FINANCIAL CHRONICLE – A new initiative worth 7.56 million euros has been launched as part of the European Union-funded Accelerating Industries’ Climate Response in Sri Lanka (AICRSL) project. This announcement was made during a workshop held on Friday, which focused on creating a Net-Zero Roadmap for the country’s textile and apparel sector.
The program is being executed by the United Nations Industrial Development Organization (UNIDO) in collaboration with the ministries responsible for Industry and Entrepreneurship Development, as well as Environment and Energy.
The textile and apparel industry plays a crucial role in Sri Lanka’s economy, comprising 40.7 percent of the nation’s merchandise exports and contributing over 5 billion dollars in export revenue in 2025. Notably, around 31.3 percent of these exports were directed towards the European Union in the same year.
Given the sector’s high energy consumption, there is a pressing need for decarbonization to uphold global competitiveness and ensure continued access to markets. The EU Delegation in Sri Lanka emphasized the importance of establishing a Net Zero Roadmap to support these efforts.
“As the demands for climate accountability and sustainability grow for businesses and their supply chains, it is crucial for this industry to effectively measure and mitigate its emissions,” stated the delegation. “By assisting in the development of a net-zero roadmap for Sri Lanka’s textile and apparel sector, we are fostering more resilient and environmentally friendly supply chains for the EU market, while also promoting quality employment and long-term competitiveness within Sri Lanka.”
The creation of the roadmap will involve a detailed, multi-phase analytical approach that includes thorough baseline assessments, the examination of decarbonization options, and extensive consultations with stakeholders, according to the EU Delegation. This process is designed to ensure that the results are technically sound, feasible, and aligned with global best practices.
The inception workshop saw participation from various government bodies, industry representatives, technical specialists, utility providers, financial institutions, and development partners. The discussions aimed to unify participants on the roadmap’s methodology and kickstart the data gathering process.
“By delivering robust data, technical evaluations, and clear directives for investment and action, this initiative will assist public institutions and the industry in translating policy goals into tangible measures that lower emissions, enhance efficiency, and bolster the sector’s long-term competitiveness,” remarked Jagathdeva Vidanagama, Chief Technical Specialist for the AICRSL project.
