12 January 2021 09:02 am Views - 397
The COVID-related lockdowns, which went up around October in the Western hemisphere, blunted the momentum for demand for Sri Lankan-made apparel in its key customers in the USA and European Union.
The data analysed since May through November showed that Sri Lanka’s monthly apparel exports picked up quickly to their year earlier levels within a month since the first wave of lockdowns ended but the momentum started fading since October and the gap further expanded in November.
According to the official data, Sri Lankan apparel exports recorded US $ 403.7 million in June, nearly doubling from what was sent in May and it increased further up to US $ 469.2 million in July, which was just 1.4 percent off from the same month in 2019.
The momentum was pretty much maintained during August and September, with earnings recording at US $ 440 million and US $ 433.7 million, respectively, which were off by a 11.9 percent and 3.7 percent, respectively, compared to the same months in 2019.
However, the Sri Lankan apparel makers again began to feel the pressure since October, as the USA, United Kingdom and European Union, which collectively account for half of total exports from Sri Lanka, began locking down their economies due to fears over the virus, following the so-called expert advice.
The data available for October and November showed Sri Lanka’s apparel exports falling to US $ 358.2 million and US $ 324.9 million, respectively, expanding the gap from 18.9 percent to 32.8 percent during the two months from the same two months in 2019.
The lockdowns significantly altered the buying habits of the consumers in the Western hemisphere, as people shunned in-person visits to their big box retailers while purchasing more food stuff and other house improvement items, instead of spending on fashion, a commodity which is of limited use when sheltering-in-place.