Categories: Articles

LNP – Agri, industrial sectors grow in 1H of 2021

The agriculture sector saw a relatively healthy output level in the first half of 2021 compared to the year-ago level. The official GDP data show the sector rebounding by 6.1% (Q/Q) in 1Q after experiencing a contraction of 6.1% last year.

Key commercial crops, especially tea (47.6%), vegetables (19.7%) and fruits (11.7%) made a noteworthy contribution to the growth in overall sector output. However, marine fishing and aquaculture recorded yet another disappointing quarter by contracting 16% (Q/Q) in 1Q.

Though key commercial crops had a robust first quarter, we expect 2Q sector performance to be more-or-less mixed as the country went into an island-wide lockdown in the face of a rising third wave of Corona infections impeding the entire agricultural value chain. In addition, we believe fisheries subsector output may have plummeted sharply as it was badly affected by the X-Press Pearly disaster.

Meanwhile, the Industrial sector grew by 5.5% in 1Q 2021, recovering from a 7.9% contraction in 1Q 2020. Most subsectors expanded but the recovery was uneven, with a contribution to the output growth mainly coming from the manufacturing of food & beverages (28% of the change in output), textile & apparel (22.7%), and construction sectors (13.7%).

Tyronne Jayamanne

View Comments

  • Sri Lanka has to do take into account the trade gap plus a export led economy is the only way forward

Recent Posts

LNP – Woman arrested with two firearms, ammunition, and swords in Habaraduwa

A female suspect has been arrested with two revolver-type firearms, ammunition, and two swords found…

2 hours ago

LNP – Sacred Tooth Relic exposition after Sinhala and Tamil New Year

President Anura Kumara Dissanayake says that a special exposition of the Sacred Tooth Relic of…

2 hours ago

LNP – No threat to national security – President

President Anura Kumara Dissanayake today assured that there is no threat to the country’s national…

2 hours ago

LNP – Navy arrests 32 Indian fishermen, five boats seized

The Sri Lankan Navy has arrested 32 fishermen from Rameswaram in Tamil Nadu for allegedly…

2 hours ago

LNP – Warm weather advisory issued for several provinces, districts

The Department of Meteorology has issued a Warm weather Advisory for tomorrow in several provinces…

2 days ago

LNP – Girlfriend of Ganemulla Sanjeewa’s killer arreste

Maharagama Police have arrested a woman believed to be the girlfriend of the shooter who…

2 days ago