Sri Lanka Ports Authority to expand Colombo West International Terminal capacity
The Morning: The Sri Lanka Ports Authority (SLPA) has revealed plans to expand the capacity of the Colombo West International Terminal (CWIT) to 2.5 million Twenty-foot Equivalent Units (TEUs) by the end of 2026.
Speaking to The Sunday Morning Business, SLPA Chairman Dr. Parakrama Dissanayake stated that the CWIT, which is a joint venture between the Adani Group, John Keells, and the SLPA, had commenced limited function in 2025 and that they had managed to achieve a throughput of 1 million TEUs during the last financial year.
He added: “By the end of this year, the CWIT should have a capacity of around 2.5 million TEUs.”
Responding to questions on the East Container Terminal (ECT), which was initially slated to commence limited operations by end-2025, Dr. Dissanayake revealed that operations at the ECT had yet to commence and that they were working on securing the necessary straddle carriers.
Commenting on the fate of the proposed Colombo West Terminal 2, the SLPA Chairman revealed that they were carrying out the relevant technical and financial feasibility studies.
Construction of the CWIT, which is the first fully automated deep-water terminal in Colombo, commenced in 2022 and limited operations commenced in April 2025 with the opening of the first phase.
The CWIT represents an $ 840 million investment and features a 1,400-metre quay wall length and a depth of 20 metres, enabling it to handle an approximate total capacity of 3.2 million TEUs annually.
The Indian company Adani Ports and Special Economic Zone Ltd. holds a 51% stake in the CWIT, John Keells owns 34%, and the SLPA the remainder.
The ECT was originally to be developed jointly by the SLPA, India, and China. However, following the collapse of the agreement between parties, the SLPA had proceeded to develop the terminal on its own in phases.
Once fully developed, the ECT will have a 1,320 metre-long and 18–20 metre-deep quay wall and 75 hectares of container stacking yard including connected services required to operate as a modern container terminal.
OSL take:
Sri Lanka’s maritime industry is entering a period of accelerated expansion, anchored by major infrastructure upgrades and a long-term ambition to position the country as a leading maritime hub in South Asia. The SLPA has outlined plans to significantly scale up capacity at the CWIT to 2.5 million TEUs by the end of 2026, reflecting growing confidence in Colombo’s role as a key transshipment gateway. This expansion opens a wide range of business/investment opportunities across the maritime value chain. Terminal growth will drive demand for logistics and supply chain services, including warehousing, freight forwarding, and integrated distribution hubs. As container volumes rise, there is also strong potential in cold chain infrastructure to support food exports and pharmaceuticals, as well as value-added logistics services such as packaging, labeling, and light assembly. Shipping-related services are another area of opportunity. These include vessel servicing, bunkering, ship repair, and marine engineering, particularly as traffic through Colombo intensifies. Foreign businesses/investors may also find prospects in port-centric real estate development and industrial zones linked to export processing. Also, the expansion supports growing interest in digital port technologies such as automated cargo handling systems, port community platforms, and AI-driven logistics optimization, which can improve efficiency and reduce turnaround times. Therefore, with Colombo strengthening its position as a transshipment hub between East and West trade routes, Sri Lanka’s maritime sector presents a compelling entry point for foreign businesses/investors seeking exposure to South Asia’s expanding logistics and trade ecosystem.
| Article Code : | VBS/AT/20260508Z_1 |