April tea exports up 11% YoY

• Iraq retains its position as top tea buyer, with imports rising 13% YoY 

Sri Lanka’s tea exports rose in April, driven by stronger shipments across most categories, although bulk exports remained under pressure and key markets showed mixed demand, data from the industry sources showed.

The tea exports for April 2025 stood at 18.20 million kilogrammes (M/Kgs), up from 16.38 M/Kgs in April last year, marking a year-on-year (YoY) increase of 1.82 M/Kgs. Gains were recorded across all categories, except tea in bulk. The average free on board (FOB) value rose marginally to Rs.1,760.31 per kilogramme, from Rs.1,745.45 in April 2024. In dollar terms, the FOB value edged up by US $ 0.07.

For the January to April period, cumulative exports reached 81.41 M/Kgs, an increase of 2.71 M/Kgs compared to the same period in 2024. Growth was led by the value-added segments such as tea packets, tea bags and instant tea, while tea in bulk and green tea posted declines.

Despite the higher volumes, the average FOB value during the four-month period dipped to Rs.1,743.61, down Rs.28.75, from Rs.1,772.36 a year earlier, largely due to the depreciation of the rupee. In contrast, the dollar-denominated earnings improved, with an increase of US $ 0.15 YoY.

Instant tea was the only category to post gains in rupee terms. All other segments, including high-volume packets and bags, saw a decline in rupee FOB values, while all recorded growth in dollar terms.

Iraq retained its position as Sri Lanka’s top tea buyer, with imports rising 13 percent YoY to 11.52 M/Kgs during the first four months of 2025. Libya surged to the second spot, with a steep 353 percent increase to 7.61 M/Kgs, overtaking Russia, which recorded a 9 percent drop to 7.50 M/Kgs.

The other key buyers such as the UAE and Turkey showed notable declines—down 35 percent and 19 percent, respectively. Iran’s imports fell marginally by one percent to 4.09 M/Kgs. Chile climbed to the seventh place, with 3.77 M/Kgs, outpacing China and Saudi Arabia, while Germany rounded out the top 10, with 2.73 M/Kgs.