Tuesday Jan 27, 2026
Tuesday Jan 27, 2026
Tuesday, 27 January 2026 03:18 - - {{hitsCtrl.values.hits}}
EDB Chairman/CEO Mangala Wijesinghe
Sri Lanka’s export sector continued its positive growth momentum in 2025, recording a notable year-on-year (YoY) growth of 5.6%. Based on Sri Lanka Customs statistics and estimated export figures for Gems and Jewellery, Petroleum Products, and services, total export earnings reached $ 17,252.15 million in 2025, reflecting sustained growth and improving external trade conditions.
In December 2025, total exports, comprising both merchandise and services, amounted to $ 1,490.49 million, representing a 3.95% YoY increase. This performance underscores the resilience of Sri Lanka’s export sector and the effectiveness of policy measures and strategic interventions aimed at expanding market access and strengthening global competitiveness.
Export Development Board (EDB) Chairman/CEO Mangala Wijesinghe said that Sri Lanka’s export earnings in 2025 reached $ 17,252.15 million, achieving over 94.79% of the export target. He noted that this performance highlights the resilience and competitiveness of Sri Lanka’s export sector, supported by the recovery of key export markets, sustained production capacity, and the effective implementation of export development strategies.
Addressing a media conference yesterday, Wijesinghe said the 2025 export target of $ 18.2 billion was missed due to external factors out of Sri Lanka’s control, but added the Government is targeting export earnings of $ 20 billion in 2026, citing a sharper focus on merchandise and services exports and a renewed push to support exporters.
He said merchandise exports are forecast at around $ 15.5–16 billion, driven by sectors such as apparel, electronics, and gems and jewellery, while services exports, including technology, logistics, and construction, are also expected to contribute to growth. He said the 2026 projection is based on achieving an average monthly growth of around 10%.
He said the EDB has received its largest-ever allocation to support this effort, with increased funding for small and medium-sized (SME) exporters, international trade fairs, and the national export strategy.
Sri Lanka will also host a major export exhibition this year, the first in 14 years, expected to attract around 1,500 international buyers and investors and involving approximately 650 local exporters and 100 foreign-owned export companies.
Cumulative total exports, including both merchandise and services, were estimated at $ 17,252.15 million for the year 2025, making a notable 5.6% growth compared to the year 2024.
Merchandise exports during the year 2025 are estimated to increase by 6.32%, reaching $ 13,579.38 million, based on data from Sri Lanka Customs along with the estimated figures for Gems and Jewellery and Petroleum Products.
Meanwhile, the estimated value of services exports is expected to increase by 2.79% to $ 3,672.77 million compared to the corresponding period in 2024. This performance underscores the growing significance of Sri Lanka’s knowledge-based economy and its increasing contribution to national export earnings. The services export sector, encompassing ICT/BPM,
Construction, Financial Services, and Transport and Logistics, continues to play a vital role in diversifying Sri Lanka’s export base while generating high-value employment opportunities across the country.
Sri Lanka’s export sector demonstrated resilient growth throughout 2025, with major categories showing significant YoY increases. Leading the expansion, earnings from Apparel, Tea, Coconut products, Electrical and Electronic Components, and Food and Beverages grew by 4.93%, 4.97%, 42.66%, 3.91%, and 24.23%, respectively. This broad-based success was underpinned by strong demand in traditional Western markets and a remarkable surge in value-added agricultural products.
The Apparel and Textile sector remained the primary revenue driver, increasing by 5.34% to reach $ 4,909.05 million. Notably, exports to the EU surged by 12.2% ($ 1,592.89 million), while the US and the UK contributed $ 1,964.14 million and $ 688.54 million, respectively. Meanwhile, the Tea export industry recorded earnings of $ 1,507.19 million, a 4.97% increase supported primarily by the strong performance of Tea Packets, which increased by 10.18%.
The Coconut and Coconut-based products sector emerged as a remarkable performer, with earnings increased by 42.66% to $ 1,233.01 million. This was driven by explosive growth across all sub-categories, including Coconut Cream (93.16%), Coconut Oil (78.68%), and Coconut Milk Powder (61.47%).
Meanwhile, export of Food and Beverage sector increased by 24.23% to $ 583.89 million, largely due to a 40.4% increase in processed food exports.
In addition, export earnings from Seafood increased by 3.09 % to $ 240.19 million during the year 2025 compared to year 2024 due to the positive performance in Frozen Fish (16.64%).
Meanwhile earnings from export of Electrical and Electronic Components (EEC) increased by 3.91 % to $ 438.49 million in 2025 compared to 2024. This increase was due to the positive performance in exports of Insulated Wires (7.38%) and Electrical Transformers (12.95%).
Furthermore, the estimated value of ICT/BPM exports is expected to increase by 8.81% to $ 1,644.83 million during 2025 when compared to the corresponding period of 2024.
Additionally, Logistics and Transport services continued their upward trend, with an expected increase of 3.22%, bringing the total estimated value to $ 1,851.58 million for the 2025 period.
Export earnings from Rubber and Rubber finished products decreased by 5.56% to $ 945.73 million in 2025 compared to 2024, primarily due to lower exports of Pneumatic and Retreated Rubber Tyres and Tubes, which decreased by 12.76%.
Export earnings from Spices and Essential Oils also decreased YoY by 2.59%, totalling $ 449.9 million in 2025, largely driven by a significant drop in Pepper exports, which fell by 39.68%.
In addition, export earnings from Ornamental fish decreased by 7.6% to $ 22.6 million in 2025 compared the previous year.
Table 1 shows the comparison of Merchandise export performance during the month of December 2025 and the period of January to December 2025 compared to 2024.
Sri Lanka’s top export destinations showed resilient growth in 2025. Among the top 10 markets, the US, UK, Germany, Italy, the Netherlands, and China all recorded positive YoY growth for both the month of December and the full cumulative year.
The US, Sri Lanka’s largest single export destination, accounting for 23% of the country’s merchandise exports, recorded a 5.96% increase to $ 264.91 million in December 2025 compared to December 2024. On a cumulative basis, the market maintained steady momentum throughout the year, growing 3.06% to reach a total of $ 2,999.15 million.
India continued as Sri Lanka’s second-largest export destination, surpassing the UK. Exports to India increased by 17.21% in 2025, reaching $ 1,035.72 million, while exports in December 2025 declined by 7.35% to $ 80.39 million compared to the same month in 2024.
Exports to the UK increased by 6.57% in December 2025, reaching $ 74.01 million compared to December 2024. Over the period from January to December 2025, exports to the UK grew by 2.8%, totalling $ 929.03 million.
In December 2025, exports to India and Pakistan accounted for 7.8% of Sri Lanka’s total merchandise exports, decreasing 7.88% YoY to $ 85.87 million.
Exports to India decreased by 7.35%, mainly due to lower shipments of Pepper, while exports to Pakistan decreased by 14.91%, driven by reduced exports of Other Textile Articles.
For the January to December 2025 period, exports to India and Pakistan accounted for 8.2% of Sri Lanka’s total merchandise exports, recording a substantial increase of 15.68 % to reach $ 1,110.48 million compared to the same period in the previous year.
Exports to India increased significantly by 17.21%, driven mainly by higher shipments of Petroleum Oil, Animal feed and Animal or Vegetable Fats and Oils and their Products. In contrast, exports to Pakistan decreased by 2.03%, reflecting lower shipments of Desiccated Coconut, woven Fabrics and Base Metal Products shipments.
Exports to the EU, which account for 24% of Sri Lanka’s merchandise exports, increased during both December 2025 and the cumulative period of January to December 2025, respectively, by 6.68% and 13.41%.
Exports to the top five EU markets were recorded as; Germany $ 706.49 million (increased by 12.45%), Italy $ 679.77million (increased by 14.16%), Netherlands $ 474.8 million (increased by 20.63%), France $ 277.18 million (increased by 5.09 %), and Belgium $ 254.44 million (increased by 6.42%) during the cumulative period of January to December 2025 in comparison to the corresponding period in 2024.
In December 2025, merchandise exports recorded a 5.88% YoY increase, reaching $ 1,166.60 million, according to provisional data of Sri Lanka Customs, including estimated figures for Gems and Jewellery and Petroleum Products.
During December 2025, services export earnings are estimated to have declined by 2.47%, reaching $ 323.89 million.
Export earnings from Apparel and Textiles increased by 5.26% YoY, reaching $ 470.35 million in December 2025, compared to the same month in 2024.
A monthly analysis reveals that export earnings from Coconut-Based Products recorded a significant 27.24% YoY increase in December 2025. Within the sector, earnings from Coconut Kernel products increased by 31.83%, Coconut Fibre products by 9.60%, and Coconut Shell products by 36.45%, reflecting strong global demand and enhanced value addition across the sector.
Among Coconut Kernel products, export earnings from Coconut Oil, Coconut Cream, and Liquid Coconut Milk increased by 54.26%, 97.61%, and 31.23%, respectively, in December 2025 compared to December 2024.
Earnings from Activated Carbon, categorised under Coconut Shell products, increased by 34.53%, reaching $ 19.52 million in December 2025.
Export earnings from Food and Beverages increased by 17.28% YoY to $ 48.67 million in December 2025, with the positive performance in exports of Processed Food (12.04%).
The estimated export value of Diamonds, Gems and Jewellery is expected to increase by 46.15%, reaching $ 23.91 million in December 2025 compared to December 2024.
Export earnings from Seafood increased by 16.09% YoY to $ 23.38 million, mainly driven by improved performance in exports of Frozen Fish (4.95%) and Fresh Fish (30.96%).
Meanwhile, ICT/BPM export earnings are expected to increase by 5.19%, reaching $ 169.83 million during the same period.
Several export sectors recorded YoY declines in December 2025. Tea exports, which accounted for 12.8% of total merchandise exports, declined by 19.59% to $ 105.82 million, mainly due to lower earnings from Bulk Tea (–23.57%) and Tea Packets (–17.58%).
Export earnings from Electrical and Electronics Components decreased by 11.09% YoY to $ 35.20 million in December 2025.
Spices and Essential Oils exports also declined by 6.23% to $ 44.22 million during the same period, largely driven by a sharp 61.4% drop in pepper exports to India.
Export earnings from Ornamental Fish decreased by 9.05% YoY to $ 1.81 million in December 2025 compared to December 2024.
Data was obtained from the Central Bank of Sri Lanka (CBSL) and Sri Lanka Customs. Export figures of Services, Gems and Jewellery, and Petroleum Products for December 2025 were estimated by the EDB.
