Export earnings till June cross $ 5 bn mark

by Lalin FERNANDOPULLE

Export earnings reached US$ 5106.4 million for the first six months this year denoting a 40.9 percent growth over the corresponding period in 2010, according to the Export Development Board (EDB).

Export earnigs in June recorded US$ 788 million which is an increase of 13.3 percent compared to the corresponding month last year. Exports to the European Union (EU) were 1.86 billion from January to June this year recording a growth of 48.7 percent over the corresponding period in 2010.

According to data the exports to the region reached US$ 292.7 million in June this year denoting a growth of 16.8 percent over the same period last year.

Exports to the US recorded US$ 1.06 billion, an increase of 35 percent over the corresponding period in 2010. Earnings from textile and garments exports recorded US$ 2.16 billion during the period under review reflecting a growth of 45.1 percent.

Exports of textiles and garments to US and the EU during the first six months this year were US$ 802 million and US$ 1.1 billion denoting an increase of 30.8 percent and 56.2 percent.

According to the EDB given the current growth rate in export earnings, the export income is expected to surpass US$ 10 billion by the end of the year.

The US and the EU are Sri Lanka’s main markets for apparels which account for over half of the sector’s earnings. The withdrawal of the GSP Plus concessions did not have a major impact as the apparel industry was able to tide over rough times.

Chairman EDB, Janaka Ratnayake said that Sri Lanka’s export industry is well poised to capitalise on the global recovery which has helped expand world trade.

“The EDB plans to conduct regular exhibitions and trade fairs to showcase Sri Lankan diverse range of products and services to the international market. The 2012 Expo Bazaar is one of the major export promotion events that will be held in March next year”, Ratnayake said. The prestige for Sri Lankan tea, spices, gem and jewellery and garments has boosted export earnings and created opportunities for new exports.