By: Staff Writer
July 27, Colombo (LNW): As Sri Lanka’s traditional export pillars—apparel, tea, and rubber—face growing pressure from evolving global trade regulations and punitive taxes, especially from key markets like the United States, the need for resilient, sustainable, and transparent business practices has never been more urgent.
U.S. tariffs and environmental scrutiny have begun to weigh on Sri Lanka’s export competitiveness, particularly affecting labor-intensive sectors such as garments and plantations, where ethical sourcing and sustainability are becoming prerequisites rather than options.
In this context, the launch of the Improving Transparency for Sustainable Business (ITSB) programme offers a timely strategic boost to Sri Lanka’s apparel sector, helping it align with global Environmental, Social, and Governance (ESG) standards.
Spearheaded by the Global Reporting Initiative (GRI) South Asia, in collaboration with the Sustainable Development Council (SDC) of Sri Lanka, the Export Development Board (EDB), and the Joint Apparel Association Forum (JAAF), the initiative is supported by funding from the Swedish International Development Cooperation Agency (SIDA).
The programme aims to embed globally accepted sustainability reporting standards into the operations of Sri Lankan apparel exporters.
According to Rahul Singh, Senior Manager for GRI South Asia, “ITSB is designed to elevate sustainability practices and transparency across South Asia’s textile and apparel sector, positioning it for long-term resilience, profitability, and global leadership.”
By adopting the GRI Standards—the world’s most widely used framework for sustainability reporting—Sri Lankan businesses stand to improve investor confidence, comply with stricter global regulations such as the EU’s Corporate Sustainability Due Diligence Directive (CSDDD), and maintain relevance in markets where traceability and ethical sourcing are now non-negotiable.
JAAF emphasized that the ITSB programme is not just about compliance but about capacity building. Participating apparel companies will receive training to report on key sustainability metrics such as labour practices, energy and water consumption, climate impact, and waste management.
These factors are increasingly being monitored by global buyers and regulators when determining supply chain viability.The programme also includes collaboration with a broader network of stakeholders, including regulators, worker groups, industry bodies, academics, and the media, ensuring that the sustainability transformation is comprehensive and inclusive.
Given that apparel contributes more than 40% of Sri Lanka’s export revenue and provides direct employment to over 350,000 people, JAAF notes that the ITSB programme marks a critical pivot toward a more competitive and future-ready industry
As global markets evolve and trade barriers rise, initiatives like ITSB are essential to safeguard Sri Lanka’s export resilience while promoting responsible business practices that meet international expectations.
