News & market updates

The Free Trade Zone Manufacturers' Association urged the government to operationalise power wheeling, lower industrial energy costs and set up dedicated fuel stations in Katunayake and Biyagama to protect export manufacturing competitiveness. The group also asked for a review of industrial diesel pricing.

The ASPI fell 1.07% (233.18 points) to 21,532.38 as investors sold amid renewed Middle East conflict concerns. Market turnover was over Rs 1bn, foreign investors were net sellers of about Rs 56mn, with banks and food & beverage sectors leading activity.

BPPL Holdings' subsidiary Beira Brush will acquire Ravi Industries' customer base and the 'Ravi' trademark for a minimum of Rs300mn, payable over five years and linked to revenue.

A 31-member Indian SME delegation from the Federation of Indian Export Organisations held B2B networking sessions with Sri Lankan businesses at the Ceylon Chamber (8–10 July 2026) to explore trade, sourcing and partnership opportunities across pharmaceuticals, engineering, apparel, food/agriculture and infrastructure.

Intex and InMac will be held 5-7 August 2026 at BMICH Colombo, hosting 300+ international companies to support Sri Lanka's apparel industry's US$8 billion export target by 2030. The co-located shows will showcase materials, next-generation garment machinery and seminars on sustainability and digital/automation to modernize the supply chain.

Macbertan won two Gold Awards at the National Convention on Quality and Productivity (NCQP) 2026 for cross-functional projects that improved process capability, reduced waste, and boosted manufacturing precision and productivity.

EDB, IFC and the EU ran the 7th Provincial ExpoNavigator Program in Batticaloa on 9–10 June 2026 to boost export readiness of nearly 100 Eastern Province SMEs. The two-day event offered awareness sessions, technical consultations and a Business Clinic to identify high-potential enterprises for continued SLEEI support.

Colombo Stock Exchange ASPI fell 0.27% to 21,473.27 at midday, while the S&P SL20 was down 0.04% to 6,019.55. BPPL Holdings said subsidiary Beira Brush will acquire Ravi Industries' customer base and the "Ravi" trademark for a minimum 300 million rupees payable over five years tied to revenue.

President Anura Kumara Dissanayake chaired a pre-Budget review of 2026 projects and discussed 2027 Budget proposals for the Ministry of Industry and Entrepreneurship Development, stressing completion of projects and development of industrial zones (Dambulla, Ingiriya, Valachchenai, Millaniya, Katunayake). He also urged consolidation of state enterprises, proposed an Entrepreneurship and Industry Transformation Authority and requested proposals for concessions to support exporters and industriali

The Export Development Board (EDB) will collaborate with Expertise France on an EU-funded project to promote sustainable, climate-resilient and circular trade with the EU, focusing on regulatory alignment, green transition measures and SME support.

The Ceylon Chamber hosted a B2B session (8–10 July 2026) for a 31-member FIEO Indian export delegation to connect Indian SMEs (pharmaceuticals, engineering, apparel, food, infrastructure) with Sri Lankan companies to explore sourcing, market expansion and commercial partnerships.

The Ceylon Chamber of Commerce met Belarusian Ambassador Mikhail Kasko to explore closer private‑sector ties to boost trade in machinery, agriculture and pharmaceuticals and increase exports (apparel, tea, coconut, spices, fresh produce) and tourism via direct air links.

EDB, IFC and the EU ran the 7th Provincial ExpoNavigator Programme in Batticaloa on 9–10 June 2026 to boost export readiness of nearly 100 Eastern Province SMEs. The two-day clinic provided advisory, quality/certification guidance and finance linkages to expand the regional exporter base under SLEEI/NEDP.

AmCham Sri Lanka led a delegation to the AmChams of Asia Pacific Washington Doorknock (21–24 June 2026) to lobby US policymakers on the US–Sri Lanka bilateral trade agreement, Section 301 issues affecting exporters (notably apparel), and to seek US investment and development finance support.

ADB lowers developing Asia and Pacific growth to 4.9% for 2026 (from 5.5% in 2025), a 0.2 percentage point downgrade from April due to prolonged energy-market disruptions. It raises regional inflation to 4.3% for this year and warns of risks from tighter financial conditions, supply-chain strains and higher fertilizer/commodity costs.

A 31-member FIEO-led Indian business delegation visited Sri Lanka (8–10 July 2026) to explore trade and B2B partnerships across pharmaceuticals, engineering, apparel, food/agriculture and infrastructure. Bilateral merchandise trade reached about $7.2bn in 2025–26 and Sri Lanka's exports to India rose nearly 160% over five years.

CSE ended an eight-session slide as the ASPI rose 0.31% to 21,765.56 and the S&P SL20 gained 0.25% to 6,081.43. Turnover topped Rs.2bn with foreign net outflows of Rs.673mn; top contributors included Ceylon Cold Stores, Haycarb, John Keells and RIL, while banks (Commercial Bank, Sampath) led turnover.

The Ceylon Chamber's Commercial Documents Registration Division has introduced a Free Sale Letter for pharmaceuticals to help Sri Lankan pharma manufacturers and exporters meet export certification and compliance requirements. Its 24/7 e-service platform also certifies Certificates of Origin and other export documents for exporters, freight forwarders and logistics providers.

A 31-member delegation led by India's FIEO visited Sri Lanka (July 8–10) to explore new bilateral trade and investment opportunities and formally exchanged an MoU with the National Chamber of Exporters to boost institutional cooperation. Delegates covered pharmaceuticals, engineering, apparel, food/agriculture and infrastructure.

Asian stocks rose sharply, led by chip and AI firms, as investors brushed off Middle East attacks; SK Hynix priced its ADR at $149, raising about $26.5bn. Brent crude was set for a 5% weekly rise to $76.03/bbl and Japan's yen firmed after finance minister comments.

The Parliamentary Committee on Public Finance approved a Customs Ordinance resolution and two EDB orders to implement a National Tariff Policy that will reset import duty bands to 0%, 10%, 20% and 30% from 1 April 2026. The reforms include cutting effective ceramic-tile import taxes to 20% by 2029, phasing out para-tariffs by 2029, and updating trade data to support export growth.

Colombo market fell for an eighth session as ASPI dropped 0.60% (130.78 pts) to 21,697.72 amid renewed Middle East tensions, with turnover over Rs.1.4bn and foreign net outflow of Rs.91.7m. Declines were led by Commercial Bank, Melstacorp, Hayleys and John Keells, while capital goods, food & beverage and banking drove turnover.

Global FDI rose 6% to $1.6 trillion in 2025, driven by a small number of megaprojects—notably AI-related data centres—while developed-economy inflows rose 11% and developing economies grew only 2% to $901bn. The recovery is narrow and concentrated, with risks from trade uncertainty, geopolitics and high financing costs for 2026.

Colombo Stock Exchange closed up on Friday as the ASPI rose 0.31% (67.84 pts) to 21,765.56, ending a week-long losing streak; turnover was 2 billion rupees. Top positive contributors were Ceylon Cold Stores, Haycarb and Dialog Axiata.

Colombo Stock Exchange picked up midday; ASPI rose 0.32% to 21,768.20 and S&P SL200 gained 0.36% to 6,088.29. Turnover was 905 million rupees and top positive contributors were John Keells Holdings, Haycarb and Dialog Axiata.

Dr. K.A. Buddhima Indu Abeygunawardena was named BWIO Women Icon of the Year 2026 for her contributions to Sri Lanka's apparel industry at the BWIO Awards on 16 May. She has more than 25 years' experience in apparel and currently works as a consultant in process excellence and customer interface.

Hirdaramani Apparel and the University of Moratuwa launched a three-year research collaboration to convert textile waste into durable, lightweight sustainable ceiling panels aimed at commercial scalability and circular-economy goals.

Sri Lanka's ASPI fell 0.60% to 21,697.72 as markets slowed amid escalation in the Middle East and global instability. Seylan Bank, Lanka IOC and Malwatte Valley Plantations were among gainers while Commercial Bank, Melstacorp, Lion Brewery and Hayleys led declines; Vidullanka authorised a first gross dividend of Rs0.20 per share to be dispatched by Aug 7, 2026.

Parliament approved a new four-tier National Tariff Policy (0%, 10%, 20%, 30%) and two export orders covering 8,225 HS codes, replacing the prior 0/15/20% bands. The government also set a phased CESS removal through 2029 to lower intermediate and consumer import costs and support exports.