At its recent annual general meeting, JAAF appointed Sharad Amalean the chairman of its new executive committee for 2022-23. Saiffudeen Jafferjee and Felix Fernando were appointed deputy chairmen. Past chairmen Noel Priyathilake, Azeem Ismail and Ashroff Omar were included in the executive committee. At the meeting, Sri Lanka’s apparel exporters urged authorities to change foreign exchange regulations to help resolve supply chain issues and help the industry grow.

As per an Economy Next report, Sri Lanka’s apparel exports grew to $5 billion in 2021. By November apparel and accessory exports had reached $4.9 billion. Yet, the country continues to face obstacles, says Sharad Amalean, Chairman, JAAF and Deputy Chairman, MAS Group. To navigate these issues, stakeholders need to come together to discuss issues pertaining to foreign exchange and the adoption of regulations with authorities, he adds.

Sri Lanka has imposed certain rules on exporters requiring them to repatriate and also sell dollars as money printed to keep interest rates low created forex shortages. This is making it difficult for exporters’ suppliers to clear goods, says Sri Lanka’s Shippers Council. Up to November 2021, Sri Lanka’s apparel exports increased 23 per cent. However, the country faces a severe foreign exchange crisis.

Sri Lanka’s businesses and academic economists and politicians have long pushed for export growth as a solution to frequent forex crises instead of changing the monetary law to reduce the discretionary independence of the central bank to print money using ‘flexible’ policy. Many exporters have also called for depreciation of the rupee in the past, which triggers inflation, capital destruction and higher interest rates within the country.

A Sukumaran, Past Chairman JAAF, says, the principle of global value chains still held, despite supply chain disruptions seen after the COVID-19 pandemic.