Declining demand in key Western markets offsets gains in other regions, pressuring Sri Lanka’s apparel sector.
Sri Lanka’s apparel exports fell 4.72% year-on-year in April to $328.15m, down from $344.40m in the same month last year. The decline was driven by sharp drops in shipments to the UK, EU, and US, which fell 16.91%, 8.78%, and 3.46%, respectively.
For the January-April 2026 period, exports totaled $1.53bn, a 7.47% decline compared to the same period in 2025. The industry faces weak global demand, particularly in traditional Western markets, though exports to other destinations rose 12.61%.
Industry officials emphasized the need for diversification, cost efficiency, and government support to reach a $5bn export target, citing policy consistency and energy reforms as critical factors.