Sri Lanka’s apparel industry is on track to generate approximately US$1.73 billion in revenue by 2025, driven primarily by the women’s apparel segment.
The industry is increasingly emphasizing sustainable and ethically produced clothing to strengthen its global competitive advantage.
A key strategy for this growth includes prioritizing domestic fabric production and improving supply chain efficiency, with leading industry players like MAS Holdings making significant international expansions.
With rising global demand for sustainable and responsibly sourced apparel, the women’s clothing sector is expected to remain the highest revenue generator, potentially reaching US$1.73 billion in earnings this year alone.
The industry’s focus on local fabric production aims to enhance traceability, reduce costs, and ensure long-term sustainability. However, potential challenges such as global economic fluctuations and supply chain disruptions remain concerns that could impact overall growth.
A major development in the sector is MAS Holdings’ expansion into India. As South Asia’s largest apparel manufacturer,
MAS recently commenced construction of its first facility in Odisha, India. This marks a significant milestone in the company’s regional growth strategy, reinforcing its presence in India and facilitating access to its rapidly expanding retail market.
The new facility will further enhance MAS’ regional production capabilities, benefiting both the company and its Sri Lanka-based workforce.
The groundbreaking ceremony for the Odisha plant was attended by key MAS executives, including Group CEO Suren Fernando, MAS India CEO Malik Ahamadeen, COO Shakthi Ranatunga, and Fabric Park CEO Murad Rajudin.
Representing the Odisha Government was Special Secretary Subhendra Kumar Nayak. The facility is set to begin apparel production in 2026, focusing on high-value apparel products tailored for both domestic and international markets.
This expansion initiative capitalizes on India’s robust manufacturing landscape while leveraging MAS Holdings’ operational expertise developed over decades in Sri Lanka. Establishing operations in India is expected to open new market opportunities, strengthen regional partnerships, and drive further business growth.
The company’s long-term plan involves developing a comprehensive apparel hub within a 60-acre site in Odisha over the next decade in collaboration with industry partners.
MAS India CEO Malik Ahamadeen highlighted the company’s commitment to building a strong apparel ecosystem in the region, utilizing its extensive experience in managing integrated apparel industrial zones in Sri Lanka.
Group CEO Suren Fernando emphasized the strategic importance of this investment, noting that India has played a crucial role in MAS Holdings’ operations for over 25 years. He pointed to the immense opportunities available in India’s evolving manufacturing sector, which serves both global supply chains and its expanding domestic retail market.
By strengthening its international presence while enhancing domestic production capabilities, Sri Lanka’s apparel industry is positioning itself for sustainable growth, ensuring its continued prominence in the global fashion and textile market.
