Mahindra keen to set up economic zone here

BY SHIRAJIV Sirimane

MAHINDRA and Mahindra one of India's leading enterprises has requested them to provide a separate area to have an Indian economic zone in Sri Lanka.

Minister of Investment Promotion and Enterprise Development Rohitha Bogollagama who met officials of the Mahindra Group in New Delhi last week said that the group is very keen to invest in Sri Lanka.

"In addition to the Mahindra Group other Indian companies too are keen to set up factories, assembly plants and engage in other business activities.

A delegation from the group will arrive next week on a fact-finding mission to discuss details on this proposal.

"We have earmarked two zones from Kalutara and Puttalam for this proposed venture," the Minister said. Minister Bogollagama who represented Sri Lanka at the World Economic Forum said that the Mahindra Group has said that they would build the infrastructure and also maintain this economic zone.

"This would be a major boost for the local economy as it would bring in major investments to Sri Lanka and also provide employment opportunities for over 5000 when the project is completed," he said.

One of India's leading cement manufacturers is to set up a Cement manufacturing plant in Trincomalee. In addition a company based in Calcutta is to set up an oil refinery in Sri Lanka for export. This would be a US $ 70 million venture.

The Minister who met most of these investors after attending the World Economic forum said that two other companies held discussion to set up a sugar refinery and a petroleum refinery in Sri Lanka.

The total investment for this would be around US 150 million and both their produce would be for export.

He said that in addition he had one to one meetings with top business leaders, industries, and politicians and also addressed many investment programs.

"In addition several IT companies and call center operators too are keen to set up businesses in Sri Lanka," he said.

The Minister said that this was the first time after the Presidential election that the Indian and world business community had a chance to get insight of the Mahinda Chintana and the new economic policy of Sri Lanka.

"They expressed happiness on the Mahinda Chintana and the new economic order of Sri Lanka. The investments pledged after this is a clear endorsement that the Mahinda Chintana is accepted even globally," he said.

The fact that there was no violence after the Presidential elections also was hailed by the international business community. The Minister was also interviewed on Doordharsan where he spoke on the Mahinda Chintana and the economy of Sri Lanka.