Export Development Board (EDB) Chairman Prabhash Subasinghe is renewing his call for greater product and market diversification to enhance Sri Lanka’s foreign exchange earnings amidst COVID-19 challenges.
Subasinghe made this appeal as the EDB released latest data which confirmed exports touched a near billion dollars for the third consecutive month in August.
Exports in August were $947.7 million, down by 19% from a year earlier.
EDB said despite the decline in exports, some products, like Coconut-Based Products, Electronics and Electronic Components, Spices and Essential Oils, and Food and Beverages, recorded a positive growth of 22.88%, 8.32%, 19.4%, and 11.45%, respectively, in August as against a year earlier.
Export earnings for January to August were $6.4 billion down by 19% from $7.9 billion in the corresponding period of last year. EDB however said it was an improved performance, compared with the decline of 21.08% recorded in January to July.
“It is remarkable to see another month of almost a billion dollars of exports. However, we are being watchful of the months ahead whilst understanding the impact of COVID-19 on our key markets of US and Europe,” EDB Chief Subasinghe said.
“We also need to focus on export product and market diversification which is seriously lacking today. Whilst appreciating that the US and the EU are the largest markets, we need to now create a significant export market in Asia including China. The China FTA will certainly help in this regard. Export product diversification must simultaneously happen so that we can create more billion-dollar industries for Sri Lanka,” he added.
(FT)