By: Staff Writer
October 04, Colombo (LNW): Sri Lanka’s Export Development Board (EDB) is accelerating efforts to finalise the National Export Development Plan (NEDP) 2025–2029 by November, as the country seeks to strengthen trade competitiveness and reposition exports as a key engine of growth amid mounting global trade uncertainty.
Working in collaboration with the Asian Development Bank (ADB), the EDB has launched a series of nationwide consultations to shape the new plan. Between 2 and 10 October, eight focus group discussions and a technical committee meeting are being held to assess trade logistics, sectoral priorities, and competitiveness challenges. Regional validation workshops will follow before the final framework is submitted later this year.
The urgency comes against a backdrop of weakening global trade conditions. According to a recent ADB report, Sri Lanka’s economic growth is projected to slow from 5% in 2024 to 3.9% in 2025, before further easing to 3.3% in 2026, as escalating U.S. tariffs under President Donald Trump’s trade policies disrupt international markets. Additional Macro-Bond repayments, estimated at up to $250 million annually, further underscore the need to boost exports to sustain external stability.
Despite moderate progress, Sri Lanka’s export base remains narrow. The Institute of Policy Studies (IPS) noted that exports of goods and services accounted for 20.4% of GDP in 2023, with manufacturing contributing 14%. However, 77% of export revenue still comes from industrial goods—mainly apparel while agriculture represents just 22%, leaving the economy heavily exposed to sectoral shocks.
“The lack of diversification makes the export economy vulnerable,” IPS warned, highlighting overreliance on traditional sectors such as apparel, tea, and rubber.
Echoing this view, the Advocata Institute attributed Sri Lanka’s weak trade competitiveness to long-standing policy inefficiencies and structural constraints, arguing that policymakers often misread the problem as a lack of sector targeting rather than a failure to address fundamental competitiveness issues.
EDB officials said the forthcoming NEDP will draw lessons from the 2018–2022 National Export Strategy, adapting to post-crisis realities and evolving global trade dynamics.
“This initiative is central to positioning Sri Lanka as a competitive player in international markets,” said Deputy Minister of Industry and Entrepreneurship Development Chathuranga Abeysinghe, speaking at the plan’s inaugural session in Colombo.
EDB Chairman Mangala Wijesinghe emphasised the need to align national export priorities with industry realities and emerging market opportunities, while ADB Country Director Takafumi Kadono stressed the importance of collaborative engagement to ensure the framework remains both inclusive and actionable.
The 2025 Budget has identified the NEDP as a national priority, with the EDB leading the process under the Industry Ministry’s Policy-Based Lending programme.
Industry Secretary Thilaka Jayasundara said the consultations aim to pinpoint priority sectors, strengthen trade linkages, and tackle bottlenecks that hinder export competitiveness.
Once finalised, the five-year NEDP will serve as Sri Lanka’s strategic roadmap for trade-led growth, setting clear policy direction and implementation pathways to anchor economic recovery on a more diversified and resilient export base.
