Lanka records $ 5106m exports in first half

Mulls ways to sustain growth:

Sri Lanka, for the first time in its international trades, has seen its monthly export earnings surpassing the US$ 1 billion mark in March this year.

The first half of 2011 has registered 40.9 percent exports growth compared to 2010.

Total export earnings of Sri Lanka during the first half of 2011 grew to a strong US $ 5106 mn from US $ 3642 mn over the corresponding period of 2010.

This encouraging performance contributed to achieve 56 percent of the overall export target of US $ 9098 for 2011, within a period of six months. During the first half of 2011 industrial product exports grew (in comparison to 2010 first half) by a huge 49 percent, followed by Fisheries products (26.25 percent) and Agricultural Products (21.01 percent). Nearly 87 percent of the export earnings during the first half of 2011 were derived from ten product categories.

Textile and Garments (42.3 percent) and Tea (13.7 percent) alone contributed to the total exports earnings of Sri Lanka. According to the EDB, the other categories are rubber based products (8.1 percent), Petroleum Products (4.9 percent), Gems and jewellery (4.7 percent), food and beverages (3.7 percent), electrical, electronic and machinery (2.9 percent), paper products (2.4 percent), spices (2.1 percent), fisheries products (2.1 percent) and others (13.1 percent).

“Export sector has shown positive signs of regaining its growth momentum achieved in the past. But we should be vigilant about uncertainties in the global financial market, especially in the developed markets.” says the latest report on Export Sector Performance for the first half of 2011, released by the Export Development Board (EDB) of Sri Lanka.

Issued by the Policy and Planning Division of the EDB on August 10, the report stresses that the exports, despite suffering in 2009, rebounded strongly in 2010.

“The positive performance experienced by the sector improved further during the first half of 2011, by registering a commendable growth rate of 40.9 percent over the corresponding period of 2010” the report added.

Industry and Commerce Minister Rishad Bathiudeen identified in early July that Sri Lanka is now compelled to demonstrate much stronger export growth statistics than ever before in the face of its economic upswing and recession lessening global markets.

Export Development Board Chairman Janaka Ratnayake said the export industry is poised to capitalise on the global recovery and adds that Sri Lanka needs to reduce its dependency on EU and USA markets by finding new markets for the long run, thereby highlighting another challenge to long term exports upswing.