Sri Lanka’s Dipped Products to invest Rs. 1 billion to diversify product portfolio to harness potential
Sri Lanka’s Dipped Products PLC (DPL) is looking at diversifying its product portfolio by investing Rs. 1 billion aimed at harnessing the export growth potential in its gloves exports business.
The company, which is identified as a leader in the global hand protection glove market, has reportedly stated that it is broadening product portfolio by venturing into sports and mechanics gloves range as part of growth strategy.
For this purpose, DPL Premier Gloves Ltd., a fully-owned subsidiary of DPL is to invest Rs. 1 billion to set up a state-of-the-art plant in Biyagama BOI Investment Zone.
The DPL Group currently exports rubber gloves to over 70 countries and in FY21 DPL Group had achieved a revenue of Rs. 46.4 billion, which is an increase by 52% from the previous year. After tax profit has grown to Rs. 5.8 billion from Rs. 850 million.
DPL’s hand protection sector in FY21 had invested in upgrading capacity across all five facilities in Sri Lanka, which is expected to result in a 12 to 15% increase in installed capacity by 2021/22, positioning it for strong growth. DPL’s other core interest is plantations.
Many private sector companies in Sri Lanka are engaged in expansion programmes after facing the Covid 19 pandemic. Sri Lanka’s private sector showed a steady growth despite pandemic challenges while also recording profits. This is an indication of the country’s overall economic expansion and growing opportunities. With Sri Lanka’s ongoing development programme and the positioning of the country as an emerging business destination in the South Asian region, foreign businesses/investors could explore the growing business potential in Sri Lanka. The country’s geographical positioning in the Indian Ocean and the many trade agreements as well as concessions enjoyed by the country have also added to Sri Lanka’s attraction as a growing business destination.
|Article Code :||VBS/AT/14012022/Z_3|