
Furthermore, the estimated value of ICT exports is expected to increase by 29.81% to $ 141.06 million in December 2024 when compared to December 2023.
In addition, the estimated value of logistics and transport services is expected to increase by 46.45% to $ 162.28 million in December 2024 when compared to December 2023.
OSL take:
Sri Lanka’s manufacturing industry has shown a steady growth along with the growth posted by the exports industry. The growth in the manufacturing industry is also in-line with the overall expansion of the country’s economy. The many trade agreements and trade concessions enjoyed by Sri Lanka with other countries have also helped boost the country’s manufacturing industry. With Sri Lanka’s overall economy on a growth path forecasting further growth have presented many business/investment opportunities for foreign businesses/investors on the lookout for lucrative opportunities in Sri Lanka. Apart from the strong trade ties enjoyed by the country Sri Lanka presents the ideal destination for foreign businesses to set up their manufacturing bases since the country is strategically positioned in the Indian Ocean and presents a business conducive environment with relatively cheap labour in the region. Therefore, the increasing business potential in Sri Lanka’s manufacturing industry, foreign businesses/investors could confidently explore the growing business/investment opportunities in the industry and related sectors.
| Article Code : | VBS/AT/20250130/Z_4 |