Merchandise export earnings top US $ 1.2bn in June

• Earnings from merchandise exports reached US $ 1,208 million in June 2022
• Key sectors contributing to improved export earnings include apparel, coconut and rubber 
• Grim export performance witnessed in tea and spices sectors
• US, UK and India emerge as largest markets for SL export basket
• Exports to all regions except CIS countries grew in June 2022 and Jan.-Jun. 2022 period

The earnings from merchandise exports expanded by 20 percent year-on-year (YoY) in the month of June, fetching foreign exchange earnings amounting to 
US $ 1,208 million.

The Export Development Board (EDB) attributed the increase in earnings to improved performance in the exports of apparel and textile, rubber-based products, coconut-based products, food and beverages 
and seafood.

Exports of apparel and textiles increased by 36.85 percent YoY to US $ 566.78 million in June 2022. The increase was driven by both segments.

The export earnings from rubber and rubber finished products grew by 7.18 percent YoY to US $ 102.36 million in June, with good performance in exports of pneumatic and retreated rubber tyres and tubes (15.2 percent).

The monthly analysis carried out by the EDB shows that the export earnings of kernel products, fibre products and shell products, categorised under the coconut-based products, increased by 30.15 percent, 1.63 percent and 21.3 percent in June 2022 compared to June 2021.

Meanwhile, the export earnings from seafood increased by 130.75 percent YoY to US $ 36.39 million in June 2022. The expansion was contributed mainly by the higher exports of frozen fish (89.3 percent), fresh fish (219.18 percent) and shrimps (219.25 percent), the EDB said.

Earnings from the electrical and electronics components increased by 5.71 percent YoY to US $ 39.82 million for the month in review. The strong performance was observed in the exports of insulated wires and cables (14.5 percent) and switches, boards and panels (23.55 percent).

However, the export earnings from tea in June 2022, which made up 12 percent of merchandise exports, contracted by 5.99 percent when compared to the corresponding month of the previous year. The reduced exports of bulk tea, which was only 10.99 percent, resulted in the sector, fetching a revenue of 
US $ 116.49 million. 

The grim export performance was also observed from the spices and essential oils segment, where the earnings reduced by 10.9 percent YoY to US $ 31.74 million. 

The cumulative analysis shows that for the six months ending in June 2022, merchandise exports increased by 12.4 percent to US $ 6,408.3 million compared to the corresponding period of 2021. Major product sectors, except tea and spices and concentrates, recorded increased exports.

Meanwhile, the estimated value of services exports for the first half of 2022 was US $ 1,337 million, increasing 45.72 percent over the corresponding period of 2021. The services exports estimated by the EDB consist of ICT/BPM, construction, financial services and transport and logistics.

The data shared by the EDB revealed that a strong export growth was recorded for the top five export markets in the month of June 2022 and the period of January to June 2022.

In June 2022, exports to the US, Sri Lanka’s single largest export destination, increased by 46.16 percent to US $ 323.65 million when compared with June 2021. The better performance was led by an increase in exports of apparel and textile (29.68 percent) and coconut-based products (26.8 percent), the EDB said.

For the January-June 2022 period, exports to the US increased by 24.54 percent YoY, to US $ 1,687.73 million. 
The UK and India rank as the second and third largest export markets for Sri Lankan exports for the month of June 2022 and the January-June 2022 period. 

On a region-wise comparison, exports to all regions except the CIS countries increased during the month of June 2022 and the period of January to June 2022 compared with the corresponding period of 2021.