Boost in key sectors pushes August exports up 4.18% YoY

• Merchandise exports record US $ 1.16bn, led by apparel, tea and rubber 
• Service exports expand 6.49% YoY, recording US $ 318.77mn
• Cumulative exports cross US $ 8bn mark by end-August

Sri Lanka’s export performance expanded 4.18 percent year-on-year (YoY) in August, recording a revenue amounting to US $ 1.16 billion.

The increase in export earnings is due to improved performance in apparel and textiles, tea, rubber-based products, coconut-based products and spices and concentrates, the provisional data from Sri Lanka Customs showed.

It is noteworthy that the apparel and textile exports surpassed the US $ 500 million mark in August 2024, after a period of two years. 

Meanwhile, the services exports for the month of August 2024 are estimated at US $ 318.77 million, increasing 6.49 percent over the corresponding period of 2023. 

Accordingly, the total exports for August 2024, including both merchandise and services, were recorded at US $ 1.48 billion, expanding 4.67 percent YoY.  

With the growth in the export earnings, led by the apparel sector, its earnings grew 17.51 percent YoY to US $ 511.13 million in August 2024 compared to August 2023. Additionally, exports of apparel and textile to the USA increased by 22.56 percent in August 2024 compared to August 2023.

The export earnings from tea, which made up 12 percent of merchandise exports, increased by 9.11 percent YoY to US $ 130.54 million in August 2024 compared to August 2023. This increase is mainly due to the positive performance in the export of bulk tea (5.78 percent) and tea packets (11.43 percent).

The export earnings from rubber and rubber finished products grew 29.48 percent YoY to US $ 103.79 million in August 2024, with the positive performance in exports of pneumatic and retreated rubber tyres and tubes (20.52 percent) and industrial and surgical gloves (44.33 percent).

Showing contractions in export earnings were sectors such as electrical and electronics components, which decreased by 5.7 percent YoY to US $ 38.87 million in August 2024.

Meanwhile, export earnings from seafood decreased by 21.52 percent to US $ 13.86 million in August 2024 compared to August 2023. This decrease was mainly due to the poor performance in the export of frozen fish (-21.78 percent) and shrimps (-49.79 percent).

The cumulative analysis showed that for the first eight months ended August, the merchandise exports increased by 5.37 percent to US $ 8.44 billion compared to the same period in 2023.

The estimated value of services exports is expected to increase by 7.58 percent to US $ 2.24 billion during the first eight months of 2024 when compared to the corresponding period of 2023.

Consequently, total exports for the first eight months of 2024, including both merchandise and services, were recorded at US $ 10,686.79 million, a 5.82 percent increase over the same period of 2023.

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

Furthermore, the USA, Sri Lanka’s single largest export destination, which absorbs 23 percent of Sri Lanka’s merchandise exports, increased by 19.37 percent YoY to US $ 300.98 million. 

In parallel, exports to the USA in the cumulative period of January to August 2024 increased by 3.58 percent to US $ 1,939.76 million compared to the corresponding periods in 2023.

Exports to the United Kingdom increased by 19.35 percent to US $ 86.54 million in August 2024 compared to the corresponding month in 2023. Meanwhile, exports to the United Kingdom increased by 7.5 percent to US $ 613.56 million in the cumulative period of January to August 2024 compared to the corresponding period in 2023.

Meanwhile, exports to the European Union decreased by 0.75 percent during the cumulative period of January to August 2024.

Exports to the top five European Union markets were recorded as Germany US $ 430.01 million (increased by 8.51 percent), Italy US $ 395.69 million (decreased by 11.05 percent), the Netherlands US $ 253.28 million (increased by 12.59 percent), France US $ 178.49 million (decreased 21.29 percent) and Belgium US $ 154.58 million (increased by 2.53 percent) during the cumulative period of January to August 2024 in comparison to the corresponding period in 2023.