Sri Lanka’s merchandise exports rose by 12 percent year-on-year to reach 983.3 million US dollars in April 2025, according to the Export Development Board (EDB). The increase comes despite April typically being a slower month for trade due to factory closures during the Sinhala and Tamil New Year holidays.
The export growth was largely driven by strong performances in key sectors such as apparel, tea, and coconut-based products. Apparel and textile exports, the country’s largest export category, grew by 13.5 percent compared to the same period last year, generating 364 million US dollars in earnings. Tea exports increased by 12 percent to 107.3 million dollars, with packeted tea showing particularly strong growth of 27 percent. Coconut-based product exports climbed 21 percent to 72.8 million dollars, supported by notable gains in coconut kernel products, which rose 36.23 percent, fiber products up 49.66 percent, and shell-based products increasing by 22.35 percent. Additionally, coconut oil exports surged by 64.8 percent, while coconut milk powder exports more than doubled, jumping 107 percent. Exports of coco peat, fiber pith, and moulded products rose modestly by 3.32 percent to 15.89 million dollars.
The United States remained Sri Lanka’s largest export destination in April, with exports valued at 190 million dollars. India followed closely with 77 million dollars, overtaking the United Kingdom as the island’s second-largest market.
However, while merchandise exports posted robust gains, services exports experienced a marginal decline. Earnings from services dropped 0.59 percent from a year ago to 309.3 million dollars. The Information and Communication Technology and Business Process Management (ICT/BPM) sector fell by 4.91 percent to 144.04 million dollars, while construction-related services dropped sharply by 20.79 percent to 15.71 million dollars. Financial services experienced the steepest decline, plummeting 78.40 percent to just 1.89 million dollars from 8.76 million a year earlier. Transport and logistics services also saw a reduction in revenue, down 12.66 percent to 147.65 million dollars.
Despite the softness in the services sector, Sri Lanka’s total exports—including both merchandise and services—rose by 8.74 percent in April 2025 to reach 1.29 billion dollars. The EDB highlighted the resilience of key goods exports, even as it acknowledged ongoing challenges in the services sector, particularly in ICT and financial services, which may require renewed focus and policy support.
