Export Performance in April 2024

The total exports (Merchandise & Service) for the month of April 2024 was recorded as US$ 1,114.22 Million increasing 1.25 % over the corresponding period of 2023.

As per the provisional data released by the Sri Lanka Customs, the merchandise export performance in April 2024 amounted to US$ 813.81 million, recorded decrease of 4.1 % compared to April 2023. Figure 1 shows Monthly Merchandise export performance from the year 2021 to April 2024.

The estimated value of services exports for the month of April 2024 was US$ 300.41 Million, increasing 19.28 % over the corresponding period of 2023.

Figure 1: Monthly Merchandise Export Performance 2021-April 2024

Major Exports in April 2024

a) Products & Services with Positive Growth (Increases)

Export earnings from tea which made up 12% of merchandise exports, increased by 2.22 % y-o-y to US$ 95.46 Mn in April 2024 compared to April 2023. This increase is mainly due to the strong performance of export of Bulk Tea (increased by 12.08%).

Furthermore, volume of tea exports increased by 12.03 % in April 2024 compared to April 2023. Additionally, Tea exports to UAE, Iraq and Saudi Arabia markets, increased by 61.25 %, 57.11 % and 40.23 % respectively.

Moreover, Export earnings from Rubber and Rubber Finished products have increased by 20.18 % y-o-y to US$ 66.58 Mn in April 2024, with the strong performance in exports of Pneumatic & Retreated Rubber Tyres & Tubes (36.09 %).

On monthly analysis, export earnings of Coconut based products increased by 17.73 % in April 2024 compared to April 2023. Moreover, export earnings of Coconut kernel products, Coconut fiber products and Coconut shell products increased by 26.31 %, 10.55 % and 9.98 % respectively in April 2024 compared to April 2023.

Export earnings from Coconut Oil, Desiccated Coconut, Coconut Cream and Liquid Coconut Milk which are categorized under the Coconut kernel products increased by 18.2%, 45.85 %, 46.79 % and 35.92 % respectively in April 2024 compared to April 2023.

Being the largest contributor to Coconut based sector, Coco Peat, Fiber Pith & Moulded products which are categorized under the Coconut fibre products, increased by 17.23 % to US$ 15.38 Mn in April 2024 in comparison to April 2023.

Earnings from Activated Carbon, which is categorized under the Coconut shell products increased by 10.3 % to US$ 11.35 Mn in April 2024 compared to April 2023.

Export earnings from Food & Beverages have increased by 7.55 % y-o-y to US$ 32.35 Million in April 2024, with the positive performance in exports of Processed food (18.25 %).

Export earnings from Seafood increased by 7.76 % to US$ 26.79 Mn in April 2024 compared to April 2023.This increase was mainly due to the positive performance in export of Frozen fish (11.08%) and Fresh fish (23.68%).

In parallel, export earnings from Ornamental fish increased by 30.66 % to US$ 2.77 Mn in April 2024 compared to April 2023.

Furthermore, the estimated value of ICT exports is expected to increase by 21.6 % to US$ 120.69 Mn in April 2024 when compared to April 2023. Also, the value of Transport & Logistics services exports is expected to increase by 24.94 % in April 2024 compared to the corresponding period in the previous year.

b) Products & Services with Negative Growth (Decreases)

Export earnings from Apparel & Textile decreased by 6.34 % y-o-y to US $ 321.06 Mn in April 2024 compared to April 2023.

Export earnings from Spices and Essential Oils decreased by 14.47 % to US$ 18.03 Mn in the month of April 2024 compared to month of April 2023 mainly due to the poor performance in export of Cinnamon (-15.99%) and Cloves (-52.22%). Clove exports to India decreased by nearly 100% in April 2024 compared to April 2023.

Furthermore, the total export earnings from Diamonds, Gems & Jewellery decreased by 14.14 % y-o-y to US$ 21.68 million in April 2024. Export earnings from Diamonds experienced substantial decrease by 23.88 % in April 2024.

Additionally, export earnings from the Electrical & Electronics Components decreased by 23.07 % y-o-y to US$ 30.78 Mn in April 2024 with poor performance in exports of Electrical Transformers (-26.11 %) and Other Electrical & Electronic products (-21.61%).

Moreover, the estimated value of Constructions services exports is expected to decrease by 31.05 % to US$ 14.87 Mn in April 2024 when compared to April 2023.

Exports during the period of January – April 2024

Cumulative merchandise exports during the period of January to April 2024, increased by 3.55% to US$ 3,982.71 Million compared to the corresponding period in 2023.

The estimated value of services exports is expected to increase by 6.47 % to US$ 1,048.61 Mn during the period of January to April 2024 when compared to the corresponding period of 2023.

a) Products & Services with Positive Growth (Increases)

Earnings from export of Tea, Rubber products, Coconut products and Food & Beverages increased by 10.44 %, 12.03 %, 23.44 % and 21.83 % respectively during the period of January – April 2024 in comparison to the corresponding period of 2023.

Earnings from export of Tea increased y-o-y by 10.44 % to US$ 450.23 Mn in the period of January to April 2024. This increase was mainly due to the strong performance in export of Bulk Tea (24.07 %).

In addition, export earnings from Rubber & Rubber finished products increased by 12.03 % to US$ 335.0 Mn in January – April 2024 compared to the same period in 2023 attributed to increased exports of Industrial & Surgical Gloves of Rubber (8.0 %) and Pneumatic & Retreated Rubber Tyres & Tubes (17.39 %).

Export earnings of Coconut & Coconut based products increased by 23.44 % to US$ 264.4 Mn during January – April 2024 compared to the last year. Earnings from all the major categories of Coconut based products increased in the period of January – April 2024 compared with the corresponding period of 2023 due to the strong performance in export of Coconut Oil (21.94 %), Desiccated Coconut (37.48 %), Coconut Milk Powder (36.2 %), Coconut Cream (44.15 %), Liquid Coconut Milk (30.91 %), Cocopeat (27.15 %) and Activated Carbon (20.35 %).

Export earnings from Food & Beverages have increased by 21.83 % y-o-y to US$ 158.72 Million in the period of January to April 2024, with the positive performance in exports of Processed food (63.73 %).

Furthermore, the estimated value of ICT exports is expected to increase by 1.82 % to US$ 405.89 Mn during the period of January to April 2024 when compared to the corresponding period of 2023. Also, the value of Transport & Logistics services exports is expected to increase by 15.54 % to US$ 558.89 Mn during the period of January to April 2024 when compared to the corresponding period of 2023.

b) Products & Services with Negative Growth (Decreases)

Earnings from export of Apparel & Textile have decreased by 2.84 % to US$ 1,566.39 Mn during the period of January to April 2024 compared to the same period in 2023. Further, earnings from export of Apparel declined by 2.11 % and export of Textiles declined by 10.38 % in January to April 2024.

In addition, export earnings from Spices and Essential Oils decreased y-o-y by 28.66 % to US$ 87.48 Mn in the period of January to April 2024. This decrease was due to the poor performance in exports of Cloves (-85.27 %).

Meanwhile earnings from export of Electrical and Electronic Components (EEC) decreased by 17.31 % to US$ 137.93 Mn in the period of January to April 2024 compared to the corresponding period of 2023. This decrease was due to the poor performance in exports of Insulated wires (-7.99%) and Other Electrical & Electronic Products (-28.05 %).

Further, export earnings from Seafood decreased by 0.9 % to US$ 90.68 Mn during the period of January to April 2024 compared to year 2023 due to the poor performance in Frozen Fish (-8.8 %).

Table 1 shows the comparison of Export performance during the month of April 2024 and the period of January to April 2024 compared to 2023.

Sri Lanka’s Export Performance in Major Markets

Among the top 10 export markets of Sri Lanka, UK, Italy, Germany, Netherlands, France and China have shown positive growth in both April 2024 and the cumulative period of January to April 2024 compared to the corresponding periods in 2023.

United States of America, Sri Lanka’s single largest export destination, which absorbs 23% of Sri Lanka’s merchandise exports, decreased by 5.09 % to US$ 183.37 Mn in April 2024 compared to April 2023. In parallel, exports to America in the cumulative period of January to April 2024 decreased by 2.18 % to US$ 894.94 Mn compared to the corresponding periods in 2023.

Additionally, exports to the United Kingdom increased by 7.65 % to US$ 66.14 Mn in April 2024 compared to the corresponding month in 2023. Meanwhile, exports to the United Kingdom increased by 6.8 % to US$ 305.16 Mn in cumulative period of January to April 2024 compared to the corresponding period in 2023.

Table 2 shows the comparison of Merchandise export performance of top 15 export markets during the month of April 2024 and the period of January to April 2024 compared to 2023.

Table 2: Comparison of Merchandise Export Performance of Top 15 Export Destinations

Exports to FTA Partners (India & Pakistan)

a) April 2024

In April 2024, exports to India & Pakistan constituted 7.5 % of the total merchandise exports, experienced a notable 2.9 % decrease to reach US$ 61.54 Mn, compared to April2023. Further, exports to India recorded decrease of 3.31 % whereas exports to Pakistan increased by 2.67 % in April 2024 compared to April 2023.

The negative performance of India was driven by lower exports of Animal Feed, while Pakistan's positive performance was led by increased exports of Other textile articles and other Electrical & Electronic Products.

b) January – April 2024

Exports to India & Pakistan accounted for 6.6% of total merchandise exports decreased by 8.67 % to US$ 262.17 Mn during the period of January to April 2024 compared to the corresponding period of previous year.

Exports to India decreased by 10.49 % during the period of January to April 2024 when compared with the corresponding period in 2023 while exports to Pakistan increased by 16.16 % y-o-y in the same period.

The negative export performance of India was driven by lower export of Animal feed (-11.51 %), while Pakistan's positive performance was led by increased exports of Other textile articles, other Electrical & Electronic Products and Desiccated coconut.

Sri Lanka’s Export Performance in Regions

Table 3 shows the comparison of region wise exports during the month of April 2024 and the period of January to April 2024 compared to 2023.

Exports to the European Union (EU) which accounts for 24% of Sri Lanka’s exports during both April 2024 and the cumulative period of January to April 2024 increased respectively by 7.36 % and 3.58 %.

Exports to the top five EU markets were recorded as; Germany US$ 205.01 Mn (increased by 5.83 %), Italy US$ 198.59 Mn (increased by 0.63 %), Netherlands US$ 114.08 Mn (increased by 7.32 %), France US$ 84.94 Mn. (increased 6.41 %) and Belgium US$ 72.06 Mn (decreased by 0.81%) during the cumulative period of January to April 2024 in comparison to the corresponding period in 2023.