Sri Lanka’s Tea Export Earnings Top US$1 Billion as Rupee Revenue Rises Despite Dollar Decline
COLOMBO, October 21, 2026 — Sri Lanka earned approximately US$1.083 billion from tea exports during the first nine months of 2026, crossing the billion-dollar mark despite lower shipment volumes and a decline from the US$1.163 billion recorded a year earlier.
Customs data analysed by Siyaka Research showed that rupee-denominated earnings nevertheless increased to approximately Rs. 350 billion from Rs. 347 billion, largely supported by the depreciation of the Sri Lankan rupee against the US dollar.
Total export volumes reached 189.4 million kg during January–September, compared with 198.3 million kg in the corresponding period of 2025. September shipments alone declined to 23 million kg from 23.7 million kg a year earlier.
The figures highlight contrasting revenue trends for the industry, with exchange rate movements supporting local-currency receipts despite weaker dollar earnings and reduced export quantities.
Value-added products continued to account for approximately 58% of total tea exports. Tea packets, tea bags and instant tea remained the main contributors to this segment.
Meanwhile, disruptions in the Middle East coincided with significant changes in export destinations and shipment routes.
Tea exports to and through Turkey increased sharply to 35.7 million kg from 15.2 million kg, making it the largest destination among the markets listed. Iraq recorded a substantial decline, with shipments falling to 18.4 million kg from 30 million kg a year earlier.
Russia maintained relatively stable volumes at 16.9 million kg, while exports to Azerbaijan rose by 34% to 9 million kg.
Shipments to China declined by 10% to 7.1 million kg. Exports to Libya fell more sharply, dropping to 6.6 million kg from 15.9 million kg, amid changes in shipment patterns and the use of alternative trade routes.
Syria recorded a 5% increase to 6.4 million kg, while shipments to Jordan grew by 51% to 6.3 million kg. Saudi Arabia remained broadly steady, also receiving 6.3 million kg.
Chile completed the top ten destinations, with shipments declining to 6.3 million kg from 8.5 million kg. The reduction followed a five-year high in Chile’s total tea imports of 21.8 million kg in 2025.
Sri Lanka’s nine-month performance reflects the continued importance of value-added exports and shifting overseas trade flows, as higher rupee receipts contrast with lower foreign-currency earnings.
