Sri Lanka’s Hambantota Port to get US$ 16 million plug and play ‘Park in Park’ industrial facility
Sri Lanka’s Hambantota International Port Group (HIPG) has reportedly partnered with Shenzhen Xinji Group to set up a plug and play ‘Park in Park’ manufacturing facility within the port’s industrial zone.
According to local media reports, the concept is a fully-fledged standalone industrial facility with some very unique features, set to operate within the Hambantota International Port’s Industrial Zone.
The signing of the Joint Venture agreement between the Xinji Group and HIPG had taken place recently at the Hambantota Maritime Centre with key officials of both organisations in attendance.
HIPG Chief Executive Officer Johnson Liu has been quoted as saying that the new venture would be in line with HIP’s master plan of the port.
“The Shenzhen Xinji Group’s offering will position both the industrial park and Sri Lanka as an attractive destination for manufacturers who do not wish to go through the hassle of setting up factories but would rather use readymade services and hit the ground running, with no delays in production,” he has noted.
“This concept is unique because ours is a plug and play formula, where all the facilities for an investor are supplied by us, right down to clearing red tape, infrastructure hurdles and even human resources needed for a smooth-running business. It would be a great plus for light industry manufacturers and traders who wish to come and set up in Sri Lanka with a view to finding markets in South Asia,” Yang Lin, Chairman of Shenzhen Xinji Group, which has been operating in Sri Lanka in both construction and manufacturing since 2013, has said.
The new facility will be built on a 9,000 square metre area within the industrial zone, and the ‘Park in Park’ model is expected to be attractive to investors as it would reduce investment costs.
Potential investors would be able to avail themselves of direct ‘check in’ services, which will help speed up the production time. The base infrastructure provided by Xinji would be a boon to enterprises entering the park as economic benefits to them would be many.
The US$ 16 million high tech industrial facility will provide a ‘one-stop’ service for light industries.
“This facility will guarantee technology transfer to Sri Lanka and ensure that locals will be trained and skilled for employment in the factories that will be set up. The facility will also ensure downstream benefits to other Sri Lankan companies as the industries operating within the park will be encouraged to use Sri Lankan raw materials and services like printing and packaging,” Xinji Group General Manager Dr. Mahasen Ranagala has been quoted as saying.
The project is aimed at promoting the production and manufacturing of household electric and electronic appliances. Industries operating within the plug and play ‘Park in Park’ facility will have the added benefits of the Industrial zone’s free port policy and free trade agreement, enabling them to provide quality products to Sri Lanka and surrounding countries.
OSL take:
Sri Lanka’s Hambantota Port is fast becoming a key port in the country with an industrial zone within the premises adding to the Port’s businesses. Sri Lanka’s heading towards achieving its target of becoming a maritime hub in the South Asian region, especially given it’s geographical positioning in the Indian ocean. Also, the many trade agreements as well as trade concessions enjoyed by the country have further boosted Sri Lanka’s potential of becoming a maritime hub in the region. With Sri Lanka’s ongoing development programme and the position as an emerging business destination in the South Asian region, foreign businesses/investors could confidently explore business/investment opportunities in Sri Lanka’s ports/shipping and overall maritime sector.
| Article Code : | VBS/AT/20210629/Z_2 |