Sri Lanka’s export sector continued to demonstrate resilience and steady growth during the first eight months of 2025, recording total earnings of US$ 11,554.32 Mn. This reflects a strong 6.61% increase compared to the corresponding period in 2024.
In August 2025 alone, total exports, comprising both merchandise and services reached to US$ 1,607.58 Mn, recording a 2.57 % year-on-year growth over August 2024. This performance highlights the strength of Sri Lanka’s export sector and the effectiveness of strategies implemented to broaden market access and enhance global competitiveness.
Commenting on the positive results, Mr. Mangala Wijesinghe, Chairman and Chief Executive Officer of the Export Development Board (EDB), stated:
“This encouraging growth highlights Sri Lanka’s increasing integration into global trade and the success of our continued efforts to strengthen export competitiveness while diversifying market opportunities. Our exporters have once again demonstrated remarkable resilience and adaptability in navigating evolving global challenges.
Exports exceeded US$ 1.6 Bn in August alone, with cumulative earnings to over US$ 11.6 billion during the first eight months of 2025. These results reflect the strength, determination, and innovation of our exporters despite global uncertainties.
While we celebrate this progress, we remain mindful of the challenges ahead. With sustained efforts to enhance competitiveness and expand market opportunities, we are confident of reaching the export target set for 2025.
In August 2025 alone, merchandise exports grew by 5.13 % year-on-year, reaching US$ 1,294.83 Mn, according to provisional data of Sri Lanka Customs including the estimates for Gems & Jewellery and Petroleum Products. For the period January to August 2025, merchandise exports totaled US$ 9,092.85 Mn, reflecting 6.89 % increase compared to the same period in 2024.
Meanwhile, services exports have emerged as a key driver of overall export growth. In August 2025, earnings from services exports estimated to be US$ 312.75 Mn. Over the first eight months of the year, services exports are estimated to have increased by 5.57 %, totaling US$ 2,461.46 Mn. This trend highlights the rising importance of Sri Lanka’s knowledge-based economy and its growing contribution to national export earnings.
The services export sector, comprising ICT/BPM, Construction, Financial services, and Transport & Logistics, continues to diversify Sri Lanka's export portfolio and create high-value employment opportunities across the Island.
Major Exports in August 2025
a) Products & Services with Positive Growth (Increases)
Export earnings from tea which made up 12.8% of merchandise exports, increased by 8.73 % y-o-y to US$ 141.94 Mn in August 2025 compared to August 2024. This increase is mainly due to the strong performance in the export of Tea Packets (6.37%), Bulk Tea (11.95%) and Instant Tea (30.63%).
In addition, the volume of tea exports increased by 7.29 % in August 2025 compared to the same month in 2024.
Notably, tea exports to UAE, Turkey, Russia and Iran recorded significant increases of 25.57%, 22.82%, 19.3% and 52.73% respectively.
A monthly analysis reveals that export earnings from Coconut based products showing a significant increase of 42.0 % in August 2025 compared to the same month in 2024. Notably, earnings from Coconut kernel products increased by 48.2 %, Coconut fiber products by 27.6 %, and Coconut shell products by 43.93 %, reflecting strong global demand and improved value addition across the sector.
Export earnings from Coconut Oil, Coconut Milk powder, Coconut Cream and Liquid Coconut Milk which are categorized under the Coconut kernel products increased by 47.46 %, 34.4 %, 93.32 % and 29.38 % respectively in August 2025 compared to August 2024.
Being the largest contributor to Coconut based sector, Coco Peat, Fiber Pith & Moulded products which are categorized under the Coconut fiber products, increased by 27.6 % to US$ 30.33 Mn in August 2025 in comparison to August 2024.
Earnings from Activated Carbon, which is categorized under the Coconut shell products increased by 40.76% to US$ 19.34 Mn in August 2025 compared to August 2024.
Export earnings from Food & Beverages have increased by 12.11 % y-o-y to US$ 45.63 Mn in August 2025, with the positive performance in exports of Processed Food (85.85 %).
Export earnings from Seafood increased by 32.97 % to US$ 18.43 Mn in August 2025 compared to August 2024. This increase was mainly due to the positive performance in export of Fish Fresh or Chilled (29.87 %) and Frozen fish (41.02 %).
Export earnings from Electrical & Electronics Components increased by 2.7 % y-o-y to US$ 39.92 Mn in August 2025.
Furthermore, the estimated value of ICT/ BPM exports is expected to increase by 6.43 % to US$ 147.0 Mn in August 2025 when compared to August 2024.
b) Products with Negative Growth (Decreases)
Export earnings from Apparel & Textiles have slightly decreased by 0.84 % y-o-y to US$ 506.86 Mn in August 2025, compared to August 2024.
Export earnings from Rubber and Rubber Finished products have decreased by 16.23 % y-o-y to US$ 86.95 Mn in August 2025, with the negative performance in exports of Pneumatic & Retreated Rubber Tyres & Tubes (-21.31 %) and Industrial & Surgical Gloves of Rubber (-4.48 %).
Meanwhile, exports of Spices and Essential Oils decreased by 20.54% to US$ 41.35 Mn in August 2025, largely driven by a sharp decline in pepper exports to India, which decreased by 84.3%.
Export earnings from Ornamental fish decreased by 2.94 % to US$ 1.65 Mn in August 2025 compared to August 2024.
The estimated value of Diamonds, Gems & Jewellery is expected to decrease by 6.72 % to US$ 34.41 Mn in August 2025 when compared to August 2024.
Similarly, the estimated export value of Logistics & Transport Services is projected to decrease by 16.06% to US$ 152.46 Mn in August 2025, compared to August 2024.
Exports during the period of January – August 2025
Cumulative total exports, including both merchandise and services, were estimated at US$ 11,554.32 Mn for the period January to August 2025, making a notable 6.61 % growth compared to the same period in 2024.
Merchandise exports during the first eight months of 2025 are estimated to increase by 6.89 %, reaching US$ 9,092.85 Mn, based on data from Sri Lanka Customs along with the estimated figures for Gems & Jewellery and Petroleum Products.
Meanwhile, the estimated value of services exports is expected to increase by 5.57 % to US$ 2,461.46 Mn compared to the corresponding period in 2024.
a) Products & Services with Positive Growth (Increases)
Earnings from export of Apparel, Tea, Coconut products, Spices & Concentrates and Food & Beverages increased by 6.81 %, 8.89 %, 38.05 %, 4.6 % and 22.11% respectively during the period of first eight months of 2025 in comparison to the corresponding period of 2024.
Earnings from export of Apparel & Textile have increased by 6.81 % to US$ 3,586.6 Mn during the period of January to August 2025 compared to the same period in 2024. Notably, exports to the United States, the United Kingdom and EU region increased by 2.81 % , 4.69 % and 14.5 % amounting to US$ 1,278.47 Mn, US$ 472.01 Mn and US$ 1,060.57 Mn respectively.
Earnings from export of Tea increased y-o-y by 8.89 % to US$ 1,026.03 Mn in the period of January to August 2025. This increase was mainly due to the strong performance in export of Tea Packets (17.1 %).
Export earnings of Coconut & Coconut based products increased by 38.05 % to US$ 786.64 Mn during the first eight months of 2025 compared to the last year. Earnings from all the major categories of Coconut based products increased in the period of January to August 2025 compared with the corresponding period of 2024 due to the strong performance in export of Coconut Oil (75.8 %), Desiccated Coconut (34.6 %), Coconut Milk Powder (74.14 %), Coconut Cream (74.07%), Liquid Coconut Milk (42.18 %), Cocopeat (22.65 %) and Activated Carbon (23.05 %).
In addition, export earnings from Spices and Essential Oils increased y-o-y by 4.6 % to US$ 286.7 Mn in the period of first eight months of 2025. This increase was due to the strong performance in exports of Cinnamon (23.12%) and Cloves (187.8%).
Export earnings from Food & Beverages have increased by 22.11 % y-o-y to US$ 385.48 Mn in the first eight months of 2025, with the positive performance in exports of Processed food (45.88 %).
Furthermore, the estimated value of ICT/ BPM exports is expected to increase by 6.61 % to US$ 1,039.49 Mn during the period of January to August 2025 when compared to the corresponding period of 2024.
In addition, the estimated value of Logistics & transport services is expected to increase by 11.94 % to US$ 1,303.18 Mn during the period of January to August 2025 when compared to the corresponding period of 2024.
b) Products with Negative Growth (Decreases)
Export earnings from Rubber & Rubber finished products decreased by 5.9% to US$ 639.31 Mn in the first eight months of 2025 compared to the same period in 2024 attributed to decreased exports of Pneumatic & Retreated Rubber Tyres & Tubes (-16.31%).
Further, export earnings from Seafood decreased by 1.62 % to US$ 161.87 Mn during the first eight months of 2025 compared to year 2024 due to the negative performance in Fresh Fish (-12.47 %) and Shrimps (-44.7 %).
Meanwhile earnings from export of Electrical and Electronic Components (EEC) slightly decreased by 0.98 % to US$ 279.58 Mn in the first eight months of 2025 compared to the corresponding period of 2024. This decrease was due to the poor performance in exports of Insulated Wires and Cables (-5.54 %) and Printed Circuits (-63.94 %).
Table 1 shows the comparison of Merchandise export performance during the month of August 2025 and the period of January to August 2025 compared to 2024.
Sri Lanka’s Export Performance in Major Markets
Among the top 10 export destinations, the United States, Italy, the Netherlands, and France recorded year-on-year growth in August 2025 as well as during the cumulative period from January to August 2025.
The United States, Sri Lanka’s largest single export destination accounting for 23% of country’s merchandise exports, increased by 1.03 % to US$ 304.07 Mn in August 2025 compared to August 2024. Furthermore, exports to United States increased by 3.78 % over the cumulative period from January to August 2025, reaching US$ 2,013.13 Mn.
In August 2025, exports to the United Kingdom, Sri Lanka’s second-largest export destination, decreased by 4.81% to US$ 82.38 Mn compared to August 2024.
However, during the cumulative period from January to August 2025, India emerged as Sri Lanka’s second-largest export destination, overtaking the UK. Exports to India increased by 22.1% to US$ 705.08 Mn compared to the same period in 2024.
Table 2 shows the comparison of Merchandise export performance of top 15 export markets during the month of August 2025 and the period of January to August 2025 compared to 2024.
Exports to FTA Partners (India & Pakistan)
a) August 2025
In August 2025, exports to India and Pakistan accounted for 7.86% of total merchandise exports, registering a y-o-y decrease of 5.66 % to US$ 88.04 Mn, compared to August 2024.
Exports to India decreased by 5.86 % primarily due to a sharp drop in Pepper exports (-84.3%) Meanwhile, exports to Pakistan decreased by 3.32 % mainly as a result of reduced shipments of Other Base Metal Products (-18.75%).
b) January - August 2025
During the period from January to August 2025, exports to India and Pakistan accounted for 8.2% of Sri Lanka’s total merchandise exports, recording a substantial increase of 19.92 % to reach US$ 754.85 Mn compared to the same period in the previous year.
Exports to India increased significantly by 22.1 %, driven primarily by increased shipments of Petroleum Oil, Animal feed and Animal or Vegetable Fats and Oils and their Products. Meanwhile, exports to Pakistan decreased by 4.21 %, due to the decrease exports of Desiccated Coconut and Base Metal products.
Sri Lanka’s Export Performance in Regions
Table 3 shows the comparison of region wise exports during the month of August 2025 and the period of January to August 2025 compared to 2024.
Exports to the European Union (EU), which account for 24% of Sri Lanka’s merchandise exports, increased during both August 2025 and the cumulative period of January to August 2025 respectively by 0.27 % and 13.26 %.
Exports to the top five EU markets were recoded as; Germany US$ 477.56 Mn (increased by 11.06 %), Italy US$ 447.12 Mn (increased by 13.0 %), Netherlands US$ 305.2 Mn (increased by 20.5 %), France US$ 188.1 Mn. (increased by 5.38 %) and Belgium US$ 165.57 Mn (increased by 7.11 %) during the cumulative period of January to August 2025 in comparison to the corresponding period in 2024.
Sources: Data was obtained from the Central Bank of Sri Lanka (CBSL) and Sri Lanka Customs.
Export figures of Services, Gems & Jewellery, and Petroleum Products for August 2025 were estimated by the EDB
Policy & Strategic Planning Division - 23.09.2025
