Sri Lankan company identified to cultivate cotton for apparel sector
Sri Lanka’s Trade Ministry has identified local apparel supplier and wholesaler of apparel, Dasa Group of companies, as a potential investor to promote cotton cultivation in the country.
Sri Lanka’s Ministry of Trade Secretary J.M.B. Jayawardana has told The Morning that in terms of promoting cotton cultivation, the Dasa Group in Dalugama, Kelaniya has been identified as an investor where the experience and knowledge of the local cotton farmers can be used for cotton cultivation promotion within the country.
“The Cabinet of Ministers has already granted approval in expanding the cotton cultivation in the Polonnaruwa District,” she has said.
According to statistics provided by the Sri Lanka Apparel Exporters Association (SLAEA), the SLAEA has been able to reach export revenue of US$ 425.75 million during the month of July 2021.
However, the SLAEA has noted that approximately half of the revenue has been spent on the import of thread, dyes and clothes creating the necessity as well as a business opportunity to locally manufacture these essential materials.
As for establishing dye and thread plants in Sri Lanka, Jayawardana has been quoted as saying, “We (Ministry of Trade) have a long-term plan on it.”
Sri Lanka’s Minister of Trade Dr. Bandula Gunawardena has conducted an inspection tour of the Katunayake Free Trade Zone on thread and dye manufacturing several months ago and is looking at expanding the industry further.
Sri Lanka’s manufacturing and exports sectors have shown a growth momentum amidst pandemic challenges. The country’s apparel sector has shown an increase in revenue during the pandemic period and the government of Sri Lanka has taken several initiatives to further support the apparel industry. Key among them is the setting up of a fabric manufacturing park in the country’s Eastern Province. Sri Lanka’s apparel industry also enjoys the EU’s GSP Plus trade concessions as well as the US GSP facility. Both these facilities have helped boost Sri Lanka’s apparel industry. The country’s geographical positioning in the Indian Ocean has also assisted in shipping and logistics. Given all these benefits, foreign businesses/investors could confidently explore opportunities in Sri Lanka’s apparel industry.
|Article Code :||VBS/AT/03092021/Z_6|