Sri Lanka trade deficit surges amid economic recovery

Sept 01, 2010 (LBO) - Sri Lanka's exports grew 13.7 percent to 3.6 billion US dollars in the first half of 2010, and imports expanded 42.1 percent amid an economic recovery, expanding the trade deficit by 108 percent to 2.8 billion US dollars, official data show. In the month of June exports grew 23.4 percent to 697.4 million US dollars, with tea exports up 15.4 percent to 120 million US dollars amid better prices.
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The average export price of tea was 4.3 US dollar a kilogram, up 11 percent from a year earlier the Central Bank said.

Industrial exports were up 24.7 percent to 523.4 million US dollars. Garment and apparel exports grew 23.
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8 percent to 304 million US dollars.

The Central Bank said garment exports to the United States were up 34 percent and to the European Union by 8.0 percent. Revenues from rubber product exports were up 110 percent to 52 million US dollars, led by rubber tyres and gloves.

June imports were up 31.8 percent to 6.4 billion US dollars.

Consumer goods imports were up 37 percent to 211 million US dollars, led my motor cars and electronic goods following a duty reduction.

Intermediate goods, including oil and textiles were up 30 percent to 665 million US dollars.
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Textile and clothing imports, which is the ke