Sri Lanka’s apparel industry is facing mounting pressure as exports reportedly fell around 8 per cent in Q1 2026 amid weak global demand, rising fuel and electricity costs, shipping disruptions and geopolitical uncertainty.
Smaller manufacturers are being hit hardest, with industry bodies urging urgent policy support, energy reforms and stronger trade access to stabilise the sector.Sri Lanka’s apparel industry is facing mounting pressure as exports reportedly fell around 8 per cent in Q1 2026 amid weak global demand, rising fuel and electricity costs, shipping disruptions and geopolitical uncertainty.
Smaller manufacturers are being hit hardest, with industry bodies urging urgent policy support, energy reforms and stronger trade access to stabilise the sector.
