Sri Lanka’s Export Performance Exceeded US$ 17.2 Billion in 2025

Sri Lanka’s export sector continued its positive growth momentum in 2025, recording a notable y-o-y growth of 5.6 %. Based on Sri Lanka Customs statistics and estimated export figures for Gems and Jewellery, Petroleum Products, and services, total export earnings reached US$ 17,252.15 Mn in 2025, reflecting sustained growth and improving external trade conditions.

In December 2025, total exports, comprising both merchandise and services amounted to US$1,490.49 Mn, representing a 3.95 % y-o-y increase. This performance underscores the resilience of Sri Lanka’s export sector and the effectiveness of policy measures and strategic interventions aimed at expanding market access and strengthening global competitiveness.

Commenting on this achievement, Mr. Mangala Wijesinghe, Chairman and Chief Executive Officer of the Export Development Board (EDB), stated that Sri Lanka’s export earnings in 2025 reached US$17,252.15 Mn, achieving over 94.79 % of the export target. He noted that this performance highlights the resilience and competitiveness of Sri Lanka’s export sector, supported by the recovery of key export markets, sustained production capacity, and the effective implementation of export development strategies.

In December 2025, merchandise exports recorded a 5.88 % y-o-y increase, reaching US$1,166.60 Mn, according to provisional data of Sri Lanka Customs, including estimated figures for Gems and Jewellery and Petroleum Products. For the full year 2025, merchandise export earnings amounted to US$13,579.38 Mn, reflecting a 6.32 % increase compared to 2024.

During December 2025, services export earnings are estimated to have declined by 2.47 %, reaching US$ 323.89 Mn. However, on an annual basis, services exports recorded an estimated 2.79 % growth in 2025, totaling US$ 3,672.77 Mn. This performance underscores the growing significance of Sri Lanka’s knowledge-based economy and its increasing contribution to national export earnings.

The services export sector, encompassing ICT/BPM, Construction, Financial Services, and Transport and Logistics, continues to play a vital role in diversifying Sri Lanka’s export base while generating high-value employment opportunities across the country.

Major Exports in December 2025

a) Products and Services with Positive Growth (Increases)

Export earnings from Apparel & Textiles increased by 5.26% y-o-y, reaching US$ 470.35 Mn in December 2025, compared to the same month in 2024.

A monthly analysis reveals that export earnings from Coconut-based products recorded a significant 27.24% y-o-y increase in December 2025. Within the sector, earnings from Coconut kernel products increased by 31.83%, Coconut fibre products by 9.60%, and Coconut shell products by 36.45%, reflecting strong global demand and enhanced value addition across the sector.

Among Coconut kernel products, export earnings from Coconut Oil, Coconut Cream, and Liquid Coconut Milk increased by 54.26%, 97.61%, and 31.23%, respectively, in December 2025 compared to December 2024.

Earnings from Activated Carbon, categorized under Coconut shell products, increased by 34.53%, reaching US$ 19.52 Mn in December 2025.

Export earnings from Food & Beverages increased by 17.28 % y-o-y to US$ 48.67 Mn in December 2025, with the positive performance in exports of Processed Food (12.04 %).

The estimated export value of Diamonds, Gems & Jewellery is expected to increase by 46.15%, reaching US$ 23.91 Mn in December 2025 compared to December 2024.

Export earnings from Seafood increased by 16.09% y-o-y to US$ 23.38 Mn, mainly driven by improved performance in exports of Frozen Fish (4.95%) and Fresh Fish (30.96%).

Meanwhile, ICT/BPM export earnings are expected to increase by 5.19%, reaching US$ 169.83 Mn during the same period.

Products with Negative Growth (Decreases)

Several export sectors recorded y-o-y declines in December 2025. Tea exports, which accounted for 12.8% of total merchandise exports, declined by 19.59% to US$ 105.82 Mn, mainly due to lower earnings from Bulk Tea (–23.57%) and Tea Packets (–17.58%).

Export earnings from Electrical & Electronics Components decreased by 11.09% y-o-y to US$ 35.20 Mn in December 2025.

Spices and Essential Oils exports also declined by 6.23% to US$ 44.22 Mn during the same period, largely driven by a sharp 61.4% drop in pepper exports to India.

Export earnings from Ornamental Fish decreased by 9.05% y-o-y to US$ 1.81 Mn in December 2025 compared to December 2024.

Exports during the period of January – December 2025

Cumulative total exports, including both merchandise and services, were estimated at US$ 17,252.15 Mn for the year 2025, making a notable 5.6 % growth compared to the year 2024.

Merchandise exports during the year 2025 are estimated to increase by 6.32%, reaching US$ 13,579.38 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 2.79 % to US$ 3,672.77 Mn compared to the corresponding period in 2024.

Products & Services with Positive Growth (Increases)

Sri Lanka’s export sector demonstrated resilient growth throughout 2025, with major categories showing significant y-o-y increases. Leading the expansion, earnings from Apparel, Tea, Coconut products, Electrical & Electronic Components, and Food & Beverages grew by 4.93%, 4.97%, 42.66%, 3.91%, and 24.23%, respectively. This broad-based success was underpinned by strong demand in traditional Western markets and a remarkable surge in value-added agricultural products.

The Apparel and Textile sector remained the primary revenue driver, increasing by 5.34% to reach US$ 4,909.05 Mn. Notably, exports to the European Union surged by 12.2% (US$ 1,592.89 Mn), while the United States and the United Kingdom contributed US$ 1,964.14 Mn and US$ 688.54 Mn, respectively. Meanwhile, the Tea export industry recorded earnings of US$ 1,507.19 Mn, a 4.97% increase supported primarily by the strong performance of Tea Packets, which increased by 10.18%.

The Coconut and Coconut-based products sector emerged as a remarkable performer, with earnings increased by 42.66% to US$ 1,233.01 Mn. This was driven by explosive growth across all sub-categories, including Coconut Cream (93.16%), Coconut Oil (78.68%), and Coconut Milk Powder (61.47%).

Meanwhile, export of Food & Beverage sector increased by 24.23% to US$ 583.89 Mn, largely due to a 40.4% increase in processed food exports.

In addition, export earnings from Seafood increased by 3.09 % to US$ 240.19 Mn during the year 2025 compared to year 2024 due to the positive performance in Frozen Fish (16.64 %).

Meanwhile earnings from export of Electrical and Electronic Components (EEC) increased by 3.91 % to US$ 438.49 Mn in 2025 compared to 2024. This increase was due to the positive performance in exports of Insulated Wires (7.38 %) and Electrical Transformers (12.95 %).

Furthermore, the estimated value of ICT/ BPM exports is expected to increase by 8.81 % to US$ 1,644.83 Mn during 2025 when compared to the corresponding period of 2024.

Additionally, Logistics & Transport services continued their upward trend, with an expected increase of 3.22%, bringing the total estimated value to US$ 1,851.58 Mn for the 2025 period.

Products with Negative Growth (Decreases)

Export earnings from Rubber & Rubber finished products decreased by 5.56% to US$ 945.73 Mn in 2025 compared to 2024, primarily due to lower exports of Pneumatic and Retreated Rubber Tyres & Tubes, which decreased by 12.76%.

Export earnings from Spices and Essential Oils also decreased y-o-y by 2.59%, totaling US$ 449.9 Mn in 2025, largely driven by a significant drop in Pepper exports, which fell by 39.68%.

In addition, export earnings from Ornamental fish decreased by 7.6 % to US$ 22.6 Mn in 2025 compared the previous year.

Table 1 shows the comparison of Merchandise export performance during the month of Deceember 2025 and the period of January to December 2025 compared to 2024.

Table 1: Comparison of Product-wise Merchandise Export Performance

Sri Lanka’s Export Performance in Major Markets

Sri Lanka’s top export destinations showed resilient growth in 2025. Among the top ten markets, the United States, United Kingdom, Germany, Italy, the Netherlands, and China all recorded positive y-o-y growth for both the month of December and the full cumulative year.

The United States, Sri Lanka’s largest single export destination, accounting for 23% of the country’s merchandise exports, recorded a 5.96 % increase to US$ 264.91 Mn in December 2025 compared to December 2024. On a cumulative basis, the market maintained steady momentum throughout the year, growing 3.06% to reach a total of US$ 2,999.15 Mn.

India continued as Sri Lanka’s second-largest export destination, surpassing the United Kingdom. Exports to India increased by 17.21% in 2025, reaching US$ 1,035.72 Mn, while exports in December 2025 declined by 7.35% to US$ 80.39 Mn compared to the same month in 2024.

Exports to the United Kingdom increased by 6.57% in December 2025, reaching US$ 74.01 Mn compared to December 2024. Over the period from January to December 2025, exports to the UK grew by 2.8%, totaling US$ 929.03 Mn.

Table 2 shows the comparison of Merchandise export performance of top 15 export markets during the month of December 2025 and the period of January to December 2025 compared to 2024.

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

Exports to FTA Partners (India & Pakistan)

a) December 2025

In December 2025, exports to India and Pakistan accounted for 7.8% of Sri Lanka’s total merchandise exports, decreasing 7.88 % y-o-y to US$ 85.87 Mn.

Exports to India decreased by 7.35%, mainly due to lower shipments of Pepper, while exports to Pakistan decreased by 14.91%, driven by reduced exports of Other Textile Articles.

b) January – December 2025

For the January to December 2025 period, exports to India and Pakistan accounted for 8.2% of Sri Lanka’s total merchandise exports, recording a substantial increase of 15.68 % to reach US$ 1,110.48 Mn compared to the same period in the previous year.

Exports to India increased significantly by 17.21 %, driven mainly by higher shipments of Petroleum Oil, Animal feed and Animal or Vegetable Fats and Oils and their Products. In contrast, exports to Pakistan decreased by 2.03 %, reflecting lower shipments of Desiccated Coconut, woven Fabrics and Base Metal Products shipments.

Sri Lanka’s Export Performance in Regions

Table 3 shows the comparison of region wise exports during the month of December 2025 and the period of January to December 2025 compared to 2024.

Table 3: Comparison of Region wise Merchandise Export Performance

Exports to the European Union (EU), which account for 24% of Sri Lanka’s merchandise exports, increased during both December 2025 and the cumulative period of January to December 2025 respectively by 6.68 % and 13.41 %.

Exports to the top five EU markets were recoded as; Germany US$ 706.49 Mn (increased by 12.45 %), Italy US$ 679.77 Mn (increased by 14.16 %), Netherlands US$ 474.8 Mn (increased by 20.63 %), France US$ 277.18 Mn (increased by 5.09 %) and Belgium US$ 254.44 Mn (increased by 6.42 %) during the cumulative period of January to December 2025 in comparison to the corresponding period in 2024.