Colombo stock market ended the week up as the ASPI rose 0.14% to 23,801.96 while year-to-date net foreign selling approached Rs. 11.8 billion. Turnover was nearly Rs. 9.1 billion, led by banks and large crossings (notably Commercial Bank) with gains in ACME, JKH, Sampath, HNB, KZOO, Colombo Dockyard and Teejay.
Sri Lanka's Export Development Board met US Embassy economic officials to explore expanding bilateral trade and investment, pursue tariff exemptions and promote participation in SelectUSA 2026 and Sri Lanka Expo 2026. Sri Lanka's exports to the US were $2,999.15m in 2025, up 3.07% year-on-year.
The Sri Lanka Export Development Board launched Edges of Sri Lanka alongside Sri Lanka Expo 2026 to promote exports and investment; the Expo will be held 18–21 June 2026 at BMICH to connect exporters with global buyers and investors. The initiative highlights strengths across agriculture, industry and digital services.
World Bank Executive Director Parameswaran Iyer visited Sri Lanka to strengthen development cooperation and reviewed World Bank-supported initiatives with the Treasury secretary. He highlighted priority areas for jobs and growth: infrastructure, agribusiness, healthcare, tourism and value-added manufacturing.
Construction ActivityTourismHealthcare & PharmaExporters
Forbes & Walker Research reported the National Sales Average for tea fell to Rs. 1,164.54 ($3.76) in January 2026, down Rs. 37.04 month-on-month and Rs. 20.89 year-on-year. All elevations recorded negative variances in dollar terms, indicating continued pressure on realised prices.
The NCE pledged full support for the EDB after the board finalised the National Export Development Plan 2025-2029, with Sri Lanka's exports rising 5.6% to $17.25bn in 2025. Council members flagged labour shortages, need for the National Single Window, SME development and market-access concerns.
U.S. Embassy officials met with the Export Development Board to strengthen bilateral trade and investment ties, exploring tariff exemptions and inviting Sri Lankan exporters to SelectUSA 2026 and U.S. buyers to Sri Lanka Expo 2026; Sri Lanka's 2025 exports to the U.S. were USD 2,999.15m (up 3.07%).
MILCO distributed dividends to dairy farmers for the first time in 21 years and will provide incentives to 22,000 farmers after reporting its highest-ever 2025 sales and a historic net profit. The Prime Minister and Agriculture Minister credited SOE reforms, pledged continued government support and highlighted inclusive growth.
US President Trump said Washington will cut tariffs on India to 18%, removing a 25% punitive levy tied to Russian oil purchases; Indian officials have not publicly confirmed the commitments. The change would mainly benefit labour‑intensive exporters such as textiles, marine and leather.
The Government and Regional Plantation Companies agreed to raise plantation daily wages from Rs. 1,350 to Rs. 1,750 (a Rs. 400 increase) effective 1 January 2026, with Rs. 200 borne by RPCs and Rs. 200 by the Government to be credited directly to workers' bank accounts after January attendance is submitted.
Correction: Ceylon Chamber chief says Cyclone Ditwah caused an initial 40% rise in fruit and vegetable prices and about Rs. 500 million in tourism infrastructure damage (previously misreported as ~1% and Rs. 500 billion).
Hayleys Agriculture (Hayleys PLC group) showcased modern agricultural technology and value-added products at the Jaffna International Trade Fair (23–25 Jan 2026), highlighting digitised, mechanised solutions and partnerships such as Kubota to boost on-field productivity and value addition.
The 13th Sri Lanka–Pakistan Joint Economic Commission met in Colombo and agreed cooperation across IT, pharmaceuticals, agriculture and maritime connectivity, including a Joint Working Group on IT and progress on pineapple and avocado export procedures. Commerce-level talks also reviewed PSFTA implementation.
IT & DigitalHealthcare & PharmaExportersConsumer Staples (FMCG)
Central Bank of Sri Lanka kept the Overnight Policy Rate at 7.75%. Inflation was 2.1% in Dec 2025 and is projected to move toward 5% by H2 2026 amid rising food and core inflation, strong credit growth and post-cyclone rebuilding; gross official reserves were $6.8bn at end-2025.
Interest RatesRupee & ForexFuel & Energy PricesConstruction Activity
Sri Lanka is pitching tax holidays of up to 15 years and positioning Colombo Port City as a regional financial and trade hub to attract UAE investors. The government says it will streamline approvals under the new Investment Promotion Act and is targeting agriculture, tourism, maritime logistics and renewable energy.
Construction ActivityTourismRenewable EnergyTea & Plantation Crops
ASPI ended marginally up at 23,960.16 (+0.03%) on turnover of over Rs.5.2bn. Capital goods led turnover (31%) driven by Colombo Dockyard and John Keells, while diversified financials and banks contributed 21% and foreign investors were net sellers of Rs.128.2m.
Sri Lanka will host its largest-ever 510 sqm country pavilion at Gulfood 2026, with 61 exporters participating to showcase food and beverage products, including Cargills, Elpitiya Plantations, Ceylon Cold Stores and Renuka Agri Foods.
The Export Development Board launched the National Export Development Roadmap 2026–2030 and an Export Performance Indicator data tool, targeting $36 billion in export revenue by 2030.
ExportersIT & Digital
Ada Derana·Jan 27, 2026·Promotional / marketingPositive
Sri Lanka will host a 510 sq m Country Pavilion at Gulfood 2026 with 61 exporting companies participating, including Cargills, Ceylon Cold Stores, Renuka Agri Foods and Elpitiya Plantations; the pavilion aims to boost exports of tea, spices, coconut and processed foods to MEASA markets.
Sri Lanka showcased Ceylon tea, cinnamon, coconut products and handicrafts at the Sri Lankan National Pavilion at Grüne Woche 2026 in Berlin, receiving positive interest from German and EU buyers. AHK Sri Lanka said the fair provides SMEs a platform to explore and enter EU/German markets.
Mabroc Teas (part of Hayleys Group) launched TeaTrace, a QR-linked digital traceability platform providing batch-level supply-chain visibility to meet European ESG and sourcing requirements. Hayleys says the platform aligns with its digital transformation and sustainability priorities and will be expanded to other markets.
Sri Lanka's total export earnings reached US$17,252.15 Mn in 2025, up 5.6% year-on-year. Merchandise exports rose 6.32% to US$13,579.38 Mn and services exports increased 2.79% to US$3,672.77 Mn, with strong gains in apparel, coconut products, ICT/BPM and food & beverages.
Sadaharitha Group held the Sadaharitha Forestry Awards on 23 Jan 2026 in Moratuwa to honour top sales performers. The group said it has planted over one million trees, disbursed Rs 1.7bn in harvest returns and paid Rs 4,196m to more than 2,000 customers.
Hayleys-owned Mabroc Teas has launched TeaTrace, a QR-linked digital traceability platform providing batch-level visibility from estate to retail to meet European ESG and sourcing demands. The platform, unveiled at Anuga 2025, is intended to support compliance, sustainability verification and market access.
Sri Lanka is offering tax holidays of up to 15 years and pitching Colombo Port City as a regional financial and trade hub to attract UAE investors. Officials said investment approvals will be streamlined and highlighted opportunities in agriculture, tourism, ports and renewable energy.
Government circular revises one-time grants for disaster-affected businesses: Rs.200,000 per unit for registered small/micro businesses (Industry Ministry or Divisional Secretariat), Rs.50,000 for unregistered commercial/manufacturing/greenhouse units, and Rs.25,000 for temporary trading units. Funding will be provided by the Defence Ministry and disbursed through Divisional Secretariats.
Sri Lanka and China held a discussion under the MoU on Enhancing China–Sri Lanka Agricultural Productivity to jointly implement programmes using Chinese technology to boost agricultural productivity, reduce wildlife crop damage and assist in cleaning/restoring Beira Lake.
Sri Lanka's tea exports earned $1.51 billion in 2025 as volumes rose to 257.44 Mnkg, driven by value-added segments despite marginal weakness in average FOB prices. Value-added products reached an 11-year high of 59% of total exports, led by Packet Tea rising to 116.25 Mnkg.