Negative start for apparel exports

Saturday, 28 February 2026 01:23 - - {{hitsCtrl.values.hits}}

Apparel exports slip 2.66% in January, UK market remains stable with marginal increase

Sri Lanka’s apparel exports has kicked off 2026 with a 2.66% year-on-year (YoY) decline in January to $ 425.44 million, reflecting continued pressure across key global markets.

Issuing a statement, The Joint Apparel Association Forum (JAAFSL) noted that exports to the US fell by 2.73% YoY to $ 165.11 million, while shipments to the European Union (excluding the UK) declined by 1.93% YoY to $ 126.99 million. The UK remained relatively stable, recording a marginal 0.23% YoY increase to $ 61.71 million. Exports to other markets experienced a sharper contraction of 6.07%, dropping to $ 71.63 million.

The January performance highlights uneven global demand and reinforces the need to strengthen diversification and competitiveness.

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The UK’s marginal growth is an encouraging early sign, particularly as the revised Developing Countries Trading Scheme (DCTS) framework, effective 1 January 2026, is expected to improve sourcing flexibility and support Sri Lanka’s competitiveness in that market.

JAAF also noted that the move to a uniform 10% temporary US tariff is also a relatively positive development for Sri Lankan exporters, as it reduces the burden of earlier higher country-specific rates and improves short-term pricing certainty.

“While the overall decline in January is moderate, it reflects continued volatility in global demand. The industry remains focused on strengthening resilience through market diversification, product innovation, and operational efficiency, while working closely with stakeholders to protect Sri Lanka’s position as a trusted apparel sourcing hub,” JAAF added.