Sri Lanka to begin exporting lubricating oil to Bangladesh
The Morning: The Ceylon Petroleum Corporation (CPC) is set to begin exporting lubricating oil to Bangladesh within the next two months, according to CPC Chairperson D. J. Rajakaruna. The announcement comes after Bangladesh placed its first order for Ceypetco lubricants.
Rajakaruna, speaking at a function of the Ceylon Petroleum Corporation Employees’ Union, highlighted the significant turnaround in CPC’s lubricant oil production.
After a period of decline in the industry, production has been ramped up, with plans to reach full capacity within two months.
“I am happy to say that we have been able to double our production during this period,” Rajakaruna said.
In addition to the lubricant export plan, Rajakaruna noted CPC’s collaboration with airlines on the supply of aviation fuel, which has led to a reduction in regional prices.
As a result, CPC’s aviation fuel trade is showing growth compared to the previous year.
On the topic of employee bonuses, Rajakaruna confirmed that CPC is working through the regulatory processes required to release the annual bonuses, despite challenges in securing approval from the Treasury and Cabinet.
While the bonus will not be paid this month, Rajakaruna reassured employees that a Rs. 50,000 New Year allowance would be provided as a temporary measure.
OSL take:
Sri Lanka’s ongoing economic activities and the overall economic expansion is further evident by moves to export lubricating oil to Bangladesh. It is further evident of the expanding business/investment opportunities in the country. Among the industries that have witnessed a steady growth is the power and energy industry which in-turn has shown a growing business potential as well. With the opening of the country’s retail fuel market, there are several foreign players entering the market while China’s Sinopec is working on setting up an oil refinery in Sri Lanka’s northern city of Hambantota with plans to also engage in oil bunkering work from the Hambantota International Port. With Sri Lanka working towards becoming a hub in the South Asian region, the business/investment opportunities in the power and energy industry would also see a growth in-line with it. Foreign businesses/investors could therefore explore the expanding business/investment opportunities in Sri Lanka’s power and energy industry while Bangladeshi businesses could look at the distribution of Sri Lankan lubricating oils in the Bangladeshi market. Bangladeshi as well as other foreign businesses could also look at expanding businesses in the power and energy industry in Sri Lanka through local collaborations.
| Article Code : | VBS/AT/20250401/Z_1 |