Sri Lanka’s tea industry is projected to see a growth of 10% to 12% in 2026, according to W.L.P. Wijewardene, Chairman of the Sri Lanka Tea Board. 

Despite losing nearly one million kilograms due to Cyclone Ditwah, the country remains optimistic if favorable weather conditions persist, aiming to reach its annual target of 300 million kilograms.

In 2025, Sri Lanka’s tea output increased to 264.12 million kilograms, surpassing the 2024 figure of 262.69 million kilograms marking a 1.43 million kilogram rise. The government’s fertilizer subsidy played a significant role in this growth, which was also 8.03 million kilograms higher than in 2023.

Wijewardene noted that the Department of Census and Statistics’ Q3 2025 report shows an 8.1% decline in tea production volume, attributed to supply-side issues such as rising input costs, delays in replanting, and labour shortages.

On a positive note, tea exports increased by 11.65 million kilograms in 2025, reaching 257.4 million kilograms, with export earnings rising to $1.506 billion.

The average export price remained steady at around $5.85 per kilogram.