Apparel exports of Sri Lanka has achieved the highest growth rate recorded in the past five years accounting for a 6.38% growth in May against last year and a compound growth rate of 8.7% for the period from January to May against the same period last year.
Chairman, Sri Lanka Apparel Exporters Association (SLAEA), Rehan Lakhany told the Daily News Finance that so far they are proceeding successfully on the track to achieve the target of US $ eight billion by 2025.
For the first five months in 2019, the revenue earned from apparel exports has been US $ 2.14 billion where as the export revenue for the month of May has hit US $ 400 million. Thus the industry has contributed enormously for the economy of the country been the largest export earner, making its presence significant in the American, European and other major export markets around the globe.
Due to the Easter Sunday bombings, there had been a disruption of production for about three to four weeks. “Right now with the travel adversaries lifted, we are working with both our local and foreign stakeholders to continue our business,” he said.
Lakhany said that they were worried not on the disruption but whether it could impact a trade shift particularly because of the post event developments that happened across the country.
“Fortunately, the government curtailed it and we hope that no more civil unrest will occur enabling the industry to continue towards achieving our growth target,” he added.
Meanwhile, Secretary General, The Joint Apparel Association Forum (JAAF), Tuli Cooray said the apparel industry is continuing to perform well in order to achieve their 2025 target.
He also said that initial discussions have been made on to set up a textile manufacturing factory with an investment of US $ 60 million. They are planning to request the government to give them approval for an identified plot of land before the end of July. “We want to begin this as soon as the government approval is received,” Cooray said.