Business

Lankan tea exports earned $ 1.3 Bn in 2021

Published

5 years ago

2022/01/9

Sri Lanka’s tea industry performed well in 2021 earning 1.3 billion U.S. dollars despite lower yields and higher costs of production.

Chairman of the Sri Lanka Tea Board Jayampathy Molligoda says that Sri Lanka earned approximately 1.3 billion U.S. dollars from the export of 288 million kilos of tea in 2021.

In a press release, Molligoda said the cost of production of Sri Lankan tea is among the highest in the global market and tea production peaked in 2013 and has declined since then. He said auction prices in Kenya and India are cheaper than in Colombo.

He said Sri Lanka needs to “focus more on the front end of the value chain” by marketing the clean, sustainable and wellness aspects of Ceylon Tea.

It said: The total export quantity is 288 million kilos. During the year 2020, the export revenue was Rs 230 billion (US $ 1,213 million) and the export quantity was 266 Mn kilos. It is significant to mention the average fob price at customs, which was Rs 867/= per kilo in 2020 has further increased to Rs 915.97 per kilo, whereas in 2019 it was only Rs 823/ per kilo of tea exported. The sales and tea production statistics for the month of December are yet to be finalised, however some 296 million kilos have been sold and closer to 300 million kilos tea production have been achieved for the full year. Last year tea production was only 279 million kilos.

The negative side is that our tea estate productivity has been declining over a period of time; the year 2000 the tea production was 305 million kilos and has increased to 328 million in 2010. The peaked production of 338 million kilos in 2013- since then there has been a gradual decline of tea production, which is 2.6 % decline based on CAGR. The cost of production of tea producers has been increasing due to many factors which includes low productivity, both land and labour, high overheads and adverse impact of climate change and Covid-19.

It is relevant to mention here that the Kenyan tea production (main competitor for Sri Lankan teas) has been increasing rapidly and Sri Lankan tea production has been declining during the last 10-15 years. This is due to lack of tea replanting & infilling undertaken and the producers’ inability to address climate change effects and other factors, as there has been a gradual erosion of soil and land degradation, despite application of fertilizer.

Kenyan tea auction price in US $ is lower compared to Sri Lanka and, their growers are getting lower tea prices, whereas in Sri Lanka, small holders are getting a reasonable price and it is being regulated under Tea Control Act No 51 of 1957.

As can be seen, Ceylon Tea is the most expensive teas in the global market- gram to gram and as a result, there is a tipping point in the tea pricing structure for our tea exporters and marketers to be competitive in the global market place. In view of the above, an ‘integrated productivity and quality strategy’ is one of the key focus areas for the producers to reduce costs per kilo of made tea to enable the exporters and marketing teams to capitalize on Ceylon Tea ‘brand equity’. In the circumstances, it is important that the producers adopt an integrated balanced nutrient management system with more and more mineral and organic inputs to be applied in order to improve the soil quality to achieve Environmental and economic sustainability and focus on social well-being of the workers and small holders/growers rather than looking for short term gains.

The overall performance is satisfactory, however, achieving any further increases of higher prices for Ceylon Tea has become a challenge, because Kenyan and Indian auction prices are much lower than Colombo auction prices. Nevertheless, we need to focus more on the front end of the value chain by implementing the already approved promotional activities under

‘Ceylon Tea global campaign coupled with aggressive marketing strategy formulated with the support of all the industry stakeholders’ participation. Therefore, the brand story that the cleanest tea in the world has to be reinforced through maintaining minimal level of chemical residues and demonstrating sustainable credentials including purity and wellness factor of Ceylon Tea. We, at Sri Lanka Tea Board wish to extend our gratitude to all the stakeholders for their dedication, commitment and the relative performance. It’s a great achievement under difficult and challenging environment.

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Business

SLEIS 2026 to examine Sri Lanka’s energy transition and its implications

Published

12 hours ago

2026/09/26

Thilina Walpola

Reliable and affordable energy is essential to Sri Lanka’s economic growth, industrial development and competitiveness. As the country seeks to strengthen energy security while reducing its dependence on fossil fuels, the energy sector will be a key area of discussion at the Sri Lanka Economic & Investment Summit 2026, organised by The Ceylon Chamber of Commerce on 12-13 October 2026.

The session, “Beyond Fossil Dependence: Balancing Security, Sustainability, and Growth,” will examine how Sri Lanka can diversify its energy sources, accelerate renewable energy adoption and attract investment while ensuring a reliable energy supply for businesses and households. Discussions will also consider the infrastructure and policy frameworks needed to support the country’s transition towards a modern and competitive energy system.

Ms. Edore Onomakpome – Regional Infrastructure Industry Manager – Bangladesh, Sri Lanka and Nepal, at the International Finance Corporation will keynote the session, and join the panel discussion featuring G.M.R.D. Aponsu – Secretary to the Ministry of Energy, Damitha Kumarasinghe – Director General (Chief Executive Officer), Public Utilities Commission of Sri Lanka, and Manjula Perera – Managing Director, WindForce PLC. The discussion will be moderated by Sheran Fernando – Senior Advisor, Plus94.

The session will also explore the role of public-private collaboration in developing new energy solutions, encouraging investment and creating opportunities within Sri Lanka’s evolving energy sector. It will consider how energy policy and investment decisions can support both economic expansion and the country’s longer-term sustainability objectives.

The Sri Lanka Economic & Investment Summit 2026 is supported by its valued sponsors and partners. Platinum Sponsor – Standard Chartered Bank Sri Lanka, Gold Sponsor – VISA Worldwide (Pvt) Ltd., Bronze Sponsor – South Asia Gateway Terminals (Pvt) Ltd., Strategic Development Partner – Asian Development Bank, Telecommunication Partner – Dialog Telecommunication, Television Partner – Dialog Television, Session Sponsors – David Pieris Motor Company (Pvt) Ltd., Hemas Holdings PLC, Sunshine Holdings PLC, International Construction Consortium (Pvt) Ltd., Official Logistics Partner – Hayleys Advantis Limited, Official Airline – SriLankan Airlines Ltd., Official Hospitality Partner – Shangri-La Colombo, Airline Partner – China Eastern Air Holding Co. Ltd.

Registrations are now open at https://sleis.chamber.lk/. For more information, contact Alikie on 011 558 8805 (alikie@chamber.lk) or Shanuka on 0701082541 (events.division@chamber.lk).

Business

A fresh chapter for the George Keyt Foundation: A renewed commitment to the Sri Lankan art ecosystem

Published

13 hours ago

2026/09/26

Thilina Walpola

The George Keyt Foundation (GKF), dedicated to preserving the legacy of modernist painter George Keyt and fostering local art, has announced strategic appointments to its leadership team, bringing together a mix of global academic expertise, corporate leadership, and artistic passion. These enhancements aim to inject fresh expertise and academic depth into the Foundation’s long-term vision.

Establishment of the New Advisory Committee

To broaden its operational reach and deepen its engagement with the global art market, the George Keyt Foundation has established an Advisory Committee. The newly appointed committee members include:

• Dr Sujatha Meegama is a Senior Lecturer in Buddhist Art History at the Courtauld. She is an acclaimed art historian, author and academic, bringing specialised knowledge in South Asian art history to guide the foundation’s curatorial and educational directives.

• Dr Shamil Wanigaratne: A clinical psychologist, author, and avid art historian, Shamil will lend his unique perspective to help the foundation design meaningful public outreach and cultural preservation strategies.

• Abbas Esufally: A veteran corporate leader and patron of the arts, Abbas is transitioning from his role as a GKF Trustee to this advisory position, where he will continue to offer his sharp business acumen and extensive network.

New Trustee Appointment

Leesha Captain has been appointed to the Board of Trustees. Inspired by Sri Lankan artists, Leesha is a recognised supporter of the local art scene. Leesha’s hands-on perspective will strengthen the foundation’s core team as they develop and design new art programs.

A Vision for the Future

“These new appointments mark an exciting chapter for us as we build on our decades-long history of promoting Sri Lankan artists,” says Malaka Talwatte, Chairman of the Foundation. “The combination of Leesha on the board, alongside the diverse expertise of our new Advisory Committee, will significantly amplify our efforts in curating high-profile exhibitions and expanding local and international partnerships”.

Business

Sun Siyam Pasikudah celebrates World Tourism Day with culture, cuisine and community

Published

13 hours ago

2026/09/26

Thilina Walpola

Sun Siyam Pasikudah, part of the Privé Collection under Maldivian-owned Sun Siyam Resorts, will mark World Tourism Day on 27 September 2026 with a full day programme celebrating the culture, cuisine and natural beauty of Sri Lanka’s east coast, paired with community focused sustainability activities.

The celebrations open with a special buffet of authentic Sri Lankan cuisine, followed by a street food festival showcasing regional snacks and traditional sweets rarely found on resort menus. A signature World Tourism Day mocktail and cocktail, created for the occasion, will be served through the day, while traditional Sri Lankan cultural dance performances bring the island’s heritage to life for guests.

Beyond the festivities, the resort has planned a tree planting activity with guests and a beach or park clean up campaign, both reflecting Sun Siyam Pasikudah’s ongoing commitment to responsible tourism along Sri Lanka’s northeast coast.