Sri Lanka: Groundnuts Market 2024

Groundnuts Market Size in Sri Lanka

After five years of growth, the Sri Lankan groundnuts market decreased by -1.9% to $X in 2022. In general, the total consumption indicated strong growth from 2012 to 2022: its value increased at an average annual rate of +6.4% over the last decade. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2022 figures, consumption increased by +56.7% against 2016 indices. Over the period under review, the market hit record highs at $X in 2021, and then declined slightly in the following year.

Groundnuts Production in Sri Lanka

In value terms, groundnuts production shrank modestly to $X in 2022 estimated in export price. Overall, the total production indicated a strong expansion from 2012 to 2022: its value increased at an average annual rate of +6.9% over the last decade. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2022 figures, production decreased by -12.0% against 2019 indices. The pace of growth was the most pronounced in 2013 with an increase of 123% against the previous year. As a result, production reached the peak level of $X. From 2014 to 2022, production growth remained at a somewhat lower figure.

The average yield of ground-nut (in-shell) in Sri Lanka dropped to X tons per ha in 2022, therefore, remained relatively stable against the previous year. Overall, the yield, however, saw a relatively flat trend pattern. The most prominent rate of growth was recorded in 2017 with an increase of 47%. Over the period under review, the average groundnuts yield hit record highs at X tons per ha in 2021, and then declined slightly in the following year. Despite the increased use of modern agricultural techniques and methods, future yield figures may still be impacted by adverse weather conditions.

In 2022, the total area harvested in terms of ground-nut (in-shell) production in Sri Lanka expanded slightly to X ha, increasing by 2.6% against the previous year. Over the period under review, the total harvested area indicated a resilient increase from 2012 to 2022: its figure increased at an average annual rate of +5.1% over the last decade. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2022 figures, groundnuts harvested area decreased by -2.5% against 2020 indices. The pace of growth appeared the most rapid in 2020 with an increase of 34% against the previous year. Over the period under review, the harvested area dedicated to groundnuts production attained the peak figure at X ha in 2016; however, from 2017 to 2022, the harvested area stood at a somewhat lower figure.

Groundnuts Exports

Exports from Sri Lanka

In 2022, shipments abroad of ground-nut (in-shell) decreased by -26.7% to X kg, falling for the second year in a row after two years of growth. Over the period under review, exports saw a abrupt downturn. The pace of growth was the most pronounced in 2019 when exports increased by 496%. Over the period under review, the exports attained the maximum at X tons in 2020; however, from 2021 to 2022, the exports stood at a somewhat lower figure.

In value terms, groundnuts exports rose remarkably to $X in 2022. Overall, exports recorded a abrupt decline. The pace of growth was the most pronounced in 2019 when exports increased by 565% against the previous year. The exports peaked at $X in 2020; however, from 2021 to 2022, the exports stood at a somewhat lower figure.

Exports by Country

Switzerland (X kg) was the main destination for groundnuts exports from Sri Lanka, accounting for a 85% share of total exports. Moreover, groundnuts exports to Switzerland exceeded the volume sent to the second major destination, Maldives (X kg), more than tenfold.

From 2013 to 2022, the average annual growth rate of volume to Switzerland totaled -9.8%. Exports to the other major destinations recorded the following average annual rates of exports growth: Maldives (-22.5% per year) and Sweden (-80.4% per year).

In value terms, Switzerland ($X) remains the key foreign market for ground-nut (in-shell) exports from Sri Lanka, comprising 93% of total exports. The second position in the ranking was taken by Maldives ($X), with a 4% share of total exports.

From 2013 to 2022, the average annual growth rate of value to Switzerland stood at -13.4%. Exports to the other major destinations recorded the following average annual rates of exports growth: Maldives (-19.7% per year) and Sweden (-83.8% per year).

Export Prices by Country

In 2022, the average groundnuts export price amounted to $X per ton, growing by 44% against the previous year. Over the period under review, the export price, however, continues to indicate a abrupt downturn. Over the period under review, the average export prices attained the peak figure at $X per ton in 2013; however, from 2014 to 2022, the export prices stood at a somewhat lower figure.

Prices varied noticeably by country of destination: amid the top suppliers, the country with the highest price was Switzerland ($X per ton), while the average price for exports to Sweden ($X per ton) was amongst the lowest.

From 2013 to 2022, the most notable rate of growth in terms of prices was recorded for supplies to Maldives (+3.6%), while the prices for the other major destinations experienced a decline.

Groundnuts Imports

Imports into Sri Lanka

After two years of decline, overseas purchases of ground-nut (in-shell) decreased by -1.5% to X tons in 2020. In general, imports recorded a mild shrinkage. Imports peaked at X tons in 2012; however, from 2013 to 2020, imports failed to regain momentum.

In value terms, groundnuts imports contracted modestly to $X in 2020. Over the period under review, imports continue to indicate a pronounced curtailment. Imports peaked at $X in 2012; however, from 2013 to 2020, imports remained at a lower figure.

Imports by Country

In 2020, Afghanistan (X tons) was the main groundnuts supplier to Sri Lanka, with a approx. 100% share of total imports.

From 2012 to 2020, the average annual growth rate of volume from Afghanistan was relatively modest.

In value terms, Afghanistan ($X) constituted the largest supplier of ground-nut (in-shell) to Sri Lanka.

From 2012 to 2020, the average annual rate of growth in terms of value from Afghanistan was relatively modest.

Import Prices by Country

The average groundnuts import price stood at $X per ton in 2020, falling by -2.7% against the previous year. Overall, the import price recorded a pronounced decrease. The most prominent rate of growth was recorded in 2013 when the average import price increased by 71%. As a result, import price reached the peak level of $X per ton. From 2014 to 2020, the average import prices failed to regain momentum.

As there is only one major supplying country, the average price level is determined by prices for Afghanistan.

From 2012 to 2020, the rate of growth in terms of prices for India amounted to -2.7% per year.

Source: IndexBox Platform

Frequently Asked Questions (FAQ) :