📉 Sri Lanka Apparel Exports Decline 11.46% in February

Sri Lanka’s apparel & textiles sector faced intensified pressure in February 2026, driven by a broad-based cooling in global demand, particularly within European markets. • Overall Performance • Monthly Exports: US$ 361.2 Mn (Down 11.46% YoY). • Cumulative (Jan-Feb): Down 6.91% YoY compared to 2025. • Major Market Contractions • European Union (EU): Registered the steepest decline of 19.48%. • UK: Exports fell by 5.67%. • USA: Shipments decreased by 3.53%. • Other Markets: Collectively contracted by 18.54%. • Regional Context & Outlook • JAAF emphasizes the slump is a "global recalibration" rather than a country-specific issue. • Regional competitor Bangladesh saw a sharper 25.25% drop in EU exports in January, indicating a wider market correction in Europe. • Key priorities for the ICT/BPM and manufacturing-adjacent sectors now include improving logistics efficiency and domestic cost competitiveness to retain global supply chain positions. _Note: Based on provisional data from the Joint Apparel Association Forum (JAAF)._