Wednesday Dec 11, 2024
Wednesday Dec 11, 2024
Saturday, 20 November 2021 01:07 - - {{hitsCtrl.values.hits}}
The country’s merchandise exports have soared to $ 1.16 billion in October — the highest for the month in any year and to $ 10 billion in the first 10 months, showcasing continuous pick-up and resilience towards achieving the $12 billion target for 2021.
“This is the highest merchandise export figure recorded in the month of October in our history. The increase can be attributed to opening up of Western markets together with sustained production,” Export Development Board (EDB) Chairman Suresh de Mel said.
Latest performance reflects a high 21% increase from a year ago.
As per the latest data from the EDB, the country’s total exports (merchandise and services) in the first 10 months was $ 12.6 billion (including the estimated services exports), reflecting an achievement of 80% of the $ 15.72 billion target for the entirety of 2021.
In mid-2021, the EDB revised upwards the original export target of $ 15.68 billion to $ 15.72 billion, as post-COVID reopening of the country augured well for a better export performance.
As per the new revision, EDB expects $ 12.14 billion from merchandise exports and $ 3.58 billion from services exports. Originally, it expected only $ 12 billion from merchandise exports, while the services export target remained unchanged.
EDB said merchandise exports were up by 21.2% to $ 10.05 billion during the first 10 months compared to the same period year earlier, following increased exports in almost all key products sectors. The estimated value of services exports for the period of January to October was $ 2.5 billion, increasing 28.5% over the corresponding period of 2020. The services exports estimated by EDB consist of ICT/BPM, Construction, Financial services and Transport and Logistics.
The EDB Chief also commended the exporters for their outstanding performance and contribution to the economy.
Major exports in October: Earnings from Apparel and Textile increased by 43% year-on-year (y-o-y) to $ 509 million in October with strong performance in exports of Apparel (43.4%), Woven Fabrics (86.6%) and Made-Up Textile Articles (116.3%). On a y-o-y basis, exports of Yarn and other Textile Articles declined by 26.4%.
Earnings from Rubber and Rubber Finished products exports increased by 14.5 % y-o-y to $ 91.9 million in October 2021, with strong performance in exports of industrial and surgical gloves (6.5%), Pneumatic and Retreated Rubber Tyres and Tubes (32.9%).
Export earnings from kernel products, fibre products and shell products categorised under the Coconut based products increased by 29.2%, 20.6% and 19% respectively in September 2021 compared to October 2020. On a year-on-year, export earnings from Desiccated Coconut, Coconut Milk powder, Coconut cream and Liquid Coconut Milk categorised under the Coconut Kernel Products increased by 74%, 13.2%, 54.2% and 23% respectively in October 2021. However, earnings from export of Coconut Oil decreased by 13.9% in October 2021.
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 30.6% to $ 17.1 million in October 2021 in comparison to the same period a year earlier. Earnings from Activated Carbon, which is categorised under the Coconut shell products increased by 20.4% in October compared to the same period in 2020.
Earnings from export of Electrical and Electronic Components (EEC) increased by 87.3% to $ 38.4 million in October 2021 compared to the same period a year earlier. Export of Insulated wires increased by 69.1%, while Switches, Boards and Panels increased by 60% and Electronic Transformers increased by 119.2% in October 2021 compared to the same period in 2020.
Export earnings from Seafood increased by 57% to $ 24.5 million in October 2021, compared to the same period a year earlier. The stronger performance was mainly due to the increase in earnings from frozen fish, shrimps and prawns, fish fresh or chilled and other edible fish exports.
Earnings from Boat Building recorded $ 33.7 million in October with the increased export orders to Iran.
January to October major exports: Earnings from export of Apparel and Textile increased by 21% to $ 4.4 billion during the first 10 months compared to the same period in 2020. Exports of apparel and woven fabrics expanded by 24% and 103%, while exports of Made-up Textile Articles and Yarn and other textile articles dropped by 46.2% and 6.7% respectively.
Export earnings from Tea increased by 7.29% to $ 986.56 million during the period of January to September 2021 compared with the corresponding period of 2020. Exports of all the subcategories of tea sector; Tea packets, Bulk Tea, Tea bags, Instant Tea and Green Tea increased by 10.4%, 3.44%, 33.55%, 28.95% and 33.96% respectively during the first nine months from a year ago.
Export earnings from Tea increased by 6.2% to $ 1.09 billion during the period of January to October 2021 compared with the corresponding period of 2020. Exports of all the subcategories of tea sector; Tea packets, Bulk Tea, Tea bags, Instant Tea and Green Tea increased by 9.1%, 2.7%, 50.3%, 22% and 25% respectively during the first 10 months from a year ago.
In parallel, export earnings from Rubber and Rubber finished products increased by 34.4 % to $ 897 million in January to October 2021 compared with the same period of 2020 attributed to higher exports of Industrial and Surgical Gloves of Rubber (54.3%) and Pneumatic and Retreated Rubber Tyres and Tubes (38.7%).
For the first 10 months of 2021, export earnings from Coconut and Coconut based products expanded by 24.4% to $ 685 million from the same period last year. Earnings from all the major categories of Coconut based products increased in the period of January-October 2021 compared with the corresponding period of 2020 due to the improved performance in export of Liquid Coconut Milk, Coconut cream, Coconut Milk Powder, Cocopeat, Mattress Fibre and Activated Carbon, Coconut Oil and Desiccated Coconut.
Meanwhile, earnings from export of Electrical and Electronic Components (EEC) increased by 30.5% to $ 348 million from January to October from a year ago. Export of Insulated wires increased by 51.3% during the period of January to October 2021 to $ 58.3 million compared with the corresponding period of previous year. In addition, exports of Electrical Transformers, Switches, Boards and Panels and Other Electrical and Electronic Products increased by 57%, 35.2% and 25% respectively during the period of January to October 2021 from a year earlier.
Export earnings from Spices and Essential Oils increased by 36.3% to $ 365.7 million in the 10-months from a year ago due to the better performance in all the sub categories; Cinnamon (14%), pepper (132.2%), cloves (153%), nutmeg and mace (15.4%), and Oleoresins (66.1%), etc.
Export performance in major markets: Strong performances were recorded in 10 major export markets, which accounted for 63% of total merchandise exports from January to October 2021.
During the first 10 months, exports to the US – Sri Lanka’s single largest export destination – increased by 18.1% to $ 2.5 billion compared to the same period of 2020. The better performance led to an increase in exports of Apparel and Textile, Rubber based Products (Pneumatic and Retreated Rubber Tyres and Tubes, Industrial and Surgical Gloves of Rubber), Motor Vehicles Parts, Activated Carbon, Tea Packets and Cinnamon.
Exports to the UK – the second largest trading partner – recorded a marginal increase of 0.9% to $ 768 million during the first 10 months compared to the same period in 2020. It is reflected in the increased exports recorded in Apparel and Textile, Rubber based Products sectors (Pneumatic and Retreated Rubber Tyres and Tubes, Industrial and Surgical Gloves of Rubber) and Other Electrical and Electronic Products.
Exports to FTA partners: During the period of January to October 2021, exports to Free Trade Agreement (FTA) partners accounted for 7.2% of total merchandise exports increased by 29% to $ 720.3 million.
Exports to India and Pakistan increased by 29.2% and 25% y-o-y to $ 644.6 million and $ 75.4 million respectively during the first 20 months. Increased exports to India is mainly supported by increased exports of Animal Feed (15.1%), Woven fabrics (171.2%) and Bicycles Not Motorised (288%) in the first 10 months of 2021.
In addition, better performance recorded in Pakistan led by Sheet Rubber, Desiccated Coconut, other Articles of Stones, Woven Fabrics and Perfumes, Cosmetics, Shampoo and Makeup Preparations.
Export performance in regions: On a region wise comparison exports to all other regions increased except CIS regions from January to October compared to same period a year ago.
Exports to the European Union (EU) which comprise 24% of Sri Lanka’s exports from January to October increased by 29% y-o-y to $ 2.4 billion.
Breakdown of exports to the top five EU markets which accounted for 80% of Sri Lanka’s total exports to the EU were; Germany $ 609.7 million (up by 27.3%), Italy $ 480.6 million (up by 29.3%), Netherlands $ 346.3 million (up by 49%), Belgium $ 272.7 million (up by 15%) and France $ 198.3 million (up by 30%).
