November merchandise exports slide 5.6% YoY while services sector expands 21%

• Total exports for November 2024 recorded at US$ 1.269 bn, reflecting a marginal increase of 0.04% YoY
• Jan - Nov cumulative merchandise exports grew 6.44% to US$ 11.611 billion; Service exports for the period estimated at US$ 3.174 billion

Sri Lanka’s export performance for the month of November witnessed a Year-on-Year (YoY) contraction of 5.6 percent with revenue reaching US$ 943.1 million. The decrease is primarily attributed to reduced earnings from exports of Rubber-based products, Electrical and Electronic components, Food & Beverages, and Seafood.

However, services exports for the month of November 2024 were estimated at US$ 326.23 million, reflecting a 20.89 percent YoY increase.

Accordingly, total exports for November 2024, including both merchandise and services, were recorded at US$ 1,269.33 million, reflecting a marginal increase of 0.04 percent YoY.

Export earnings from Apparel & Textile increased by a marginal 0.54 percent YoY to US$ 397.19 million in November. Additionally, exports of Apparel & Textile to USA and UK increased by 1.4 percent and 4.6 percent respectively in November 2024 compared to November 2023, data compiled by the Export Development Board (EDB) showed.

Export earnings from tea, which made up 12 percent of merchandise exports, increased by 4.72 percent YoY to US$ 118.15 million, mainly due to the positive performance in the export of Tea Packets (14.14 percent) and Bulk Tea (5.02 percent).

On monthly analysis, export earnings of Coconut based products increased by 13.08 percent YoY. Moreover, export earnings of Coconut kernel products, Coconut fiber products and Coconut shell products increased by 12.37 percent, 11.73 percent and 16.72 percent respectively in November 2024 compared to November 2023.

Export earnings from Spices and Concentrates increased by 33.17 percent to US$ 41.27 million in the month of November 2024 compared to month of November 2023 mainly due to the strong performance in export of Pepper (169.71 percent) and Cinnamon (15.96 percent).

Furthermore, the estimated value of ICT exports is expected to increase by 38.04 percent to US$ 141.39 million in November 2024 when compared to November 2023. In addition, the estimated value of Logistics & transport services is expected to increase by 21.09 percent to US$ 162.34 million in November 2024 when compared to November 2023.

Showing a dip in export performance was Rubber and Rubber finished products where earnings contracted by 1.96 percent YoY to US$ 77.2 million. Here, negative performance was seen in exports of Pneumatic & Retreated Rubber Tyres & Tubes (-22.95 percent).

Export earnings from Electrical and Electronics Components deceased by 6.18 percent YoY to US$ 35.08 million, where as earnings from Food & Beverages have decreased by 8.29 percent YoY to US$ 36.29 Million.

Similarly, export earnings from Seafood decreased by 34.68 percent to US$ 16.46 million, due to the poor performance in export of Frozen fish (-22.49 percent), Fresh fish (-39.92 percent) and Shrimps (-72.22 percent).

Cumulative analysis show that for the first 11 months of the year ended 2024, merchandise exports grew 6.44 percent to US$ 11.611 billion compared to the same period in 2023.

Services exports also showed promising growth, with an estimated increase of 7.39 percent to US$ 3.174 billion during the first eleven months of 2024, compared to the corresponding period last year.

As a result, the total export value, encompassing both merchandise and services, reached US$ 14,785.96 million during this period, reflecting a 6.64 percent growth over the same period in 2023.

Among Sri Lanka's top 10 export markets, USA, UK, India, Netherlands and Canada markets showed positive growth in the month of November 2024 and the cumulative period from January to November 2024, compared to the corresponding periods in 2023.

Furthermore, United States of America, Sri Lanka’s single largest export destination, which absorbs 23 percent of Sri Lanka’s merchandise exports, increased by 1.75 percent to US$ 227.17 million in November 2024 compared to November 2023. In parallel, exports to United States of America in the cumulative period of January to November 2024 increased by 6.19 percent to US$ 2,659.95 million compared to the corresponding periods in 2023.

Exports to the United Kingdom increased by 5.96 percent to US$ 68.6 million in November 2024 compared to the corresponding month in 2023. Meanwhile, exports to the United Kingdom increased by 7.81 percent to US$ 834.27 million in cumulative period of January to November 2024 compared to the corresponding period in 2023.

Exports to India and Pakistan accounted for 8.4 percent of total merchandise exports, experiencing an increase of 24.86 percent to US$ 75.35 million compared to November 2023. Both, exports to India increased by 27.44 percent while exports to Pakistan decreased by 2.89 percent in November 2024 compared to November 2023.

The Positive performance of India was driven by higher exports of Petroleum oils(415.23 percent) and Pepper (146.33 percent).