Sri Lankan Fruit Exports: Potentials, Barriers and Prospects

Abstract

With regard to the fresh and processed fruit export industry, Sri Lanka has not tapped its full potential as only a speck of the total production reaches offshore markets. The study analyses potentials and barriers of the fruit export industry in Sri Lanka. Purposive sampling technique was applied to select the sample from export-oriented fruit farmers, collectors, and fresh and processed fruit exporters. Both qualitative and quantitative analyses were used. Weighted Average Score Analysis and the Augmented Gravity Model were employed to estimate the export potential, while descriptive analysis was used to analyze the barriers. The results depicted that pineapple has the highest potential for export. The Gravity Model found that the American region was the preferred destination for Sri Lanka’s major fresh and processed fruit exports, followed by the Middle East and South Asia. High transportation cost, no continuity in supply of quality raw materials, strong international competition and a lack of governmental support in export marketing and promotion were identified as barriers. This study suggests formulating a long term and consistent export policy, in consultation with relevant stakeholders in the industry. A comprehensive study on export potential of vegetables in Sri Lanka is recommended.