Merchandise export earnings hit new all-time monthly high in November

• Nov. export earnings top US $ 1.2bn; sixth consecutive month of above US $ 1bn export earnings 
• EDB confident of achieving US $ 12bn export earnings target for 2021
• Apparel and textile dominates November exports

Setting a fresh record, Sri Lanka’s merchandise exports recorded the highest monthly export value in history in November this year, as the export earnings reached US $ 1.22 billion, marking it the sixth consecutive month of above US $ 1 billion of export earnings.

The previous highest monthly export figure of US $ 1.2 billion was recorded in October this year, according to the export figures released by the Central Bank, recently.

The data released by Sri Lanka Customs showed that in November, the merchandise exports achieved a year-on-year (YoY) growth of 55.11 percent, with all key export categories expanding. 

With the November export performance, total merchandise export earnings for the year reached US $ 11.12 billion, achieving 91.59  percent of the total revenue target set by the Export Development Board (EDB) for 2021.  
Overall earnings from exports in the period, including service exports, reached US $ 13.8 billion, achieving 88 percent of the EDB’s overall export earnings target.

“The growth in exports was not only due to the effective prevention and control of the pandemic in Sri Lanka but the commitment of exporter community to support the national economy by bringing in the much-needed foreign currency. I commend the exporters for their resilience and commitment at this time,” said EDB Chairman Suresh de Mel in a statement to the media.

Export of apparel and textile dominated the November exports, recording a 52.8 percent growth YoY in export earnings to US $ 496.4 million, which was driven by 61.9 percent YoY and 95.9 percent YoY growth rates in apparel and woven fabrics. However, the export earnings from the sector was down slightly on a month-on-month (MoM) basis,  

compared to US $ 510 million earnings recorded in October, this year. Continuing its dominance in the agricultural sector, tea export earnings grew by 22.30 percent YoY to US $ 117.65 million in November, driven by favourable agro-climatic conditions. Export earnings from rubber and rubber finished products increased by 46.9 percent YoY to US $ 102.2 million in the month, with strong performance from industrial and surgical gloves (45.2 percent) and pneumatic and retreated rubber tyres and tubes (57.2 percent).

Meanwhile, export earnings from coconut-based products rose by 40.66 percent YoY to US $ 80.99 million in the month. Being the largest contributor to the coconut-based sector, coco peat, fibre pith and moulded products, which are categorised under the coconut fibre products, rose by 42.4 percent YoY to US $ 16.7 million in November, followed by activated carbon, which is categorised under coconut shell products,  which brought  export earnings of US $ 13.84 million. Export earnings from the export of electrical and electronics components rose by 43.53 percent YoY to US $ 36.47 million in the month, with strong performance in insulated wires and cables (5.89 percent), switches, boards and panels (31.37 percent) and electronic transformers (156.71 percent). 

Driven by high demand for frozen fish, shrimps and prawns, fish fresh or chilled and other edible fish in key export markets, earnings from seafood exports increased by a record 233.43 percent YoY to US $ 34.91 million in November. In the month, diamond, gem and jewellery exports were the fastest growing category. The export earnings from the sector recovered an impressive 1133.05 percent YoY increase to US $ 58.94 million in November.

For the 11 months of the year, an increase in exports was observed in almost all the major product sectors, including apparel and textiles, tea, rubber-based products, coconut-based products, electronics and electronic components, spices and concentrates, food and beverages, seafood and ornamental fish, when compared with the same period in 2020, while recording an overall growth of 22.39  percent YoY for the period. In the period, earnings from apparel and textile exports increased by 23.5 percent YoY to US $ 4.88 billion while earnings from tea exports rose by 7.6 percent YoY to US $ 1.21 billion. The top single five markets for Sri Lanka exports in the 11 months of 2021 were the United States, accounting for US $ 2.76 billion total exports, United Kingdom (UK) accounting for US $ 852.66 million, India, accounting for US $ 724.89 million, Germany accounting for US $ 678.54 million and Italy accounting for US $ 533.30 million. However, the European Union (excluding the UK) was the largest regional market for Sri Lankan products in the period, fetching US $ 2.68 billion of export revenue. During the period, exports to Sri Lanka’s free trade agreement (FTA) partners accounted for 7.2 percent of total merchandise exports, growing at a pace of 31.51 percent YoY to US $ 807.75 million.

Further, the Netherlands, Canada and the UAE became the fastest growing markets for Sri Lankan products in the 10-month period.